Marijuana Regulatory Agency Announces New Administrative Rules and "Class A Microbusiness" License
Updated: May 27, 2022
The Michigan Marijuana Regulatory Agency (MRA) announced changes to the state's administrative regulations, effective March 7, 2022. Among the major rule changes:
Initial license application fees were lowered from $6,000 to $3,000;
Adult use application requirements have been amended to match medical requirements, with those owning more than 2.5% interest in a license required to be disclosed; and
Allowing administrative withdrawal of applications over one year old.
However, the most notable (and controversial) change by the MRA is the creation of a new "Adult-Use Class A Microbusiness" license. The new license category, which includes an initial $18,600 licensing fee and an insurance coverage requirement, will allow qualified licensees to grow up to 300 plants (up from the 150 previously allowed), as well as to purchase concentrate and marijuana infused products from a manufacturer (eliminating the need for a microbusiness to manufacture and process their own products).
The new regulations are expected to meet legal challenge on grounds that the MRA lacks the authority to create the new "Class A Microbusiness" license category without legislative approval.
Stay tuned to the Cannabis Law & Policy Blog for updates.