On July 3, 2019, the Michigan Marijuana Regulatory Agency (“MRA” or the “Agency”) Issued Emergency Rules (“Rules”) for adult-use license applicants and marijuana establishments under the Michigan Regulation and Taxation of Marihuana Act (“MRTMA” or the “Act”). The Rules will remain in effect for six months, and may be extended once for not more than an additional six months. Below are answers provided by the Rules to important questions about adult-use marijuana license applications and operations under MRTMA.
1. Do the Rules establish a time frame for MRTMA license applications and the approval/denial process?
2. Do applications for MRTMA licenses require licensure under the Medical Marihuana Facilities Licensing Act (“MMFLA”)?
3. Under the MMFLA applicants for medical marijuana facilities licenses are required to demonstrate access to minimum capital. Are there minimum capital requirements for a MRTMA license?
4. Must an applicant address social equity concerns in its application?
5. Have the Rules set the State fees for application filing and licensure?
6. Will a business that has licenses under both the MMFLA and MRTMA be required to keep operations under each license separated from each other?
7. Are the license types under MRTMA the same as the license types under the MMFLA?
8. The media and the MRA regularly report on the shortage of marijuana produced by MRA licensed operations. Do the new Rules address or attempt to remedy this current supply shortfall?
9. Will adult-use retail establishments be allowed to deliver marijuana products to their customers?
10. One of the MRTMA license types is a Microbusiness. What details about this license type do the Rules provide?
11. The Rules have created several marijuana consumption related establishment types. What are these and what are the basic elements?
12. Do the Rules or MRTMA limit the total number of licenses?
12. Do the Rules impose any restrictions on vertically integrated operations selling or transferring marijuana products to related operations?
This alert is not intended to cover all aspects of the new Emergency Rules, but instead highlights some of the more common questions and answers associated with the new law. If you have any questions, please contact your Warner attorney or Bob Hendricks at rhendricks@wnj.com, Rodney Martin at rmartin@wnj.com or Matt Johnson at mjohnson@wnj.com.
