MRA Introduces Proposed Marijuana Rule Sets

Soon, the Marijuana Regulatory Agency (MRA) will hold a public hearing to receive public comment on the proposed combined topic-based rule sets. The proposed topic-based rule sets are intended to provide clarity/consistency to those working in both the medical and adult-use markets.

The rule sets provide for the implementation of a program to license medical and adult-use marijuana businesses. The rule sets implement, administer, and enforce appropriate standards for marijuana businesses and associated equipment. According to the MRA, they also seek to establish regulations ensuring the safety, security, and integrity of the operation of marijuana businesses.

1. Marijuana Licenses

This proposed rule set aims to provide clarity among the following topics:

• Applicant background check(s), 
• Application procedure, 
• Applicant financial background, 
• License issuance, 
• Application fees, 
• Business location plan, 
• Prelicensure investigation, 
• Capitalization requirements, 
• Reasons for license denial, 
• License renewal, 
• Stacked licenses, 
• Social equity, 
• Changes to licensed marijuana business, 
• and more. 

These rules are replacing R 333.205, R 333.206, R 333.207, R 333.208, R 333.209, R 333.210, R 333.211, R.333.212, R 333.213, R 333.214, R 333.215, R 333.216, R 333.217, R 333.220, R 333.221 and Adult-Use Marijuana Establishments Emergency Rules 5-18, and 21-23.

2. Marijuana Licensees

The proposed rule set for marijuana licensees seeks to provide clarification and consistency for the following license types: 

Recreational/Adult-Use Marijuana

• Grower
• Processor
• Microbusiness
• Retailer
• Secure Transporter
• Safety Compliance Facility

Medical Marijuana

• Grower
• Processor
• Secure Transporter
• Provisioning Center
• Safety Compliance Facility

These rules are replacing Adult-Use Marihuana Establishments Emergency Rules 24-29, and 58-65.

3. Marijuana Operations

This proposed rule set seeks to clarify the safety codes in which licensed marijuana businesses need to operate, such as building and fire safety and the proper disposal of waste. This rule set also allows a licensee with multiple marijuana businesses to operate at the same location, as well as clarification for adult-use marijuana delivery.

These rules are replacing R333.231, R333.232, R333.233, R333.234, R333.235, R333.236, R333.237, R333.238, R333.282 and Adult-Use Marihuana Establishments Emergency Rules 30-40 and 57.

4. Marijuana Sampling and Testing

The proposed rule set above seeks to implement a thorough process for plant and product identification, testing/sampling, remediation, research and more. These rules are replacing R333.245, R333.246, R333.247, R333.248, and Adult-Use Marihuana Establishments Emergency Rules 41-44.

5. Marijuana Infused Products and Edible Marijuana Products

This proposed rule set seeks to implement specific requirements and restrictions on marijuana-infused products/edible marijuana products. This would also firmly set a standard limit for THC concentration in marijuana-infused products. 

These rules are replacing R333.261, R333.262, and Adult-Use Marihuana Establishments Emergency Rules 45 and 46.

6. Marijuana Sale or Transfer

This rule set aims to clarify tracking identification, labeling/packaging requirements, purchasing limits, marketing/advertising restrictions and more for the sale or transfer of marijuana products. 

These rules are replacing R333.271, R333.272, R333.273, R333.274, R333.275, R333.276 and Adult-Use Marihuana Establishments Emergency Rules 47-55.

7. Marijuana Employees

This rule set sets forth proposed requirements for marijuana employees and employers to adhere to such as background checks, employee permissions, training, reporting hires to the MRA, and more. 

These rules are replacing R333.281 and Adult-Use Marihuana Establishments Emergency Rule 56.

8. Marijuana Hearings

The proposed rule set for Marijuana Hearings grants denied applicants the right to a public investigative hearing. The rule set also gives licensees the opportunity to demonstrate compliance with the requirements before the agency takes disciplinary action. 

These rules are replacing R333.291, R333.292, R333.293, R333.294, R333.295, R333.296, R333.297 and Adult-Use Marihuana Establishments Emergency Rules 66 – 72.

9. Marijuana Disciplinary Proceedings

The proposed rule set advises licensees of their continued duty to notify the agency of any changes including updated contact information, changes in ownership/managers, adverse reactions to marijuana product sold, operational changes, theft/loss, and more. This rule set also clarifies the possible penalties for violating these requirements and the stages of disciplinary action. 

10. Industrial Hemp for Marijuana Businesses

Under the current rules, there are no rules for marihuana businesses as it relates to industrial hemp. The proposed rule set aims to implement requirements for industrial hemp testing and processing. 

11. Medical Marijuana Facilities (Rescinded)

According to the MRA, this rule set is being rescinded in its entirety in favor of the ten new topical rule sets (outlined above) being promulgated. 

What’s Next?

The public hearing on the proposed rule sets will take place on Feb. 12th, 2020 at 9:30 AM on the first floor auditorium of the Williams Building in Lansing, Mich. 

Each rule set is published on the Office of Regulatory Reinvention’s website and in the Feb. 1st, 2020 issue of the Michigan Register. 

Public comments on the proposed topic-based rules may be presented in person at the public hearing, via email to MRA-Legal@michigan.gov, or submitted to the following address until 5 PM EST on Feb. 17th, 2020. Copies of the proposed rules may also be obtained by electronic transmission at the following address:

Marijuana Regulatory Agency Legal Section 

P.O. Box 30205 Lansing, MI 48909 

Phone: 517-284-8599 Fax: 517-284-8598 

E-mail: MRA-Legal@michigan.gov

Contact a Cannabis Attorney Today

Whether planning to operate an Adult-Use or Medical Marijuana Facility, it is important to consult a licensed cannabis attorney to set you up for success and ensure all rules and regulations are being met.