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MN OCM NEWS

OCM released new packaging and labeling guidance for cannabis and hemp-derived THC products, including downloadable versions of the required warning symbols.

Note from Jen: I have heard confusion about whether these need to be in color, or can be in black & white. They must be in color to be compliant.

Adult-Use Licensing Update

As of September 2, 2025, OCM reported that it had issued 22 licenses to micros and none to other license types. In a recent meeting with OCM, we talked about that it would be helpful if they also provided the approved endorsements for these awarded licenses (retail, cultivation, and/or manufacturing).

Also, there are still no approved testing facilities, though 10 have been preliminarily approved, up from 9 two weeks ago.

OCM is accepting applications for cannabis event organizer licenses and cannabis testing facility licenses (only).

Report from the Cannabis Advisory Council (CAC)

From Maren Schroeder, Managing Principal/Director Advocacy & Public Affairs, Blunt Strategies; CAC Member, Patient advocate who is a patient enrolled in the Medical Cannabis Program

CAC Moves Forward on Testing, Labeling, Taxes, and Medical Cannabis Policies

Minnesota’s Cannabis Advisory Council (CAC) met September 4 to tackle critical industry issues as the state edges closer to adult-use sales. With licensing activity picking up and the first testing facilities expected soon, council members focused on bottlenecks, regulatory inefficiencies, and legislative fixes needed before the 2026 session.

Licensing & Market Launch Update

The Office of Cannabis Management (OCM) reported 25 microbusiness licenses issued so far, most of them cultivators, along with one manufacturer and several retailers in capped jurisdictions. Licensing of two cannabis testing facilities is expected in the coming weeks, seen as a turning point for launching adult-use sales. Tribal compacts are also moving forward, with tribal cultivation expected to play a key role in supplying the market early on .

Industry Health Workgroup Recommendations

The Industry Health Workgroup advanced several proposals to address pressing operational barriers:

• Testing Capacity – With only two labs currently operating in Minnesota and a statutory deadline requiring all hemp edibles to be tested in-state by January 2026, the workgroup warned of a looming bottleneck. They recommend allowing accredited out-of-state labs to test lower-potency hemp edibles, licensing out-of-state labs under Minnesota authority, and creating a temporary variance to prevent shutdowns.

• Labeling Requirements – Current law requires excessive license numbers and prohibits QR codes for mandatory info. The workgroup urged OCM to revisit labeling, remove redundant license number requirements, and reauthorize QR codes to streamline packaging.

• Supply Chain Unification – Members pushed for merging the medical and adult-use supply chains, calling the current bifurcated system inefficient and confusing for patients. They also recommended phasing out the Medical Combination (MedCombo) license, which allows grows three times larger than other cultivators and was created without stakeholder input. The phase-out would be tied to meeting a medical sales ratio set by OCM, with incentives for other licensees to serve patients.

• LPHE Wholesaler Fees – The group also recommended reducing annual wholesaler fees from $10,000 to $1,000, aligning with manufacturer fees, to avoid pricing small distributors out of the market.

Intergovernmental Workgroup Recommendation

The Intergovernmental Workgroup took aim at Minnesota’s 15% cannabis excise tax, raised earlier this year from 10% and now the highest in the Midwest. Members warned the tax hike will fuel the illicit market and alienate local governments who lost their 2% revenue share. The council voted to recommend returning the rate to 10% with 2% allocated to local governments.

Medical Workgroup Recommendation

The Medical Workgroup raised concerns about conflicts of interest when pharmacists or consultants are employed by cannabis businesses. Patients often face duplicative consultations when switching retailers. Recommendations include:

• Recording all consultations in the state registry (with dosage and delivery notes).

• Creating independent, state-funded pharmacist positions to provide unbiased patient consultations.
  These changes would require legislative approval in 2026.

What’s Next

The OCM emphasized that while some of these recommendations fall outside its direct authority, the agency is preparing legislative proposals for 2026, including its own mandate to develop a supply chain unification plan. Although the CAC does not have specific authority to bring legislation, the CAC’s positions—particularly on testing, taxation, and medical access—will shape OCM’s agency proposal process and give industry stakeholders key advocacy points heading into the next session. 

Takeaway for Industry: The CAC is signaling urgency around lab capacity, labeling efficiency, tax fairness, and medical program integrity. Operators should prepare for a 2026 legislative push on these issues and consider engaging with lawmakers now to ensure workable solutions for Minnesota’s market launch.

Note from Jen: Thanks so much for this hot-off-the-presses window into the CAC’s work, Maren!

MN CANNABIS NEWS

Willmar has approved two additional adult-use retailers, reports Willmar Radio

The Worthington Planning Commission approved 3 dispensary permits, which now go to the city council, reports the Worthington Globe

Minnesota DEED is looking to recruit roughly 100 community members to serve as grant reviewers for competitive workforce development grant programs. Small stipends provided.

Jen was on the Potent.mn podcast! Click the link below to see the magic in action.

Don’t miss the Legacy Cup! This year it is on Sat., Sept. 27, with an Industry Night event the night before.