CHAPTER 420h

REGULATION OF ADULT-USE CANNABIS

Table of Contents

Sec. 21a-420. Definitions.

Sec. 21a-420c. License required for sale, offering or delivery of cannabis. Definitions. Penalties. Enforcement powers of commissioner, Attorney General and municipalities.

Sec. 21a-420d. Social Equity Council established. Membership. Powers. Study. Recommendations. List of disproportionately impacted areas. Duties. Bylaws. Reports and plans. Conduct and ethics.

Sec. 21a-420e. Timeline for initial applications for licensure. Fees for licenses. Disclosure of application information.

Sec. 21a-420f. Account and funds.

Sec. 21a-420g. Review of applications by Social Equity Council. Maximum number of applications. Lotteries. Rankings to be confidential. Disqualification. Provisional license. Final license.

Sec. 21a-420h. Regulations re sale or change in ownership of control of cannabis establishment license awarded to social equity applicant. Policies and procedures. Enforcement.

Sec. 21a-420j. Creation of equity joint ventures by cultivator. Requirements. Limitations. Fees.

Sec. 21a-420m. Creation of equity joint ventures by producer. Requirements. Limitations. Fees.

Sec. 21a-420n. Cultivator license.

Sec. 21a-420o. Provisional cultivator license for social equity applicants. Final license. Location outside of disproportionately impacted area. Conversion to micro-cultivator license.

Sec. 21a-420p. Micro-cultivator license.

Sec. 21a-420q. Regulations re maximum grow space. Policies and procedures.

Sec. 21a-420r. Retailer license.

Sec. 21a-420s. Hybrid retailer license.

Sec. 21a-420t. Conversion of dispensary facility license to hybrid retailer license. Real-time uploads to prescription drug monitoring program required. Delivery of cannabis or medical marijuana.

Sec. 21a-420u. Workforce development plan required for conversion to dispensary facility to hybrid retailer. Equity joint ventures: Application, approval requirements and limitations. Fees.

Sec. 21a-420z. Delivery service and transporter licenses. Expansion of authorized activities. Regulations and policies and procedures. Registration of delivery service employees.

Sec. 21a-420aa. Social equity applicants. Withdrawal of cultivator application and submission of micro-cultivator application.

Sec. 21a-420bb. Social equity applicants and provisional cultivator licensees. Withdrawal of cultivator application and submission of micro-cultivator application.

Sec. 21a-420cc. Social equity applicants. Cultivator or micro-cultivator facility outside of disproportionately impacted area permitted. Requirements.

Sec. 21a-420dd. Temporary cannabis operator license.

Sec. 21a-421a. Registration requirement for employees of cannabis establishment, cannabis testing laboratory or research program. Licensure requirement for backers, key employees and certain authorized representatives. Application requirements. Notice requirements. Regulations.

Sec. 21a-421i. Revolving loan program.

Sec. 21a-421j. Regulations required to implement RERACA. Policies and procedures.

Sec. 21a-421k. Regulations to effectuate purposes of RERACA and protect public health and safety. Policies and procedures.

Sec. 21a-421l. Policies and procedures re cultivation, processing, manufacture, security, storage, inventory and distribution of cannabis required of cannabis establishments. Internal investigations re suspected diversions.

Sec. 21a-421p. Suspension or revocation of, refusal to grant or placement of conditions on license or registration. Imposition of fines. Certain information exempt from disclosure. Notice and hearing. Restrictions on timing of reapplication for license or registration.

Sec. 21a-421t. Standardized signage to be displayed by cannabis establishment. Prohibition. Enforcement. Penalty.

Sec. 21a-421u. License nonrenewal notice required. Prohibitions re lapsed license. Reinstatement of lapsed license.

Sec. 21a-421bb. Prohibitions re advertisement of cannabis and cannabis products. Registration of cannabis brand names.

Sec. 21a-421aaa. Sale or delivery of cannabis or cannabis paraphernalia to person under twenty-one.

