Minnesota proposes legalizing recreational cannabis

The proposed budget for the 2023 session that includes legalizing recreational cannabis in the state was released by Tim Walz, first reported by CBS Minnesota.

Prohibition doesn't work. The One Minnesota Budget proposal creates a new agency, the Cannabis Management Office, which will be responsible for the implementation of a new regulatory framework to legalize marijuana and hemp-derived products along with the medical cannabis program.

The proposal says that the office will be headed by a director appointed by the Governor and will receive advice from a Cannabis Advisory Council that includes experts, local governments, the cannabis industry, and relevant state agencies.

The duties of the office will include :

To establish and update standards for product testing, packaging and labeling, as well as to update standards for product testing, packaging, and labeling.

The proposal requires the Department of Health to engage in research and data collection activities to measure the prevalence of marijuana use and cannabis related products in the state by people younger than 21 years of age and persons 21 years of age or older.

Gov. Walz and Lieutenant Governor Flanagan also recommend funding for the safe and responsible legalization of recreational cannabis in the state, such as grants to help people entering the legal marijuana market, additional resources for marijuana treatment and prevention of substance use disorder, and additional resources to launch statewide educational campaigns on adverse health effects associated with cannabis use, expungement of non-violent cannabis-related offenses, and adult cannabis excise taxes.

The recreational use of cannabis will be subject to a new 15% gross receipts tax and state sales tax with retail sales beginning January 1, 2025. A 15% gross receipts tax would be imposed on retail sales of edible cannabinoid products beginning October 1, 2023. A Division of Social Equity at the Office of Cannabis Management will work to promote equity and inclusion in the development and implementation of the regulatory systems in order to address the inequities created by the current cannabis prohibition system, beginning with the elimination of non-violent marijuana related offenses.

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