Purpose of the Bill

The bill aims to regulate the purchase and sale of lower potency hemp edibles in Minnesota by allowing certain liquor wholesalers to engage in their distribution. This legislation seeks to establish a framework for the registration, operation, and regulation of these wholesalers to ensure compliance with state laws and consumer safety standards.

Main Provisions

• Wholesaler Authorization: Liquor wholesalers with valid licenses can purchase and sell lower potency hemp edibles. Authorization requires registration with the appropriate office.

• Registration Requirements: Wholesalers must register by April 1, 2025, using the forms provided by the office. Selling without registration is prohibited and subject to penalties.

• Approved Actions for Wholesalers: Registered wholesalers can:

  1. Purchase these edibles from licensed cannabis businesses.
  2. Sell to various retailers, including those with cannabis endorsements.
  3. Import edibles containing hemp concentrate from outside Minnesota.
  4. Perform other office-approved actions.

• Operational Compliance: Wholesalers must keep accurate records and maintain clean facilities. They must also comply with local health and safety regulations and can sell related products like industrial hemp and cannabis paraphernalia.

• Transportation Rules: The bill outlines transportation conditions, such as using tamper-evident and discreet packaging, maintaining shipping manifests, and documenting all logistics.

• Importation Conditions: Wholesalers may sell products manufactured outside Minnesota if those manufacturers meet comparable health and safety standards. The office can cancel a wholesaler's registration if they commit violations in other jurisdictions.

• Enforcement: The office can use various methods to enforce compliance, including administrative orders and penalties.

Significant Changes

• Introduction of Hemp Edible Wholesalers: The bill authorizes liquor wholesalers to expand their offerings to include hemp edibles, previously not within their licensed capabilities.

• Regulation Consistency: Ensures that out-of-state manufacturers comply with standards similar to Minnesota’s, fostering consistency and reliability in product safety.

• Increased Monitoring and Penalties: The bill institutes stricter monitoring and penalties to ensure adherence to laws governing the sale and transportation of hemp edibles.

Relevant Terms

• Lower potency hemp edibles
• Cannabis microbusinesses
• Registration
• Hemp concentrate
• Transportation and packaging
• Enforcement and compliance
• Importation and out-of-state regulation