(1)
General
Requirements.
(a) A Marijuana
Establishment is required to be registered to do business in the Commonwealth
as a domestic business corporation or another domestic business entity in
compliance with 935 CMR 500.000 and to maintain the corporation or entity in
good standing with the Secretary of the Commonwealth, DOR, and DUA.
(b)
Control
Limitations.
1. No Person or
Entity Having Direct or Indirect Control shall be granted, or hold, more than
three licenses in a particular class, except as otherwise specified in 935 CMR
500.000.
2. An Independent Testing
Laboratory or Standards Laboratory Licensee, or any associated Person or Entity
Having Direct or Indirect Control, may not have a License in any other
class.
3. To the extent that
persons or entities seek to operate a testing facility in the Counties of Dukes
County and Nantucket,
935
CMR 500.200 applies.
4. The Commission shall receive notice of any
such interests as part of the application pursuant to
935
CMR 500.101.
5. Licensees and Persons or Entities Having
Direct or Indirect Control holding Licenses that allow them to cultivate
Marijuana are limited to a maximum Canopy of 100,000 square feet distributed
across all applicable Licenses, inclusive of MTC Licenses.
6.
Limitations on the Number and
Control of Delivery Licenses.
a.
No Third-party Technology Platform Provider shall be a Licensee, or a Person or
Entity with Direct or Indirect Control of a Delivery Licensee.
b. A contract between a Delivery Licensee and
a Third-party Technology Platform Provider shall be negotiated and entered into
on an arm's length basis. A Delivery Licensee may not accept any investment in
the Delivery Licensee by a Third-party Technology Platform Provider with which
they have a contract.
c. No Person
or Entity Having Direct or Indirect Control shall be granted or hold more than
a total of three Delivery Operator and three Marijuana Courier Licenses at any
time.
d. No Delivery Licensee may
share its profits of the sale of Marijuana or Marijuana Products with a
Third-party Technology Platform Provider, or otherwise provide a percentage or
portion of the sale of Marijuana or Marijuana Products to the Third-party
Technology Platform Provider.
7.
Limitations on the Number and
Control of Microbusiness Licenses.
a. Cultivating Microbusiness Licensees shall
have the Microbusiness license count towards the total limit on Marijuana
Cultivation licenses granted or held for any Person or Entity Having Direct or
Indirect Control.
b. Manufacturing
Microbusiness Licensees shall have the Microbusiness license count towards the
total limit on Marijuana Product Manufacturing licenses granted or held for any
Person or Entity Having Direct or Indirect Control.
8.
Limitations on the Number and
Control of Craft Marijuana Cooperatives. A Craft Marijuana
Cooperative Licensee shall be limited to one license and a total of 100,000
square feet of Canopy; provided, however, that a Craft Marijuana Cooperative
Licensee may apply for additional Licenses in accordance with
935
CMR 500.050(3)(i).
(c) License Classes are as
follows:
1. Marijuana Cultivator (Indoor or
Outdoor):
a. Tier 1: up to 5,000 square feet
of Canopy;
b. Tier 2: 5,001 to
10,000 square feet of Canopy;
c.
Tier 3: 10,001 to 20,000 square feet of Canopy;
d. Tier 4: 20,001 to 30,000 square feet of
Canopy;
e. Tier 5: 30,001 to 40,000
square feet of Canopy;
f. Tier 6:
40,001 to 50,000 square feet of Canopy;
g. Tier 7: 50,001 to 60,000 square feet of
Canopy;
h. Tier 8: 60,001 to 70,000
square feet of Canopy;
i. Tier 9:
70,001 to 80,000 square feet of Canopy;
j. Tier 10: 80,001 to 90,000 square feet of
Canopy; or
k. Tier 11: 90,001 to
100,000 square feet of Canopy.
