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How To Get a Cannabis License in Mississippi: An Expert Guide

Introduction

Mississippi became the 37th state that legalized medical marijuana thanks to its medical marijuana initiative! Get ready to learn all about Mississippi Weed Laws as we discuss how to get your marijuana business license in Mississippi!

Current Status of Cannabis in Mississippi

Mississippi voters approved medical marijuana Initiative 65 in 2020 after approving Ballot Measure 1 to allow medical marijuana by about 68% of the vote – 32% against. A huge vote for public health by the people. Since then, the Mississippi legislature has taken further action to ensure its medical program provides for debilitating medical conditions after the state supreme court invalidated certain aspects of the medical marijuana laws.

Gov. Tate Reeves pushed legislators on possession limits for cannabis products but the governor signed the legislature’s bill when they threatened to override his veto. After approving the ballot measure, the votes picked Initiative 65 with about 74% of the vote calling for medical cannabis dispensaries.

Debilitating medical condition for Mississippi Medical Marijuana include:

  • Human Immunodeficiency Virus
  • Severe Injury
  • Persistent Muscle Spasms
  • Sickle Cell Disease
  • Acquired Immune Deficiency Syndrome
  • Post-traumatic Stress Disorder

It proposes to amend the Mississippi Constitution to allow qualified patients with debilitating medical conditions, as certified by Mississippi licensed physicians, to use medical marijuana. This amendment would allow medical marijuana to be provided only by a state health department licensed medical cannabis establishment.

The Mississippi Medical Cannabis Act, as it is now known, is headed to Gov. Tate Reeves with supermajority approval in both the House and Senate. The House enacted a version of the act that slightly modified the altered version that the House sent back to the Senate on January 19, 2022, by a vote of 103-13.

Gov. Reeves has the option of signing the bill into law, allowing it to sit for five days, after which it would become law, or vetoing the bill, which will almost certainly be overturned by the act’s supermajority support in both chambers of the legislature. Medical marijuana is officially legal in Mississippi.

A full version of the act passed in the form of a conference committee report, is here.

RELATED POST: MISSISSIPPI MEDICAL MARIJUANA LAWS

Types of Cannabis Licenses to Apply in Mississippi: 

The Mississippi State Department of Health is in charge of the licensing. They are issuing all of the licenses except for the Medical Cannabis Dispensary License, which will be issued by the Mississippi Department of Revenue. The different types of licenses are:

1. Medical Cannabis Dispensary
  • Application Fee: $15,000
  • Annual License Fee: $25,000

2. Cannabis Cultivation Facility (tiered system)

Tier 1: Canopy size of 1,000 square feet or less

  • Application Fee: $1,500
  • Annual License Fee: $2,000

Tier 2: Canopy size larger than 1,000 square feet but less than 2,000 square feet

  • Application Fee: $2,500
  • Annual License Fee: $3,500

3. Mississippi Cannabis Processing Facility (Micro-Processors) Tier 1 to 3: Processes less than 2,000 lbs or up to 3,000 of dried biomass cannabis material annually.

(Fees Vary depending on the License Tier or the amount of dried biomass cannabis you intend to process annually)

  • Application Fee: $2,000 – $15,000
  • Annual License Fee: $3,500 – $20,000

4. Mississippi Cannabis Cultivators Tier 1 to 6 : For Canopy size of 2,000 square feet to more than 100,000 square feet

(Fees Vary depending on the Canopy Size)

  • Application Fee: $5,000 – $60,000
  • Annual License fee: $15,000 – $150,000

5. Mississippi Cannabis Transportation Entity

  • Application Fee: $5,000
  • Annual License Fee: $7,500

6. Mississippi Cannabis Disposal Entity

  • Application Fee: $5,000
  • Annual License Fee: $7,500

7. Mississippi Cannabis Testing Facility

  • Application Fee: $10,000
  • Annual License Fee: $15,000

8. Mississippi Cannabis Research Facility

  • Application Fee $10,000
  • Annual License Fee: $15,000

Application Requirements

To apply for a cannabis license in Mississippi, you will need to submit the following required documentation:

  • Regulatory Compliance Plan
  • Accounting & Tax Compliance SOP
  • Inventory Control/Storage/Diversion Prevention SOP
  • Adverse Events SOP
  • Quality Assurance/Control SOP
  • Sampling and Testing of Cannabis SOP
  • Remediation of Failed Batches SOP
  • Operating Plan
  • Security Measures

Please note that additional documentation may be required based on the specific license type and regulations. It is important to carefully review the application guidelines provided by the Mississippi Cannabis Commission.

