A proposal that would have allowed each tribal nation in Montana to set its own marijuana regulations has been vetoed by Governor Greg Gianforte.

House Bill 952 would have repealed current restrictions that limit each tribe to one licensed marijuana facility no larger than 1,000 square feet and located at least 150 miles outside of their reservation. Instead, tribes would have been allowed to negotiate their own agreements with the state, similar to the cannabis compacts used in Washington.

The bill passed the legislature but was vetoed by Gianforte on June 19, who called it “unnecessary and duplicative.” In a veto letter, he said that tribes already have a pathway to negotiate under the existing State-Tribal Cooperative Agreements Act. He also expressed concern that the bill might “constrain the scope and flexibility of negotiations,” create “unnecessary bureaucratic hurdles,” and “impose State priorities on tribal nations.”

The bill was sponsored by Representative Frank Smith, a Democrat and longtime member of the Montana American Indian Caucus who is retiring after this session.

Montana legalized recreational marijuana in 2021, with sales starting the following year. However, only counties that voted in favor of legalization—so-called “green” counties—allow sales unless a red county later opts in.