Competing for marijuana licenses in Missouri has been fierce since January 2020. The state received 1,200 applications for pharmacy licenses, but only 192 were granted. Missouri has recently legalized the use of marijuana, adding to the intense competition for licenses.
Individuals who are 21 years old and above can legally purchase cannabis in Missouri. As of now, the state’s medical cannabis regulations are in effect, and adults who wish to use cannabis can do so under these rules until August 2023 when the suggested regulations are put into law. In this post, we will solely focus on Missouri’s medical cannabis laws until the state adopts the proposed regulations. However, we will discuss the significant modifications for establishments that sell cannabis for personal consumption in the following section.
Overview Of Adult-use Cannabis Laws For Missouri Dispensaries
In November 2022, the vote measure to legalize the recreational use of cannabis was approved, followed by the legal ownership of cannabis for individuals aged 21 and above in December of the same year. The legalization of weed sales for adult use is set to take effect in February 2023.
Dispensaries must take note of the following important changes when transitioning from a medical license to a comprehensive facility:
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- Consumers will be required to present a valid government-issued photo ID when purchasing adult-use cannabis products at a dispensary.
- Current employees under the age of 21 may continue working at any licensed cannabis facility, but after February 3, 2023, all new facility agents must be 21 or older.
- -use purchase limits are 3 ounces per transaction.
- Adult-use purchases will be taxed at 6% in addition to any local taxes.
- Recreational licenses will be the same as medical licenses.
- Medical and recreational customers will be able to purchase the same inventory.
Here are some more details about the shift to adult-use sales:
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- Applications for conversion will be accepted beginning December 8, 2022. Information on the application process is found here.
- After February 6, 2023, adults 21 and over can legally cultivate cannabis plants for personal, non-commercial use within an enclosed locked facility.
- No new medical or comprehensive license applications will be accepted for the time being.
To gain further insight into Missouri’s move towards the legalization of adult-use cannabis, visit the official state website.
Missouri Medical Cannabis Laws At A Glance
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- The regulatory body for Missouri’s medical marijuana industry is the Department of Health and Senior Services (DHSS).
- Persons under the age of 18 can receive a medical marijuana license through a primary caregiver with the consent of a parent or legal guardian who will act as the primary caregiver.
- Medical marijuana patients can purchase a maximum of 4oz of flower or its equivalent per 30-day period.
- Dispensaries must use state-approved seed-to-sale tracking software to manage inventory and report sales to Metrc.
- Medical marijuana is subject to a specific 4% state tax in addition to any sales taxes.
- Licensed dispensaries can sell marijuana and marijuana-infused products, including flowers, concentrates, and edibles to licensed patients and may sell plants, seeds, and clones to qualifying patients who are authorized to cultivate medical marijuana.
- All parts of the supply chain are licensed, including cultivators, testing labs, manufacturing facilities, transporters, and dispensaries.
Law #1: Managing Inventory
All facilities involved in the growth, production, sale, testing, or transportation of cannabis are required to adhere to specific inventory control methods and procedures under the law, denoted as (G).
The first step for every facility is to select a facility agent who will be responsible for overseeing the inventory control systems and processes. This selection must be made in writing.
According to this rule, whenever there is a need to weigh or measure medical marijuana, it should be done using a National Type Evaluation Program-approved scale. This scale is capable of providing precise measurements consistently and must undergo recalibration at least once a year to ensure accuracy.
The department mandates that every facility utilize a seed-to-sale tracking system to monitor medical marijuana from its initial stage as a seed or immature plant to the point of purchase by a qualifying patient or main caregiver, or disposal. This tracking system must be approved by the department to ensure compliance with regulations.
In order to ensure accurate inventory control records within the statewide track and trace system, it is imperative to input a variety of information into the seed-to-sale tracking system. This includes the starting inventory, harvests, purchases, sales, payments, repairs, disposals, transfers, and ending inventory, as well as any other necessary data. By including all of this information, the tracking system can effectively monitor the entire supply chain process.
