Montana Code 16-12-201. Licensing of cultivators, manufacturers, and dispensaries
16-12-201. Licensing of cultivators, manufacturers, and dispensaries. (1) (a) Between January 1, 2022, and June 30, 2025, the department may only accept applications from and issue licenses to former medical marijuana licensees that were licensed by or had an application pending with the department of public health and human services on April 27, 2021, and are in good standing with the department and in compliance with this chapter, rules adopted by the department, and any applicable local regulations or ordinances as of January 1, 2022.
Terms Used In Montana Code 16-12-201
- Adult-use dispensary: means a licensed premises from which a person licensed by the department may:
(a)obtain marijuana or marijuana products from a licensed cultivator, manufacturer, dispensary, or other licensee approved under this chapter; and
(b)sell marijuana or marijuana products to registered cardholders, adults that are 21 years of age or older, or both. See Montana Code 16-12-102
- Cultivator: means a person licensed by the department to:
(a)plant, cultivate, grow, harvest, and dry marijuana; and
(b)package and relabel marijuana produced at the location in a natural or naturally dried form that has not been converted, concentrated, or compounded for sale through a licensed dispensary. See Montana Code 16-12-102
- Department: means the department of revenue provided for in 2-15-1301. See Montana Code 16-12-102
- Former medical marijuana licensee: means a person that was licensed by or had an application for licensure pending with the department of public health and human services to provide marijuana to individuals with debilitating medical conditions on April 27, 2021. See Montana Code 16-12-102
- Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
- Licensee: means a person holding a state license issued pursuant to this chapter. See Montana Code 16-12-102
- Manufacturer: means a person licensed by the department to convert or compound marijuana into marijuana products, marijuana concentrates, or marijuana extracts and package, repackage, label, or relabel marijuana products as allowed under this chapter. See Montana Code 16-12-102
- Marijuana: means all plant material from the genus Cannabis containing tetrahydrocannabinol (THC) or seeds of the genus capable of germination. See Montana Code 16-12-102
- Medical marijuana: means marijuana or marijuana products that are for sale solely to a cardholder who is registered under Title 16, chapter 12, part 5. See Montana Code 16-12-102
- Medical marijuana dispensary: means the location from which a registered cardholder may obtain marijuana or marijuana products. See Montana Code 16-12-102
- Process: means a writ or summons issued in the course of judicial proceedings. See Montana Code 1-1-202
(b)The department shall begin accepting applications for and issuing licenses to cultivate, manufacture, or sell marijuana or marijuana products to applicants who are not former medical marijuana licensees under subsection (1)(a) on or after July 1, 2025.
(2)(a) The department shall adopt rules to govern the operation of former medical marijuana licensees and facilitate the process of transitioning former medical marijuana licensees to the appropriate license under this chapter with a minimum of disruption to business operations.
(b)Beginning January 1, 2022, a former medical marijuana licensee may sell marijuana and marijuana products to registered cardholders at the medical tax rate set forth in 15-64-102 and to consumers at the adult-use marijuana tax rate set forth in 15-64-102 under the licensee‘s existing license in a jurisdiction that allows for the operation of marijuana businesses pursuant to 16-12-301 until the former medical marijuana licensee’s next license renewal date, by which time the former medical licensee must have applied for and obtained the appropriate licensure under this chapter to continue operations, unless an extension of time is granted by the department.
(c)(i) Except as provided in subsection (2)(c)(ii), for the purpose of this subsection (2), “appropriate licensure” means a cultivator license, medical marijuana dispensary license, adult-use dispensary license, and, if applicable, a manufacturer license.
(ii)A former medical marijuana licensee who sells marijuana and marijuana products exclusively to registered cardholders is not required to obtain an adult-use dispensary license.
(3)The department may amend or issue licenses to provide for staggered expiration dates. The department may provide for initial license terms of greater than 12 months but no more than 23 months in adopting staggered expiration dates. Thereafter, licenses expire annually. License fees for the license term implementing staggered license terms may be prorated by the department.