This post will tell you the most important things you need to know to keep your Massachusetts marijuana business safe.
Massachusetts Marijuana Regulations at A Rules
- Recreational marijuana faces a 10.75% excise tax, a 6.25% state sales tax, and the possibility for cities to add 3%.
- Recreational marijuana was legalized in the state in November 2016, with the passing of the Massachusetts Marijuana Legalization Initiative, with sales beginning in November 2018.
- Massachusetts uses Metrc as its seed-to-sale tracking system.
- The Massachusetts Medical Marijuana Ballot Initiative legalized medical marijuana in Massachusetts in November 2012.
- The Cannabis Control Commission is the regulatory agency for the state of Massachusetts.
Law #1: Dispensary Licensing
Law: Information Needed to Apply (1) Welcoming new applicants. People who want to open any kind of marijuana business must fill out an application for a license in the way and on the form that the Commission tells them to. Unless something else is said, the application must have three parts: an “Application of Intent,” a “Background Check,” and a “Management and Operations Profile.” The person filling out the application can do any part of it in any order.
The application can be sent in once all of its parts have been filled out. According to the Public Records Law, M.G.L. c. 66, § 10 and M.G.L. c. 4, § 7, cl. 26, application papers, such as attachments, may be made public. (a) How to Use Intent. Those who want to get a license to operate a marijuana business must include the following in their Application of Intent:
1. Proof that the marijuana business is licensed to do business in Massachusetts and a list of all the people or businesses that have direct or indirect control over it. As required by 935 CMR 500.050(1)(b), the applicant must also send any written agreements, management plans, or other documents that clearly or implicitly give the listed person or organization direct or indirect control over the marijuana establishment.
2. A list of everyone who is named on the application’s interest in any Marijuana Establishment application for licensure or Licensee in Massachusetts; 3. Proof that none of the people named on the application have current or past business interests in other jurisdictions; 4. Proof that the applicant has access to and can get capital from any person or entity that will be giving capital; In return for the initial capital, any person or entity that would be considered a Person or Entity Having Direct or Indirect Control must also be listed according to 935 CMR 500.101(1).
This includes people or entities that give money or goods.(a)1. The information that is sent in will be checked and approved by the Commission as part of the application process. The necessary paperwork must include a. The legal name of the person or business; b. Their street address, but it can’t be a post office box; c. Their main phone number; d. Their email address; e.
The amount and source of the money they promised or provided; f. A bank record from within 60 days of the application date that proves they have the money; g. Proof that the money they used to invest in or finance the marijuana business was legal. This includes proof of a bond or an escrow account in an amount specified by 935 CMR 500.105(16): Bond; naming the address where the license will be sent; and proof of a property interest in the suggested address.
According to the paperwork, the planned marijuana establishment must be named as the owner of the property. This is one way that interest can be shown: clear legal title to the proposed site; b. the opportunity to buy the proposed site; c. an agreement that can be enforced in court to give such title; or d. proof that they are allowed to use the Premises. 9. Proof that the applicant held a community outreach meeting in line with the Commission’s guidelines for license applicants on community outreach; 10.
A one-page certification signed by the contracting authorities for both the applicant and the host municipality stating that the applicant for licensure and the host municipality where the address of the marijuana establishment is located have signed a host community agreement.
The following must be included as proof: a. A notice of the meeting, including the proposed address of the marijuana business, that was published in a city or town newspaper at least 14 days before the meeting; b. A copy of the meeting notice that was filed with the city or town clerk, the planning board, the municipality’s contracting authority, and the local cannabis licensing authority, if applicable
c. Attestation that at least one meeting was held within the municipality where the establishment is proposed to be located; d. Attestation that at least one meeting was held after normal business hours; e. Attestation that notice of the time, place, and subject matter of the meeting, including the proposed address of the Marijuana Establishment, was mailed at least seven calendar days prior to the community outreach meeting to abutters of the proposed address of the Marijuana Establishment, and residents within 300 feet of the property line of the petitioner as they appear on the most recent applicable tax list, notwithstanding that the land of any such Owner is located in another city or town
f. Information presented at the community outreach meeting, which shall include, but not be limited to: i. The type(s) of Marijuana Establishment to be located at the proposed address; ii. Information adequate to demonstrate that the location will be maintained securely; iii. Steps to be taken by the Marijuana Establishment to prevent diversion to minors; iv.
A plan by the Marijuana Establishment to positively impact the community; v. Information adequate to demonstrate that the location will not constitute a nuisance as defined by law; and vi. An attestation that community members were permitted to ask questions and receive answers from representatives of the Marijuana Establishment. 10. A list of steps that will be taken to make sure that the marijuana business follows all local laws, rules, and regulations for its location. This should include, but not be limited to, a list of all the licenses that are needed for adults to use marijuana
11. The Marijuana Establishment’s plan to improve areas of uneven impact, as described by the Commission, is in line with the goals set out in M.G.L. c. 94G, § 4(a½)(iv). The marijuana business’s goals, programs, and measurements must be spelled out in the plan once it is approved. 12. The registration fee required by 935 CMR 500.005: Fees, which is nonrefundable; and 13.