Sec. 21a-421ccc. Possession of cannabis in dwelling unit or private property by person under twenty-one.

Sec. 21a-421iii. Sale or delivery of synthetic cannabinoid by cannabis establishment licensee or servant or agent thereof.

Sec. 21a-422f. Municipal authority re establishing cannabis establishments. Restrictions. Zoning. Special permits. Hours of operation.

Sec. 21a-422u. Standardized signage verifying status as cannabis establishment licensee. Requirements. Prohibitions. Enforcement. Unfair or deceptive trade practice.


PART I

LICENSING AND REGULATION OF CANNABIS ESTABLISHMENTS

Sec. 21a-420. Definitions. As used in RERACA, unless the context otherwise requires:

(1) “Responsible and Equitable Regulation of Adult-Use Cannabis Act” or “RERACA” means this section, sections 2-56j, 7-294kk, 7-294ll, 12-330ll to 12-330nn, inclusive, 14-227p, 21a-278b, 21a-278c, 21a-279c, 21a-279d, 21a-408w, 21a-420a to 21a-420j, inclusive, 21a-420l to 21a-421u, inclusive, 21a-421aa to 21a-421ff, inclusive, 21a-421aaa to 21a-421iii, inclusive, 21a-422 to 21a-422c, inclusive, 21a-422e to 21a-422g, inclusive, 21a-422j to 21a-422s, inclusive, 21a-422u, 22-61n, 23-4b, 47a-9a, 53-247a, 53a-213a, 53a-213b, 54-33p, 54-56q, 54-56r, 54-125k and 54-142u, sections 23, 60, 63 to 65, inclusive, 124, 144 and 165 of public act 21-1 of the June special session*, and the amendments in public act 21-1 of the June special session to sections 7-148, 10-221, 12-30a, 12-35b, 12-412, 12-650, 12-704d, 14-44k, 14-111e, 14-227a to 14-227c, inclusive, 14-227j, 15-140q, 15-140r, 18-100h, 19a-342, 19a-342a, 21a-267, 21a-277, 21a-279, 21a-279a, 21a-408 to 21a-408f, inclusive, 21a-408h to 21a-408p, inclusive, 21a-408r to 21a-408v, inclusive, 30-89a, 31-40q, 32-39, 46b-120, 51-164n, 53-394, 53a-39c, 54-1m, 54-33g, 54-41b, 54-56e, 54-56g, 54-56i, 54-56k, 54-56n, 54-63d, 54-66a and 54-142e, and section 22 of public act 25-101*;

(2) “Backer” means any individual with a direct or indirect financial interest in a cannabis establishment. “Backer” does not include (A) a bank, bank and trust company, bank holding company, Connecticut bank, Connecticut credit union, federal bank, federal branch, federal credit union, financial institution, foreign bank, holding company, out-of-state bank, out-of-state credit union, out-of-state trust company, savings and loan association, savings bank or savings and loan holding company, as such terms are defined in section 36a-2, or a wholly-owned subsidiary thereof, that provides nonequity financing to a cannabis establishment and does not directly participate in the control, management or operation of the cannabis establishment, or (B) an individual with an investment interest in a cannabis establishment if (i) the interest held by such individual and such individual's spouse, parent or child, in the aggregate, does not exceed five per cent of the total ownership or interest rights in such cannabis establishment, and (ii) such individual does not participate directly or indirectly in the control, management or operation of the cannabis establishment;

(3) “Cannabis” means marijuana, as defined in section 21a-240;

(4) “Cannabis establishment” means a producer, dispensary facility, cultivator, micro-cultivator, retailer, hybrid retailer, food and beverage manufacturer, product manufacturer, product packager, delivery service or transporter;

(5) “Cannabis flower” means the flower, including abnormal and immature flowers, of a plant of the genus cannabis that has been harvested, dried, cured, chopped or ground, and prior to any processing whereby the flower material is transformed into a cannabis product. “Cannabis flower” does not include (A) the leaves or stem of such plant, or (B) hemp, as defined in section 22-61l;