2. Craft Marijuana Cooperative;
3. Marijuana Product Manufacturer;
4. Marijuana Microbusiness;
5. Independent Testing Laboratory and
Standards Laboratory;
7. Social Consumption
Establishment:
8. Marijuana
Transporter:
a. Existing Licensee
Transporter;
b. Third-party
Transporter;
9. Delivery
Licensee;
b. Marijuana Delivery Operator; and
10. Marijuana Research Facility
Licensee.
a. A Marijuana Establishment shall
operate all activities authorized by the License only at the address(es)
reported to the Commission for that license.
b. All Marijuana Establishment Agents of the
Marijuana Establishment shall be registered with the Commission pursuant to
935
CMR 500.030.
(2)
Marijuana
Cultivator (Indoor or Outdoor).
(a) A Marijuana Cultivator may cultivate,
Process and package Marijuana, to transport Marijuana to Marijuana
Establishments and to Transfer Marijuana to other Marijuana Establishments, but
not to Consumers.
(b) Marijuana
Cultivators shall select a cultivation tier. Cultivation tiers are based on the
square footage of Canopy:
2. Tier 2: 5,001 to
10,000;
3. Tier 3: 10,001 to
20,000;
4. Tier 4: 20,001 to
30,000;
5. Tier 5: 30,001 to
40,000;
6. Tier 6: 40,001 to
50,000;
7. Tier 7: 50,001 to
60,000;
8. Tier 8: 60,001 to
70,000;
9. Tier 9: 70,001 to
80,000;
10. Tier 10: 80,001 to
90,000; or
11. Tier 11: 90,001 to
100,000.
(c)
Tier Expansion. A Marijuana Cultivator may submit an
application, in a time and manner determined by the Commission, to change the
tier in which it is classified. A Marijuana Cultivator may change tiers to
either expand or reduce production. If a Marijuana Cultivator is applying to
expand production, it shall demonstrate that while cultivating at the top of
its production tier, it has sold 85% of its product consistently over the six
months preceding the application for expanded production for an indoor
cultivator, or during the harvest season prior to the application for expanded
production for an outdoor cultivator.
(d)
Tier Relegation.
In connection with the license renewal process for Marijuana Cultivators, the
Commission will review the records of the Marijuana Cultivator during the six
months prior to the application for renewal for an indoor cultivator or during
the harvest season prior to the application for renewal for an outdoor
cultivator. The Commission may reduce the Licensee's maximum Canopy to a lower
tier if the Licensee sold less than 70% of what it produced during the six
months prior to the application for renewal for an indoor cultivator or during
the harvest season prior to the application for renewal for an outdoor
cultivator.
(e)
Tier
Factors. When determining whether to allow expansion or relegate a
Licensee to a different tier, the Commission may consider factors including,
but not limited to:
1. Cultivation and
production history, including whether the plants/inventory suffered a
catastrophic event during the licensing period;
2. Transfer, sales, and excise tax payment
history;
3. Existing inventory and
inventory history;
5. Any other factors
relevant to ensuring responsible cultivation, production, and inventory
management.
(3)
Craft Marijuana Cooperative.
(a) A Craft Marijuana Cooperative may be
organized as a limited liability company, limited liability partnership, or a
cooperative corporation under the laws of the Commonwealth.
(b) The Members or shareholders of the
cooperative shall be residents of the Commonwealth for the 12 months
immediately preceding the filing of an application for a license.
(c) The Craft Marijuana Cooperative shall
have:
1. One Member that has filed a Schedule
F (Form 1040), Profit or Loss from Farming, within the five years prior to
application for licensure; or
2. An
agreement to lease land wholly owned by a person or entity that has filed a
Schedule F (Form 1040), Profit or Loss from Farming, within the five years
prior to application for licensure.
(d) Where the agreement to lease land in
935
CMR 500.050(3)(c)2. renders
the individual or entity filing a Schedule F (Form 1040) a Person or Entity
Having Direct or Indirect Control, the Craft Marijuana Cooperative shall report
the individual or entity and submit the agreement, as required by
935
CMR
500.101(1)(a)1.