Each dispensary is responsible for ensuring that the seed-to-sale tracking system accurately reflects all quantities of medical marijuana sold or provided to a qualifying patient or primary caregiver as a purchase made by or on behalf of that patient.
Let me break it down for you: effectively managing inventory involves adhering to certain guidelines to ensure compliance.
1. Designating someone to oversee inventory at your dispensary is a must.
In order to comply with regulations, dispensaries are required to utilize a scale that has been approved by the National Type Evaluation Program. It is important to note that this scale must be calibrated at least once every year.
The Missouri DHSS is granted the ultimate authority for overseeing and auditing tasks.
To comply with state regulations, it is necessary to track inventory of medical marijuana from the initial seed to the final sale in approved software. In addition, it is crucial to keep a record of the amount of medical marijuana dispensed or sold to authorized patients.
Missouri’s track-and-trace system is known as Metrc. Dispensaries are required to report every check-in and transaction to Metrc in real-time.
Law #2: Dispensary licensing
According to the Law, access to dispensary facility licenses is limited to a maximum of 192 licenses. However, the Department reserves the authority to increase the limit if it is deemed necessary to meet the demand of medical marijuana by qualifying patients.
(B) There will be a limit of twenty-four (24) dispensary facility licenses in each of the eight (8) United States congressional districts in Missouri, based on the districts as drawn and in effect on December 6, 2018. (C) A single facility license will be granted for a single location.
In the event that a facility is granted a license or certification but fails to undergo a commencement inspection within one (1) year of the license or certification being issued by the department, there is a possibility of the license or certification being revoked.
(G) Licenses for cultivation, infused product manufacturing, and dispensaries, as well as certifications for testing and transportation, are valid for three years starting from the date of issuance. These licenses and certifications can be renewed by submitting an updated application at least 150 days before the expiration date, but no sooner than 250 days. Renewal can be denied for good cause. (H) The department is authorized to charge an application or renewal fee for facility licenses and certifications. Once a license or certification is granted, an annual fee is also required.
To operate in the medical marijuana industry, it is imperative for any facility to possess a valid license. This license enables them to cultivate, manufacture, sell, transport, test, or undertake any other activity related to medical marijuana. It is a mandatory requirement that must be fulfilled to ensure legal compliance.
It’s essential to note that the regulations state that only 192 dispensary licenses can be awarded in Missouri. As a result, all the licenses that were available have already been awarded.
In Missouri, the process of applying for a dispensary license involves several steps.
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- A $6,000 non-refundable fee is required to apply for a dispensary license up until 12/26/2021, after that date, it will be $3,000.
- Any entity under substantially common control, ownership, or management” can be issued up to 5 dispensary licenses, 3 cultivation licenses, or 3 manufacturing licenses.
- Dispensaries must pay a $10,373.22 annual fee for their dispensary license. The Missouri DHSS is responsible for reviewing and approving dispensary licenses.
Basic Facility License Applicant Requirements:
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- Proof of Missouri residency for at least 1 year.
- Entities must be majority-owned by natural persons who’ve been citizens of Missouri for at least 1 year and don’t claim residency in any other state or country.*
- All principal officers, owners, and managers must undergo a criminal background check by the Missouri State Highway Patrol within 6 months of applying
*This requirement is currently barred from being enforced under a preliminary injunction in Togio v. DHSS. - Facilities can’t be owned by or employ those with disqualifying felony offenses.
To understand the term “majority owned,” it’s important to note that it refers to a situation where an entity holds more than 50% of both the economic and voting interests in another entity.
Current license-holders should take note of important details outlined in this law.
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- You must pass your commencement inspection within 1 year of being issued the license, or your license may be revoked.
- Your license is valid for 3 years from the date it was issued. You will need to renew by submitting an updated application between 150-250 days prior to expiration. Renewal fees will apply.