Any other information the Commission asks for. (b) Checking criminal history. Each person applying for a license must send in the following details before their application is considered complete: 1. A list of the people and organizations listed in 935 CMR 500.101(1)(a); 2. Details about each person listed in 935 CMR 500.101(1)(a).1. that must include: a. The person’s full legal name, including any aliases;
b. The person’s address; c. The person’s date of birth; d. A photocopy of the person’s driver’s license or other government-issued ID card; e. A CORI Acknowledgment Form, as provided by the Commission and in line with 803 CMR 2.09: Requirements for Requestors to Request CORI; f. Authorization to get a full set of fingerprints, as required by the Commission
3. Information about a background check that is useful. People and organizations with direct or indirect control, as well as those lending at least 10%, must give information about their participation in any of the following criminal, civil, or administrative cases:
a. A description and the relevant dates of any criminal action under the laws of the Commonwealth, or an Other Jurisdiction, whether for a felony or misdemeanor including, but not limited to, action against any health care facility or facility for providing Marijuana for medical- or adult-use purposes, in which those individuals either owned shares of stock served as board member, Executive, officer, director or member, and which resulted in conviction, or guilty plea, or plea of nolo contendere, or admission of sufficient facts.
A description and the relevant dates of any civil action under the laws of the Commonwealth, or a Jurisdiction including, but not limited to, a complaint relating to any professional or occupational or fraudulent practices; c. A description and relevant dates of any past or pending legal or disciplinary actions in the Commonwealth or any other state against an entity whom the applicant served as a Person or Entity Having Direct or Indirect Control, related to the cultivation, Processing, distribution, or sale of Marijuana for medical- or adult-use purposes
A description and the relevant dates of any administrative action with regard to any professional license, registration, or certification, including any complaint, order, stipulated agreement or settlement, or disciplinary action, by the commonwealth, or like action in a Jurisdiction including, but not limited to, any complaint or issuance of an order relating to the denial, suspension, or revocation of a license, registration, or certification.
A description and relevant dates of any administrative action, including any complaint, order or disciplinary action, by the Commonwealth, or a like action by an Other Jurisdiction with regard to any professional license, registration, or certification, held by any Person or Entity Having Direct or Indirect Control, if any; f. A description and relevant dates of actions against a license to prescribe or distribute controlled substances or legend drugs held by any person or entity having Direct or Indirect Control that is part of the applicant’s application, if any; and g.
Any other information required by the Commission. (c) A profile of management and operations. Each applicant must send a response in a way and form specified by the Commission. This response must include: 1. Detailed information about how its business is registered with the Commonwealth, including the legal name, a copy of the articles of organization and bylaws, and a list of any doing-business-as names.
The Corporations Division of the Secretary of the Commonwealth must provide a certificate of good standing within 90 days of the application; the DOR must provide a certificate of good standing or tax compliance within 90 days of the application; and, if necessary, the DUA must provide a certificate of good standing from within 90 days of the application. If it doesn’t apply, a written statement must say so; 5.
A suggested timeline for opening the marijuana business and proof that it will be ready to go within that timeline once the Commission is told the applicant is eligible for a license. 6. An explanation of how the marijuana business plans to get liability insurance or meet the other conditions set out in 935 CMR 500.105(10): Liability Insurance Coverage or Maintenance of Escrow; 7. An in-depth outline of the business plan for the marijuana business; A full list of all the rules and regulations that the marijuana establishment must follow.
These rules and regulations must cover things like: a. keeping the establishment safe; b. keeping drugs from getting into the wrong hands; c. storing and transporting marijuana; d. keeping track of inventory; e. making sure that products are safe and free of harmful chemicals; f. managing staff; h. dispensing marijuana; i. keeping records; j. keeping track of money; a The plan should include the Marijuana Establishment’s plans, programs, and goals once it is approved. 9.
A full list of the skills and training that will be given to Marijuana Establishment Agents who will be hired; When you follow the steps in 935 CMR 500.101(1)(c), you must include a Management and Operation Profile that shows you follow the rules in 935 CMR 500.105.
General Operational Requirements for Marijuana Establishments through 935 CMR 500.145: Additional Operational Requirements for Delivery of Marijuana, Marijuana Products, Marijuana Accessories, and Marijuana Establishment Branded Goods to Consumers and, as allowed, to Patients or Careg 11. The planned business hours and the names and contact information of the people who will be the Marijuana Establishment’s emergency contacts; and 12. Any other information the Commission asks for.
Explained:
1. Applications are made of three parts: the application of intent, the background check, and the management and operations profile.
