Oregon marijuana business applications are open and we put together some info

This year is starting off with a big bang for the State of Oregon.  Oregon now has 3 taxed products in its books (see the article here).  Oregon has also now opened its application process (January 4th 2016) to license Labs, Producers, Processors, Wholesalers and Retailers for the first Oregon licensed adult use marijuana businesses.

It would appear from the OLCC they will be going through and approving the applicants in that order.  Also the application will remain open and there isn’t a time limit for an applicant.  An applicant can apply for as many licenses as he/she chooses or an applicant can be tied to multiple entities with no restrictions.

The current residency requirement for Oregon marijuana business applications remains that an Oregon resident with residency dating back two years maintains majority ownership and the remaining 49% can be held by out of state applicants.  The Oregon legislation will be looking at the residency language and possibly be removing it for out of state parties in this years short session.

Hopefully you have addressed all your members, the structure of the business, and registered with the State of Oregon and you’ve received your registry number.

If you’re a producer or any other entity above and are ready to apply the State of Oregon has really done a fantastic job at providing potential businesses all the information you would need.  (below are some bullet points outlining where this information can be found)

  1. We can start here with the Business Ready Guide. (Found here). This will walk you through getting your business ready and what issues you should address to allow for a smooth application process.
  1. A great presentation (found here) and a video (found here) on how to apply through the actual application portal and a high overview of some of the rules that are located on the frequently asked questions page.
  1. Oregon has listed all there required document sections on their website (found here).  These documents will be required depending on what license type you apply for.

“ALL” applicants will be required to complete the following documents below.

Land Use Compatibility Statement (LUCS)
Marijuana Business Operating Plan
Marijuana Premises Floor Plan
Marijuana Premises Boundary SketchOregon marijuana applications

Producer applicants will need to complete the following documents along with the “ALL” applicant documents above.

Marijuana Cultivation Plan
Marijuana Canopy Area Designation
Electricity and Water Use Estimate
Marijuana Cultivator Energy Use Calculator (Dept. of Energy)

Processor applicants will need to complete the following documents along with “ALL” applicant documents above.

Marijuana Processor Endorsement
Marijuana Processor Product Description
Food (Safety) Processing Licensing (Dept. of Agriculture)

Retailers will only need to provide the “ALL” applicant documents above.

We recommend and suggest applicants with locations that are compliantly zoned and whose companies meet the residency requirements apply sooner than later.  From our experience, these things take time and erroring on the side of caution when submitting lengthy documents would be encouraged.

If you’re not able to apply and are still dealing with unforeseen setbacks that prevent your project from progressing, like being located in areas that have banned marijuana businesses or missing the residency requirements.  All these scenarios have compliant workarounds and require creativity, additional time, and resources.  Unfortunately in these situations time is usually against you and projects should be addressed with a since of urgency.  With the application window open, no closing date and the order they are licensing applicants this will allow you a small grace period, but not much and for producers the season is approaching fast.

This industry is already difficult enough with the constant changing landscape, the business restrictions you face, and considering how competitive the Oregon market is.  The margin for error is increasingly small in this industry and in Oregon the margin may just be a little bit smaller.  One of the ways you can avoid these risks is by doing your due diligence and finding the right resources for your project.

By |2018-02-27T15:46:02+00:00January 8th, 2016|- Oregon, Application & Licensing, Cultivation, RMMCblog|0 Comments