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Enacted/Effective Legislation & Rules
2022 Administrative Rules for Cannabis
The CRA periodically amends the administrative rules for the cannabis industry. The most recent changes were in March, 2022. A public hearing took place for rules governing marijuana businesses at on Monday, September 27, 2021 in Lansing. The Guild also hosted a webinar/Q&A with CRA Director Andrew Brisbo on Friday, September 17, 2021, which specifically focused on the proposed rule changes.
Notable changes, per CRA:
New Fees
- The adult-use and medical marijuana application fees were lowered from $6,000 to $3,000.
- Adult-use establishment renewal tiers were removed; licensees who have already been invoiced a renewal fee are to pay the fee as invoiced.
- Medical marijuana facility renewal tiers were removed; this change will take effect for fiscal year 2023 (check this regulatory assessment bulletin that outlined the fees for fiscal year 2022 for medical marijuana facilities).
- Adult use establishment licenses have been reduced:
| License Type (Adult Use) | Current | New |
| Adult Use Prequalification | $6,000 |
$3,000 |
| Adult Use Retailer | $25,000 | $15,000 |
| Adult Use Grower A (no more than 100 plants) | $4,000 | $1,200 |
| Adult Use Grower B (no more than 500 plants) | $8,000 | $6,000 |
| Adult Use Grower C (no more than 2,000 plants), or Excess Grower, or Processor | $40,000 | $24,000 |
| Adult Use Microbusiness | $8,000 | $8,300 |
| Adult Use Secure Transporter or Safety Compliance Facility | $25,000 | $15,000 |
Fees for Temporary Marijuana Event and Designated Consumption Establishment licenses will remain at $1,000.
New Adult-Use Class A Marijuana Microbusiness License
- Initial licensure fee is $18,600 and allows a licensee to grow up to 300 plants.
- Class A marijuana microbusinesses may purchase marijuana concentrate and marijuana-infused products from a processor.
- Marijuana liability insurance will be required upon licensure and at renewal.
New Adult Use Educational Research License
- Applications will only be accepted from organizations that have been accredited by the Higher Learning Commission.
- Licensees are required to have proof of DEA registration to operate.
- License is valid for one year and does not carry an application fee, a licensure fee, or a renewal fee to operate.
Application Changes
- The adult use requirements for applicant disclosure have been updated to match medical requirements for applicant disclosure; those with less than 2.5% ownership interest are not required to be disclosed.
- A definition of a trustee was added to the rules.
- Added a rule that the CRA can administratively withdrawal applications that are over one year old and have had no determination made.
- Renewal applications may be denied for failure to submit an annual financial statement as required.
Enforcement
- Documents have been updated; those interested in licensure can find copies on the CRA Bulletins page and expanding the Technical Bulletins tab:
-
- Prelicensure inspection checklist
- 30-day inspection checklist
- Semi-annual inspection checklist
- SCF Inspection Report
Sampling & Testing
- There have been significant updates to the requirements for sampling and testing of marijuana and marijuana products.
- There have been modifications to allow more movement of product within the market prior to final, full, safety compliance testing being required.
Operations
- Contactless and limited contact transactions – including curbside service and drive-thru operations – are allowed, with municipal approval.
- Product that is required to be destroyed must be destroyed within 90 days.
- There are updated requirements for Standard Operating Procedures (SOPs).
Declaratory Rulings
- Set forth a complete rule set outlining the process and requirements for a Request for a Declaratory Ruling from the Agency.
Infused and Edible Products
- Updated requirements for packaging and labeling of products.
Review the complete rules here (PDF):
- 2020-117LR Marihuana Disciplinary Proceedings
- 2020-118LR Marihuana Hearings
- 2020-119LR Marihuana Infused Products and Edible Marihuana Products
- 2020-120LR Marihuana Licensees
- 2020-121LR Marihuana Licenses
- 2020-122LR Marihuana Operations
- 2020-123LR Marihuana Sale or Transfer
- 2020-124LR Marihuana Sampling and Testing
- 2020-10LR Marihuana Employees
- 2020-29LR Marihuana Declaratory Rulings
- 2022-35LR Industrial Hemp Rules for Marihuana Businesses <<< NEW draft language released by the CRA on 7/20/22.
