HOUSE . . . . . . . . No. 4409
The Commonwealth of Massachusetts
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HOUSE OF REPRESENTATIVES, February 20, 2024.
The committee on Cannabis Policy, to whom was referred the petition
(accompanied by bill, House, No. 117) of David M. Rogers and others
relative to medical marijuana businesses, reports recommending that the
accompanying bill (House, No. 4409) ought to pass.
For the committee,
DANIEL M. DONAHUE. 1 of 9
FILED ON: 2/5/2024
HOUSE . . . . . . . . . . . . . . . No. 4409
The Commonwealth of Massachusetts
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In the One Hundred and Ninety-Third General Court
(2023-2024)
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An Act relative to vertical integration of medical marijuana businesses.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
of the same, as follows:
1 SECTION 1. Paragraph (4) of subsection (d) of Section 2 of Chapter 62 is hereby
2amended by striking out "medical marijuana treatment center” and inserting in place thereof the
3following words:-
4 medical marijuana establishment
5 SECTION 2. Paragraph (4) of Section 30 of Chapter 63 is hereby amended by striking
6out “medical marijuana treatment center” and inserting in place thereof the following words:-
7 medical marijuana establishment
8 SECTION 3. Section 4 of chapter 64N of the General Laws is hereby amended by
9inserting after the words “medical marijuana treatment center” the following:-
10 , medical marijuana establishment,
11 SECTION 4. Section 1 of chapter 94I of the General Laws is hereby amended by striking
12the definitions of “Card holder”, “Cultivation registration”, “Locked area”, “Medical marijuana 2 of 9
13treatment center”, “Medical use marijuana”, “Medical use marijuana license”, “Registration
14card”, and “Temporary Registration”, and inserting the following definitions:-
15 “Card holder”, a registered qualifying patient, personal caregiver or agent of a medical
16marijuana establishment who has been issued and possesses a valid registration card.
17 “Cultivation registration”, a registration issued to a fully integrated medical marijuana
18treatment center or medical marijuana cultivator to grow medical use marijuana under the terms
19of this chapter, or to a qualified patient or personal caregiver.
20 “Fully integrated medical marijuana treatment center” a medical marijuana-related
21business licensed by the commission with the ability to cultivate, manufacture, process, and sell
22medical use marijuana to qualifying patients, personal caregivers, and medical marijuana
23establishments.
24 “Locked area”, a closet, room, greenhouse or other indoor or outdoor area equipped with
25locks or other security devices, accessible only to registered and authorized medical marijuana
26establishment employees, registered qualifying patients or registered personal caregivers.
27 ''Medical marijuana establishment'', a medical marijuana cultivator, medical marijuana
28product manufacturer, fully integrated medical marijuana treatment center, medical marijuana
29retailer or any other type of medical marijuana-related business licensed by the commission.
30 ''Medical marijuana treatment center'', the premises approved under a fully integrated
31medical marijuana treatment center license
32 “Medical use marijuana”, marijuana or marijuana accessories sold by a medical
33marijuana establishment or a fully integrated medical marijuana treatment center to a card holder 3 of 9
34for medical use or marijuana or marijuana accessories possessed by a qualifying patient under a
35cultivation registration.
36 “Medical use marijuana license”, a license issued by the commission that permits the
37licensee to operate a medical marijuana establishment or a fully integrated medical marijuana
38treatment center.
39 “Pre-existing Medical Marijuana Treatment Center,” a fully integrated medical marijuana
40treatment center licensed prior to the availability of medical marijuana cultivator, medical
41marijuana product manufacturer, and medical marijuana retailer license types.
42 “Registration card”, a personal identification card issued by the commission to a
43registered qualifying patient, personal caregiver, laboratory agent or agent of a medical
44marijuana establishment or a fully integrated medical marijuana treatment center. The
45registration card facilitates verification of an individual registrant's status, including, but not
46limited to, verification that a registered healthcare professional has provided a written or
47electronic certification to the qualifying patient; that the patient has designated the individual as a
48personal caregiver; that a laboratory agent has been registered with the commission and is
49authorized to possess and test marijuana; or that an agent has been registered with the
50commission and is authorized to work at a medical marijuana establishment or a fully integrated
51medical marijuana treatment center. A temporary registration issued to a qualifying patient shall
52be deemed a registration card.
