Massachusetts House lawmakers have unanimously passed a bill to double the legal marijuana possession limit for adults and revise the regulatory framework for the state’s adult-use cannabis market.
The House of Representatives approved the legislation in a vote of 155-0 on Wednesday. If the Senate follows suit, which is expected this week, the proposal would head to the desk of Gov. Maura Healey (D), who could then sign or veto it, allow it to become law without her signature or propose amendments for lawmakers to consider.
A bicameral conference committee had spent months working out provisions of the legislation after both chambers passed differing versions last year, and the panel approved a compromise approach on Monday.
“The conference committee report before you lays out a great roadmap for cannabis regulatory structure in the commonwealth into the future,” Rep. Daniel M. Donahue (D), who co-chaired the bicameral panel, said on the House floor ahead of the vote.
The changes to the state’s cannabis regulatory structure will “create better accountability, better transparency and greater efficiencies in overseeing our cannabis industry,” he said. “We also worked on some massive regulatory changes to the industry. I think some of these regulatory changes have been a long time coming, and that’s something that we should be proud of that we’re undertaking to support our businesses.”
Donahue and Sen. Adam Gómez (D), who co-chaired the conference committee, said in a joint statement earlier this week that the agreement “charts a more promising path forward for cannabis regulation in our commonwealth.”
“The bill creates new opportunities for small businesses to grow, while providing those historically harmed by marijuana laws with temporary, exclusive access to those opportunities,” the lawmakers, who also serve as co-chairs of the legislature’s Joint Cannabis Policy Committee, said. “This bill will allow them to realize their capital and pursue innovative models such as employee-owned businesses.”
Among the proposed revisions to the state’s cannabis law is a section that would increase the personal possession limit for marijuana from one to two ounces. Colorado enacted the same reform in 2021 after that state’s cannabis market matured.
H.5350 would also reduce the size and revise the organization of the Cannabis Control Commission (CCC), while also updating limits on marijuana business licensing.
Under both chambers’ versions of the bill, CCC would be comprised of three members rather than the current five. The conference committee report adopts provisions from the House measure that would allow the governor to make all appointments, rather than the Senate approach to give one of the appointments to the attorney general. Under current law, the treasurer also plays a role in appointing commission members, but that will no longer be the case if the legislation is enacted.
The proposal requires that one member of CCC to have a background in social justice, while the other two commissioners need to have backgrounds in public health, public safety, social justice, consumer regulations or the production and distribution of cannabis.
The bill will also increase the amount of licenses that a single entity can possess from three to six, while additionally raising from 10 percent to 20 percent the threshold of much equity in a business is considered ownership for the purpose of counting toward the cap on licenses. It also removes a current requirement that medical cannabis operators be vertically integrated to simultaneously cultivate, manufacture and sell marijuana.
It additionally gives regulators the ability to allow dispensaries to advertise sales, discounts and customer loyalty programs inside of retail locations and by opt-in email, and it specifies that marijuana delivery operators can deliver to any municipality unless local officials proactively prohibit cannabis businesses and opt out of delivery.
The measure also creates a new portal for reporting illegal conduct and directs regulators to create a list of “delinquent” cannabis businesses that have not paid their debts to other operators for more than 60 days and prevents others from doing business with those on the delinquent list until debts are paid off.
The legislation additionally requires regulators to study and report on hemp-derived products, the public health impacts of cannabis, tax policy and workplace safety standards.
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The cannabis regulation bill’s passage comes as marijuana businesses in the state have filed a lawsuit aiming to block an initiative to roll back the state’s voter-approved legalization law from reaching the November ballot.
If passed, the state wouldn’t revert back to blanket prohibition; rather, it would repeal the commercial recreational sales and personal home cultivation components of the law while still allowing adults 21 and older to possess up to an ounce of cannabis for personal use.
Possession of more than one ounce but less than two ounces would be effectively decriminalized, with violators subject to a $100 fine. Adults could also continue to gift cannabis between each other without remuneration. Medical marijuana sales would remain legal.
The measure is currently before the legislature after supporters turned in an initial batch of signatures last year, and lawmakers have until May 5 to act on the proposal. If they choose not to enact it legislatively, the campaign would need to go through another round of petitioning and get at least 12,429 certified signatures by July 1 to make the November ballot.
Proponents faced skeptical questioning from lawmakers at a hearing of the Joint Committee on Initiative Petitions last month, with several raising concerns about the motivations behind the anti-marijuana measure and its implications for consumers and businesses.
A recent Bay State Poll from the University of Hampshire’s States of Opinion Project found that a majority of Massachusetts adults oppose the marijuana sales and cultivation repeal initiative.
Meanwhile, in November, the legislature’s Joint Cannabis Policy Committee advanced a bill that would require a study into legal barriers facing first responders who wish to use marijuana in compliance with state law.
Regulators would also need to look into the efficacy of marijuana in the treatment of anxiety, depression and post-traumatic stress disorder (PTSD). They would additionally examine laws and policies for cannabis use by police officers and first responders in other jurisdictions and “any other topics the commission deems relevant.”
The bill was reported out as lawmakers in a different committee approved separate legislation to provide employment protections for people who use marijuana. Another panel advanced a similar cannabis employment protections bill in September.
Meanwhile, the head of Massachusetts’s marijuana regulatory agency recently suggested that the measure to effectively recriminalize recreational cannabis sales could imperil tax revenue that’s being used to support substance misuse treatment efforts and other public programs.
To that point, Massachusetts recently reached another marijuana milestone, with officials announcing in February that the state has surpassed $9 billion in adult-use cannabis purchases since the market launched in 2018.
A report from the Cannabis Control Commission (CCC) found that legalization is achieving one of its primary goals: disrupting illicit cannabis sales as adults transition to the regulated market. It shows that among adults who reported past-year marijuana use, an overwhelming 84 percent said they obtained their cannabis from a licensed source.
Massachusetts lawmakers also recently assembled a bicameral conference committee to reach a deal on a bill that would double the legal marijuana possession limit for adults and revise the regulatory framework for the state’s adult-use cannabis market.
In December, state regulators also finalized rules for marijuana social consumption lounges.
CCC recently launched an online platform aimed at helping people find jobs, workplace training and networking opportunities in the state’s legal cannabis industry.
Separately, lawmakers are also advancing legislation to establish pilot programs for the regulated therapeutic use of psychedelics.
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