This category includes provisions related to the creation or designation of a regulatory body to oversee the adult-use marijuana industry and the regulator’s powers. Statutory provisions related to the following topics are included:
Tracking requirements Record-keeping requirements Identification card requirements The regulator’s power to impose fines on licensees and suspend or revoke licenses The regulator’s power to seize or order the destruction of marijuana Reports that the regulator or a related administrative body are required to issue Common Provisions
Alaska, California, Massachusetts, Nevada, and Washington created new regulatory agencies to oversee regulation of adult-use marijuana. The remaining states delegated regulatory authority over adult-use marijuana to one or more preexisting state agencies. Washington, D.C., has not designated a regulatory authority with regard to marijuana.
Every state that has created a regulator has given it rulemaking authority.
All states that permit the retail sale of marijuana (Vermont and Washington, D.C., do not) authorize the regulator to examine the books of a licensee as well as the licensed premises.
Caps on the number of licenses
The states have taken widely divergent approaches to this issue. California, Colorado, and Washington require the regulator to establish limits on the number of licenses. Nevada empowers the regulator to adopt “policies and procedures to ensure that the cannabis industry in this State is economically competitive,” which could conceivably include limitations on the number of certain types of licenses.
Illinois establishes initial statutory limits on the number of each type of license that may be issued, and thereafter permits the regulator to issue additional licenses, up to a statutorily prescribed limit, after consideration of a number of statutorily provided factors.
Maine and Michigan expressly prohibit the regulator from imposing a limitation on the number of any type of license that may be issued.
Qualifications for licensure