(6) “Cannabis testing laboratory” means a laboratory that (A) is located in this state, (B) is licensed by the department to analyze cannabis, and (C) meets the licensure requirements established in section 21a-408r and the regulations adopted pursuant to subsection (d) of section 21a-408r;

(7) “Cannabis testing laboratory employee” means an individual who is (A) employed at a cannabis testing laboratory, and (B) registered pursuant to section 21a-408r and the regulations adopted pursuant to subsection (d) of section 21a-408r;

(8) “Cannabis trim” means all parts, including abnormal or immature parts, of a plant of the genus cannabis, other than cannabis flower, that have been harvested, dried and cured, and prior to any processing, excluding chopping or grinding, whereby the plant material is transformed into a cannabis product. “Cannabis trim” does not include hemp, as defined in section 22-61l;

(9) “Cannabis product” means cannabis, intended for use or consumption, that is in the form of (A) a cannabis concentrate, or (B) a product that contains cannabis and at least one other cannabis or noncannabis ingredient or component, excluding cannabis flower;

(10) “Cannabis concentrate” means any form of concentration, including, but not limited to, extracts, oils, tinctures, shatter and waxes, that is extracted from cannabis;

(11) “Cannabis-type substances” have the same meaning as “marijuana”, as defined in section 21a-240;

(12) “Commissioner” means the Commissioner of Consumer Protection and includes any designee of the commissioner;

(13) “Consumer” means an individual who is twenty-one years of age or older;

(14) “Control” means the power to direct, or cause the direction of, the management and policies of a cannabis establishment, regardless of whether such power is possessed directly or indirectly;

(15) “Cultivation” has the same meaning as provided in section 21a-408;

(16) “Cultivator” means a person that is licensed to engage in the cultivation, growing and propagation of the cannabis plant at an establishment with not less than fifteen thousand square feet of grow space;

(17) “Delivery service” means a person that is licensed to deliver cannabis from (A) micro-cultivators, retailers and hybrid retailers to consumers and research program subjects, and (B) hybrid retailers and dispensary facilities to qualifying patients, caregivers and research program subjects, as defined in section 21a-408, or to hospices or other inpatient care facilities licensed by the Department of Public Health pursuant to chapter 368v that have a protocol for the handling and distribution of cannabis that has been approved by the department, or a combination thereof;

(18) “Department” means the Department of Consumer Protection;

(19) “Dispensary facility” means a place of business where cannabis may be dispensed, sold or distributed in accordance with chapter 420f and any regulations adopted pursuant to said chapter, to qualifying patients and caregivers, and to which the department has issued a dispensary facility license pursuant to chapter 420f and any regulations adopted pursuant to said chapter;

(20) “Disproportionately impacted area” means (A) for the period beginning July 1, 2021, and ending July 31, 2023, a United States census tract in the state that has, as determined by the Social Equity Council under subdivision (1) of subsection (i) of section 21a-420d, (i) a historical conviction rate for drug-related offenses greater than one-tenth, or (ii) an unemployment rate greater than ten per cent, and (B) on and after August 1, 2023, a United States census tract in this state that has been identified by the Social Equity Council pursuant to subdivision (2) of subsection (i) of section 21a-420d;

(21) “Disqualifying conviction” means a conviction within the last ten years which has not been the subject of an absolute pardon under the provisions of section 54-130a, or an equivalent pardon process under the laws of another state or the federal government, for an offense under (A) section 53a-276, 53a-277 or 53a-278, (B) section 53a-291, 53a-292 or 53a-293, (C) section 53a-215, (D) section 53a-138 or 53a-139, (E) section 53a-142a, (F) sections 53a-147 to 53a-162, inclusive, (G) sections 53a-125c to 53a-125f, inclusive, (H) section 53a-129b, 53a-129c or 53a-129d, (I) subsection (b) of section 12-737, (J) section 53a-48 or 53a-49, if the offense which is attempted or is an object of the conspiracy is an offense under the statutes listed in subparagraphs (A) to (I), inclusive, of this subdivision, or (K) the law of any other state or of the federal government, if the offense on which such conviction is based is defined by elements that substantially include the elements of an offense under the statutes listed in subparagraphs (A) to (J), inclusive, of this subdivision;