2. The application of intent requires the following documentation:
- A description of the establishment’s plans to stay compliant with local ordinances, as well as a plan for positively impacting areas of disproportionate impact.
- The name, street address (not a P.O. box), contact information, and the amount and source of capital with verification via a bank record dated within 60 days of the application date with proof that the funds were lawfully obtained, and any loan contracts.
- A list of all Persons or Entities Having Direct or Indirect Control over the marijuana establishment.
- Disclosure of In-State Interests for any individual or entity listed in the application. Whether any individual or entity named on the application has past or present business interests in other jurisdictions.
- The marijuana establishment is registered to do business in Massachusetts.
- A nonrefundable application fee.
- Documentation of a bond or escrow in the amount set aside.
- Proposed address of the license, documentation of property interest (legal title or option to purchase the proposed site), proof of a host community agreement, and proof and details pertaining to community outreach meetings.
- Amounts and sources of capital resources available to the applicant for the marijuana establishment.
3. The management and operations profile must include:
- Details regarding operations plans, policies, and procedures.
- Certificates of good standing or tax compliance within the previous 90 days from the application’s submission.
- Business registration information, the legal name, a copy of the articles of organization and bylaws, and the identification of any doing-business-as names.
- Business Plan, Liability Insurance Plan, and proposed timeline.
Read More: 5 Maine Cannabis Laws You Should Know
Law #2: Advertising in Dispensaries
Law: (4) Requirements for advertising. (a) Activities That Are Allowed. The following types of advertising are okay:
1. A marijuana business can come up with a brand name that can be used on labels, signs, and other materials. But medical symbols, pictures of marijuana or marijuana products, or pictures of related paraphernalia that are appealing to people younger than 21 years old, are not allowed to be used in the brand name. Neither are slang words for marijuana or cannabis.
2. A brand name logo at a charity, sports, or other similar event, as long as the conditions below are met. a. The Brand Name is the only sponsor of the event. b. Advertising at or related to such an event is not allowed unless it is aimed at people who are likely to be 21 years or older, as determined by reliable, up-to-date audience composition data, and reasonable precautions have been taken to stop advertising from aiming at or otherwise reaching people who are likely to be under 21 years old, as determined by reliable, up-to-date audience composition data.
As long as the following conditions are met, a marijuana business or CMO can sponsor an event with its name on it that is charitable, cultural, or similar and is held and planned by the city or town where it is licensed to do business.
A company that sponsors an event must include it in its Positive Impact Plan, which must be sent in according to 935 CMR 500.101(1)(a)11. Sponsorship of the event is limited to the Brand Name. Any advertising at or related to the event is not allowed unless it is aimed at people who are likely to be 21 years or older, as determined by reliable, up-to-date audience composition data, and reasonable safety measures have been taken. 4. A marijuana business using brand name sponsorship in line with 935 CMR 500.105
3. will keep records of the accurate and reasonable information about their audience that supports their permission to use such advertising or branding for one (1) year, or longer if the Commission, a court, or an agency with authority says so.
5. A marijuana business can show off samples of all the products they sell in locked, safe cases, as long as they follow the rules in 935 CMR 500.110: Security Requirements for Marijuana Businesses. These cases for displays might be see-through. A licensed Marijuana Establishment Agent can take a sample of marijuana out of the case and give it to the Consumer to look at.
However, the Consumer is not allowed to use or eat the sample in any way, unless this law says otherwise. 6. The business can put prices on display in the shop and answer questions about prices. Customers must be given a catalog or printed list of the costs and strains of marijuana that are available at the Marijuana Establishment. The same catalog or printed list may also be posted on the store’s website.
As long as they don’t break any other rules in 935 CMR 500.105(4)(b), a marijuana business can use reasonable advertising methods as long as they don’t put the public’s health, welfare, or safety at risk, encourage people younger than 21 to use marijuana, or do anything else that goes against the goals of M.G.L. c. 94G or 94I regulations.
Any ad that is meant for the public must have the phrase “Please Consume Responsibly” displayed prominently on the front of the ad, along with at least two of the following warnings: a. “This product may cause weakness and may become a habit.”
b. “Marijuana can make it hard to concentrate, coordinate, and make good decisions.” “Do not run a vehicle or machinery while high on this drug.”This product may be bad for your health; it’s only for people 21 years or older; and it says, “For use only by adults.” “Keep out of reach of children.” or “Women who are pregnant or breastfeeding should not use marijuana.” It is required by M.G.L. c. 94G, § 4(aº)(xxvi) that all ads for marijuana or marijuana products made by or for a marijuana establishment must include this statement, with all capital letters:
“The Food and Drug Administration (FDA) has not looked at this product or given its approval.” Not much is known about the side effects of this product, and there may be health risks that come with using it. Marijuana use during pregnancy and while breastfeeding could be bad for you. It is against the law to drive or use tools after using this supplement. DON’T GIVE THIS ITEM TO CHILDREN. There may be risks to your health when you use this product. Marijuana can make it hard to focus, move, and make good decisions. Edibles may take at least two hours to start making you less able to function.
