With less than two weeks to go before Michigan starts to take license applications medical marijuana businesses, Governor Rick Snyder issued emergency rules that will stay in effect until permanent rules are established.
Michigan Emergency Medical Marijuana Rules Apply to Several Areas of Business
The emergency rules issued pertain to several matters including processing, selling, transporting, testing, advertising, security requirements, and how much capital is required of businesses interested in growing. According to Andrew Brisbo, director of the Bureau of Medical Marihuana Regulation, “We needed to add a little meat to the bone on some of those things, but tried to stay consistent with what was there.”
Under the 51 established rules, those interested in attaining licenses will need to be able to demonstrate the following:
- The ability for licensees to exhibit capital ranging from $150,000-$500,000, depending on the type of business.
- At least 25 percent of capital in liquid assets, such as cash, marijuana inventory, or investments.
- No more than 15 ounces of useable marijuana, or 72 plants can be used to establish capital requirements.
Dispensaries already in operation under grey laws have been given permission to stay open while seeking a state license, as long as the county they are doing business in approves.
Advertising in Public View Prohibited…And Other New Medical Marijuana Provisions in Michigan
Application for licenses will cost $6,000, and will be accepted beginning on December 15. Some of the other rules set in place include:
- Advertising of marijuana is prohibited if it is visible to the public from any sidewalk, street, park, or other public place.
- Growers, processors, and provisioning centers can operate out of the same facility if okayed by the municipality. It is also required that they have “distinct and identifiable areas” with separate entrances and exits.
- Business are required to keep visitor logs.
- Video surveillance is mandatory inside businesses.
- A 3 percent tax will be imposed on provisioning centers.
Businesses that do not comply with instated rules are subject to a fine of $5,000. They can also see fines of $10,000 or an amount equaling the receipt of daily gross sales, depending on which is greater.