Cannabis Business Directory

OR – Frequently Asked Questions-Licensing

OR

Q:  What licenses will be available?
A:   The measure lists four types of recreational marijuana licenses: Producer, Processor, Wholesaler, and Retail. A producer is also known as the grower. A processor is a business that will transform the raw marijuana into another product or extract. Processors are also responsible for packaging and labeling of recreational marijuana. A wholesaler is a business that buys in bulk and sells to resellers rather than to consumers. A retailer is a business that sells directly to consumers. The Oregon Legislature also created a license for the laboratories that test marijuana. The OLCC will issue licenses to labs that are certified by the Oregon Health Authority.
 
Q:  When will the OLCC begin accepting license applications?
A:   The OLCC will begin accepting license applications for recreational marijuana on January 4, 2016. It will be an online-only application process.
 
Q.  How will OLCC decide how to grant or deny license applications?
A.  Undetermined at this point. The OLCC is in the process of writing the rules necessary to implement Measure 91. The agency has appointed an advisory committee that will write the rules and send its recommendations to the Commission sometime this fall for approval.
 
Q.  If I want to apply for a recreational marijuana license, what should I do now?
A.  Be patient. The OLCC won’t be accepting applications until January 4, 2016. In the meantime, to keep up-to-date on the process, click here.
 
Q:  How much are the licensing fees?
A:  Undetermined at this point. Measure 91 established an annual license fee of $1,000 plus a non-refundable application fee of $250 per license application. However, the Oregon Legislature made the determination that license fees need to cover the cost of the recreational marijuana program. That means fees are likely to be higher than what Measure 91 envisioned, but how much higher remains to be seen.
 
Q:  How many licenses can I have?
A:  A licensee may hold multiple licenses and multiple license types.
 
Q:  Can an out-of-state resident hold an Oregon recreational marijuana license?
A:  There is a two-year state residency requirement for all recreational license applicants. See House Bill 3400 for more information.
 
Q:  Who will be eligible for a marijuana license?
A:  Anyone over 21 years of age and older will be eligible for a recreational marijuana license if they meet certain conditions outlined in section 29 of Measure 91. Under those conditions, the OLCC may refuse a license if it believes the applicant:

Is in the habit of using alcoholic beverages, habit-forming drugs, marijuana, or controlled substances to excess.

Has made false statements to the commission.

Is incompetent or physically unable to carry on the management of the establishment proposed to be licensed.

Has been convicted of violating a general or local law of this state or another state, or of violating a federal law, if the conviction is substantially related to the fitness and ability of the applicant to lawfully carry out activities under the license.

Has maintained an insanitary establishment.

Is not of good repute and moral character.

Did not have a good record of compliance with sections 3 to 70 of this Act or any rule of the commission adopted pursuant thereto.

Is not the legitimate owner of the business proposed to be licensed, or other persons have ownership interests in the business which have not been disclosed.

Is not possessed of or has not demonstrated financial responsibility sufficient to adequately meet the requirements of the business proposed to be licensed.

Is unable to understand the laws of Oregon relating to marijuana or the rules of the commission.

Q:  What if my city/county wants to go “dry?”
A:  Measure 91 states that local governments may not prohibit licenses in their jurisdiction except with a vote at a general election. Measure 91 allows local governments to adopt reasonable time, place and manner restrictions to regulate public nuisance. The Oregon Legislature created an additional provision that allows certain local governments to opt out of the program depending on how the jurisdiction voted on Measure 91.
 
Q:  What kinds of testing will OLCC require?
A:  Undetermined at this point. Under Measure 91, the OLCC has the authority to set testing requirements, but this is a policy question that will be determined during the rule-making process.