Adult-Use Marijuana Licenses: Early Applications Opened January 19th
Passing with 60% of the vote, Proposition 207, the Smart and Safe Act, legalizes the possession, cultivation, and sale of recreational marijuana in Arizona. A separate license issued by the Arizona Department of Health Services (“AZDHS”) will be required for retail sales of marijuana.
The early application period for existing medical marijuana dispensaries opened January 19th. Here’s what dispensaries interested in applying for a license to sell recreational marijuana should know:
- Application Period: The early application period begins January 19th, and will end on March 9, 2021.
- Fee: The fee for an initial license is $25,000.
- Marijuana Facility Agents: Current medical marijuana dispensary agents (i.e., principal officers, board members, employees, and volunteers) must submit a new marijuana facility agent application to AZDHS.
- Dual Licensure: An existing medical marijuana dispensary may choose to be a “dual licensee,” holding both a marijuana establishment license to sell recreational marijuana and a medical marijuana dispensary registration. In addition, a dual licensee may elect to operate on a for-profit basis, but it must convert its corporate form and amend its organizational and operational documents accordingly.
Gammage & Burnham’s Cannabis Law Team has extensive experience guiding our clients through the complex and evolving legal and regulatory landscape of Arizona’s cannabis industry. If you have any questions about either the medical marijuana program or the new adult-use marijuana program, please contact us.