S.B. 1118 — An Act Concerning Responsible and Equitable Regulation of Adult-Use Cannabis — would legalize possession and cultivation of cannabis for adults 21 and older and expunge thousands of past records. It replaces the unregulated illicit market with a taxed and regulated system of licensed cultivators, retailers, manufacturers, and delivery services and invests the bulk of tax revenues into disproportionately impacted communities. Half of new cannabis business licenses would be issued to social equity applicants, who could receive technical assistance, start-up funding, assistance from an accelerator program, and workforce training. S.B. 1118 also includes strong protections for public safety and deterrents for underage use.

The bill is sponsored by Sen. President Martin Looney and Speaker of the House Matt Ritter. It incorporates ideas from Gov. Ned Lamont’s S.B. 888, along with concepts from Rep. Robyn Porter’s H.B. 6377 (related to labor and equity) and input from lawmakers and advocates.

On June 7, the Senate approved the bill 19-17. It now heads to the House.

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Personal Liberty and Possession Limits

• Beginning on July 1, 2021, allows adults 21 and over to:
  • possess up to 1.5 ounces of cannabis or an equivalent amount of cannabis products or concentrates; and
  • possess up to five ounces of cannabis or an equivalent amount in a locked container in the person’s residence, the person’s locked glove box, or their vehicle’s trunk.
  • Equivalency: One ounce of cannabis is considered equivalent to five grams of cannabis concentrate or any other cannabis product with up to 500 milligrams of THC.
• Decriminalizes possession of fewer than five ounces on one’s person and fewer than eight ounces in their vehicle’s trunk or locked glove box, imposing a civil fine instead of possible jail time.
• Decriminalizes first-offense possession of more than five ounces on one’s person and more than eight ounces in one’s locked glove box or trunk, imposing a $500 fine for a first offense. A second offense is a class D misdemeanor, which has a maximum sentence of up to 30 days in jail and/or a fine of up to $250.
• Allows adults 21 and over to gift cannabis, within legal limits, to each other.
• Starting October 1, 2021, allows qualifying medical marijuana patients who are at least 18 to securely cultivate up to three mature and three immature plants in their homes.
• Starting July 1, 2023, allows all adults 21 and older to securely cultivate up to three mature and three immature plants in their homes. Includes a household cap of 12 plants.
  • Before that date, decriminalizes cultivating up to three mature and three immature plants. A first offense results in a written warning. A second offense carries a fine of up to $500, and a subsequent offense is a class D misdemeanor. Evidence for illegal home cultivation of that amount cannot be admitted if it was found in the context of any other investigation that was not specific to cannabis.
  • DCP will issues written recommendations to the legislature no later than January 1, 2023 on whether to continue to allow home cultivation, along with precautions to secure cannabis, how states are handling home cultivation, and other relevant public safety or regulatory issues.
• Legalizes possession and use of cannabis paraphernalia.
• Decriminalizes first offense of illegally manufacturing, selling, or possessing with intent to sell up to eight ounces.
• Eliminates odor of cannabis or burnt cannabis as a basis to stop or search.
• Eliminates suspected possession or possession of up to five ounces as a basis to stop or search.
• Prohibits prosecution for sale or possession when seeking medical assistance.
• Prohibits smoking, inhaling, or ingesting marijuana while driving or riding in a motor vehicle. Specifies that a motor vehicle cannot be stopped solely on that basis, which is important to prevent pretextual and otherwise unjustified stops based on smoking a cigarette or nicotine vape.

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Redresses Harms Caused by Prohibition and Unequal Enforcement 