Law #3: Penalties And Fines
In accordance with the law, the department has established specific punishments for individuals found to be in violation. Those caught with marijuana exceeding their legal limit but not surpassing twice that limit will face a fine of $200, and their ID card(s) will be revoked. Additionally, any facility that fails to adhere to the packaging requirements outlined in 19 CSR 30-95.040(4)(K) will be subject to a hefty fine of $5,000.
According to 19 CSR 30-95.030(3)(B)1.I, individuals who extract resins in this manner will face a fine of $1,000 and have their ID cards revoked. This applies to patients and primary caregivers.
Facilities that extract resins in this manner will face a penalty of $10,000 as stated in 19 CSR 30-95.040(1)(F)7.
Let me simplify things for you. In Missouri, certain actions are prohibited by regulations. Here are some examples:
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- A patient’s medical card will be revoked and they will be fined $200 if they are caught with between 4-8 oz of marijuana.
- If a patient is caught extracting resins without a MIP license, they’ll be fined $1,000 and their med card will be revoked.
- Possession of 10 grams or less of marijuana or synthetic marijuana by a non-patient is punishable by a $500 fine, however, prior offenders of controlled substance laws may face higher fines and possible jail time.
- Licensed Facilities that do not possess an MIP license will be fined $10,000 for extracting resins from marijuana using combustible gases or other dangerous materials.
- There’s a $5,000 fine for improperly packaged products, and the products could be recalled for repacking or disposal.
Law #4: Purchase And Possession Limits
As per the law, there are time limits for buying and possessing something, specifically for marijuana. Within a span of thirty days, qualifying patients are allowed to purchase or have their primary caregivers purchase only up to four ounces of dried, unprocessed marijuana or its equivalent. Additionally, qualifying patients are only permitted to have or grant permission to their primary caregiver to have the following amount of marijuana.
Patients who meet certain qualifications and do not cultivate their own medical marijuana, or have someone grow it for them, can obtain up to sixty days’ worth of dried, unprocessed marijuana or an equivalent amount. However, if a qualifying patient or their primary caregiver grows medical marijuana, they can obtain up to ninety days’ worth of dried, unprocessed marijuana or something similar, as long as the medical marijuana they grow remains on their property and is under their control.
When purchasing medical marijuana from a pharmacy, it is important to keep it in its original packaging or with the packaging itself. Additionally, primary caregivers are allowed to possess a legal limit for each qualifying patient they are responsible for, as well as for themselves if they qualify as a patient.
It is essential to maintain individual limits for each qualifying patient and label them with the corresponding patient’s name. However, it should be noted that the restrictions on purchasing and possessing this substance, as stated in this section, do not apply to a qualifying patient who has obtained written confirmation from two (2) distinct doctors attesting to the need for a larger quantity than what is permitted under this section.
Individuals who are eligible, along with their primary caregivers, have the option to purchase medical marijuana and related products that contain medical marijuana. Furthermore, those who are authorized to cultivate their own medical marijuana are also able to procure plants, seeds, and clones.
In simple terms, patients who are eligible and their primary caregivers have the ability to buy medical marijuana and its related products. Additionally, those patients who have permission to grow medical marijuana are allowed to purchase plants, seeds, and clones for cultivation.
Additional key points:
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- Patients can’t purchase seeds or clones if they aren’t “authorized to cultivate.”
- Patients can exceed the purchase limits if they receive approval from two physicians.
Patients who require medical treatment are allowed to possess the necessary medication prescribed by their doctors.
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- Up to 6 flowering marijuana plants
- Up to a 60-day supply (8 ounces or 226 grams) of unprocessed marijuana or equivalent if not cultivating.
- Up to a 90-day supply (12 ounces or 339 grams) of dried, unprocessed marijuana or equivalent if cultivating.