(e) The Craft Marijuana Cooperative shall
operate consistently with the Seven Cooperative Principles established by the
International Cooperative Alliance in 1995.
(f) The cooperative license authorizes it to
cultivate, obtain, Manufacture, Process, package, brand and Transfer Marijuana
Products and to deliver Marijuana to Marijuana Establishments, but not to
Consumers.
(g) The Craft Marijuana
Cooperative is limited to one license, under which it may cultivate Marijuana,
subject to the limitations of
935
CMR 500.050. The cooperative's total
locations are limited to cultivating 100,000 square feet of Canopy. A
cooperative is not limited in the number of cultivation locations it may
operate, provided that for each location over six locations, additional
application and licensing fees shall apply pursuant to
935
CMR 500.005(1)(d). The
cooperative may also conduct activities authorized for Marijuana Product
Manufacturers at up to three locations.
(h) For the Seed-to-sale SOR, a cooperative
that designates a system administrator will pay one licensing program fee on a
monthly basis for Seed-to-sale tracking software.
(i) Members of a cooperative may not be a
Person or Entity Having Direct or Indirect Control in any other Marijuana
Establishment. Such restriction may not be construed to prohibit a Craft
Marijuana Cooperative for applying for a Marijuana Retailer, Marijuana Existing
Licensee Transporter, Marijuana Research or Social Consumption Establishment
License.
(j)
Tier
Expansion. A Craft Marijuana Cooperative may submit an
application, in a time and manner determined by the Commission, to change the
tier in which it is classified. A cooperative may change tiers to either expand
or reduce production. If a cooperative is applying to expand production, it
shall demonstrate that while cultivating at the top of its production tier, it
has sold 85% of its product consistently over the six months preceding the
application for expanded production for an indoor cultivator, or during the
harvest season prior to the application for expanded production for an outdoor
cultivator.
(k)
Tier
Relegation. In connection with the license renewal process for
Craft Marijuana Cooperatives, the Commission will review the records of the
cooperative during the six months prior to the application for renewal for an
indoor cultivator or during the harvest season prior to the application for
renewal for an outdoor cultivator. The Commission may reduce the Licensee's
maximum Canopy to a lower tier if the Licensee sold less than 70% of what it
produced during the six months prior to the application for renewal for an
indoor cultivator or during the harvest season prior to the application for
renewal for an outdoor cultivator.
(l)
Tier Factors.
When determining whether to allow expansion or relegate a Licensee to a
different tier, the Commission may consider factors including, but not limited
to:
1. Cultivation and production history,
including whether the plants/inventory suffered a catastrophic event during the
licensing period;
2. Transfer,
sales, and excise tax payment history;
3. Existing inventory and inventory
history;
5. Any other factors relevant
to ensuring responsible cultivation, production, and inventory
management.
(4)
Marijuana Product Manufacturer. A Marijuana Product
Manufacturer may obtain, Manufacture, Process and package Marijuana Products,
to transport Marijuana Products to Marijuana Establishments and to Transfer
Marijuana Products to other Marijuana Establishments, but not to
Consumers.
(5)
Marijuana Microbusiness.
(a) A Microbusiness is an entity that can be
either a Tier 1 Marijuana Cultivator or Marijuana Product Manufacturer or both
and, if in receipt of a Delivery Endorsement issued by the Commission, may
deliver Marijuana or Marijuana Products produced at the licensed location
directly to Consumers in compliance with established regulatory requirements
for retail sale as it relates to delivery.
(b) A Microbusiness engaged in product
manufacturing operations may purchase a maximum of 2,000 pounds of Marijuana or
its dry-weight equivalent in raw concentrate per year from other Marijuana
Establishments or MTCs.
(c) A
Microbusiness shall comply with all operational requirements imposed by
935
CMR 500.105 through
500.140 on Marijuana
Cultivators and Marijuana Product Manufacturers, and Retailers, to the extent
the Licensee engages in such activities.