• Beginning July 1, 2021, prohibits state-legal cannabis possession or use from being grounds for revoking parole, special parole, or probation except in cases where there is an individualized basis for finding that the person’s cannabis use would pose a danger.
• The Department of Consumer Protection (DCP) must return seized paraphernalia and drugs that do not violate the law.
• Beginning July 1, 2022, individuals can petition for erasure of prior convictions for possession, drug paraphernalia, and sale and manufacture of four or fewer ounces or six or fewer plants. If the petition is in order, it must be granted. No fee may be charged.
• Beginning January 1, 2023, provides for automatic erasures of convictions from January 1, 2000 through September 15, 2015 for possession of fewer than four ounces.
• Any person whose record has been erased can represent that the arrest or conviction did not occur.
• Prohibits landlords and property managers from:
  • refusing to rent to, or otherwise discriminating against, an existing or prospective tenant based on a past conviction in Connecticut for possessing specified amounts of cannabis, or in another jurisdiction for possessing four or fewer ounces of cannabis;
  • requiring tenants to submit to a drug test; and
  • banning non-inhaled use of cannabis at one’s rental home.
• Institutions of higher education may not deny individuals financial aid, student loans, or expel a student solely for possessing four or fewer ounces of cannabis.
• Starting on January 1, 2022, schools may not impose harsher discipline for students using, possessing, or selling, cannabis than they would impose for alcohol.
• Prevents state entities from denying professional licensing based on the legal use of cannabis, a conviction for no more than four ounces of cannabis, or work for a cannabis establishment.
• Prohibits all state agencies and political subdivisions from relying on a violation of federal law to take adverse action against a person.
• Prevents the following actions based on an individual testing positive for cannabis metabolites:
  • a person being denied organ transplants or other medical care, unless there is an evidence-based reason;
  • adverse action being taken by the Department of Children and Families, absent a risk of harm to the child; or
  • failing to give students educational opportunities, absent a federal requirement.
• Establishes a new impaired driving intervention program and a pretrial drug intervention and community service program.

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Protections to Prevent Underage Use

• Prohibits cannabis-related advertising in ways that target those under age 21.
• Imposes penalties on cannabis retailers or hybrid retailers who allow underage individuals to loiter or enter certain parts of the establishment.
• Makes it a class A misdemeanor for a person who is 23 or older to sell or give cannabis to a person who they know or should know is under 21.
• Cannabis establishment licensees who sell or deliver cannabis or cannabis products to people under age 21 are guilty of class A misdemeanors are punishable by up to one year in prison, a fine of up to $2,000, or both.
• By January 1, 2023, requires the Alcohol and Drug Policy Council to make recommendations to the governor and legislature on efforts to promote public health and science-based harm reduction, mitigate misuse and the risk of cannabis addiction, and effectively treat cannabis addiction with a particular focus on individuals under age 21.
• Makes it a class A misdemeanor for someone in control of a home or private property to allow someone under age 21 to possess cannabis there.

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Penalties for Underage Possession

Individuals age 18 to 20:

• First offense possession of less than five ounces or its equivalent: $50 fine, except the fine is waived if the individual attests to his or her indigence.
• Second offense or subsequent possession of less than five ounces: $150 fine, or as an alternative, the individual may perform six hours of community service for a private, nonprofit charity or other nonprofit organization (if the individual chooses community service, he or she must attest to completing that service and present confirming documentation).
• Possession of five ounces or its equivalent or more: First offense: $500 civil fine, except the fine is waived if the individual attests to his or her indigence. Subsequent offense: Class D misdemeanor (carries up to 30 days in jail and/or a fine of up to $250).
• All possession offenses: View and sign a statement acknowledging the health effects of cannabis on young people.
• Sixty-day suspension of the driver’s license or nonresident operating privilege for anyone under age 21 convicted of possessing any amount of cannabis.

Individuals under age 18:

• First offense possession of less than five ounces or its equivalent: a written warning and possible referral to a youth services bureau or other appropriate services.
• Second offense: mandatory referral to a youth services bureau or other appropriate services.
• Third or subsequent offense or possession of five ounces of more or its equivalent: adjudicated as delinquent in juvenile court.
• Does not allow arrests for minors in possession of cannabis.
• Sixty-day suspension of the driver’s license or nonresident operating privilege for anyone under age 21 convicted of possessing any amount of cannabis.

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Local Controls

• Prohibits host community agreements by municipalities, which have been detrimental to equity in Massachusetts.
• Allows municipalities to prohibit cannabis establishments from opening within their jurisdiction.
• Prohibits municipalities from banning cannabis delivery.
• Allows local referendum on whether or not to allow the sale of marijuana for adult use. To qualify for the ballot, 10% of voters must sign a petition.
• Allows municipalities to reasonably restrict cannabis establishments’ hours and signage.
• Allows municipalities to reasonably restrict cannabis establishments’ number or density. Until June 30, 2024, sets a maximum of one retailer and one cannabis micro-cultivator (which can sell at retail) per 25,000 residents, as determined by the most recent census. Beginning July 1, 2024, the DCP will set a new limit.
• Allows municipalities to restrict cannabis establishments’ proximity to religious institutions, schools, charitable institutions, hospitals, veterans’ homes, or certain military establishments.
• Allows municipalities, for the first 30 days after cannabis retailers or hybrid retailers open, to charge up to $50,000 for reasonable municipal costs for public safety services related to the opening (such as for directing traffic).
• Allows municipalities to establish fines of up to $50 for use of cannabis on under control of the municipality. Allows for fines of up to $1,000 for businesses violating a local public use ordinance.