(22) “Dispensary technician” means an individual who has had an active pharmacy technician or dispensary technician registration in this state within the past five years, is affiliated with a dispensary facility or hybrid retailer and is registered with the department in accordance with chapter 420f and any regulations adopted pursuant to said chapter;

(23) “Edible cannabis product” means a cannabis product intended for humans to eat or drink;

(24) “Employee” means any person who is not a backer, but is a member of the board of a company with an ownership interest in a cannabis establishment, and any person employed by a cannabis establishment or who otherwise has access to such establishment or the vehicles used to transport cannabis, including, but not limited to, an independent contractor who has routine access to the premises of such establishment or to the cannabis handled by such establishment;

(25) “Equity” and “equitable” means efforts, regulations, policies, programs, standards, processes and any other functions of government or principles of law and governance intended to (A) identify and remedy past and present patterns of discrimination and disparities of race, ethnicity, gender and sexual orientation, (B) ensure that such patterns of discrimination and disparities, whether intentional or unintentional, are neither reinforced nor perpetuated, and (C) prevent the emergence and persistence of foreseeable future patterns of discrimination or disparities of race, ethnicity, gender and sexual orientation;

(26) “Equity joint venture” means a business entity that is controlled, and at least fifty per cent owned, by an individual or individuals, or such applicant is an individual, who meets the criteria of subparagraphs (A) and (B) of subdivision (51) of this section;

(27) “Extract” means the preparation, compounding, conversion or processing of cannabis, either directly or indirectly by extraction or independently by means of chemical synthesis, or by a combination of extraction and chemical synthesis to produce a cannabis concentrate;

(28) “Financial interest” means any right to, ownership, an investment or a compensation arrangement with another person, directly, through business, investment or family. “Financial interest” does not include ownership of investment securities in a publicly-held corporation that is traded on a national exchange or over-the-counter market, provided the investment securities held by such person and such person's spouse, parent or child, in the aggregate, do not exceed one-half of one per cent of the total number of shares issued by the corporation;

(29) “Food and beverage manufacturer” means a person that is licensed to own and operate a place of business that acquires cannabis and creates food and beverages;

(30) “Grow space” means the portion of a premises owned and controlled by a producer, cultivator or micro-cultivator that is utilized for the cultivation, growing or propagation of the cannabis plant, and contains cannabis plants in an active stage of growth, measured starting from the outermost wall of the room containing cannabis plants and continuing around the outside of the room. “Grow space” does not include space used to cure, process, store harvested cannabis or manufacture cannabis once the cannabis has been harvested;

(31) “Historical conviction count for drug-related offenses” means, for a given area, the number of convictions of residents of such area (A) for violations of sections 21a-267, 21a-277, 21a-278, 21a-279 and 21a-279a, and (B) who were arrested for such violations between January 1, 1982, and December 31, 2020, inclusive, where such arrest was recorded in databases maintained by the Department of Emergency Services and Public Protection;

(32) “Historical conviction rate for drug-related offenses” means, for a given area, the historical conviction count for drug-related offenses divided by the population of such area, as determined by the five-year estimates of the most recent American Community Survey conducted by the United States Census Bureau;

(33) “Hybrid retailer” means a person that is licensed to purchase cannabis and sell cannabis and medical marijuana products;

(34) “Infused beverage” has the same meaning as provided in section 21a-425;