(d) A Person or Entity Having Direct Control
or a Person or Entity Having Indirect Control in an existing Marijuana
Establishment License or MTC License that is not a Social Equity Program
Participant, Social Equity Business, or Economic Empowerment Priority Applicant
shall not be eligible to apply for a Marijuana Microbusiness license. A
majority of the Microbusiness' Executives or Members shall have been residents
of Massachusetts for no less than 12 months prior to application.
(e) Delivery Endorsements shall be subject to
the exclusivity provisions for Delivery Licensees established in
935
CMR
500.050(10)(b).
(6)
Social Consumption
Establishment.
(a) Social
Consumption Establishments may sell and allow customers to consume Marijuana or
Marijuana Products solely on its Premises.
(b) Social Consumption Establishment licenses
shall be limited on an exclusive basis to businesses controlled by and with
majority ownership comprised of Economic Empowerment Priority Applicants or
Social Equity Program Participants; Microbusinesses; and Craft Marijuana
Cooperatives, for a period of 36 months from the date the first Social
Consumption Establishment receives a notice to commence operations, provided,
however, that the Commission may, by vote, decide to extend that period
following a determination that the goal of the exclusivity period to promote
and encourage full participation in the regulated Marijuana industry by people
from communities that have previously been disproportionately harmed by
Marijuana prohibition and enforcement of the law, by farmers, and by businesses
of all sizes, has not been met.
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, by farmers, and by businesses of all sizes;
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; Microbusinesses; and Craft Marijuana
Cooperatives;
d. Number of
registered agents who are Social Equity Program Participants;
e. Number of Social Consumption
Establishments in operation and business performance relative to other
Marijuana Establishments;
f.
Financial feasibility of continued participation in the regulated Marijuana
industry by people from communities that have previously been
disproportionately harmed by Marijuana prohibition and enforcement of the law,
by farmers, and by businesses of all sizes if exclusivity period ends; and
g. Any other information the
Commission determines relevant.
2. The Commission shall collect and report on
data measuring the criteria throughout the exclusivity period. The Commission
shall begin evaluating whether the goals of the exclusivity period have been
met at least eight months before the end of the 36-month period to provide
adequate time to consider whether an extension of the 36-month period is
necessary prior to the conclusion of that time period.
3. The licenses may be made available to any
qualifying applicants after the 36-month period, unless the Commission
affirmatively votes to extend the period of exclusivity by a period of 12
months after the first 36-month period. Any subsequent extension of the
exclusivity period would require the Commission affirmatively to find that the
goals and objectives of the exclusivity period as set forth in
935
CMR 500.050(10)(b)1., have
not been met.
(c) No
person or entity other than those disclosed in the application shall be a
Person or Entity Having Direct or Indirect Control in a Social Consumption
Establishment license.
(7)
Independent Testing
Laboratory.
(a) Prior to final
licensure an Independent Testing Laboratory shall be:
1. Accredited to the most current
International Organization for Standardization (ISO) 17025 by a third-party
accrediting body that is a signatory to the International Laboratory
Accreditation Cooperation (ILAC) Mutual Recognition Arrangement; or
2. Certified, registered, or accredited by an
organization approved by the Commission.
(b) An Executive or Member of a Marijuana
Establishment is prohibited from being a Person or Entity Having Direct or
Indirect Control in an Independent Testing Laboratory providing testing
services for any Marijuana Establishment, except as otherwise provided in
935
CMR 500.200.
(c) No individual employee of a laboratory
providing testing services for Marijuana Establishments may receive direct or
indirect financial compensation from any Marijuana Establishment, except as
otherwise provided in
935
CMR 500.200.
(d)
Standards
Laboratory. A laboratory meeting the requirements of the
Independent Testing Laboratory may be licensed as a Standards Laboratory to
ensure consistent and compliant testing by the Independent Testing
Laboratories. An Independent Testing Laboratory may not serve as a Standards
Laboratory.
