Potential Changes to Dispensary Location Transfers on the Horizon

New rules are coming under review by the MMC.

By Isabella Wisinger

Photo courtesy of the Arkansas Cannabis Industry Association.

Three new addendums to Section V of the Dispensary Application, Licensing, and Renewal rules have been outlined and submitted to the Medical Marijuana Commission (MMC). According to Scott Hardin of the Department of Finance and Administration, these addendums have not been reviewed yet, and can reasonably be expected to come under consideration at the MMC’s Dec. 12 meeting. If the MMC decides to move forward with the proposed revisions, there will be a 30 day public comment period and public hearing. The Arkansas Legislative Council will also have to approve of the revisions before they become codified.

The addendums concern dispensary location transfers. If approved, the proposed changes will require dispensaries to give prior notification to local leaders and property owners in the area they may be moved to. This allows local parties to provide feedback that will be evaluated by the MMC when it make decisions on whether to approve dispensary location transfers. The idea is to further promote public interest by opening up the floor for discussion amongst entities and private citizens who may be affected.

Proposed additions e, f, and g to Section V read as follows:

e. In determining whether an application requesting a transfer of location would promote
the public interest, the commission may consider, among other relevant factors, the
following:

i. The number of patients in the proposed location seeking to use medical
marijuana;
ii. The number of existing medical marijuana permits in the proposed area and
whether such area is adequately served by existing outlets;

iii. The suitability of the proposed location including such factors as possible traffic
hazards or traffic congestion, character of surrounding neighborhood and
related factors;
iv. The potential impact of the proposed location on churches, schools, or other
establishments open to the public holding themselves out as uniquely catering
to children in the surrounding area;
v. Input from the county judge and the mayor of the municipality in which the
proposed location is situated; and
vi. Opposition or support comments from adjacent property owners or nearby area
residents to any application. Any group may register their support or opposition
to a pending application by submitting petitions to the commission. Petitions
will be received by the ABC division only if delivered by mail or hand delivered
to the agency. Petitions must refer to a specific application that is pending
before the commission. A petition in opposition or support that has been filed
on a particular application that has been acted on by the commission may not
be used for any other applications.

f. Upon receipt by the ABC Director of an application for transfer of location, written
notice thereof, which shall include a copy of the application, shall be mailed by the
ABC Director to the County Judge of the county in which the new location is situated,
and to the Mayor, if within an incorporated area. No permit shall be issued by the
Director until at least thirty (30) days have passed from the mailing by the Director of
the notices required by this rule.
g. No application requesting transfer of location may be acted on and no license issued to
any applicant until the application has been in the possession of the commission and
proper notice has been so posted at a permitted premise, an applicant shall:

i. Post a notice of the application on a form approved by the commission in a
conspicuous place at the front entrance to the premises to which the permit is
to be transferred for a period of at least thirty (30) days; and
ii. Notify the commission of the date on which such notice is first posted.

If the MMC decides to move forward with these revisions, they could become effective in the first quarter of 2025.