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Public Health and Safety

Clean Indoor Air:

• Adds cannabis and hemp smoking and vaping to the areas where tobacco is restricted under the Clean Indoor Air Act.
• Expands the Clean Indoor Air Act’s ban on smoking and using e-cigarettes to include “any area” of a facility, building, or establishment, including outside areas that are within 25 feet of a doorway, operable window, or air intake vent, in addition to the premise’s interior, and “any area” of a retail establishment accessed by the public.
• Bans smoking and e-cigarette use in workplaces, regardless of the number of employees.

Road Safety: 

• Requires Police Officer Standards and Training Council (POST) and Department of Transportation (DOT) to increase the number of officers to be trained in advanced roadside impaired driving enforcement (ARIDE).
• Increases access to ARIDE training and drug recognition expert (DRE) training for police officers and law enforcement units.

Public Health: 

• Beginning in the fiscal year starting on July 1, 2023, 25% of cannabis excise tax revenue will be dedicated to the Prevention and Recovery Services Fund for substance abuse prevention, treatment and recovery services, and collection and analysis of data regarding substance use.
• Establishes a program within the Department of Public Health to collect information on cannabis-associated adverse events, injuries, and cannabis use poisoning.
• Caps the potency of cannabis that can be sold in the state, capping flower at 30% THC and all other products except pre-filled vape cartridges at 60%; these caps can be adjusted by regulators.
• Directs the Commissioner of the Department of Consumer Protection to craft health, safety, and security requirements, including:
  • prohibiting products designed to appeal to children;
  • restricting advertising, including banning ads with an audience that is more than 10% under the age of 21;
  • limiting servings to five mg of THC (other than medical cannabis) and requiring individual servings to be separate or demarcated;
  • requiring retailers to provide access to low-THC and high-CBD products;
  • prohibiting certain manufacturing methods, the addition of any additive with nicotine, and — unless approved by the department — added flavoring, terpenes or other additives; they may include pamphlets, packaging inserts, signage, online and printed advertisements and advisories and printed health materials;
  • requiring, in consultation with the Department of Mental Health and Addiction Services, that consumer health materials be posted or disseminated at retail locations;
  • labeling and packaging requirements, including a universal symbol and child-resistant packaging;
  • mandating lab testing and product tracking;
  • developing storage and transportation requirements and training and employment requirements;
  • giving DCP the authority to restrict forms of cannabis products and delivery systems for public health and consumer safety; and
  • requiring registration of cannabis brand names, which cannot be confusingly similar to the name of another product, obscene, associated with minors, or be an unfair or deceptive trade practice.

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Taxation

• The bill imposes an excise tax based on potency at the point of retail sale and exempts medical cannabis. The rate is:
  • $0.00625 per milligram of THC in raw, flower cannabis;
  • $0.0275 per milligram of THC in edibles; and
  • $0.009 per milligram of THC in other cannabis products.
• Until June 30, 2023, 100% of the excise tax would be directed to the General Fund. (Beginning on June 10, 2021, up to $50 million in bonds may be issued to fund start-up capital for social equity applicants, the cannabis business accelerator program, and workforce training developed by the Social Equity Council.)
• Starting on July 1, 2023 and thereafter, 25% of the excise tax would go to the Prevention and Recovery Services Fund.
• From July 1, 2023 until June 30, 2026, 60% of the excise tax would go to the Social Equity and Innovation Fund. On July 1, 2026, that would increase to 65%. Beginning on July 1, 2028, it would increase again, and would remain at 75%.
• The remainder of the tax — ranging from 15% in the last half of 2023 to 0% starting on July 1, 2028 — would go to the General Fund.
• The state’s standard 6.35% sales tax would also apply to cannabis sales.
• The bill imposes a 3% municipal gross receipts tax on the sale of cannabis and cannabis products. Municipal sales tax revenue must be used for one or more of the following:

1. Streetscape improvements and other neighborhood developments in communities where cannabis or hybrid retailers or micro-cultivators are located
2. Youth employment and training programs in these municipalities
3. Services for individuals living in these municipalities who were released from DOC custody, probation, or parole
4. Mental health or addiction services
5. Youth services bureaus
6. Community civic engagement efforts

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License and Regulatory Structure 

The Department of Consumer Protection would be charged with licensing and regulating cannabis businesses.

