What Are the Cannabis Licensing Requirements in Pennsylvania? (April 2024)

Pennsylvania legalized medical marijuana use in 2016 through the enactment of the Pennsylvania Medical Marijuana Act. Oversight of commercial cannabis activities falls under the purview of the Commonwealth's Department of Health. Residents qualifying for a medical marijuana prescription are those with a “serious medical condition,” meeting certification requirements outlined in the Act. The list of qualifying conditions is extensive, encompassing over 15 specific ailments such as Parkinson’s disease, post-traumatic stress disorder, and autism.

For any medical cannabis organization to operate in Pennsylvania, it must first secure a permit from the Department, available for growers/processors and dispensaries. Application submission and payment of the requisite fee are initial prerequisites for permit consideration, with provisions for organizations relocating to Pennsylvania.

Once granted a permit, a grower/processor or dispensary becomes subject to additional regulations governing the production, manufacturing, and sales of medical marijuana products. Growers or processors, for instance, are restricted to indoor, enclosed, secure facilities equipped with electronic locking systems and surveillance, all situated within the Commonwealth. Similarly, dispensaries are confined to dispensing in indoor, enclosed, secure facilities, with a mandated distance of at least 1000 feet from schools or daycare centers. Compliance with State law is paramount, and permit holders must also adhere to relevant municipal zoning or land-use requirements.

In June 2021, Governor Tom Wolf signed medical marijuana legislation (HB 1024) extending certain policies implemented during the COVID-19 pandemic. Notable provisions include the continuation of cannabis curbside deliveries, the allowance for patients to obtain a 90-day cannabis supply, and the indefinite removal of the cap on the number of patients a caregiver can serve. HB 1024 also maintains policies that eased restrictions on criminal background checks for medical cannabis workers. Furthermore, patients are now permitted to purchase three times the previous limit of cannabis, and language directing chronic pain patients towards more hazardous painkillers has been eliminated.

While Senator Sharif Street introduced SB 107 on January 22, 2021, seeking to decriminalize up to 30 grams of cannabis, the bill awaits a scheduled hearing. An amendment from Senator Street proposing the cultivation of up to five plants for personal use by patients aged twenty-one and older was rejected. Additionally, two bills for cannabis decriminalization introduced in the House and Senate are yet to receive hearings. The prospect of a bipartisan bill for marijuana legalization, subject to a thirteen percent retail tax with the option for municipalities to add a two percent retail tax, remains under consideration. Popular support for marijuana legalization in Pennsylvania stands at 60 percent among residents.

Types of Marijuana Cultivation Licenses in Pennsylvania

Pennsylvania, having legalized medical marijuana in 2016 through the Pennsylvania Medical Marijuana Act, solely issues the medical marijuana grower/processor permit for cannabis cultivation. The state's Department of Health oversees the issuance of permits and regulates the cultivation processes. Prospective growers and processors must adhere to established standards set by the Department. Key requirements include:

• Security Measures

  • Effective security and control mechanisms on cultivation premises to prevent diversion, abuse, and illegal conduct.

• Zoning Compliance

  • Adherence to municipal zoning requirements, following the same standards as other marijuana facilities in the respective region.

• Diversity Plan

  • A plan demonstrating inclusivity and involvement of individuals from diverse backgrounds.

Eligibility Criteria

Age Restriction

• Only adults aged 18 and above are eligible for marijuana grower/processor permits.

Felony Restrictions

• Individuals convicted of felony offenses related to controlled substances may face restrictions but could be eligible after specific periods.

No Cultivation for Patients

• Pennsylvania doesn't permit medical marijuana patients to cultivate cannabis.

Application Process

While applications for marijuana cultivation licenses are currently closed, the application process typically involves:

• Completion of the application form and relevant attachments.
• Submission of a redacted version of the application online.
• Payment of initial fees, including a non-refundable deposit of $10,000 and a refundable permit fee of $200,000.

Applications are mailed to the Office of Medical Marijuana, and the Department of Health assesses and awards permits based on merit.

Cost of Marijuana Cultivation Licenses

Applicants must submit the following fees:

• Non-refundable initial deposit: $10,000
• Permit fee: $200,000 (refundable if the permit is not granted)
• Proof of capital: At least $2,000,000, with $500,000 deposited in a financial institution.

The renewal fee for a medical marijuana grower permit is $10,000, refundable if the renewal is not granted. Applicants should stay informed about application phases, and all information is regularly updated on the Department of Health's website.

Conclusion

Navigating the landscape of cannabis cultivation licenses in Pennsylvania requires a comprehensive understanding of the state's regulations and a commitment to compliance. The sole cultivation license available, the medical marijuana grower/processor permit, demands adherence to stringent security measures, zoning requirements, and a commitment to diversity. Eligibility is restricted to adults over 18, with considerations for individuals with felony convictions after specified durations. The application process, though currently closed, involves meticulous documentation and substantial fees. As the state periodically opens application phases, aspiring cultivators must stay vigilant for updates on the Department of Health's website. Pennsylvania's commitment to evolving legislation, seen in recent amendments addressing curbside deliveries and patient supply caps, underscores the dynamic nature of the cannabis industry in the state. For those aspiring to venture into marijuana cultivation, a keen awareness of evolving regulations and a readiness to meet stringent criteria will be essential for success in this rapidly growing sector.