1. On request by the Commission, a
Standards Laboratory shall test samples of Marijuana Products in a time and
manner to be determined by the Commission.
2. Testing shall be performed in a manner
determined by the Commission so as not to reveal to the laboratory the source
of the Marijuana Products.
3. The
Standards Laboratory shall submit the results of testing to the Commission for
review.
4. The Standards Laboratory
shall retain the Marijuana Products tested pursuant to
935
CMR 500.050(7)(d)1., until
directed to Transfer or dispose of them by the Commission. Any disposal shall
take place in compliance with
935
CMR 500.105(12).
(8)
Marijuana Retailer.
(a)
General
Requirements.
1. A Marijuana
Retailer may purchase, transport, sell, Repackage, or otherwise Transfer
Marijuana or Marijuana Products to Marijuana Establishments and sell to
Consumers. A Marijuana Retailer can deliver Marijuana or Marijuana Products to
Consumers in accordance with 935 CMR 500.000. A Marijuana Retailer may not
allow on-site social consumption by Consumers on the Premises of the Marijuana
Establishment.
2. A retailer shall
operate all Marijuana-related activities solely at the address identified in
the license.
3. No Person or Entity
Having Direct or Indirect Control in a Marijuana Retailer license shall be
granted or hold more than a combined total of three Marijuana Retailer Licenses
and shall be subject to the limitations in
935
CMR
500.050(1)(b)6.
(b) A Marijuana Retailer shall
provide a retail location accessible to Consumers 21 years of age or older, or,
if colocated with an MTC, Registered Qualifying Patients with the Medical Use
of Marijuana Program in possession of a Medical Registration Card.
(9)
Marijuana
Transporter.
(a) An entity may
only transport Marijuana Products when such transportation is not already
authorized under a Marijuana Establishment license if it is licensed as a
Marijuana Transporter:
1.
Third-party Transporter. An entity formerly registered
or currently licensed to do business in Massachusetts that does not hold
another Marijuana Establishment license pursuant to
935
CMR 500.050 and is not formerly registered or
currently licensed as an MTC pursuant to 935 CMR 501.000:
Medical Use
of Marijuana. A Third-party Transporter is permitted to transport
Marijuana and Marijuana Products between Marijuana Establishments and between
MTCs.
2.
Existing
Licensee Transporter. A Marijuana Establishment that wishes to
contract with other Marijuana Establishments to transport their Marijuana
Products to other Marijuana Establishments.
(b) All Marijuana Transporter, their agents
and employees, who contract with a Marijuana Establishment to transport
Marijuana Products shall comply with M.G.L. c. 94G, and 935 CMR
500.000.
(c) Marijuana Transporters
will be allowed to Warehouse Marijuana Products in a form and manner determined
by the Commission.
(10)
Marijuana Courier.
(a) A Marijuana Courier may deliver Marijuana
or Marijuana Products directly to Consumers from a Marijuana Retailer or to
Patients or Caregivers from an MTC with which the Marijuana Courier has a
Delivery Agreement. A Marijuana Courier may be an Owner of or have a
controlling interest in a Cultivation, Product Manufacturing, Social
Consumption Establishment, Research, Retail or Transportation
license.
(b) A Marijuana Courier
shall be limited on an exclusive basis to businesses controlled by and with
majority ownership comprised of 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;
provided, however, that the Commission may vote to extend that period following
a determination that the goal of the exclusivity period to promote and
encourage full participation in the regulated Marijuana industry by people from
communities that have previously been disproportionately harmed by Marijuana
prohibition and enforcement of the law has not been met; and the Commission may
vote to expand eligibility for Delivery Licenses during the exclusivity period
pursuant to
935
CMR 500.050(10)(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 exclusivity period ends;
and
g. Any other information the
Commission determines relevant.
