Minnesota Lawmakers Pass Cannabis Bill Merging Medical & Adult-Use Supply Chains

The Minnesota House voted 92-42 on Sunday to pass the Senate-approved HF4203, an omnibus cannabis proposal aimed at relieving some of the industry’s regulatory restraints, according to a House Public Information Services report.

State Rep. Jessica Hanson (D), the bill’s sponsor, called the legislation a “collaborative effort” that aims to “right-size” the state’s medical cannabis licensing issues.

The proposal eliminates the state’s current combination medical and adult-use cannabis license and sets a new plant canopy cap of 38,000 square feet for indoor cultivation, down from the current maximum of 90,000 square feet for combination licenses, with 60,000 square feet reserved for medical cannabis products. The bill creates a new cannabis microbusiness license in turn, which will be available starting in 2027.

“With the changes we see here, we’re fixing all the litany of problems this market has, opening up a little more opportunity so that people can succeed and we can have a thriving market that isn’t dominated by just a few players.” — Rep. Nolan West (R), in the report

Due to amendments added in a House committee, Senate lawmakers reconsidered and passed the updated proposal on Sunday, 34-33.

Other changes in the bill include new rules allowing companies to hold both hemp and cannabis business licenses, and laying out the first steps toward a potential therapeutic psilocybin program.