License Types and Numbers

No later than 30 days after the Social Equity Council identifies criteria and supporting documentation for social equity applicants, it may begin accepting applications from the following types of licenses:

1. retailer
2. hybrid retailer (which sells both adult-use and medical cannabis)
3. cultivator (which cultivate 15,000 square feet or more)
4. micro-cultivator (which start between 2,000 and 10,000 square feet)
5. product manufacturer
6. food and beverage manufacturer
7. product packager
8. delivery service
9. transporter

Before accepting applications, DCP will determine the maximum number of licenses of each type and post it on its website. Fifty percent of each license type are reserved for social equity applicants.

The department will establish the maximum grow space permitted by a cultivator and micro-cultivator. In doing so, it will seek to ensure an adequate supply.

On-site consumption is not initially allowed. By January 1, 2023, DCP will made recommendation on whether to authorize on-site consumption or events that allow cannabis usage.

License Fees

Existing Dispensaries

DCP will begin accepting applications from dispensaries to covert to also serve adult-use starting on September 1, 2021. To become a “hybrid retailer,” a dispensary must:

• Submit a detailed medical preservation plan on how it will prioritize medical cannabis access, including consumer traffic, supply shortages, staffing, and delivery.
• Pay a fee of $1 million, which can be reduced to $500,000 if they create at least one “equity joint venture.” “Equity joint ventures” must be at least 50% owned by a social equity applicant.

Existing Producers (Grower/Processors)

Sometime after July 1, 2021, DCP can authorize producers to also produce cannabis for adult use. To convert to also serve adult use, producers must:

• Pay a fee of $3 million, which can be reduced to $1.5 million if they create at least two “equity joint ventures,” which cannot be cultivators.
  • Equity joint ventures must be at least 50% owned by individuals from disproportionately impacted areas that are below the income thresholds. They are not subject to the lottery.
  • Producers may not own more than 50% of the equity joint venture for the first seven years.
  • If they fail to create at least two equity joint ventures, the producers must pay the full $3 million.
• Pay a fee of $500,000 to the social equity account or provide 5% of their grow space to a social equity applicant, mentor that business for five years, cover all necessary business costs for the social equity applicant, and require 100% of the profits be directed to the social equity applicant.
• Implement a DCP-approved medical cannabis preservation plan.
• Implement a Social Equity Council-approved workforce development plan.

Licensing Fees — Social Equity

Fees paid by social equity applicants who enter the lottery are 50% lower than the open licensing fees. They are:

1. A retailer or hybrid retailer fee to enter the lottery is $250, the fee for a provisional license is $2,500, and the fee for a final license or renewal is $12,500;
2. A cultivator fee to enter the lottery is $500, the fee for a provisional license is $12,500, and the fee for a final license or renewal is $37,500;
3. A micro-cultivator fee to enter the lottery is $125, the fee for a provisional license is $250, and the fee for a final license or renewal is $500;
4. A product manufacturer fee to enter the lottery is $375, the fee for a provisional license is $2,500, and the fee for a final license or renewal is $12,500;
5. A food and beverage manufacturer fee or delivery service fee to enter the lottery is $125, the fee for a provisional license is $500, and the fee for a final license or renewal is $2,500; and
6. A product packager fee to enter the lottery is $250, the fee for a provisional license is $2,500, and the fee for a final license or renewal is $12,500.

Licensing Fees — Open Licensing

Fees paid by other cannabis applicants and licensees are:

1. A retailer or hybrid retailer fee to enter the lottery is $500, the fee for a provisional license is $5,000, and the fee for a final license or renewal is $25,000;
2. A cultivator fee to enter the lottery is $1,000, the fee for a provisional license is $25,000, and the fee for a final license or renewal is $75,000;
3. A micro-cultivator fee to enter the lottery is $250, the fee for a provisional license is $500, and the fee for a final license or renewal is $1,000;
4. A product manufacturer fee to enter the lottery is $750, the fee for a provisional license is $5,000, and the fee for a final license or renewal is $25,000;
5. A food and beverage manufacturer, delivery service, or transporter fee to enter the lottery is $250, the fee for a provisional license is $1,000, and the fee for a final license or renewal is $5,000; and
6. A product packager fee to enter the lottery is $500, the fee for a provisional license is $5,000, and the fee for a final license or renewal is $25,000.

Licensing Fees — Staff and Backer

The license fee for a backer or key employee is $100; employee registrations for others are $50.

