Signed into law on April 17, 2024 by Governor Beshear, House Bill 829 makes several changes to Kentucky’s medical cannabis law, including the licensing timeline, opt-outs by local jurisdictions, and inspections and provisional registration for patients. The Cabinet for Health and Family Services has also issued new proposed regulations setting forth the process and requirements for applications for cannabis businesses licenses.

One of the most striking features of Kentucky’s new medical cannabis regulatory scheme is the adoption of a limited license structure, deviating from previous expectations of a more open medical market in Kentucky. HB 829 accelerates the licensing process by six months, meaning the application period will begin on July 1, 2024 and end on August 31, 2024. If applications outnumber available licenses, which is certain to occur, licenses will be awarded through a lottery system.

The Kentucky Cannabis Team at Dentons will host a webinar on June 4, 2024 at 2 pm EST to help cannabis businesses understand how to apply for a Kentucky medical cannabis business license. Cannabis attorneys Hannah King, Kristin McCall, Arin Aragona and Jason Ams will cover common questions about the licensing process, including:

• What are the timelines and processes for licensing?
• What are the business license categories and how many licenses will be available in each category?
• What type of supporting documentation does your business need to meet all licensing requirements to ensure that you qualify for the lottery?
• How should your business entity be structured? What type of business license is required?
• What location information, site plan and timeline for starting is required as part of a license application?
• What are the application costs? What constitutes proof of sufficient capital for an application? How much are initial and annual license fees?
• Where can medical cannabis businesses be located? What happens if the local authority bans medical businesses in a municipality where you planned to locate?

About the presenters:

Hannah King is a partner in Dentons’ Cannabis Law Practice Group. For almost a decade, Hannah has been advising clients across the country in the hemp and cannabis space on complicated licensing and regulatory matters and complex commercial and financial transactions.

Arin Aragona is a partner in the Corporate, Private Equity and Cannabis practice groups in Dentons’ Louisville office. Prior to joining Dentons, Arin was general counsel and chief operating officer of a boutique private equity firm primarily focused on the US cannabis industry.

Kristin McCall is a partner in the Commercial Litigation practice group, where she represents clients in state and federal courts in various litigation matters. Her practice includes helping cannabis businesses navigate the often complex and constantly evolving cannabis laws at the local and state levels regarding licensing and permitting, regulatory compliance and related litigation. Kristin practices out of Dentons’ Louisville office.

Jason Ams is a partner in Dentons’ Lexington, Kentucky office and practices in Lexington, Louisville and the surrounding counties. He works with individuals, companies and state and local agencies regarding a wide range of litigation and regulatory issues. Jason advises cannabis business clients on statutory and regulatory requirements for licenses and operations as well as local ordinance compliance and agency requirements.

If you have any questions, please feel free to reach out to marnie.grumbach@dentons.com.