Things are a bit chaotic in Minnesota’s cannabis industry in regards to social equity applicants (“SEA”), so I want to provide some highlights of where things are today:

Because the pre-approval process is being scrapped, there will be only one SEA lottery for each of the capped licenses. This SEA lottery will include those applicants who made it through the pre-approval process, those SEAs who corrected errors in their applications, and SEAs who are applying for licensing for the first time. (If you were supposed to be part of the pre-approval lottery, I’m sorry to say your odds of winning just went down.) Any SEAs who were not selected in the SEA lottery will have their names put in the general lottery which will be open to non-SEAs as well.

Besides the disappointment of those who made it to the pre-approval lottery, this puts Minnesota’s cannabis industry in further turmoil because of the changing timelines. As of now, here is the timeline as outlined by OCM today:

 

We are now looking at the lotteries for capped licenses to take place until May or June 2025. Even after that, a winning applicant must still pass a background check, secure a physical location and conduct needed build-out, updated application to reflected secured location, obtain city zoning approval, and pass OCM’s final inspection of physical location.

There are a lot of moving parts, and things continue to remain fluid. We will, of course, continue to monitor and try to spread information as it comes in. If you have any questions, please don’t hesitate to contact me.