Dispensaries May Begin Applying To Serve the Adult-Use Cannabis Market
Retailers Gear Up for Adult-Use Cannabis Sales Following Regulatory Approval.
Regulators on Friday will have applications available for those retailers who wish to engage in the licensed sales of cannabis products to adults. Lawmakers last month gave final approval to allow for the expedited sale of adult-use cannabis products by existing medical cannabis dispensaries.
Some retailers with dual licensure are anticipated to begin engaging in adult-use sales before the end of the month. However, most businesses will likely require additional time before they open their doors to the adult-use market.
Dispensaries with dual licensure will need to ensure that they have adequate inventory to serve both medical patients and adults consistently.
Adult-use marijuana sales will be subject to a ten percent excise tax in addition to an existing 5.75 percent sales tax. Sales are anticipated to generate between $276.2 million and $403.6 million in annual cannabis tax dollars within five years.
Voters in November approved a citizens-initiated measure (Issue 2) legalizing the possession, home cultivation, and retail sale of cannabis for those age 21 or older. Provisions in the initiative called upon regulators to begin issuing retail licenses by late 2024.
Following the vote, several of the state’s leading Republicans moved to pass legislation gutting many of the initiative’s key provisions. Those efforts stalled after NORML and other organizations generated thousands of communications urging legislators to enact Issue 2 as written.