(35) “Key employee” means an employee with the following management position or an equivalent title within a cannabis establishment: (A) President or chief officer, who is the top ranking individual at the cannabis establishment and is responsible for all staff and overall direction of business operations; (B) financial manager, who is the individual who reports to the president or chief officer and who is responsible for oversight of the financial operations of the cannabis establishment, which financial operations include one or more of the following: (i) Revenue and expense management; (ii) distributions; (iii) tax compliance; (iv) budget development; and (v) budget management and implementation; or (C) compliance manager, who is the individual who reports to the president or chief officer and who is generally responsible for ensuring the cannabis establishment complies with all laws, regulations and requirements related to the operation of the cannabis establishment;

(36) “Labor peace agreement” means an agreement between a cannabis establishment and a bona fide labor organization under section 21a-421d pursuant to which the owners and management of the cannabis establishment agree not to lock out employees and that prohibits the bona fide labor organization from engaging in picketing, work stoppages or boycotts against the cannabis establishment;

(37) “Manufacture” means to add or incorporate cannabis into other products or ingredients or create a cannabis product;

(38) “Medical marijuana product” means cannabis that may be exclusively sold to qualifying patients and caregivers by dispensary facilities and hybrid retailers and which are designated by the commissioner as reserved for sale to qualifying patients and caregivers and published on the department's Internet web site;

(39) “Micro-cultivator” means a person licensed to engage in the cultivation, growing and propagation of the cannabis plant at an establishment containing not less than two thousand square feet and not more than ten thousand square feet of grow space, prior to any expansion authorized by the commissioner;

(40) “Municipality” means any town, city or borough, consolidated town and city or consolidated town and borough;

(41) “Paraphernalia” means drug paraphernalia, as defined in section 21a-240;

(42) “Person” means an individual, partnership, limited liability company, society, association, joint stock company, corporation, estate, receiver, trustee, assignee, referee or any other legal entity and any other person acting in a fiduciary or representative capacity, whether appointed by a court or otherwise, and any combination thereof;

(43) “Producer” means a person that is licensed as a producer pursuant to section 21a-408i and any regulations adopted pursuant to said section;

(44) “Product manufacturer” means a person that is licensed to obtain cannabis, extract and manufacture products;

(45) “Product packager” means a person that is licensed to package and label cannabis;

(46) “Qualifying patient” has the same meaning as provided in section 21a-408;

(47) “Research program” has the same meaning as provided in section 21a-408;

(48) “Retailer” means a person, excluding a dispensary facility and hybrid retailer, that is licensed to purchase cannabis from producers, cultivators, micro-cultivators, product manufacturers and food and beverage manufacturers and to sell cannabis to consumers and research programs;

(49) “Sale” or “sell” has the same meaning as provided in section 21a-240;

(50) “Social Equity Council” or “council” means the council established under section 21a-420d;

(51) “Social equity applicant” means a person that has applied for a license for a cannabis establishment, where such applicant is controlled, and at least sixty-five per cent owned, by an individual or individuals, or such applicant is an individual, who:

(A) Had an average household income of less than three hundred per cent of the state median household income over the three tax years immediately preceding such individual's application; and

(B) (i) Was a resident of a disproportionately impacted area for not less than five of the ten years immediately preceding the date of such application; or

(ii) Was a resident of a disproportionately impacted area for not less than nine years prior to attaining the age of eighteen;

(52) “THC” has the same meaning as provided in section 21a-240;

(53) “Third-party lottery operator” means a person, or a constituent unit of the state system of higher education, that conducts lotteries pursuant to section 21a-420g, identifies the cannabis establishment license applications for consideration without performing any review of the applications that are identified for consideration, and that has no direct or indirect oversight of or investment in a cannabis establishment or a cannabis establishment applicant;

(54) “Transfer” means to transfer, change, give or otherwise dispose of control over or interest in;

(55) “Transport” means to physically move from one place to another;

(56) “Transporter” means a person licensed to transport cannabis between cannabis establishments, cannabis testing laboratories and research programs; and

(57) “Unemployment rate” means, in a given area, the number of people sixteen years of age or older who are in the civilian labor force and unemployed divided by the number of people sixteen years of age or older who are in the civilian labor force.