2. The Commission shall collect and report on
data measuring the criteria throughout the exclusivity period. The Commission
shall begin evaluating whether the goals of the exclusivity period have been
met at least eight months before the end of the 36-month period to provide
adequate time to consider whether an extension of the 36-month period is
necessary prior to the conclusion of that time period.
3. The licenses shall generally be available
to applicants after the 36-month period unless the Commissioners affirmatively
votes to extend the period of exclusivity by a period of 12 months after the
first 36-month period. Any subsequent extension of the exclusivity period would
require the Commission affirmatively to find that the goals and objectives of
the exclusivity period as set forth in
935
CMR 500.050(10)(b)1. have
not been met.
4. If data collected
by the Commission demonstrates progress toward the goals and objectives of the
exclusivity period as set forth in
935
CMR 500.050(10)(b)1. and
that demand for Consumer delivery is likely to exceed the supply that could be
provided by businesses that meet the exclusivity requirements during the
exclusivity period, the Commission may vote during the exclusivity period to
allow the following additional businesses to own Delivery Licenses:
a. Worker-owned cooperatives organized to
operate consistently with the Seven Cooperative Principles established by the
International Cooperative Alliance in 1995; or
b. Massachusetts Minority Business
Enterprises (MBE), Women Business Enterprises (WBE), and Veteran Business
Enterprises (VBE) with valid certification from the SDO.
c. No person or entity other than those
disclosed in the application shall be a Person or Entity Having Direct or
Indirect Control in a Delivery License.
d. No Person or Entity with Direct or
Indirect Control shall possess, or be granted, more than three Marijuana
Courier Licenses.
e. After January
8, 2021, any application or license classified as a Delivery-only license
pursuant to previously adopted regulations shall be converted to a Delivery
Courier application or license governed by
935
CMR 500.050(10).
(11)
Marijuana Delivery Operator.
(a) A Delivery Operator may Wholesale and
Warehouse Finished Marijuana and Finished Marijuana Products acquired from a
Marijuana Establishment, except an Independent Testing Laboratory and deliver,
sell, White Label, Repackage, or otherwise Transfer Marijuana or Marijuana
Products to Consumers. A Delivery Operator may be an Owner of or have a
controlling interest in a Cultivation, Product Manufacturing, Social
Consumption Establishment, Research, Transportation or Retail license, subject
to the limitations stated in
935
CMR
500.050(11)(e).
(b) A Delivery Operator Licensee shall
operate a Warehouse for the purpose of storing Finished Marijuana
Products.
(c) A Delivery Operator
License does not authorize the Licensee to operate a retail
storefront.
(d) Notwithstanding
that a Delivery Operator is not considered to be a Marijuana Retailer as
defined under
935
CMR 500.002 or authorized to engage in
permitted activities under
935
CMR 500.050(8), but is
authorized to sell Finished Marijuana Products directly to consumers, a
Delivery Operator shall register as a vendor with the Department of Revenue and
collect and remit marijuana retail taxes in accordance with
830
CMR 64N.1.1:
Marijuana Retail
Taxes.
(e) A Delivery
Operator shall comply with the labeling and packaging requirements contained in
935
CMR 500.105(5) and
935
CMR 500.105(6) and
Requirements for Handling of Marijuana pursuant to
935
CMR 500.105(3)(a) and
(b).
(f) Delivery Operator Licenses shall be
limited on an exclusive basis to businesses controlled by and with majority
ownership comprised of 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; provided,
however, that the Commission may vote to extend that period following a
determination that the goal of the exclusivity period to promote and encourage
full participation in the regulated Marijuana industry by people from
communities that have previously been disproportionately harmed by Marijuana
prohibition and enforcement of the law has not been met; and the Commission may
vote to expand eligibility for Delivery Licenses during the exclusivity period
pursuant to
935
CMR 500.050(11)(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 exclusivity period ends;
and
g. Any other information the
Commission determines relevant.
