MRA Executive Director Andrew Brisbo said “The release of the rules today provides local municipalities and prospective licensees with the information they need to decide how they want to participate in this new industry. Since we plan to start taking business applications November 1st, stakeholders will have four months to evaluate these rules and make their decisions. These rules set Michigan’s marijuana industry on a path for success while ensuring safety for marijuana consumers.”
Michigan Marijuana Regulatory Agency Director Andrew Brisbo
photo from CannaCon Detroit 2019 by MCT
New License Types
Marijuana Event Organizer – allows the license holder to apply for Temporary Marijuana Event licenses from the MRA.
Temporary Marijuana Event – this license allows a Marijuana Event Organizer to run an event (approved by the local municipality) where the onsite sale or consumption of marijuana products, or both, are authorized at a specific location for a limited time. Licensed Retailers and Microbusinesses may participate. The Marijuana Event Organizer is required to hire security and ensure that all rules and requirements for onsite consumption of marijuana products are followed.
Designated Consumption Establishment – allows the license holder, with local approval, to operate a commercial space that is licensed by the MRA and authorized to permit adults 21 years of age and older to consume marijuana and marijuana products on premises. A Designated Consumption Establishment license does not allow for sales or distribution of marijuana or marijuana product, unless the license holder also possesses a Retailer or Microbusiness license.
Excess Marijuana Grower – allows a licensee who already holds five adult-use Class C Grower licenses to expand their allowable marijuana plant count.
Similarities/Differences Between Adult-Use Rules and Medical Rules
The adult-use marijuana Emergency Rules share a large overlap with the medical marijuana Administrative Rules but also contain some significant differences. In the overlap between adult-use and medical, there are similar rules with important distinctions. These distinctions include:
There are no capitalization requirements for adult-use licenses and fewer financial documents are requested from applicants.
Adult-use home delivery includes Designated Consumption Establishments and any residence. Medical home delivery is to registered marijuana cardholders only.
Adult-use license renewal fees are divided into three tiers in which larger volume licensees will pay more on renewal and smaller volume licensees will pay less.
Growers and Microbusinesses may accept the transfer of marijuana seeds, tissue cultures, and clones from another Grower licensed under the adult-use law or the medical marijuana law.
Class A Growers and Microbusinesses may accept the transfer of marijuana plants one time from (a) registered primary caregiver(s) so long as the caregiver(s) was an applicant for that license.
Current medical marijuana licensees who apply for adult-use licenses will be expedited through the application process if there are no changes in ownership.
All adult-use applicants are required to submit a social equity plan. The social equity plan must detail a strategy to promote and encourage participation in the marijuana industry by people from communities that have been disproportionately impacted by marijuana prohibition and enforcement and to positively impact those communities.
Adult-use Safety Compliance Facilities are required to hire a laboratory manager.
Here are a few more highlights – definitely share your thoughts in the comments or on our social media channels!
Growers and Processors may engage in research and development.
Growers, Processors, Retailers, and Microbusinesses may offer tested internal product samples for their employees to consume, off-site, to ensure the quality and/or potency of the products.
Growers and Processors may provide trade samples of marijuana and marijuana products to other Processors or Retailers to help determine whether they want to purchase the product.
A licensee – who holds two or more Processor licenses or two or more Retailer licenses – with common ownership at different establishments may transfer marijuana product inventory between the Processor or Retailer establishments.
Microbusinesses may not operate at multiple locations and must operate the corresponding areas of their Microbusiness in compliance with the operation requirements of a Retailer, a Grower, and a Processor.
The MRA’s Social Equity Plan will (1) promote and encourage participation in the marijuana industry by people from communities that have been disproportionately impacted by marijuana prohibition and enforcement and (2) positively impact those communities.
A Retailer is not required to retain information from customers other than the following: method and amount of payment, date/time of sale, product quantity, and other product descriptors.