(June Sp. Sess. P.A. 21-1, S. 1; P.A. 22-70, S. 9; 22-103, S. 1; P.A. 23-79, S. 19; P.A. 24-76, S. 4; P.A. 25-101, S. 6, 7; 25-166, S. 7.)

*Note: Sections 23, 60, 63 to 65, inclusive, 124, 144 and 165 of public act 21-1 of the June special session and section 22 of public act 25-101 are special in nature and therefore have not been codified but remain in full force and effect according to their terms.

History: June Sp. Sess. P.A. 21-1 effective June 22, 2021; P.A. 22-70 made a technical change in Subdiv. (21)(C); P.A. 22-103 amended Subdiv. (1) by redefining “Responsible and Equitable Regulation of Adult-Use Cannabis Act” and “RERACA” to include Secs. 21a-421hhh and 21a-420j, effective May 24, 2022; P.A. 23-79 amended Subdiv. (1) by redefining “Responsible and Equitable Regulation of Adult-Use Cannabis Act” and “RERACA” to include P.A. 23-79, S. 20, amended Subdiv. (5) by redefining “cannabis flower” to include “chopped or ground”, added Subdivs. (6) and (7) defining “cannabis testing laboratory” and “cannabis testing laboratory employee”, respectively, redesignated existing Subdivs. (6) to (11) as Subdivs. (8) to (13), amended Subdiv. (8) by redefining “cannabis trim” to exclude chopping or grinding, substantially amended Subdiv. (9) by redefining “cannabis product”, added new Subdiv. (14) defining “control”, redesignated existing Subdivs. (12) to (19) as Subdivs. (15) to (22), amended Subdiv. (20) defining “disproportionately impacted area” by designating existing provisions as new Subpara. (A), adding provision re period beginning July 1, 2021, and ending July 31, 2023, in new Subpara. (A), redesignating existing Subparas. (A) and (B) as Subpara. (A)(i) and (ii) and adding new Subpara. (B) re period beginning August 1, 2023, added Subdiv. (23) defining “edible cannabis product”, redesignated existing Subdivs. (20) to (30) as Subdivs. (24) to (34), substantially amended Subdiv. (34) defining “key employee”, deleted former Subdivs. (31) and (32) defining “laboratory” and “laboratory employee”, respectively, redesignated existing Subdivs. (33) to (54) as Subdivs. (35) to (56), amended Subdiv. (43) defining “product manufacturer” by deleting “exclusive to such license type”, amended Subdiv. (55) defining “transporter” by substituting “cannabis testing laboratories” for “laboratories”, and made technical and conforming changes throughout, effective July 1, 2023; P.A. 24-76 amended Subdiv. (1) by redefining “Responsible and Equitable Regulation of Adult-Use Cannabis Act” and “RERACA” to include Secs. 21a-408w, 21a-420aa and 21a-421s, added Subdiv. (34) defining “infused beverage”, redesignated existing Subdivs. (34) to (56) as Subdivs. (35) to (57), and made technical and conforming changes in Subdivs. (21), (25) and (26), effective July 1, 2024; P.A. 25-101 amended Subdiv. (2) by redefining “backer” by adding new Subpara. (A) to exclude certain financial institutions, designating existing exclusion re individual with investment interest in cannabis establishment as new Subpara. (B) and redesignating existing Subparas. (A) and (B) as Subpara. (B)(i) and (ii), effective June 24, 2025, amended Subdiv. (1) by redefining “Responsible and Equitable Regulation of Adult-Use Cannabis Act” and “RERACA” to delete reference to P.A. 23-79, S. 20, and include reference to Secs. 21a-420dd, 21a-421t and 21a-421u and P.A. 25-101, S. 22, effective July 1, 2025; P.A. 25-166 amended Subdiv. (1) by redefining “Responsible and Equitable Regulation of Adult-Use Cannabis Act” and “RERACA” to include reference to Secs. 21a-420bb, 21a-420cc, 21a-421iii and 21a-422u, effective July 1, 2025 (Revisor's note: In Subdiv. (1), references to Secs. 21a-408w, 21a-420aa and 21a-241s were incorrectly incorporated in 2025 and have been correctly incorporated by the Revisors in 2026).