If someone accidentally eats or drinks something poisonous, call 9-1-1 or the poison control number at 1-800-222-1222. Outside of MA, this product might be against the law. 9. According to 935 CMR 500.101, a Licensee can use employee discounts as part of the Marijuana Establishment’s operating policy and process to stop people from diverting marijuana.
(1)(c)Eighth, setting up an employee discount program under this section is not illegal according to 935 CMR 500.105(4)(b). (b) Things That Are Not Allowed. The following types of advertising are not allowed: 1. Advertising in a way that is thought to be dishonest, false, fraudulent, or deceptive, or that tends to mislead or create a false impression, whether directly or by omission or ambiguity;
2. Advertising on TV, radio, the internet, mobile apps, social media, or any other form of electronic communication; 3. Advertising on billboards or other outdoor signs; or 4. Advertising in print publications, unless it is likely that at least 85% of the readers are 21 years or older. 4. Advertising that somebody younger than 21 years old is likely to be interested in, such as mascots, cartoons, and star endorsements.
5. Brand sponsorship that a person younger than 21 years old is likely to be interested in, such as mascots, cartoons, and famous endorsements; 6. Untrue advertising, including claims made by a Licensee; 7. Untrue advertising about other Licensees and their products or actions that is dishonest, deceptive, or fraudulent; 8. Ads that tend to trick or give the wrong impression, whether directly or by omission or ambiguity
7. Any advertising by a Licensee that says its products are safe or can heal or help, besides the labeling needed by M.G.L. c. 94G, § 4(a½)(xxvi), unless it’s backed up by strong evidence or a lot of clinical data that is analyzed with a level of scientific rigor that the Commission finds acceptable; 8. Advertising on billboards or other public signs that don’t follow all state and city rules and laws; 9.
The use of any illuminated or outside signs 30 minutes before sunset until the business closes, though the Commission may set higher minimum sign standards; 10. Using cars with radios or loudspeakers to advertise marijuana or marijuana products; 11. Using radios or loudspeakers in marijuana businesses to promote the sale of marijuana or marijuana products; 12.
Brand name sponsorship of a sporting, charitable, or similar event, unless the advertising is aimed at people who are likely to be 21 years old or older, as determined by reliable, up-to-date audience composition data, and reasonable precautions have been taken to stop the advertising from aiming at or otherwise reaching people who are likely to be under 21 years old, as determined by reliable, up-to-date audience composition data. 13. Operation of any website of a Marijuana Establishment that fails to verify that the entrant is 21 years of age or older; 14.
Any Advertising, including the use of Brand Names, of an improper or objectionable nature including, but not limited to, the use of language or images offensive or disparaging to certain groups; 15. Any Advertising, solely for the promotion of Marijuana or Marijuana Products on Marijuana Establishment Branded Goods, including but not limited to clothing, cups, drink holders, apparel accessories, electronic equipment or accessories, sporting equipment, novelty items, and similar portable promotional items; 16.
Advertising on or in public or private vehicles and at bus stops, taxi stands, transportation waiting areas, train stations, airports, or other similar transportation venues including, but not limited to, vinyl-wrapped vehicles or signs or logos on transportation vehicles not owned by the Marijuana Establishment; 17. The display of signs or other printed material Advertising any brand or any kind of Marijuana or Marijuana Products that are displayed on the exterior of any licensed Premises.
18. Advertising of the price of Marijuana or Marijuana Products, except as permitted above pursuant to Display of Marijuana or Marijuana Products so as to be clearly visible to a person from the exterior of a Marijuana Establishment. Free promotional items like gifts, giveaways, discounts, points-based award systems, customer loyalty programs, coupons, and “free” or “donated” marijuana cannot be used for advertising unless 935 CMR 500.105(4) says otherwise.
(a)9. An establishment selling marijuana can give customers brand-name take-out bags after they make a purchase. (c) Nothing in 935 CMR 500.105(4) stops an establishment selling marijuana from using a mark given by the Commission that has pictures of marijuana or marijuana products. As long as they have the right license, CMOs must follow the rules in 935 CMR 500.105(4): Advertising Requirements and 501.105(4): Advertising Requirements. The chief marketing officer (CMO) can only make one marketing effort, but it has to follow the strictest rules for each license.
Explained:
1. State law allows dispensaries to choose a brand name, but it cannot use medical symbols, images of marijuana or marijuana products, or paraphernalia images that appeal to those under 21 years of age.
2. The brand name can’t include any colloquial references to the use of marijuana or cannabis products.
3. The brand name can sponsor events according to the following conditions:
- Only the brand name can be used to advertise at events. Advertising to those reasonably expected to be 21 years old is allowed, but no other advertising is permitted and measures must be taken to protect underage individuals from exposure.