- 2021-92LR Industrial Hemp Rules for Marihuana Businesses <<< Original draft language that was rescinded by the CRA 4/15/22 after many concerns were expressed about the conversion process (sending comments to the State really can make a difference).
Michigan cannabis politics are fast and furious. You're on this page- so you recognize how important it is to keep up. We meet monthly. Information & meeting calendar |
ENACTED PUBLIC ACT 186 of 2022
State Representative Calley (R-Hastings), with other legislators including Reps. Brann (R-Wyoming) and LaGrand (D-Grand Rapids), introduced HB5512, which was intended to resolve some inconsistencies between the Michigan Medical Marihuana Act and drug court administrative practices, but may ultimately prove to have grave implications for some cannabis patients. The bill was adopted by the House in April 2022, approved by the Senate in June 2022, and signed by the Governor in July.
Rep. LaGrand (D-Grand Rapids), who initially co-sponsored the bill but then voted against it, explained his reasoning like this:
“At issue was whether to give judges unlimited discretion to ban use of [cannabis] in sobriety courts. The presenting concern was that addicted participants might get a medical card to evade sobriety and ‘trump’ the rules of sobriety court. On the other side was the real concern that someone using [cannabis] for medical reasons shouldn't have to choose between help in a sobriety court and the medical help they already were getting. I proposed a policy of allowing those who had cards before entering sobriety court to keep using the cards, but stop participants from getting a card while in the court. The middle ground position wasn't adopted [and] the bill passed.”
Back to topAGENCY NAME CHANGE ENACTED Executive Order 2022-1
As of April 12, 2022, the Marijuana Regulatory Agency's name was changed to the Cannabis Regulatory Agency (CRA). The Cannabis Regulatory Agency regulates the processing, distribution, and sale of both hemp and marijuana going forward. Oversight of hemp cultivation remains with MDARD.
See the Executive Order here.
Back to topENACTED PUBLIC ACT 119 of 2021
On December 7, 2021 Governor Whitmer signed into law Public Act 119 (HB4921), which amends the MMFLA (Medical Marijuana Facilities Licensing Act) by allowing medical marijuana licensees to submit Annual Financial Statements once every three years rather than every year. The new three-year calendar applies to annual financial statements submitted to both the State of Michigan and the local municipalitie(s) in which the licensee operates, and is effective immediately. Adult use licensees are still required to submit these financial statements annually.
Check out Act 119 as adopted here (PDF).
ENACTED PUBLIC ACT 103 of 2021On November 4, 2021 Governor Whitmer signed into law Public Act 103 (HB4295 & SB691), which amends the MMFLA (Medical Marijuana Facilities Licensing Act) in the following ways:
- Individuals who have been convicted of certain marijuana-related felony or misdemeanor offenses are eligible for a marijuana state operating license unless the felony involved the distribution of marijuana to a minor.
- Applicants who are elected officers or employees of a Federally recognized Indian tribe or elected precinct delegates are eligible for a marijuana state operating license.
- The spouse of a person who applied for a marijuana state operating license is eligible for licensure unless the spouse's position created a conflict of interest, was within the Cannabis Regulatory Agency, or a state or federal regulatory body making decisions regarding medical marijuana.
- The CRA may no longer consider the integrity, moral character, reputation, or personal probity of an applicant in evaluating eligibility for licensure.
It also prohibits the CRA from evaluating an applicant's suitability for a marijuana state operating license based on whether he or she had committed marijuana-related offenses with the exception of felonies involving the distribution of marijuana to a minor.
We supported this bill and are glad that Governor Whitmer signed it into law (which is effective immediately). You can check out the full text of Act 103 as adopted here (PDF).