Allows Medical marijuana?: Yes
Allows Adult-Use marijuana?: Yes
2018 Medical Sales : $165,000,000
2022 Projected Medical Sales : $113,000,000
2018 Adult Use Sales : $215,000,000
2022 Projected Adult Use Sales : $1,100,000,000
Noteworthy Information: Voters approved adult-use legalization in November 2016. 7 retail licenses have been issued thus far to businesses that already have medical dispensaries in the state. The Cannabis Control Commission first must issue a license for independent testing laboratory before any business can make a recreational sale. The first testing license will likely be issued in late August. Attorney General Maura Healey ruled that local officials can unilaterally prohibit cannabis businesses for another year without polling residents. The state-level regulatory medical program is also undergoing expansion.
Is there a Regulatory Structure? (State Agency): Yes (Medical: Department of Public Health of the Commonwealth of Massachusetts. Adult-use: Cannabis Control Commission (to be formed))
# of Dispensaries Allowed (# issued): Medical: No limit. (12 open for sales. Just under 100 at earlier stages of application)
Adult-use: 75 until October 1, 2018. Thereafter, no state limit. If a city or town limits the number, then experienced medical operators get the first licenses, followed by a lottery for the remaining spots, if any. (7 issued)
# of Cultivations Allowed (# issued): Medical: N/A. Dispensaries do all their own cultivation.
Adult-use: 75 until October 1, 2019 [one year later than others]. Thereafter, no state limit. If a city or town limits the number, then experienced medical operators get the first licenses, followed by a lottery for the remaining spots, if any. (1 issued)
# of Manufacturers Allowed (# issued): Medical: N/A. Dispensaries do all manufacturing as well.
Adult-use: 75 until October 1, 2018. Thereafter, no state limit. If a city or town limits the number, then experienced medical operators get the first licenses, followed by a lottery for the remaining spots, if any. (0 issued)
# of Testing labs Allowed (# issued): Currently there are no testing licenses, though there are requirements (at 725.105(C)(2)(d)) for labs that do independent testing.
Geographic Distribution of Licenses: No mandated distribution. However, For purposes of scoring an application, the Department may take into account desired geographical distribution of RMDs (i.e., convenience for and proximity to Massachusetts residents, and avoidance of clustering of RMDs in one area)
Dispensary Stage 1 Application Fee= $1,500
Dispensary Stage 2 Application Fee= $30,000
Architectural review: $8.25 per $1,000 of construction costs, with a minimum fee of $1,500
Cultivation (Tier 1-11) Indoor Application Fee = $200-$600
Cultivation (Tier 1-11) Outdoor Application Fee= $100 - $300
Microbusiness Application Fee = $300
Retail (brick and mortar) Application Fee = $300
Manufacturing Application Fee= $300
Independent Testing Laboratory Application Fee= $300
Third-party Transporter = $300
Research Laboratory = $300
Dispensary agent registration: $500, annually
Dispensary Registration Fee: $50,000, annually
Change of Location= $10,000
Change of Name= $100
Cultivation (Tier 1-11) Indoor License Fee= $625 - $12,500
Cultivation (Tier 1-11) Outdoor License Fee= $1,250 - $25,000
Microbusiness License Fee= 50% of all applicable fees
Retail (brick and mortar) License Fee= $5,000
Manufacturing License Fee= $5,000
Independent Testing Laboratory License Fee= $5,000
Third-party Transporter = $5,000
Research Laboratory = $1,000
Caregivers are required to be residents but the law is not explicit with regard to the residency requirements for owners. Owners must provide residential addresses, however.
Vertical Integration Allowed, Required or Prohibited:
Required (Exception 1: " a cultivation location of an RMD may cultivate marijuana for only that RMD, and up to two additional RMDs under a common non-profit corporation.") (Exception 2: A RMD may acquire marijuana from and distribute marijuana to another RMD when (a) A documented emergency situation occurs such as a loss of crop, vandalism, or theft, or other circumstance approver by the department, (b) a specific registered qualifying patient's needs cannot otherwise be met by the acquiring RMD, as documented by the acquiring RMD, and (c) The distribution and acquisition of marijuana to and from all other RMDs does not exceed, cumulatively, 30% of the RMD's total annual inventory). A Medical and Adult-use dispensary may share a location.
Medical Marijuana Qualifying Patient Conditions:
5. Hepatitis C
7. Crohn's Disease
8. Parkinson's Disease
9. Multiple Sclerosis
New Leaf Cannabis Consulting can help you achieve cannabis licensure in Massachusetts.
The team at New Leaf Cannabis Consulting has assisted cannabis businesses launch successfully throughout the United States. Team New Leaf are high level professionals who are also veterans of this industry: We know what it takes to take you step by step through the licensing process even when regulatory details are unclear.
To learn more or get started, contact us today. We look forward to helping your cannabis business take off in Massachusetts.
NEW LEAF CANNABIS BUSINESS NEWS
State By State Licensing Information
Legality of Cannabis in the United States
Leary v. United States (1969)
Ravin v. State (1975)
Conant v. McCaffrey (2000)
Gonzales v. Raich (2005)
Moncrieffe v. Holder (2013)