- Audience composition data must be collected by marijuana dispensaries before advertising can take place.
4. Samples can be displayed in locked cases.
5. Prices can be posted within the store in a catalog and online.
6. Advertisements cannot target underage individuals and must contain the message “Please consume responsibly”, along with at least 2 of the following warnings:
- “This product may cause impairment and is habit-forming.”
- “Marijuana can impair concentration, coordination, and judgment. Do not operate a vehicle or machinery under the influence of this drug.”
- “There may be health risks associated with consumption of this product.”
- For use only by adults 21 years of age or older. Keep out of the reach of children.” or “Marijuana should not be used by women who are pregnant or breastfeeding.”
7. In addition to the above warning statements, all advertising must include the following warning, including capitalization:
- “This product has not been analyzed or approved by the Food and Drug Administration (FDA). There is limited information on the side effects of using this product, and there may be associated health risks. Marijuana use during pregnancy and breastfeeding may pose potential harm. It is against the law to drive or operate machinery when under the influence of this product. KEEP THIS PRODUCT AWAY FROM CHILDREN.
- There may be health risks associated with the consumption of this product. Marijuana can impair concentration, coordination, and judgment. The impairment effects of Edibles may be delayed by two hours or more. In case of accidental ingestion, contact the poison control hotline at 1-800-222- 1222 or 9-1-1. This product may be illegal outside of MA.”
8. The following are prohibited:
- Use of vehicles equipped with radio or loudspeakers for the Advertising of Marijuana or Marijuana Products.
- Display of marijuana or marijuana products visible to a person from the exterior of the marijuana establishment.
- Display of marijuana or marijuana products visible to a person from the exterior of the marijuana establishment.
- Advertising (including brand sponsorships) including, but not limited to, mascots, cartoons, and celebrity endorsements, that is deemed to appeal to a person younger than 21 years old.
- Use of radio or loudspeaker equipment in any Marijuana Establishment for the purpose of advertising the sale of Marijuana or Marijuana Products.
- Advertising digitally or in print, unless the audience is reasonably expected to be 85% of age.
- Advertising that utilizes statements, designs, representations, pictures or illustrations that portray anyone younger than 21 years old.
- Advertising that appeals to underage individuals.
- Advertising that makes false claims about another licensee or statements concerning other licensees and the conduct and products of other licensees that is deceptive, misleading, false or fraudulent, or that tends to deceive or create a misleading impression, whether directly or by omission or ambiguity.
- Illuminated or external signage beyond the period of 30 minutes before sundown until closing.
- Brand Name Sponsorship of a charitable, sporting or similar event, unless such Advertising is targeted to entrants or participants reasonably expected to be 21 years of age or older, as determined by reliable, current audience composition data, and reasonable safeguards have been employed to prohibit Advertising from targeting or otherwise reaching entrants or participants reasonably expected to be under 21 years of age, as determined by reliable, current audience composition data.
- Operation of any website that fails to verify that the entrant is 21 years of age or older.
- Language or images are offensive or disparaging to certain groups.
- Advertising marijuana or marijuana products on clothing, cups, drink holders, apparel accessories, electronic equipment or accessories, sporting equipment, novelty items, and similar portable promotional items.
- Advertising that is misleading, deceptive, false, or fraudulent or that tends to deceive or create a misleading impression, whether directly or by omission or ambiguity.
- Advertising on or in public or private vehicles and at bus stops, taxi stands, transportation waiting areas, train stations, airports, or other similar transportation venues including, but not limited to, vinyl-wrapped vehicles or signs or logos on transportation vehicles not owned by the Marijuana Establishment.
- The display of signs or other printed material advertising any brand or any kind of Marijuana or Marijuana Products that are displayed on the exterior of any licensed Premises.
- Assertions that its products are safe, or represent that its products have curative or therapeutic effects, other than labeling required pursuant to M.G.L. c. 94G, § 4(a½)(xxvi), unless supported by substantial evidence or substantial clinical data with reasonable scientific rigor as determined by the Commission.
- Billboards, or any other public signage advertisements that fail to comply with all state and local ordinances and requirements.
- Free promotional items include, but are not limited to, gifts, giveaways, discounts, points-based reward systems, customer loyalty programs, coupons, and “free” or “donated” Marijuana.
Law #3: General Requirements
General operational requirements for marijuana businesses are spelled out in law 500.105. One of these is written operating procedures. Every marijuana business must have and follow a detailed set of written operating rules. If the Marijuana Establishment opens a second location, it must make and follow a set of operating procedures just for that site.
A CMO must have written operating procedures that meet the requirements of both 935 CMR 500.105(1): Written Operating Procedures and 935 CMR 501.105(1): Written Operating Procedures. They can have either two sets of written operating procedures for medical use or one set of written operating procedures for adult use, as long as it meets the requirements for both. The following things must be in the operating rules, but they don’t have to be:
(a) Security measures in compliance with 935 CMR 500.110: Security Requirements for Marijuana Establishments.
