HF4570

Cannabis microbusiness outdoor cultivation limit increased.
Legislative Session 94 (2025-2026)

Related bill: SF4876

AI Generated Summary

Purpose

  • Change how large cannabis microbusinesses can grow and sell cannabis by adjusting cultivation limits and creating related rules for hemp products and retail. The bill aims to align microbusiness capacities with market demand and the state’s stated goals for cannabis regulation.

Main Provisions

  • Indoor cultivation limit
    • A cannabis microbusiness with an indoor facility may cultivate up to 5,000 square feet of plant canopy.
    • The regulatory office may increase or decrease this limit in each licensing period to meet market demand, but must not set it below 5,000 square feet.
  • Outdoor cultivation limit
    • A cannabis microbusiness with an outdoor site may cultivate up to half an acre (0.5 acre) of mature flowering plants.
    • The office may adjust this limit in each licensing period to meet market demand, but must not set it below half an acre.
  • Hemp product manufacturing limit
    • The office shall set a limit on manufacturing lower-potency hemp edibles or hemp-derived consumer products by a cannabis microbusiness.
    • This limit must be equal to the amount of cannabis flower that can be harvested from a facility using 5,000 square feet of canopy in a year, unless the office expands the allowable cultivation area under the indoor limit (a).
  • Retail location
    • A cannabis microbusiness with the appropriate endorsement may operate one retail location.

Significant Changes to Existing Law

  • Establishes minimums for microbusiness cultivation (indoor: 5,000 sq ft; outdoor: 0.5 acre) while allowing the regulatory office to adjust limits upward to meet market demand.
  • Ties hemp product manufacturing caps to the indoor canopy size, creating a year-by-year growth cap based on the 5,000 sq ft standard, with potential adjustment if indoor area expands.
  • Introduces an endorsement-based path for a microbusiness to operate a single retail location.
  • Keeps adjustments and goals aligned with broader state objectives described in section 342.02 subdivision 1.

Relevant Terms - cannabis - cannabis microbusiness - indoor facility - plant canopy - 5,000 square feet - outdoor location - half an acre (0.5 acre) - mature flowering plants - office (regulatory body) - market demand - goals identified in section 342.02 subdivision 1 - licensing period - lower-potency hemp edibles - hemp-derived consumer products - manufacturing limit - endorsement - retail location - Minnesota Statutes 2024 section 342.28 subdivision 2

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 23, 2026HouseActionIntroduction and first reading, referred toCommerce Finance and Policy

Citations

 
[
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "This bill amends Minnesota Statutes 2024 section 342.28, subdivision 2, governing cannabis microbusiness size limitations, by adjusting indoor and outdoor cultivation caps and related manufacturing limits.",
      "modified": [
        "Indoor plant canopy limit increased to up to 5,000 square feet, with the commissioner empowered to adjust the limit in each licensing period to meet market demand, but not below 5,000 square feet.",
        "Outdoor cultivation limit set at up to 0.5 acres of mature flowering plants, with the commissioner permitted to adjust the limit in each licensing period, but not below 0.5 acres.",
        "Manufacturing limit for lower-potency hemp edibles or hemp-derived products is tied to the amount of cannabis flower that can be harvested from a facility with a 5,000 square foot canopy and may be increased if the office expands cultivation area.",
        "Authorizes a cannabis microbusiness with the appropriate endorsement to operate one retail location."
      ]
    },
    "citation": "342.28",
    "subdivision": "Subd. 2"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "This bill references Minnesota Statutes 342.02, subdivision 1, as the source of goals guiding the office's adjustments to marijuana licensing parameters.",
      "modified": [
        "Cross-references the goals identified in 342.02, Subd. 1 to justify market-demand-based adjustments; does not itself modify the underlying text of 342.02."
      ]
    },
    "citation": "342.02",
    "subdivision": "Subd. 1"
  }
]

Progress through the legislative process

17%
In Committee
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