Gov. Waltz Stresses Importance Of Social Equity In Minnesota's Cannabis Market: Marginalized Communities Can't Be Left Behind

Minnesota Governor Tim Walz expressed support for proposals put forth by the state cannabis regulator around social equity cannabis applicants, though calling for approaching policy changes cautiously.

Minnesota's Office of Cannabis Management (OCM) recently signaled it is considering allowing temporary business licenses especially for social equity applicants.

"When I say temporary licenses, I mean early licenses — so as soon as this summer depending on if the legislature decides to take us up on that," Charlene Briner, an interim director of the OCM said.

At its recently held informational webinar in which it revealed that it's still in the process of hiring new employees and setting up the infrastructure to run the legal cannabis marketplace, state regulators indicated they're hoping the legislature will consider proposed changes to the licensing process enabling the program's launch in 2025.

See also: Investigation Points To Troubling Oversights In Naming Minnesota Cannabis Czar

On Tuesday, Gov. Waltz emphasized that marginalized communities can't be left to the side, reported MinnPost.

 "Philosophically our goal is to make sure the equity piece was a big part of this," Walz said in an interview Tuesday. "We certainly want to stay within the parameters of the law of who we can give help to. But I think the idea was, too often marginalized communities are left to the side. They're left back."

However, Walz said OCM has to come up with proposals to safeguard the state against potential lawsuits questioning the preferential treatment given to certain applicants.

He referred to a federal court case where a white farmer is challenging grants specifically earmarked for “emerging farmers” – namely women and people of color who suffered discrimination in the past – to assist them in the purchase of their initial farms.

The lawsuit claims the white farmer is not eligible for down-payment assistance due to his race.

"We have the agriculture grant program that is in court now over the ability to do that," Walz said. "I think it's legal. We think it'll stand up, but if it doesn't, trying to clarify (the cannabis law)."

Cannabis In Minnesota

Minnesota legalized recreational marijuana in August 2023. The tribal lands were the first and only to launch legal cannabis sales shortly thereafter when the White Earth Nation Tribal Council began to sell on the reservation to both tribal and non-tribal members the first week of August.

The OCM earlier predicted the state will need at least 381 dispensaries to meet the requirement for local governments to provide at least one retail shop per every 12,500 residents.

Benzinga Cannabis Conferences are coming to Los Angeles. Join the Benzinga Cannabis Market Spotlight: California, and unlock the future of cannabis at the premier networking event in Culver City on February 22. Connect with top industry leaders, gain insider insights into the investment landscape and shape the evolving markets in California and beyond. Don't miss this chance to be at the forefront of the cannabis industry's growth and innovation! Join now.