RegTalk: 5 Key Takeaways From Maine's Recreational Marijuana Regulations

By Susan Ameel, co-founder and partner of Global Regulatory Risk Advisors.

Maine published draft recreational marijuana regulations more than two years after residents voted to legalize marijuana and amid contracting chaos. In September 2018, Maine hired a consultant to help draft the regulations, which resulted in a lawsuit from a competing bidder. The state is now paying the losing bidder $10,000 to review the draft rules in exchange for dropping the administrative appeal.

Maine released the draft rules in response to a freedom of information act request from the Portland Press Herald. The rules will be formally published twenty days ahead of a hearing to receive public comments, but in the meantime, here are five key takeaways:

• Maine chose a simple license regime that includes cultivation facilities, testing facilities, products manufacturing facilities and marijuana stores.
• Applicants can obtain a conditional license, but must then obtain approval from a local municipality that has voted to allow that class of marijuana establishment or a county that has opted in to allowing the class of marijuana establishment.
• Except for independent testing facilities, Maine will verify that management and the majority of owners of licensees are natural persons who are Maine residents.
• Maine is charging application fees ranging from $60 to $500. Annual license fees range from $350 to $15,000.
• The regulations do not provide for social equity programs, social lounges, or temporary events.

Susan Ameel is a Co-Founder and Partner of Global Regulatory Risk Advisors, LLC, which provides regulatory products and services to emerging industries.

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