Today, the Office of Cannabis Management (OCM) announced that it has issued the first cannabis business license in the state of Minnesota.
(Photo credit: Getty Images).
The first licensee, Herb Quest, LLC, is a microbusiness located in Brook Park in Pine County, Minnesota, whose initial primary business activity will be outdoor cultivation of cannabis plants.
“Issuing the first business license is a major milestone for the office,” said OCM Interim Director Eric Taubel. “With our first licensed cultivator now able to begin growing plants, and more than 600 businesses within the final steps of completing their applications and securing approvals from local governments, we are now seeing the first pieces of Minnesota’s adult-use market fall into place.”
Verification of social equity status
Prospective applicants who want to have their social equity status verified will have another chance to do so between July 7 at 12:01 a.m. and July 21 at 11:59 p.m. Changes to Minnesota’s cannabis law expanded the list of qualifying criteria for social equity status to include applicants who have received stays of adjudication and adjudications of delinquency. OCM will proactively review the submissions of individuals whose social equity status was previously denied under this criterion and will inform those whose status is now verified using the revised criterion.
Completing social equity verification is not required for obtaining a cannabis business license. However, it is a necessary step for individuals who wish to apply for a cannabis business license with a social equity classification, or for individuals intending to buy into a pre-existing cannabis business license with a social equity component to its ownership. Individuals who have already had their social equity status verified do not need to seek verification again. Information about the social equity verification process, including criteria for qualifying and guidance on the process, is available on OCM’s Social Equity Verification Process webpage.
New application window for cannabis testing facilities
On August 1, OCM will open a new and ongoing application window for cannabis testing facilities, which are not limited in quantity in state law and are critical to establishing the supply chain for the state’s cannabis industry.
Additional changes in state legislation approved this session established a license variance process for cannabis testing facility applicants. The change addresses potential bottlenecks in testing capacity by allowing applicants to obtain a license while pending accreditation by the International Standards Organization (ISO).
“ISO accreditation is a lengthy process, so we wanted to provide a shorter runway for labs who wish to enter Minnesota’s cannabis market in such an essential way while also helping other cannabis business owners get up and running with safe, tested products,” said Max Zappia, OCM’s chief regulatory officer. “Having testing facilities with capacity is essential to our mission to establish an equitable cannabis industry that prioritizes public health and safety, consumer confidence, and market integrity.”
Applications for cannabis event organizer licenses
Also on August 1, OCM will begin accepting applications for cannabis event organizer licenses. This will be an open-ended opportunity for applicants, with applications accepted on a rolling basis. The cannabis event organizer license authorizes the holder to plan and host temporary cannabis-related events in Minnesota. Pursuant to Minnesota law, cannabis events must be limited to ages 21 and older and may not include the sale or consumption of alcohol. Cannabis events may feature the on-site sale and use of adult-use cannabis products, lower-potency hemp edibles, and hemp-derived consumer products. Event organizers may host multiday events, provided that the event does not exceed four consecutive days in duration.
This license type is temporary and must be obtained separately for each event. All cannabis event activities require local approval, including but not limited to any permits or licenses required by the applicable local unit of government and specific approval of on-site consumption areas. Event organizers must obtain this approval before submitting an application to the OCM and provide proof of local approval as part of the application.
Download a copy of the license issued to Herb Quest, LLC.
Access summary data showing the review status of cannabis business license applications, broken out by license type and current application status.
For information on submitting an application for a cannabis business license, please visit mn.gov/ocm/businesses/licensing.
