Rhode Island Bill Would Remove Cannabis License Residency Requirements

A bill introduced in Rhode Island seeks to remove the state’s residency requirements for cannabis businesses, which led to a judge halting the state’s industry licensing process last month.  

The legislation would remove language from the state’s legalization law that requires cannabis business owners to be Rhode Island residents and that a state resident own at least 51% of the business. The proposal also removes some social equity language, including designating “disproportionately impacted” areas for social equity licenses; however, the proposal does broaden the definition of a social equity applicant to include applicants with at least 51% control of a company that has been “disproportionately impacted by criminal enforcement of cannabis laws,” including any arrest or conviction for any cannabis offense from any jurisdiction that occurred prior to May 25, 2022 for conduct that is now legal under the adult-use law.  

If approved, the law would require the state Cannabis Control Commissions (CCC) to restart the licensing process under the new rules within 60 days of the bill becoming law.   

The measure is currently in the House Corporations Committee, which last week recommended the bill be held for further study.  

Despite an appeal from the CCC against the judge’s decision to pause the licensing process, the order remains in effect.