53 “Temporary Registration” an interim registration document for patients and their personal
54caregivers generated automatically upon the commission's receipt of a healthcare professional's
55electronic certification. The temporary registration document shall constitute a registration card 4 of 9
56for patients and their personal caregivers to access a medical marijuana establishment or a fully
57integrated medical marijuana treatment center. Temporary registration shall expire 14 days after
58the commission issues the registration card.
59 SECTION 5. Subsection (c) of Section 2 of chapter 94I of the General Laws, is hereby
60amended by striking “medical marijuana treatment center” and inserting in place thereof the
61following words:-
62 medical marijuana establishment
63 SECTION 6. Section 2 of chapter 94I of the General Laws, is hereby amended by adding
64the following subsection:-
65 (f) The commission shall establish and enforce license tiers to make available separate
66license classes, including but not limited to: medical marijuana product manufacturer, medical
67marijuana cultivator, fully integrated medical marijuana treatment center, and medical marijuana
68retailer.
69 The commission shall have the power to encourage full participation in the medical
70marijuana industry by people from communities disproportionately harmed by cannabis
71prohibition and enforcement.
72 The commission shall promulgate or amend regulations as necessary to be consistent with
73this act not later than 270 days from the effective date of this act.
74 SECTION 7. Section 7 of chapter 94I, is hereby amended by striking the words “medical
75marijuana treatment centers" and inserting in place thereof the following words:- 5 of 9
76 medical marijuana establishments, and for any classes of license under subsection (f) of
77section 2 of this chapter,
78 SECTION 8. Chapter 94G is hereby amended, in section 1, by striking out the definitions
79of “Host community”, “Host community agreement”, and “Independent testing laboratory”, and
80inserting the following definitions:-
81 “Host community” a municipality in which a marijuana establishment or a medical
82marijuana establishment is located or in which an applicant has proposed locating a marijuana
83establishment or a medical marijuana establishment.
84 “Host community agreement” an agreement between a marijuana establishment or a
85medical marijuana establishment and a municipality pursuant to subsection (d) of section 3.
86 “Independent testing laboratory”, a laboratory that is licensed by the commission and is:
87(i) accredited to the most current International Organization for Standardization 17025 by a
88third-party accrediting body that is a signatory to the International Laboratory Accreditation
89Cooperation mutual recognition arrangement or that is otherwise approved by the commission;
90(ii) independent financially from any medical marijuana establishment or any licensee or
91marijuana establishment for which it conducts a test; and (iii) qualified to test marijuana in
92compliance with regulations promulgated by the commission pursuant to this chapter.