Law #5: Patients And Caregivers
As per the law, individuals who qualify as patients and primary caregivers are required to procure identification cards from the department. These cards will feature unique numbers that will help identify each patient along with their caregiver-patient relationship. Additionally, in case a qualifying patient or their primary caregiver intends to cultivate up to six (6) flowering marijuana plants exclusively for the patient’s use, they may obtain an identification card for the same purpose.
The department has made it convenient for qualifying patients, primary caregivers, and patient cultivators to submit their applications electronically through a web-based application system offered by the department. When applying for a qualifying patient identification card or renewing it, certain information must be included in the application.
When registering, it is essential to provide the qualifying patient’s name, date of birth, and Social Security number.
The address of the qualifying patient’s residence and mailing address should be provided. In case the patient does not have a residence or mailing address, an alternative address where they can receive mail should be provided.
To qualify as a patient, it is necessary to provide a statement that clearly states the patient’s residence in Missouri and confirms that they do not claim any resident privileges in any other state or country. Additionally, proof of current Missouri residency must be presented, which can be shown by providing: A.
To prove residency in Missouri, one can provide a valid Missouri driver’s license, a Missouri Identification Card, a current Missouri motor vehicle registration, or a recent Missouri utility bill. In case these proofs are unavailable, the director of the medical marijuana program shall approve or deny some other evidence of residence in Missouri as sufficient proof of residency.
The qualifying patient must confirm that they have submitted one physician certification, which should not be more than thirty days old. Alternatively, they can submit two physician certifications which should also not be older than thirty days. The two physician certifications will authorize the patient to possess more than the standard possession limits established by section (5) of this rule.
The state or federal government entity-issued photo identification of the qualifying patient should be provided in a clear and readable format.
When the patient qualifying for medical treatment is not emancipated, a parent or legal guardian must complete the Parental/Legal Guardian Consent Form, provided herein. The form should include the name and Social Security number of the patient and designate the parent or legal guardian as the primary caregiver for the patient.
The applicant must submit a recent color photograph of their face that is clear and taken within the last three months. When a patient seeks permission to cultivate medical marijuana, there are certain procedures that need to be followed. The location where the qualifying patient will grow marijuana.
To ensure that only eligible patients and their primary caregivers have access, the security arrangements and procedures employed will be described in this section.
In order to complete the application, the qualifying patient needs to provide certain information. This includes the name and Patient License Number or Caregiver License Number (if applicable) of one other qualifying patient. Additionally, the application must include an attestation that all information provided is true and correct. The qualifying patient must sign the application and include the date of signature. For non-emancipated qualifying patients, the parent or legal guardian who will serve as the primary caregiver must sign the application and include the date of signature. Finally, all applicable fees must be paid.
A single qualifying patient has the permission to grow a maximum of six (6) flowering marijuana plants, six (6) nonflowering marijuana plants (over fourteen (14) inches tall), and six (6) clones (plants under fourteen (14) inches tall) at a time. The cultivation should take place in a single, enclosed locked facility.
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- Patient or primary caregiver ID cards cost $25 and are valid for 1 year.
- Patients and caregivers must apply via the DHSS within 30 days of physician certification.
Qualifying Conditions For Receiving A Medical Marijuana License:
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- Cancer
- Epilepsy
- Glaucoma
- A chronic medical condition that is normally treated with a prescription medication could lead to physical or psychological dependence when a physician determines that medical use of marijuana could be effective in treating that condition and would serve as a safer alternative to the prescription medication
- A terminal illness
- Amyotrophic lateral sclerosis, inflammatory bowel disease, Crohn’s disease, Huntington’s disease, autism, neuropathies, sickle cell anemia, agitation of Alzheimer’s disease, cachexia, and wasting syndrome
- Debilitating psychiatric disorders, including, but not limited to, post-traumatic stress order, if diagnosed by a state-licensed psychiatrist
- Human immunodeficiency virus or acquired immune deficiency syndrome
- Amyotrophic lateral sclerosis, inflammatory bowel disease, Crohn’s disease, Huntington’s disease, autism, neuropathies, sickle cell anemia, agitation of Alzheimer’s disease, cachexia, and wasting syndrome
- In the professional judgment of a physician, any other chronic, debilitating, or other medical condition, including, but not limited to, hepatitis C
- Intractable migraines unresponsive to other treatment
- A chronic medical condition that causes severe, persistent pain or persistent muscle spasms, including but not limited to those associated with multiple sclerosis, seizures, Parkinson’s disease, and Tourette’s syndrome
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- 6 flowering plants
- 6 clones (plants under 14 inches tall)
- 6 non-flowering plants (over 14 inches tall)
Law #6: Delivery
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- The vehicles have to be secure (some retailers hire transporters for delivery transactions).
