Purpose of the Bill

The bill aims to modify the application requirements for obtaining and renewing cannabis licenses in Minnesota. It seeks to ensure a comprehensive disclosure process by applicants and to provide clearly defined criteria for obtaining a cannabis business license.

Main Provisions

• Application Requirements: The bill outlines the necessary information that applicants must provide when applying for a cannabis license. This includes personal identification details, ownership information, business plans, and operational strategies.
• Disclosure Obligations: Applicants must disclose ownership interests and control details, including any past bankruptcies or violations of laws. This is to ensure transparency and accountability in the licensing process.
• Business Operations: Applicants need to submit detailed business plans, covering aspects like the size of the business and its expected growth, security measures, operational procedures, and compliance with labor peace agreements.
• Social Equity Considerations: The application process encourages social equity applicants by allowing them to submit proof of their status, which may confer certain benefits or considerations.
• Labor Relations: An attestation from a labor organization confirming a labor peace agreement is required, promoting better labor relations within the cannabis industry.

Significant Changes to Existing Law

• Expanded Disclosure: The bill introduces more rigorous requirements for disclosing ownership and management structures, including relationships to parent companies and historical involvement in cannabis businesses.
• Detailed Financial Reporting: Applicants must provide explanations of funding sources, financial obligations, and details of investment accounts, enhancing financial transparency.
• Commitments as Ongoing Conditions: Any commitments made in the application, such as maintaining a labor peace agreement, become continuous conditions for holding the license.

Relevant Terms

• Cannabis license
• Application requirements
• Disclosure of ownership
• Business plan
• Social equity applicant
• Labor peace agreement
• Financial transparency