93 SECTION 9. Subsection (d) of Section 3 of Chapter 94G is hereby amended by striking
94out, in all instances, the words “marijuana establishment or medical marijuana treatment center”
95and inserting in place thereof the following words:-
96 marijuana establishment or medical marijuana establishment 6 of 9
97 SECTION 10. Clause (2)(iii) of Subsection (a) of Section 3 of Chapter 94G is hereby
98amended by striking out the words “medical marijuana treatment center” and inserting in place
99thereof the following words:-
100 medical marijuana establishment
101 SECTION 11. Subsection (f) of Section 3 of Chapter 94G is hereby amended by striking
102out “medical marijuana treatment centers” and inserting in place thereof the following words:-
103 medical marijuana establishments
104 SECTION 12. Clause (xx) of subsection (a½) of section 4 of Chapter 94G is hereby
105amended by striking out the words “medical marijuana treatment center” and inserting in place
106thereof the following words:-
107 medical marijuana establishment
108 SECTION 13. Clause (4) of subsection (c) of section 4 of Chapter 94G is hereby
109amended by striking out, in both instances, the words “medical marijuana treatment center” and
110inserting in place thereof the following words:-
111 medical marijuana establishment
112 SECTION 14. Clause (5) of subsection (c) of section 4 of Chapter 94G is hereby
113amended by striking out the words “medical marijuana treatment centers” and inserting in place
114thereof the following words:-
115 medical marijuana establishments 7 of 9
116 SECTION 15. Clause (xxxv) of subsection (a½) of section 4 of chapter 94G is hereby
117amended by striking out “medical marijuana treatment centers” and inserting in place thereof the
118following words:-
119 medical marijuana establishments
120 SECTION 16. Subsection (c) of Section 14A of Chapter 94G is hereby amended by
121striking out “medical marijuana treatment centers” and insetting in place thereof the following
122words:-
123 medical marijuana establishments
124 SECTION 17. Chapter 94G is hereby amended by striking out Section 16 and inserting in
125place thereof the following section:-
126 Section 16. No licensee shall be granted more than 3 marijuana retailer licenses, 3 fully
127integrated medical marijuana treatment center licenses, 3 medical marijuana retailer licenses, 3
128medical marijuana product manufacturer licenses, 3 medical marijuana cultivator licenses, 3
129marijuana product manufacturer licenses, or 3 marijuana cultivator licenses; provided, however,
130that a licensee may hold 3 marijuana retailer licenses, 3 medical marijuana retailer licenses, 3
131medical marijuana product manufacturer licenses, 3 medical marijuana cultivator licenses, 3
132marijuana product manufacturer licenses and 3 marijuana cultivator licenses, provided, however,
133that each fully integrated medical marijuana treatment center license shall be equivalent to 1
134medical marijuana retail license, 1 medical marijuana cultivator license and 1 medical marijuana
135product manufacturer license, and provided furthermore that a licensee holding 3 fully integrated
136medical marijuana treatment center licenses shall be prohibited from obtaining any additional
137medical marijuana-related licenses. 8 of 9
138 SECTION 18. The cannabis control commission may allow pre-existing fully integrated
139medical marijuana treatment centers the ability to amend their license, subject to the license limit
140established in section 16 of chapter 94G, after the exclusivity period established in Section 1A of
14194I has ended.
142 SECTION 19. Section 1 of chapter 94G of the General Laws is hereby amended by
143striking the definition of “Social equity business” and inserting the following definition:-
144 ''Social equity business'', a marijuana establishment or medical marijuana establishment
145with not less than 51 per cent majority ownership of individuals who are eligible for the social
146equity program under section 22 or whose ownership qualifies it as an economic empowerment
147priority applicant as defined by the commission's regulations promulgated pursuant to section 4.
148 SECTION 20. Chapter 94I is hereby amended by inserting after section 1 the following
149section:-
150 Section 1A. All medical marijuana establishment licenses, except for pre-existing
151medical marijuana treatment centers, shall be limited on an exclusive basis to businesses
152controlled by and with majority ownership comprised of economic empowerment applicants or
153social equity businesses for a period of 36 months from the date the first such license types
154receive a notice to commence operations; provided, however, that the commission may vote to
155extend that period following an evidence-based determination that the goal of the exclusivity
156period to promote and encourage full participation in the regulated medical marijuana industry
157by people from communities that have previously been disproportionately harmed by marijuana
158prohibition and enforcement of the law has not been met. 9 of 9
159 If data collected by the commission demonstrates progress toward the goals and
160objectives of the exclusivity period as set forth in this section and that demand by registered
161qualifying patients is likely to exceed the supply that could be provided by businesses that meet
162the exclusivity requirements during the exclusivity period, the commission may vote during the
163exclusivity period to allow the following additional businesses to own medical marijuana
164establishments:
165 Craft marijuana cooperatives as defined in 935 CMR 500.002
166 Massachusetts Minority Business Enterprises (MBE), Women Business Enterprises
167(WBE), and Veteran Business Enterprises (VBE) with valid certification from the Supplier
168Diversity Office provided for in Section 61 of Chapter 7.