- You need manifests to have cannabis in a vehicle.
- Payment must be received before cannabis leaves the store.
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- A secure lockbox or locking cargo area for storing marijuana during transit.
- GPS tracking.
- Video monitoring of the driver and passenger compartment of the vehicle as well as any space where medical marijuana is stored.
- A secure lockbox for storing payments and video monitoring recording equipment.
Law #7: Packaging And Labels
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- Medical marijuana products must be clearly labeled as “Marijuana” or “Marijuana-infused product” in a font as large as the largest other font size on the packaging.
- Packaging must be opaque, resealable, and difficult for children under 5 to open.
- Packing cannot boast health benefit claims and must list out the required warnings.
- Packaging must be tagged with information from the statewide track and trace system
- The warning, “Warning: Cognitive and physical impairment may result from the use of Marijuana” must be included in at least 7-point font.
- Packaging cannot be appealing to a minor.
Labels Must Include The Following:
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- Total weight of the marijuana in the package. For dried marijuana, listed in ounces or grams. For concentrates, listed in grams. And for infused products, listed by milligrams of THC.
- All active and inactive ingredients
- For dried marijuana, the name of the cultivating facility, or for infused products, the name of the manufacturer.
- Best if used by date
- Estimated length of time of effects
- Concentration per dose
- Dosage amounts
- Instructions for use
Law #8: Track-And-Trace Systems
(3) Legislative Prerequisites for a Seed-to-Sale Tracking System. In accordance with 19 CSR 30-95.040(4)(G) and 19 CSR 30-95.080(2)(C), it is mandatory for seed-to-sale tracking systems utilized by establishments involved in cultivation, manufacturing, dispensary, testing, and transportation to possess the following functionalities: (A) Interfacing with the statewide track and trace system to enable authorized or certified facilities to input and retrieve information in the system as necessary for inventory control and tracking purposes; and (B) Supplying the department with the aforementioned capabilities.
(C) Ensuring the preservation of confidentiality for all patient data and records accessed or stored by the system, limiting access to authorized personnel or entities beyond the department to the information permitted by law; and (D) Providing the department with analytical reports containing the following: 1. The aggregate quantity of daily, monthly, and annual sales at the facility broken down by product type; 2. The mean prices of daily, monthly, and annual sales at the facility
The dispensary is obligated to obtain the transaction order in its entirety from the qualifying patient or primary caregiver at the time of each transaction, whether it be through in-person, telephone, or online means. 2. Confirm that the source of the transaction order is not an external entity; Utilize the statewide track and trace system during the point of sale to verify that the qualifying patient or primary caregiver possesses the necessary authorization to purchase the requested quantity of medical marijuana. Ensure that the patient or primary caregiver is presently authorized to cultivate medical marijuana seedlings before they purchase them.
You must initially utilize Metrc, the state track-and-trace system of Missouri. The second requirement is that the inventory and sales management software utilized by your store must be state-approved and compatible with Metrc. Typically, this software serves as the point-of-sale (POS).
For the purpose of inventory management and sales reporting, license users are restricted to utilizing trace-and-trace software that has received state approval.
Metrc must be informed of every transfer in real-time, or as soon as the transaction takes place.
License revocation may result from noncompliance with the seed-to-sale monitoring regulations by a facility or an employee.
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