(b) Employee security policies, including personal safety and crime prevention techniques.
(c) A description of the Marijuana Establishment’s hours of operation and after-hours contact information, which shall be provided to the Commission, made available to Law Enforcement Authorities on request, and updated pursuant to 935 CMR 500.000: Adult Use of Marijuana;
d) Storage and waste disposal of Marijuana in compliance with 935 CMR 500.105(11): Storage Requirements; (e) Description of the various strains of Marijuana to be cultivated, Processed or sold, as applicable, and the form(s) in which Marijuana will be sold.
(f) Price list for Marijuana and Marijuana Products and any other available products, and alternate price list for patients with documented Verified Financial Hardship, as defined in 935 CMR 501.002: Verified Financial Hardship, as required by 935 CMR 501.100(1)(f).
(g) Procedures to ensure accurate recordkeeping, including inventory protocols for Transfer and inventory in compliance with 935 CMR 500.105(8) and (9).
(h) Plans for quality control, including product testing for contaminants in compliance with 935 CMR 500.160: Testing of Marijuana and Marijuana Products.
(i) A staffing plan and staffing records in compliance with 935 CMR500.105(9)(d).
(j) Emergency procedures, including a disaster plan with procedures to be followed in case of fire or other emergencies.
(k) Alcohol, smoke, and drug-free workplace policies.
(l) A plan describing how Confidential Information and other records required to be maintained confidentially will be maintained.
(m)A policy for the immediate dismissal of any Marijuana Establishment Agent who has: 1. Diverted Marijuana, which shall be reported to law enforcement Authorities and to the Commission; 2. Engaged in unsafe practices with regard to the operation of the Marijuana Establishment, which shall be reported to the Commission; or 3. Been convicted or entered a guilty plea, plea of nolo contendere, or admission to sufficient facts of a felony drug offense involving distribution to a minor in the Commonwealth, or a like violation of the laws of any Other Jurisdiction.
(n) A list of all board of directors, members, and Executives of a Marijuana Establishment, and Members, if any, of the Licensee shall be made available on request by any individual. This requirement may be fulfilled by placing this required information on the Marijuana Establishment’s website.
(o) Policies and procedures for the handling of cash on Marijuana Establishment Premises including, but not limited to, storage, collection frequency, and transport to financial institution(s), to be available on inspection. (p) Policies and procedures to prevent the diversion of Marijuana to individuals younger than 21 years old;
(q) Policies and procedures for energy efficiency and conservation that shall include: 1. Identification of potential energy use reduction opportunities (including, but not limited to, natural lighting, heat recovery ventilation, and energy efficiency measures), and a plan for implementation of such opportunities.
2. Consideration of opportunities for renewable energy generation including, where applicable, submission of building plans showing where energy generators could be placed on the site, and an explanation of why the identified opportunities were not pursued, if applicable; 3. Strategies to reduce electric demand (such as lighting schedules, active load management, and energy storage); and 4. Engagement with energy efficiency programs offered pursuant to M.G.L. c. 25, § 21, or through municipal lighting plants.
(r) Policies and procedures to promote workplace safety consistent with the standards set forth under the Occupational Safety and Health Act of 1970, 29 U.S.C. § 651, et seq., including the general duty clause under 29 U.S.C. § 654, whereby: Each employer (a) shall furnish to each of its employees employment and a place of employment which are free from recognized hazards that are causing or are likely to cause death or serious physical harm to its employees; (b) shall comply with occupational safety and health standards promulgated under this act.
Every worker must follow all safety and health rules at work, as well as all laws, rules, and instructions made under 29 U.S.C. § 651, et seq., that apply to their own actions and behavior. All the latest rules and information at 29 CFR Parts 1903, 1904, 1910, 1915, 1917, 1918, 1926, 1928, and 1977 are included by reference and apply to all workplaces that are affected by 935 CMR 500.000: Marijuana Use by Adults.
Explained:
1. Every marijuana establishment must have a detailed, written set of operating procedures created specifically for each facility. Marijuana Establishments must update the Commission within five business days to any change in written operating policies and procedures.
2. The written set of operating procedures must include but is not limited to:
- A list of all board of directors, members and executives of a marijuana establishment, and members of the licensee.
- Security measures.
- Employee security policies.
- Alcohol, smoke, and drug-free workplace policies.
- Confidentiality measures.
- A policy outlining immediate dismissal for any marijuana establishment agent who has diverted marijuana, engaged in unsafe practices, or been convicted of a felony drug offense involving distribution to a minor.
- Staffing plan and staffing records.
- Hours of operation and after-hours contact information.
- Storage and waste disposal measures.
- Storage requirements and descriptions of the various strains and forms to be cultivated, processed, or sold.