Licensing Qualifications

Individuals are disqualified from owning a cannabis establishment if they have a conviction within the last 10 years for money laundering, vendor fraud, insurance fraud, forgery, filing a false record, bribery, witness tampering, perjury, false statement on a certified payroll, bribery of a labor official, bribery of commercial bribe, receiving kickbacks, paying kickbacks, rigging, telephone fraud, identity theft, or willful tax evasion in any state.

Licensure Process

Licensing By Lotteries, With Social Equity First

If the application period for a license type closes and DCP received more than the maximum number of applications, a third-party lottery operator must conduct a lottery to select applications for DCP review.

The vast majority of new licenses will be issued by lottery. This provides an equal chance to all qualified applicants and avoids requiring unsuccessful applicants to spend large sums of money to apply. The lottery may include multiple separate geographic lotteries.

The lottery for social equity applicants is first. At least 50% of each new license type will be issued to social equity applicants. After that, a second lottery will include both unsuccessful social equity applicants and any other applicant.

In the lottery, every entrant will get a numerical ranking, including those who are not initially selected. After the lottery selects applicants, the Social Equity Council will verify that the winners qualify as a social equity applicant — without having any identifying information. If an applicant does not qualify, they will be entered into the open lottery provided they pay the other half of the lottery fee. For any applicant that does not qualify, the lottery operator will identify the next-ranked applicant who will then be reviewed.

The bill requires that all applicants selected in the lottery and not disqualified be provided a provisional license application.

Applicants must complete their applications within 60 days after they receive it, and the right to apply for a provisional license is nontransferable.

A provisional license expires after 14 months and is not renewable. A provisional licensee may apply for a final license during the initial application period. Final license application requires: 

1. A contract with an approved seed-to-sale vendor in accordance with the bill’s provisions;
2. A right to occupy the location where the cannabis establishment will be located;
3. Any necessary local zoning approval for the cannabis establishment;
4. A social equity plan;
5. A workforce development plan;
6. Written policies for preventing diversion and misuse of cannabis and sales to underage persons;
7. All other security requirements set forth by the department based on the specific license type;
8. A labor peace agreement entered into between the cannabis establishment and a bona fide labor organization; and
9. A certification that they are using a project labor agreement for construction projects of $5 million or more.

Only cannabis establishments with approved final licenses can begin operations. 

Social equity licenses cannot change ownership to non-social equity applicants until three years after final licensure, except in specific cases such as death or illness.

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Additional Cultivation License(s)

• The Social Equity Council will use funds from producers to assist social equity applicants in opening no more than two micro-cultivator licenses total, which producers shall provide mentorship for. It will select applicants without a lottery or request for proposals.
• Thirty days after the Social Equity Council posts criteria for social equity applicants, the department will open a three-month application period for social equity applicants to apply for provisional cultivator licenses in a disproportionately impacted area. These applicants shall be granted a license if the applicant pays a $3 million fee to the Social Equity and Innovation Fund. (This problematic provision is in Sec. 149.)
• Micro-cultivators can apply to expand their grow space by 5,000 square feet per year. The maximum size for a micro-cultivator is 25,000 square feet. At that point, they may apply for a cultivator license, without undergoing a lottery process.

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Social Equity and Industry Inclusion

• DCP must reserve 50% of the maximum number of applications that must be considered for eligible license types for social equity applicants.
• Social equity applicants receive a 50% reduction in license fees for the first three renewal cycles.
• A “social equity applicant” is defined as an applicant for a cannabis establishment license that is either at least 65% owned and controlled by one or more individual who lived in a disproportionately impacted area for either at least five of the past 10 years of nine of their first 17 years of life.
  • A disproportionately impacted area is a census tract that has either an unemployment rate of over 10% or that has a high rate of drug arrests over the past 40 years.
  • Social equity applicants must also have a median income for the last three years that was no more than triple the state’s median income.
  • The Social Equity Council can add additional criteria to the definition.
• Creates $50 million in bonding for initial funding for start-up capital for social equity applicants, the cannabis business accelerator program, and workforce training developed by the Social Equity Council.
• Beginning on July 1, 2023, directs from 60% to 75% of the cannabis excise tax revenue will be directed to the Social Equity and Innovation Fund. Those funds can be used to promote social equity in relation to access to capital for businesses, funding workforce education, and funding for community investments.

