Minnesota to Hold Lotteries for Cannabis Business Licenses in May or June

Minnesota to Hold Lotteries for Cannabis Business Licenses in May or June

Minnesota’s Office of Cannabis Management has announced that lotteries for four types of cannabis licenses may occur in May or June. These licenses include those for cultivators, manufacturers, mezzobusinesses, and retailers.

Anyone who submitted applications for delivery services, medical combination licenses, microbusinesses, testing facilities, transporters, or wholesalers will receive a license if their application is approved.

From February 18 to March 14, more than 2,000 applications were filed for cannabis licenses, with the majority, 1,322, being for microbusiness licenses. The lotteries will be conducted in two stages; the first will be reserved for verified social equity applicants. If these applicants are not selected, they will be included in a second stage that is open to all applicants for the remaining licenses.

In 2024, over 1,800 applications were submitted, but state regulators denied two-thirds due to failure to meet statutory requirements and inconsistencies in documentation. Additionally, lawsuits in November 2024 led to a judge halting the Minnesota cannabis business license lottery.

Applications for lower-potency hemp edible manufacturer and retailer licenses will be accepted in the fall. This new framework follows the signing of a 300-page bill by Gov. Tim Walz in May 2023, which allows adults aged 21 and older to use recreational marijuana.

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