How to Get a Marijuana License in Mississippi | Mr. Cannabis Law

How to Get a Marijuana License in Mississippi

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Mississippi legalized medical marijuana in February 2022, when Governor Tate Reeves signed the Mississippi Medical Cannabis Act (or Senate Bill 2095). The Mississippi Department of Revenue (MDOR) is responsible for the licensing of medical cannabis dispensaries, while the Mississippi State Department of Health (MSDH) is responsible for licensing medical cannabis cultivation, processing, testing, and other facilities. The MDOR, in collaboration with the MSDH, has worked to design and implement an electronic application process, and both Departments will begin accepting license applications in the coming weeks.

 

The Alcoholic Beverage Control Enforcement Division is the division within the MDOR for licensing and regulating dispensaries, and it will also be responsible for enforcing medical cannabis laws as they apply to the proper purchase, sale, and distribution of medical cannabis at dispensaries. The Mississippi Medical Cannabis Act defines the medical cannabis dispensary as “an entity licensed and registered with MDOR that acquires, possesses, stores, transfers, sells, supplies, or dispenses medical cannabis, equipment used for medical cannabis, or related supplies and educational materials to cardholders.” A dispensary can only be located in an area zoned commercial or in an area that is not otherwise prohibited from having commercial businesses.

 

Applicants for a Medical Cannabis Dispensary License must meet the following requirements to be eligible: individuals must be at least 21 years of age; any owner, board member, officer, or anyone with an economic interest in the entity must be at least 21 years of age; they cannot be currently serving as a member of the state Senate or House or be a spouse of a member of the state Senate or House through December 31, 2022; they must not have previously held a cannabis-related license that has been revoked; they must have no outstanding tax liabilities owed to the state; and they must have never been convicted of a disqualifying felony, as defined by the legalization law. Notably, however, applicants are not required to be residents of the State of Mississippi to obtain a dispensary license.

 

Medical Cannabis Dispensary License applications will be available via the state’s electronic medical cannabis licensing system no later than July 2022. MDOR will issue licenses within 30 days of receiving the completed application, including all required information and documentation. Before applying for a license, applicants will need to (i) register for a Mississippi Sales Tax account and receive a sales tax permit via TAP; and (ii) register with the Mississippi Secretary of State, for any applicable entity. If a company plans to apply for licensure through the MDOR or the MSDH for any aspect of the Mississippi Medical Cannabis Program, the company must first register with the Mississippi Secretary of State’s Office. As part of this registration, the entity will be required to select a NAICS Code that is specific to the type of licensure sought by the entity. For instance, the applicable NAICS Code is 111419 for prospective cultivators or growers; 424590 for processors and wholesalers; and 453998 for dispensaries.

 

Additionally, the following information must accompany a dispensary license application for review. If all this information is included, the applicant’s application will be considered complete and the application will then be processed within 30 days:

  • legal name and physical address of the business (P.O. Boxes are not allowed);
  • proof of Mississippi Secretary of State Registration, if applicable;
  • Mississippi Sales Tax Permit Number;
  • Management Service Agreements, if applicable;
  • Deed of Trust, Lease Agreement, or Contingent Agreement, if applicable;
  • Land Survey by a Mississippi-licensed surveyor proving that the main entrance of the dispensary is not within 1,000 feet of a school, church, or childcare facility’s nearest property boundary line;
  • Waiver of Minimum Distance Requirements (school, church, childcare), if applicable (form available on the MDOR website);
  • local business permit or license registration, if required by the city or county (if under construction, the projected date of issuance of the city or county license);
  • list of all parties with 10% or greater economic interest;
  • Acknowledgment of Waiver and Authorization to Release Information for each member (form available on the MDOR website);
  • list of professional licenses held by each member and verification(s) of good standing;
  • Licensee Certification/Oath (form available on the MDOR website);
  • diagram of the licensed premises;
  • operation plan;
  • security plan; and
  • first year license fees of $40,000, which includes the $15,000 nonrefundable application fee plus the $25,000 annual license fee

 

Meanwhile, the MSDH is currently working to establish licensing and patient registry structures and by June 2022 plans to begin accepting online license applications for patients; medical practitioners; cannabis cultivation facilities; cannabis processing facilities; cannabis testing facilities; cannabis waste disposal entities; and cannabis transportation entities. Once the application process begins in June, there will be a 30-day approval time for licensure applications, and a five-day approval time for program patients. For cultivation, specifically, the Mississippi Medical Cannabis Act requires that the cultivation of marijuana occur indoors in secure facilities, and that these facilities be located in Mississippi if they provide products available to those with patient identification cards.

 

 

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