How To Get A Marijuana License In South Dakota

HOW TO GET A MARIJUANA LICENSE IN SOUTH DAKOTA-2

How To Get Your Marijuana License in South Dakota

South Dakota went from zero to a hundred with its cannabis laws! – Going from not having any kind of legalization to passing two new bills that allow both medical and recreational marijuana in the state, you can finally get a marijuana license to operate in South Dakota.

South Dakota voted to pass Amendment A that legalized recreational marijuana by a 54-46% of the vote. Measure 26 to legalize medical marijuana also passed, but by a wider 70 to 30% margin.

The cannabis market is opening in the state, it is your opportunity to start preparing your license application to open your cannabis business. Don’t forget, the cannabis industry it’s very tricky and has many complicated regulations. We have all the details you need to be aware of if you are interested in getting a cannabis license in South Dakota

Regulations are still being drafted, so we can expect many changes in the following years. The Department of Revenue  is the regulating authority for the recreational cannabis program in South Dakota, in charge of the license applications, while the MMJ program would be regulated by South Dakota’s Department of Health .

RELATED POST: SOUTH DAKOTA MARIJUANA LAWS

RELATED POST: ARIZONA MARIJUANA DISPENSARY APPLICATION

When are Marijuana License Applications Open in South Dakota

South Dakota legalization will become the law on July 1, 2021. The Department of Revenue will be charged with developing licensing regulations by April 1, 2022.

Types of Marijuana Licenses to Apply in South Dakota

For recreational marijuana program, the licenses available in South Dakota according to Amendment A, are:

  • License permitting to cultivate, process, manufacturer, transport and sell marijuana to marijuana wholesalers;
  • Licenses permitting independent marijuana testing facilities to analyze and certify the safety and potency of marijuana;
  • License permitting to package, process and prepare marijuana for transport and sale to retail sales outlets;
  • License permitting retail stores to sell and deliver marijuana to consumers.
  • Other types of licenses could be established by the department

The license available for the medical marijuana program, Measure 26:

  • License for medical marijuana dispensaries would be regulated by South Dakota’s Department of Health. Local government may establish a limit to the number of medical cannabis establishments in its locality

What are the number of licenses allowed for the Cannabis industry in South Dakota?

South Dakota didn’t set a state wide capped number of licenses, contrary to many other states in the United States like Illinois and Arizona.

Although it does not have a statewide limit for the number of licenses approved neither for medical marijuana businesses nor for adult-use businesses, cities may govern their own numbers.

How much does a  Marijuana License in South Dakota cost?

Of course the cost of a cannabis license will depend on what type of licence you want to get for your operation. We still don’t have a number for the cost of the Licenses since the regulations are still in the writing process.

Amendment A states that by April 2022 the Department would have to issue the necessary regulations for procedures of licenses, renewal, suspension and revocation of licenses, including application, qualifications and fees, so stay tuned!

What Are the Requirements to be able to Apply for a Marijuana License in South Dakota?

Regarding the requirements to apply for a cannabis  HOW TO GET A MARIJUANA LICENSE IN SOUTH DAKOTA​license in South Dakota, by April 2022 the Department would have to have set:

  • Qualifications for licensees;
  • Security requirements, including lighting and alarm requirements, to prevent diversion;
  • Testing, packaging, and labeling requirements, including maximum tetrahydrocannabinol levels, to ensure consumer safety and accurate information;
  • Restrictions on the manufacture and sale of edible products to ensure consumer and child safety;
  • Health and safety requirements to ensure safe preparation and to prohibit unsafe pesticides;
  • Inspection, tracking, and record-keeping requirements to ensure regulatory compliance and to prevent diversion;
  • Restrictions on advertising and marketing;
  • Requirements to ensure that all applicable statutory environmental, agricultural, and food and product safety requirements are followed;
  • Requirements to prevent the sale and diversion of marijuana to persons under twenty-one years of age

Taxes in South Dakota for Marijuana

The amendment imposes a 15% tax on marijuana sales. The tax revenue will be used for the Department’s costs, with remaining revenue equally divided between the support of public schools and the State general fund

Here is Constitutional Amendment A that legalizes recreational Marijuana in South Dakota:

AmendmentAhow-to-get-your-cannabis-license-in-South-Dakota

Here is Measure 26 that legalizes MMJ in South Dakota:

Measure26How-to-get-your-marijuana-license-in-south-dakota

How to Start Preparing Your Marijuana Application

First of all, you need the right 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 South Dakota, 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 South Dakota 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.

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

If you are not sure how to make your application complete, you can contact the right attorney who will help you create the right plan for your application process when you want to open a cannabis dispensary in Arizona.

Key point about South Dakota’s CONSTITUTIONAL AMENDMENT A AND MEASURE 26

South Dakota legalization will become the law on July 1, 2021. The Department of Revenue will be charged with developing licensing regulations by April 1, 2022.

Home grow in South Dakota?

  • Measure 26: MIN 4 plants
  • Amendment A: 3 plants per adult, 6 per  household IF you live in an area with no licensed retail store

Social Equity in South Dakota Cannabis Laws?

Bare Minimum Criteria Towards Restorative Justice:

  • Expungement? NO
  • Social Equity Provisions? NO
  • Portion of Taxes Allocated to Community? NO

Cannabis Possession Rules in South Dakota

  • Measure 26: MAX 3 oz
  • Amendment A: MAX 1 oz

Licenses Available:

Amendment A:

  • License permitting to cultivate, process, manufacturer, transport and sell marijuana to marijuana wholesalers;
  • Licenses permitting independent marijuana testing facilities to analyze and certify the safety and potency of marijuana;
  • License permitting to package, process and prepare marijuana for transport and sale to retail sales outlets;
  • License permitting retail stores to sell and deliver marijuana to consumers.
  • Other types of licenses could be established by the department

Measure 26:

  • License for medical marijuana dispensaries would be regulated by South Dakota’s Department of Health. Local government may establish a limit to the number of medical cannabis establishments in its locality

License Windows

  • Amendment A states that by April 2022 the Department would have to issue the necessary regulations for procedures of licenses, renewal, suspension and revocation of licenses, including application, qualifications and fees.
  • Time periods could not exceed 90 days, by then the Department must have issued a response on the application, either accepting or rejecting it.
  • No state wide capped number of licenses – cities may govern their numbers.

Don’t miss out on our Marijuana Legalization Map where you can browse the current status of laws in every state in the United States and see all our posts on each of them.

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