The legislation creates the Office of Cannabis Management, a new state agency, which will oversee adult-use and lower-potency hemp edible markets as well as the Minnesota Medical Cannabis Program. The legislation sets up the structure to regulate and manage cannabis sales, and appropriates money for youth prevention, education and addiction recovery programs, grants for cannabis businesses and farmers, plus other measures.
The legislation funds a wide range of initiatives across Minnesota’s state agencies. For instance, funding at the Minnesota Department of Health targets prevention and education efforts (including for media campaigns); funding for data collection; and grants for local and Tribal public health departments to support education, technical assistance and outreach.
- Go to the Legislation (Chapter 63, HF 100).
Key points
- Adults 21 and older will be able to legally use and possess certain amounts of cannabis in Minnesota effective Aug. 1, 2023; however, cannabis is still illegal on federal property.
- Hemp-derived cannabinoid products will continue to be allowed.
- The legislation allows people 21 and older to grow a limited amount of cannabis at home for personal use.
- The tax on cannabis product sales will be 10% in addition to state and local sales taxes. Local governments will not collect an additional cannabis-specific tax. Learn more at the Department of Revenue's webpage on Cannabis Tax.
- The cannabis tax revenue will be split 80% for the state’s general fund and 20% to local government aid.
- Minnesota will continue to have a medical cannabis program.
- Medical cannabis product sales are not taxed.
- Local governments can limit the number of cannabis retailers to one for every 12,500 residents.