While newly legalized states such as Mississippi, New Jersey, and South Dakota work on drafting regulations to open cannabis business license applications, other long-standing markets such as California, Oregon, and Michigan are seeing an uptick in license acquisitions (buying licenses from existing holders). Between the markets for license applications and acquisitions, 2021 is ushering in more cannabis business opportunities than ever -- check out the latest!
NATIONAL HIGHLIGHTS
Acquisitions - A Secondary Market For Cannabis Business
The market for buying and selling cannabis business licenses is better than ever. The demand is fueled by a desire among entrepreneurs to start their own cannabis business as hopes for federal cannabis reform grows. Moreover, existing cannabis operators are looking to expand their footprint into additional markets through acquisition. Existing license holders are willing to cash in on the opportunity to become a part of a multi-state operator whose stock price is climbing, and to escape the complexities of the industry that they weren't prepared for. (Marijuana Business Daily)
STATEWIDE CHATTER
Illinois
An Illinois lawmaker is renewing an effort to create new cannabis retail licenses after a similar proposal stalled in the House last month. Rep. La Shawn Ford introduced legislation last week that would create up to 110 additional retail licenses. The bill would allow the lottery for the original 75 licenses to take place once unsuccessful applicants amend and resubmit their applications under a process outlined by Gov. J.B. Pritzker, then set a second lottery comprised of some of the losing applicants to issue another 75 licenses. Then, after state officials complete a study to evaluate the state’s supply and demand, another 35 licenses could be awarded in a separate process. The news comes after the state reported another record-breaking month in cannabis sales, with nearly $89 million in adult-use cannabis purchases in January. (Cannabis Business Times)
Mississippi
Senator Kevin Blackwell authored SB 2765 to lay the groundwork for the state’s new medical cannabis program after voters passed Initiative 65 in November to legalize medical cannabis. Blackwell stated the bill is still in its early stages, but he’s largely based it on Arkansas’ medical cannabis law. The bill includes some amendments to the provisions passed by voters, such as lowering the possession limit from 2.5 ounces to 1.5 ounces within a 14-day period. The Senate Finance Committee has approved the bill, moving it forward among lawmakers. The fate of Initiative 65 is before the Mississippi Supreme Court, as the mayor of Madison is challenging its legality. However, Blackwell says if the initiative is struck down, SB 2765 will be ready to replace it – or both can co-exist. (WJTV, MPB Online)
New Jersey
Gov. Phil Murphy and state lawmakers are close to settling on a compromise to pass the state’s two marijuana reform bills into law after weeks of negotiation. The bills were expected to be signed into law by January 1, but hit delays when Murphy expressed disagreement over excluding penalties for underage marijuana use from one of the bills. A new "clean up" bill has been created to address the issue, establishing a $50 fine for adults 18-20 who possess up to an ounce of cannabis and a $100 fine for any amount over an ounce. Lawmakers extended the deadline for Murphy to act on the bills from February 8 to February 18, allowing more time for negotiation between him and lawmakers. (NJ.com)
South Dakota
South Dakota lawmakers filed legislation last week that would implement the state’s adult-use cannabis program. HB 1225 is 22 pages long and includes 72 different sections addressing a wide range of regulations related to adult-use cannabis. Since the voter-approved initiative is under scrutiny in a pending lawsuit, the bill includes a provision that would void the law if the initiative is overturned in court. The state has hired a national consulting firm to help lawmakers create a system for regulating and overseeing the new medical and adult-use programs. Additionally, the South Dakota Cannabis Caucus has now had two meetings, with another scheduled, to discuss how to manage legal cannabis. (Argus Leader)
Virginia
On Friday, both the Virginia House and Senate approved cannabis legalization bills. You can find details on the House version, HB 2312, here; and you can find details on the Senate version, SB 1406, here. Both bills would legalize the possession, use, and regulation of cannabis for adults 21 years and older, and both bills establish that the adult-use market will launch on January 1, 2024. However, lawmakers must come to an agreement on the licensing structure for cannabis businesses. The two chambers will now convene to settle the differences between the two bills and create a single compromise bill to send to Gov. Ralph Northam to be signed into law. (Marijuana Business Daily)
West Virginia
West Virginia medical cannabis regulators announced the winners of 100 dispensary permits in the state, with many going to multi-state operators. More than 30 companies were successful in obtaining a license, with many of them having multiple stores throughout the state. The Unity Rd. team helped a partner secure a license in the state, bringing our team’s total license wins to 15 states. The complete list of dispensary license holders is available here. (Marijuana Business Daily)
GET TO KNOW UNITY RD. FROM SOMERSET, NJ.
Unity Rd. in Somerset, NJ, is your premier destination for top-quality cannabis products and exceptional customer service. Located conveniently in the heart of Somerset, Unity Rd. offers a wide selection of premium cannabis strains, edibles, concentrates, and accessories to meet all your needs. Our knowledgeable and friendly staff are dedicated to providing a personalized shopping experience, ensuring you find the perfect products to suit your preferences. Whether you're a seasoned connoisseur or new to cannabis, Unity Rd. is here to guide you on your journey. Visit us today at Unity Rd. Somerset and discover why we're the go-to dispensary in the area.
For more information, check out our website at www.Unity-Rd.com.
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