2. The Commission shall collect and report on
data measuring the criteria throughout the exclusivity period. The Commission
shall begin evaluating whether the goals of the exclusivity period have been
met at least eight months before the end of the 36-month period to provide
adequate time to consider whether an extension of the 36-month period is
necessary prior to the conclusion of that time period.
3. The licenses shall generally be available
to applicants after the 36-month period unless the Commissioners affirmatively
votes to extend the period of exclusivity by a period of 12 months after the
first 36-month period. Any subsequent extension of the exclusivity period would
require the Commission affirmatively to find that the goals and objectives of
the exclusivity period as set forth in
935
CMR 500.050(11)(d)1. have
not been met.
4. If data collected
by the Commission demonstrates progress toward the goals and objectives of the
exclusivity period as set forth in
935
CMR 500.050(11)(d)1. and
that demand for Consumer delivery is likely to exceed the supply that could be
provided by businesses that meet the exclusivity requirements during the
exclusivity period, the Commission may vote during the exclusivity period to
allow the following additional businesses to own Delivery Licenses:
a. Worker-owned cooperatives organized to
operate consistently with the Seven Cooperative Principles established by the
International Cooperative Alliance in 1995; or
b. Massachusetts Minority Business
Enterprises (MBE), Women Business Enterprises (WBE), and Veteran Business
Enterprises (VBE) with valid certification from the SDO.
(g) No person or entity other than
those disclosed in the application shall be a Person or Entity Having Direct or
Indirect Control in a Delivery Operator License.
(h) No Person or Entity Having Direct or
Indirect Control in a Delivery Operator License shall obtain, or be granted,
more than a total of three Delivery Operator Licenses.
(i) Two years from the date the first
Delivery Operator Licensee receives a notice to commence operations, the
Commission or its designee shall commence an evaluation of the development of
the Cannabis delivery market in the Commonwealth of Massachusetts, which may
include assessing the competitiveness and concentration of the market, the
repackaging and white labeling requirements, and any other matter as determined
by the Commission. The Commission shall complete its evaluation within four
months, unless the Commission determines that there is a reasonable basis for
an extension. The Commission may take any action including, but not limited to,
issuing regulations or guidance, it deems necessary to address issues with
market development.
(12)
Marijuana Research Facility Licensee.
(a) A Marijuana Research Facility Licensee
may conduct research after receiving approval from the Commission. A license to
operate a Marijuana Research Facility shall be separate from receipt of a
Research Permit to conduct a specific research project at the Marijuana
Research Facility.
(b) A Marijuana
Research Facility Licensee may be an academic institution, nonprofit
corporation or domestic corporation or entity authorized to do business in the
Commonwealth, including a licensed Marijuana Establishment or MTC.
(c) Unless otherwise authorized by law, any
Marijuana Research Facility Licensee that is not licensed pursuant to
935
CMR 500.050 or
935
CMR 501.050:
Medical Marijuana
Treatment Centers (MTCs) to engage in the cultivation, production or
retail sale of Marijuana or Marijuana Products shall acquire all Marijuana or
Marijuana Products used in research from a Marijuana Establishment or MTC
licensed to engage in such activity except:
1.
A Marijuana Research Facility Licensee may engage in cultivation or product
manufacturing of Marijuana or Marijuana Products if the cultivation or product
manufacturing process is the subject of its research; or
2. As otherwise determined by the
Commission.
(d) A
Marijuana Research Facility may be colocated with another Marijuana
Establishment or MTC license provided that the Marijuana Research Facility and
the colocated licensed Marijuana Establishment or MTC are:
2. Clearly physically separated.
(e) A Marijuana Research Facility
Licensee may not Transfer Marijuana or Marijuana Products to another Marijuana
Establishment, other than for testing, or sell to a Consumer, Registered
Qualifying Patient or Caregiver Marijuana or Marijuana Products that has been
acquired for a research project under its Marijuana Research Facility
License.