Proposed Cannabis Regulations in Michigan Would Create New License Types, Reduce Licensing Fees

The Michigan Regulatory Agency (MRA) released 116 pages of proposed rules Aug. 30 that would create new license types and reduce licensing fees for the industry.

The new regulations would establish an educational research license to allow educators and researchers to grow and purchase state-licensed cannabis for use in studies.

The proposed rules would also create a new class A microbusiness license to expand the state’s current microbusiness license type, which is meant for smaller, vertically integrated businesses. Only seven cannabis microbusiness have been issued since 2019, according to an MLive.com report.

RELATED: Sticky Bush Farms Awarded Michigan’s First Cannabis Microbusiness License: The Starting Line

The new microbusiness license would increase the number of plants that businesses can grow from 150 to 300, and allows licensees to purchase edibles or concentrates from licensed processors. In-house processing would be prohibited under the new license, according to .com.

Also included in the proposed regulations are decreased application and licensing fees for cannabis businesses. The initial application fee would be reduced from $6,000 to $3,000, and the initial cost for a class C cultivation license would be reduced from $40,000 to $24,000. Fees for processing licenses would also decrease from $40,000 to $24,000, and fees for dispensaries, labs and transporters would be reduced from $21,000 to $15,000.

The MRA is accepting public comment on the rules through Sept. 27, .com reported.

Once the proposed regulations are finalized and approved by the MRA, the Joint Committee on Administrative Rules (JCAR) must also approve them before they can become law, according to the news outlet.

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More Proposed Cannabis Regulations in Michigan Would Create New License Types, Reduce Licensing Fees