- Recordkeeping procedures, inventory, and transfer protocols.
- Plans for quality control, including product testing for contaminants.
- Price list for retail customers.
- Price list for patients with verified financial hardship.
- Emergency procedures and disaster procedures.
- Workplace safety procedures.
- Policies and procedures for handling cash.
- Policies and procedures to prevent the diversion of marijuana to underage individuals.
- Policies for energy efficiency and conservation.
Law #4: Purchase limits
(3) Sales are limited by law. It is against the law for a Marijuana Retailer to sell more than one ounce of marijuana or the same amount of dry weight in marijuana extract or edibles to a customer every day, according to M.G.L. c. 94G, § 7. In marijuana concentrates, such as tinctures, one ounce of marijuana flower is equal to five grams of potent tetrahydrocannabinol (THC).
According to the rules, 500 mg of potent tetrahydrocannabinol (THC) in edible marijuana flower is equal to one ounce of marijuana flower. There should be no cap on how many topicals and ointments can be sold each day. Retailers of marijuana must follow the rules set out in 935 CMR 500.150(4): Dosing Limitations and not selling marijuana or marijuana products that are stronger than those levels. They must also show that their point-of-sale system doesn’t let customers buy more than what is allowed by 935 CMR 500.140(3)(a) or 935 CMR 500.140(3)(b).
Explained:
- Topicals and ointments are not subject to a daily sale limit.
- A POS system must demonstrate that it does not allow for the transaction in excess of the daily limit.
- One ounce of flower is equivalent to five grams of concentrate (active tetrahydrocannabinol (THC)) in concentrate and 500 milligrams of active tetrahydrocannabinol (THC) in edibles.
- One ounce of marijuana or its combined dry weight equivalent in concentrate or edibles in a single day.
Read More: Medical Marijuana Laws and Rules for Maryland in 2023!
Law #5: Delivery
Law Number 10: Marijuana Courier. As long as the Marijuana Courier has a delivery agreement with an MTC, they can bring marijuana or marijuana products straight to customers from a marijuana store or to patients or caregivers from an MTC. A Marijuana Courier can own or have a major interest in a license for growing, making products, running a social consumption establishment, doing research, selling things, transporting people, or growing marijuana.
After the first Delivery Operator Licensee receives notice to start operations, a Marijuana Courier will only be available to businesses controlled by and majority owned by Economic Empowerment Priority Applicants or Social Equity Program Participants. This will last for 36 months. However, the Commission may vote to extend this time period if they decide that the goal of the exclusivity period to promote(b)4. 1. The Commission shall develop criteria for evaluating whether the goals of the exclusivity period are met, which shall include, but not be limited to
a. Overall rates of participation in the regulated marijuana industry by people from communities that have previously been disproportionately harmed by marijuana prohibition and enforcement of the law;
b. Overall rates of participation in the regulated Marijuana industry by people of color;
c. Licenses granted to businesses with majority ownership comprised of Economic Empowerment Priority Applicants and Social Equity Program Participants;
d. Number of registered agents who are Social Equity Program Participants;
e. Number of Delivery Licensees in operation and business performance relative to other Marijuana Establishments;
f. Financial feasibility of continued participation in the regulated Marijuana industry by communities that have previously been disproportionately harmed by Marijuana prohibition and enforcement of the law if the exclusivity period ends; and
g. Any other information the Commission determines is relevant. 2. During the exclusivity time, the Commission will gather data on how the criteria are being met and report on them. At least eight months before the end of the 36-month period, the Commission will start to look into whether the goals of the secrecy period have been met.
This will give them time to decide if they need to extend the 36-month period before it ends. Third, applicants will usually be able to get the licenses after 36 months, unless the Commissioners vote to extend the time of exclusivity by 12 months after the first 36 months.
If the exclusivity period is extended again, the Commission would have to say for sure that the goals and purposes of the exclusivity period, as spelled out in 935 CMR 500.050(10)(b)1, have not been met. We can vote during the exclusivity period to let the following businesses have Delivery Licenses if data collected by the Commission shows progress toward the goals and objectives of the exclusivity period as set out in 935 CMR 500.050(10)(b)
1. This is to make sure that demand for consumer delivery is likely to be higher than the supply that could be met by businesses that meet the exclusivity requirements.(c) A Person or Entity Having Direct or Indirect Control in a Delivery License cannot be someone or something that isn’t listed in the application. (d) No one or thing that has direct or indirect control over another person or thing can have or be given more than two (2) delivery licenses. (e) Once these rules are in effect, any application or license that was previously categorized as a Delivery-Only license will be changed into a Delivery Courier application or license that follows these rules. (11) A person who delivers marijuana.
