Minnesota’s Recreational Marijuana Market Faces Delays and Uncertainty
The Minnesota Office of Cannabis Management (OCM) has announced a new timeline for the licensing of recreational marijuana businesses, pushing the opening of dispensaries to at least May 2025. This delay is attributed to the cancellation of the preapproval lottery process due to lawsuits claiming it was unfair and inequitable.
Since the legalization of recreational marijuana on August 1, 2023, the OCM has faced numerous challenges in implementing the new market. The agency initially planned to hold a social equity lottery, but lawsuits from applicants who were excluded from the process led to its cancellation. Instead, the OCM will allow social equity applicants who were denied to make corrections and join the 648 already approved for the social equity lottery or participate in a general applicant lottery.
As a result, Minnesota is expected to be the third-slowest state to transition from legalization to licensed retail sales. The new timeline includes a deadline of January 10 for previously licensed preapproval applicants to request a refund of their application fee, followed by a social equity applicant verification window from January 15 to January 30. A general applicant license application window will open on February 18 and close on March 14.
The OCM has also announced that interim Director Charlene Briner will step down, and General Counsel Eric Taubel will take over as the new interim director. Taubel has been instrumental in drafting regulations for the cannabis market and has served as general counsel for the OCM for the past year.
The delay in the licensing process has been met with frustration from entrepreneurs and advocates who had been eager to establish a legal marijuana market in Minnesota. However, the OCM remains committed to ensuring a fair and equitable process for all applicants.
