Policy Order Item Number 2024-162, regarding proposed amendments to the Cannabis Business Ordinance to add select HCA requirements so the city can waive the HCA requirement and zoning amendment to remove repackaging prohibition

Recent changes by the Massachusetts Cannabis Control Commission now allow for a waiver of the Host Community Agreement (HCA) requirement, offering an opportunity to streamline processes and reduce local approvals hurdles for both new and existing retail operators. Staff have identified a minor zoning amendment that would lift the prohibition on repackaging, aligning the City’s regulation with those of the Massachusetts Cannabis Control Commission.

This response proposes amendments to the Cannabis Business Permit Ordinance to incorporate select HCA requirements while pursuing the waiver option. Additionally, the minor zoning ordinance amendment has been included that suggests removing the repackaging prohibition.

Title 5 - BUSINESS LICENSES AND REGULATIONS

Chapter 5.50 CANNABIS BUSINESS PERMITTING

Cambridge, Massachusetts, Code of Ordinances

Page 1 of 7

Chapter 5.50 CANNABIS BUSINESS PERMITTING

Sections: 5.50.010 Purpose.

This ordinance is intended to create a separate local permitting requirement for Cannabis Retail Store, Registered Marijuana Dispensary (RMD) or Medical Marijuana Treatment Center (MTC), Cannabis Cultivator, Cannabis Product Manufacturer, Cannabis Microbusiness, Cannabis Courier Establishment, Cannabis Delivery Operator Establishment, or any other Cannabis Business as defined herein (collectively "Cannabis Business") applicants to certify compliance with certain conditions in the public interest prior to being permitted to operate a Cannabis Business in the City.

The City deems it to be in the public interest to give initial permitting preferences for Cannabis Businesses to Priority A Applicants, as defined herein. 5.50.020. Definitions.

"Cannabis Business." A Cannabis Retail Store, Registered Marijuana Dispensary (RMD) or Medical Marijuana Treatment Center (MTC), Cannabis Cultivator, Cannabis Product Manufacturer, Cannabis Microbusiness, Cannabis Courier Establishment, Cannabis Delivery Operator Establishment, or any other entity licensed by the Massachusetts Cannabis Control Commission to produce, transport or sell marijuana in the Commonwealth of Massachusetts. “Registered Marijuana Dispensary (RMD)” or “Medical Marijuana Treatment Center (MTC)”.

An entity licensed under 935 CMR 501.101 that acquires, cultivates, possesses, processes (including development of related products such as edible cannabis products, tinctures, aerosols, oils or ointments), repackages, transfers, transports, sells, distributes, dispenses, or administers cannabis or marijuana products, related supplies, or educational materials to registered qualifying patients or their personal caregivers for medical use in accordance with applicable state laws and regulations.

Unless otherwise specified, RMD or MTC refers to the site(s) of dispensing, cultivation, and preparation of cannabis or marijuana for medical use. "Cannabis Cultivator." An entity licensed by the Massachusetts Cannabis Control Commission as a Marijuana Cultivator to cultivate, process and package cannabis or marijuana, and to transfer cannabis or marijuana to other cannabis or marijuana establishments, but not to consumers.

A craft marijuana cooperative is a type if Marijuana Cultivator, pursuant to 935 CMR 500.000. "Cannabis Product Manufacturer." An entity licensed by the Massachusetts Cannabis Control Commission as a Marijuana Product Manufacturer to obtain, manufacture, process and package cannabis or marijuana products and to transfer these products to other cannabis or marijuana establishments, but not to consumers. "Cannabis Retail Store." An establishment authorized to sell or otherwise transfer cannabis or marijuana products to consumers for use off the premises, but not to cultivate, manufacture, process, or package cannabis or marijuana products, in accordance with applicable state laws and regulations.

A Cannabis Retail Store may be licensed to operate as a Cannabis or Marijuana Retailer or registered as a Medical Marijuana Treatment Center, formerly known as a Registered Marijuana Dispensary (RMD) (hereafter "MTC"), or both, in accordance with applicable state laws and regulations.