Within 45 days after bill passage, the Social Equity Council must establish criteria for proposals for an independent third party to conduct a study addressing the following issues, in relation to Connecticut:

1. Historical and current social, economic, and familial consequences of cannabis prohibition, the criminalization and stigmatization of cannabis use, and related public policies;
2. Historical and current structures, patterns, causes, and consequences of intentional and unintentional racial discrimination and disparities in the development, application, and enforcement of this prohibition and related public policies;
3. Foreseeable long-term social, economic, and familial consequences of unremedied past racial discrimination and disparities arising from past and continued cannabis prohibition, stigmatization, and criminalization;
4. Existing patterns of racial discrimination and disparities in access to entrepreneurship, employment, and other economic benefits arising in the state’s medical marijuana sector; and
5. Any other matters that the council deems relevant and feasible to study for making reasonable and practical recommendations for establishing an equitable and lawful adult-use cannabis business sector.

By January 1, 2022, taking into account the study’s results, the Social Equity Council must make recommendations to the governor and the General Law, Judiciary, and Finance, Revenue and Bonding committees for legislation to implement these social equity provisions. The recommendations must address:

1. Creating programs to ensure that individuals from disproportionately harmed communities have equal access to cannabis establishment licenses;
2. Specifying additional qualifications for social equity applicants;
3. Providing for expedited or priority license processing for social equity applicants for retailer, hybrid retailer, cultivator, micro- cultivator, product manufacturer, food and beverage manufacturer, product packager, and delivery service licenses;
4. Establishing minimum criteria for cannabis establishments licensed on or after January 1, 2022 that are not owned by a social equity applicant to comply with an approved plan to reinvest or provide jobs and training opportunities for individuals in disproportionately affected communities;
5. Establishing a social equity plan for any cannabis business licensed on or after January 1, 2022;
6. Recruiting individuals from these communities to the workforce training program established under the bill;
7. Potential uses for revenue generated under the bill to further equity;
8. Encouraging participation by investors, cannabis establishments, and entrepreneurs in the cannabis business accelerator program established under the bill;
9. Establishing a process to best ensure that social equity applicants have access to the capital and training needed to own and operate cannabis establishments; and
10. Developing a vendor list of women- and minority-owned businesses that cannabis establishments may contract with for necessary services, such as office supplies, information technology infrastructure, and cleaning services.

The Social Equity Council, by October 1, 2023, is required to report to the governor and Judiciary Committee on arrest and conviction data for cannabis possession, including a breakdown by town, race, gender, and age.

• Expands the Angel Investor Tax Credit to allow investors to claim a 40% income tax credit for credit-eligible investments in these businesses, imposes a $15 million per fiscal year cap on these credits.
• Establishes a Cannabis Business Accelerator program to provide technical assistance to accelerator licensees by partnering social equity licensees who wish to participate with a cannabis establishment. It may partner with a unit of a state college or university to create the program.
• Requires the Social Equity Council to partner with regional workforce development boards to develop workforce training boards, partner with training providers, and create apprenticeship programs across the state.

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Tribal Governments

• The governor may enter into cannabis-related agreements or compacts with the Mashantucket Pequot Tribe and/or the Mohegan Tribe of Indians.

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Protecting Medical Cannabis Patients

• Beginning on October 1, 2021, allows medical marijuana patients who are at least 18 to securely grow up to three mature and three immature cannabis plants in their homes.
• Allows patients and caregivers to possess up to five ounces of marijuana.
• Allows DCP to add qualifying medical conditions without further legislative approval or delay.
• Prohibits hybrid retailers (that serve adults and medical patients) from converting to serve adult-use patients only outside of lottery process.
• Starting September 1, 2021, the bill permits dispensary facilities and hybrid retailers to apply to DCP to provide delivery services to qualifying patients and caregivers (1) using their own employees or an available delivery service, and (2) delivering marijuana only from their own inventory.
• Starting October 1, 2021, the bill eliminates current law’s requirement that qualifying patients (or parents or guardians of patients who are minors) designate a dispensary facility or hybrid retailer as their exclusive location to purchase medical marijuana.
• Before June 30, 2022, prohibits the department from approving a dispensary relocation that is further than 10 miles from the current location.
• Until June 30, 2023, allows DCP to deny a change of location for a dispensary facility or hybrid retailer because of patient needs.
• Requires hybrid retailers (medical dispensaries that can also serve adult-use consumers) to (1) maintain a licensed pharmacist on-site when the retail location is open to the public or to qualifying patients and caregivers, (2) include a space for pharmacists to hold private consultations with qualifying patients and caregivers, (3) provide an approved medical cannabis preservation plan to ensure against supply shortages of medical marijuana product, and (4) accommodate an expedited entry method that allows priority entrance for qualifying patients and caregivers.

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