MRA Approves Transfer of Marijuana Between Equivalent Licenses

Adult-use dispensaries will be open to sell marijuana product throughout Michigan potentially as early as Dec. 1st, 2019. On Nov. 13th, the Marijuana Regulatory Agency (MRA) announced several exciting changes for those who hold equivalent licenses. Beginning December 1st, licensees who hold equivalent licenses may transfer marijuana product from the inventory of their marijuana facility to the inventory of their marijuana establishment.

Who can transfer marijuana product?

This applies if they hold marijuana grower/grower, marijuana processor/processor, or marijuana retailer/provisioning center equivalent licenses. Beginning Dec. 1st, 2019:

• Growers may transfer up to 50% of their harvest batch from their marijuana facility to their marijuana establishment.
• Processors may transfer up to 50% of their finished product from their marijuana facility to their marijuana establishment.
• Provisioning centers may transfer up to 50% of each product type (marijuana infused product, marijuana concentrate, buds, etc.) that has been in inventory for a minimum of 30 days to their marijuana retailer.

All product transferred must have passed test results entered in the statewide monitoring system. Product transferred from a provisioning center to a marijuana retailer shall not exceed the maximum THC concentrations allowed under the Michigan Regulation and Taxation of Marijuana Act (MRTMA), listed in the table below:

What are equivalent licenses?

“Equivalent licenses” means any of the following held by a single licensee:

•  (i) A marijuana grower license, of any class, issued under the MRTMA and a grower license, of any class, issued under the Medical Marihuana Facilities Licensing Act (MMFLA).
•  (ii) A marijuana processor license issued under the MRTMA and a processor license issued under the MMFLA.
•  (iii) A marijuana retailer license issued under the MRTMA and a provisioning center license issued under the MMFLA.
•  (iv) A marijuana secure transporter license issued under the MRTMA and a secure transporter license issued under the MMFLA.
•  (v) A marijuana safety compliance facility license issued under the MRTMA and a safety compliance facility license issued under the MMFLA.

How should product be labeled for transfer?

Marijuana and marijuana product transferred from a provisioning center to a marijuana retailer shall be labeled in accordance with Rule 49 of the Adult-Use Marihuana Establishments Emergency Rules and contain the following information:

1. The name of the licensee and the state license number* of the producer, including business or trade name, and tag or source number as assigned by the statewide monitoring system.
2. The name of the licensee and the state license number* including business or trade name of the licensee that packaged the product, if different from the marijuana processor of the marijuana product.
3. The unique identification number for the package or the harvest, if applicable. (d) Date of harvest, if applicable.
4. Name of strain, if applicable.
5. Net weight in United States customary and metric units.
6. Concentration of THC and CBD.
7. Activation time expressed in words or through a pictogram.
8. The name of the marijuana safety compliance facility** that performed any test, any associated test batch number, and any test analysis date.
9. The universal symbol for marijuana product published on the agency’s website.
10. A warning that states all the following: (i) “For use by individuals 21 years of age or older only. Keep out of the reach of children.” (ii) “It is illegal to drive a motor vehicle while under the influence of marijuana.” (iii) “National Poison Control Center 1-800-222-1222.”

*State operating license under the MMFLA. **Safety compliance facility licensed under the MMFLA.

How do I transfer marijuana product?

The marijuana or marijuana product package transfers from facility to establishment must be in accordance with this bulletin and the administrative rules. All transfers must be tracked in the statewide monitoring system (METRC).  To request a transfer, please email MRA-compliance@michigan.gov with the subject line “Request to transfer product to equivalent license”. The email must include the following information.

1. The license number of the transferring marijuana facility
2. The license number of the marijuana establishment receiving the transferred product
3. The marijuana package tag number, weight, and the name of the product.
4. An attestation that this transfer request will not exceed the allowable 50%.

Medical products will bear the YELLOW METRC package label when transferred. Once the package has been accepted into the establishments inventory, a new package will need to be created which bears the BLUE METRC package label. METRC will be issuing a technical bulletin with step by step instructions for licensees.

It is important to note that a marijuana establishment is prohibited from transferring marijuana product inventory to a medical marijuana facility. To read the full advisory bulletin, click here.

Contact a cannabis lawyer today

As stated before, adult-use dispensaries may be open to sell marijuana product as early as December 1st. This means that it’s vital to have an experienced cannabis attorney assist you for all of your business needs whether you’re preparing to become licensed or if you’re already a license holder. Doing this will ensure that you are starting on the right foot in this exciting yet complex industry. Contact our team of skilled cannabis lawyers today!