(a) A Delivery Operator can buy finished marijuana products in bulk from a Marijuana Cultivator, Marijuana Product Manufacturer, Microbusiness, or Craft Marijuana Cooperative, store them, and then sell and deliver them straight to customers. As long as they don’t break the rules in 935 CMR 500.050(11)(e), a delivery operator can own or have a controlling stake in a license for cultivation, product manufacturing, social consumption establishments, research, transportation, or retail.
(b) A Delivery Operator Licensee must run a warehouse where finished marijuana products can be kept. Even though a Delivery Operator isn’t a Marijuana Retailer according to 935 CMR 500.002 or allowed to do certain things according to 935 CMR 500.050(8), they are allowed to sell finished marijuana products directly to customers. They must register as a vendor with the Department of Revenue and collect and send marijuana retail taxes according to 830 CMR 64N.1.1: Marijuana Retail Taxes.
(d) Delivery Operator Licenses can only be given to businesses that are majority-owned by Economic Empowerment Priority Applicants or Social Equity Program Participants. This will only be the case for 36 months from the date that the first Delivery Operator Licensee receives notice to start operations. However, the Commission can vote to extend that period if they decide that the goal of the exclusivity period to(d)4. 1. The Commission shall develop criteria for evaluating whether the goals of the exclusivity period are met, which shall include, but not be limited to
a. Overall rates of participation in the regulated marijuana industry by people from communities that have previously been disproportionately harmed by marijuana prohibition and enforcement of the law; b. Overall rates of participation in the regulated Marijuana industry by people of color;
c. Licenses granted to businesses with majority ownership comprised of Economic Empowerment Priority Applicants and Social Equity Program Participants; d. Number of registered agents who are Social Equity Program Participants;
e. Number of Delivery Licensees in operation and business performance relative to other Marijuana Establishments; f. Financial feasibility of continued participation in the regulated Marijuana industry by communities that have previously been disproportionately harmed by Marijuana prohibition and enforcement of the law if the exclusivity period ends; and
g. Any other information the Commission determines is relevant.
2. During the exclusivity time, the Commission will gather data on how the criteria are being met and report on them. At least eight months before the end of the 36-month period, the Commission will start to look into whether the goals of the secrecy period have been met. This will give them time to decide if they need to extend the 36-month period before it ends.
Third, applicants will usually be able to get the licenses after 36 months, unless the Commissioners vote to extend the time of exclusivity by 12 months after the first 36 months. If the exclusivity period is extended again, the Commission would have to say for sure that the goals and purposes of the exclusivity period, as spelled out in 935 CMR 500.050(11)(d)1, have not been met.
4. If the information gathered by the Commission shows progress toward the goals and objectives of the exclusivity period as outlined in 935 CMR 500.050(11)(d)1 and that demand for consumer delivery is likely to be higher than the supply that could be met by businesses that meet the exclusivity requirements during the exclusivity period, the Commission may vote during the exclusivity period to let the following additional businesses own Delivery Licenses:
The International Cooperative Alliance set up the Seven Cooperative Principles in 1995, and worker-owned cooperatives must follow them. Alternatively, Massachusetts Minority Business Enterprises (MBE), Women Business Enterprises (WBE), and Veteran Business Enterprises (VBE) with valid certification from the SDO may also apply. (e) A Person or Entity Having Direct or Indirect Control in a Delivery Operator License cannot be someone or something that isn’t listed in the application. (f) A person or organization with direct or indirect control over a delivery operator license cannot get or be given more than two (2) delivery licenses in total, as long as they don’t break the rules in 935 CMR 050.
(1)(b): Limitations on Control. (g) The Commission or someone it chooses must start evaluating the growth of the cannabis delivery market in the Commonwealth of Massachusetts two years after the first Delivery Operator Licensee receives a notice to start operations. This could include looking at the market’s competitiveness and concentration, the repackaging and white labeling requirements, and anything else the Commission thinks is important.
The review must be finished by the Commission within four months unless the Commission finds a good reason to give more time. If the Commission thinks that problems with market growth need to be fixed, it can do anything, such as issuing rules or instructions.
Explained:
- Marijuana couriers may be an owner or have a controlling interest in a Cultivation, Product Manufacturing, Social Consumption Establishment, Research, Retail, or Transportation license.
- Delivery is limited to Economic Empowerment Priority Applicants or Social Equity Program Participants for a period of 36 months from the date the first Delivery Operator Licensee receives a notice to commence operations and the delivery program will be re-evaluated after 2 years.
- A person or entity can only have 2 delivery licenses.
- Marijuana regulations permit the delivery of marijuana and related products to adult-use marijuana consumers, patients, or caregivers at a permissible Residence.
Massachusetts Cannabis Laws FAQS
Q. How much marijuana can I buy in Massachusetts?
In Massachusetts, you can only buy one ounce of marijuana or the same amount of dry weight in sweets or concentrates in a single day.
Q. Is recreational marijuana legal in Massachusetts?
Recreational cannabis has been legal in Massachusetts since 2016.
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