Minnesota Office of Cannabis Management Launches Grant Program for Those Negatively Impacted by Cannabis Prohibition

Today, the Minnesota Office of Cannabis Management (OCM) announced a new program to help fund projects addressing a range of community needs, including “economic development, public health, violence prevention, youth development and civil legal aid”.

CanRenew Community Restoration Grants will be awarded to eligible organizations for investments in communities where long-term residents are eligible to be social equity applicants, according to a press release from OCM. These communities are recognized for facing significant challenges under previous cannabis prohibition policies, which negatively impacted their economic and social landscapes.

The $1 million CanRenew program, established by the Minnesota Legislature in the 2023 cannabis bill, invests in communities disproportionately impacted by cannabis prohibition, fostering development, safety, and stability. By funding projects focused on economic development, social determinants of health, violence prevention, and youth engagement, CanRenew supports organizations making a meaningful impact in community renewal. CanRenew grant funds are not intended to support cannabis business operations and cannot be used on revenue generating projects.

“This grant program is a significant step toward the OCM’s aim to establish an inclusive and equitable cannabis ecosystem that creates possibilities for marginalized groups and those affected by the war on drugs,” said OCM interim director, Eric Taubel. “We are thrilled to start this program to assist individuals impacted by previous cannabis prohibitions, and to make sure that we are reinvesting into the communities that have been disproportionally harmed from discriminatory laws.”

Grant awards for the first round of funding will range from $50,000 to $200,000 per project. OCM intends to fund investments in eligible communities throughout Minnesota. Organizations that are eligible to receive CanRenew grants include nonprofit organizations, Tribal organizations, educational institutions, units of local government, private businesses, community groups, and partnerships between different types of organizations.

Organizations interested in CanRenew grants must submit a written application that explains their proposed community investment, the community’s needs, and the expected positive outcomes. Applications will be evaluated based on their potential community impact, the organization’s track record of success, and community support for the investment. Priority is given to projects with proven success in similar areas and strong community backing, as well as organizations that engage directly with youth.

While CanRenew grants may not directly support the adult-use cannabis industry, they are part of a larger collection of grants that will support and provide funding for technical assistance, financial capital, and workforce training for the Minnesota legal cannabis industry. The other grant programs are CanGrow, promoted through OCM, and three programs that are overseen by the Minnesota Department of Employment and Economic Development (DEED): CanStartUp, CanNavigate, and CanTrain. For more information on those grant programs visit DEED’s Support for Cannabis Businesses website.

“Launching these grant programs is another milestone in fulfilling the social equity commitments established in Minnesota’s cannabis law,” said Jess Jackson, OCM’s director of social equity. “We have the opportunity to set the standard for what social equity programs in cannabis should look like in community reinvestment, community renewal, and licensure.”

OCM’s Division of Social Equity wants to support long-term social and economic stability for vulnerable communities with the projects that receive funding and hopes to promote a fair marketplace for social equity applicants via equitable lending and training, while building mutual trust and an independent, sustainable funding ecosystem.

Funding will be awarded through a competitive process with review by a committee representing content and community specialists. OCM will announce selected grantees/awardees in spring of 2025. If selected, applicants may only incur eligible expenditures when the grant agreement is fully executed, and the grant has reached its effective date.

CanRenew grants will have a one-year grant period, with a start date of approximately June 30, 2025. Grants will need to begin operating within 90 days of award notice. For more information on CanRenew grant opportunities and how to apply, please visit the Minnesota Office of Cannabis Management website.

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