How Many Marijuana Business Licenses in Mississippi?

Mississippi didn’t set a statewide capped number of licenses for medical cannabis establishments, contrary to many other states in the United States like Illinois and Arizona. The Mississippi State Health Department will set rules to govern cannabis cultivation facilities and the medical cannabis program in the state.  The state health department will help medical practitioners create a medical cannabis program that provides for a safe and accessible program.

Taxes in Mississippi for Marijuana

According to the state’s Secretary of State website:

A Mississippi sales tax of 7% will be collected upon every sale, except sales for cannabis sold for medicinal purposes and for industrial hemp which will be exempt from taxation. Sales License Fees and annual locality fees are to be retained by the locality.

Mississippi Medical Marijuana Act

Can Municipalities Ban Marijuana Businesses in Mississippi?

No town or county government can ban a medical marijuana business from operating in the municipality or county unless the medical marijuana business is within 500 feet of a church or school, according to the constitutional amendment passed by Initiative 65.

In reality, the Initiative specifies that a medicinal marijuana business can operate in any location where a pharmacy is permitted. Also, pay attention to municipal regulations, some cities will have rules that can be more beneficial or very restrictive for your business. Be sure you are assisted when choosing your location

How to Start Preparing My Marijuana Business License Application

First of all, you need a Comprehensive Cannabis Business Plan. As part of the program, you will clarify what kind of dispensary you want to open, how long you plan to operate in Mississippi, and what the main points of your business are.

If you are starting your cannabis business and want more focus, we recommend our pitch deck course, it would be a great opportunity for you to start envisioning your cannabis dispensary.

When applying for a cannabis license in Mississippi or any state, the most important part of the process is going with the regulations when it comes to the application form. It is always smart to consult an attorney about the regulations in a specific state.

Key Points on Mississippi Initiative 65

Initiative 65 passed by about 68% of the vote – 32% against. After approving the ballot measure, the votes picked Initiative 65 with about 74% of the vote.

Not all the laws are the same across the US states, but most of them fall under the same category. Next, remember that application requirements, data required, and specific information about your business should always be carefully prepared when you apply for a dispensary license.

Home grow?

  •     NO
Bare Minimum Criteria Towards Restorative Justice:
  • Expungement? NO
  • Social Equity Provisions? NO
  • A portion of Taxes Allocated to Impacted Communities? No

Possession Limits

  •     Up to 1 oz of flower or 8 grams of concentrate
Here are some updates on Mississippi Cannabis Legalization 

About the Author

Tom Howard, a Cannabis Industry Lawyer and Consultant. Mr. Howard has practiced commercial law since 2008 when he graduated from law school and got his Series 7 & 66 Securities licenses. He pivoted to practicing litigation for financial institutions before helping cannabis teams form, capitalize, and get licensed. He has concentrated on the cannabis business since Illinois legalized it in 2019. He won licenses for clients in Illinois, Connecticut, New Jersey, New Mexico, Massachusetts, Missouri and has gotten into lotteries in Ohio, Maryland, and Maine. He became a Certified Ganjier in 2021. He chairs the ISBA’s section council for Cannabis Law in 2023.

Thomas Howard

Thomas Howard

Licensed to practice since 2008, Thomas Howard has represented numerous financial institutions in litigation to enforce their security interests.
Homegrown Cannabis Co's Cannabis Seeds
Thomas Howard

Thomas Howard

Licensed to practice since 2008, Thomas Howard has represented numerous financial institutions in litigation to enforce their security interests.

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