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HF2701 (Legislative Session 94 (2025-2026))

Office of Cannabis Management required to review all verified social equity applicants before reviewing general licensing applicants.

Related bill: SF2878

AI Generated Summary

Purpose of the Bill

The main objective of this legislation is to amend the process concerning how cannabis licenses are issued in the state of Minnesota. Specifically, it aims to prioritize social equity applicants in the cannabis licensing process.

Main Provisions

  • Priority Review for Social Equity Applicants:
    • The bill mandates that the Office of Cannabis Management must review all verified social equity applicants before considering general applicants for cannabis licenses.
  • Lottery System:
    • If the number of social equity applicants exceeds the available licenses designated for them, a lottery system will be employed to determine who receives preliminary license approval.
    • Social equity applicants not selected in this initial lottery are included in the general applicant pool, where another lottery is conducted if demand exceeds supply.
  • Impartial Process:
    • The lottery must be conducted in an impartial and random manner, as determined by the Office of Cannabis Management.
  • Notification of Lottery Results:
    • The office is required to inform applicants whether they have been selected or not after the lottery process concludes.

Significant Changes to Existing Law

This bill amends Minnesota Statutes Section 342.14, Subdivision 4, by creating a preferential review system for social equity applicants in the cannabis industry, established through a lottery when necessary, and ensures these applicants are given priority consideration before general applicants during each licensing period.

Relevant Terms

  • Cannabis licenses
  • Social equity applicants
  • Office of Cannabis Management
  • Lottery system
  • Preliminary license approval

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 23, 2025HouseFloorActionIntroduction and first reading, referred toCommerce Finance and Policy
March 23, 2025HouseFloorActionIntroduction and first reading, referred toCommerce Finance and Policy
March 31, 2025HouseFloorActionAuthor added

Citations

 
[
  {
    "analysis": {
      "added": [
        "A requirement for the Office of Cannabis Management to conduct a lottery if the number of social equity applicants exceeds available licenses."
      ],
      "removed": [
        ""
      ],
      "summary": "The bill requires the Office of Cannabis Management to prioritize verified social equity applicants over general applicants in the license review process under section 342.14, subdivision 4.",
      "modified": [
        "Ensures review of all verified social equity applicants before general applicants."
      ]
    },
    "citation": "342.14",
    "subdivision": "subdivision 4"
  }
]

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