Sec. 21a-420c. License required for sale, offering or delivery of cannabis. Definitions. Penalties. Enforcement powers of commissioner, Attorney General and municipalities. (a) As used in this section:

(1) “Cigarette” has the same meaning as provided in section 4-28h;

(2) “Electronic cigarette liquid” has the same meaning as provided in section 21a-415;

(3) “Electronic nicotine delivery system” has the same meaning as provided in section 21a-415;

(4) “Immediate threat to public health and safety” includes, but is not limited to, the presence of (A) any cannabis or cannabis product in connection with a violation of this section, or (B) any cigarette, tobacco product, electronic cigarette liquid, electronic nicotine delivery system or liquid nicotine container stored or displayed adjacent or proximate to any cannabis or cannabis product or otherwise being sold unlawfully;

(5) “Liquid nicotine container” has the same meaning as provided in section 19a-342a; and

(6) “Tobacco product” has the same meaning as provided in section 12-330a.

(b) Except as provided in RERACA and chapter 420b or 420f, (1) no person, other than a retailer, hybrid retailer, micro-cultivator or delivery service, or an employee thereof in the course of such employee's employment, may sell or offer any cannabis or cannabis product to a consumer, and (2) no person, other than a hybrid retailer, dispensary facility or a delivery service, or an employee thereof in the course of such employee's employment, may sell or offer any cannabis or cannabis product to a qualifying patient or caregiver.

(c) No person except a delivery service, or an employee of a delivery service, subject to the restrictions set forth in section 21a-420z, acting in the course of such employee's employment, may deliver any cannabis or cannabis product to a consumer, qualifying patient or caregiver.

(d) Any violation of the provisions of this section shall be deemed an unfair or deceptive trade practice under subsection (a) of section 42-110b.

(e) (1) Any municipality may, by vote of its legislative body, prohibit the operation of any business within such municipality that is found to be in violation of the provisions of this section or if such operation poses an immediate threat to public health and safety.

(2) If the chief executive officer of a municipality determines that a business within the municipality is operating in violation of the provisions of this section or poses an immediate threat to public health and safety, the chief executive officer may apply to the Superior Court for an order under subdivision (3) of this subsection and, upon making such application, submit a written copy of such application to the Attorney General and the Commissioner of Consumer Protection.

(3) Upon an application under subdivision (2) of this subsection, the Superior Court, upon a finding that a business within the municipality is operating in violation of the provisions of this section or poses an immediate threat to public health and safety, may issue forthwith, ex parte and without a hearing, an order that shall direct the chief law enforcement officer of the municipality to take from such business possession and control of any merchandise related to such violation or immediate threat to public health and safety, which merchandise shall include, but need not be limited to, (A) any cannabis or cannabis product, (B) any cigarette, tobacco, tobacco product, electronic cigarette liquid, electronic nicotine delivery system or liquid nicotine container, (C) any merchandise related to the merchandise described in subparagraphs (A) and (B) of this subdivision, and (D) any proceeds related to the merchandise described in subparagraphs (A) to (C), inclusive, of this subdivision.

(4) As used in this subsection, “operation” and “operating” mean engaging in the sale of goods and services to the general public, including, but not limited to, through indirect retail sales.

(f) (1) Any person who violates any provision of this section shall be assessed a civil penalty of thirty thousand dollars for each violation. Each day that such violation continues shall constitute a separate offense.

(2) Any person who aids or abets any violation of the provisions of this section shall be assessed a civil penalty of thirty thousand dollars for each violation. Each day that such person aids or abets such violation shall constitute a separate offense. For the purposes of this subdivision, no person shall be deemed to have aided or abetted a violation of the provisions of this section unless (A) such person was the owner, officer, controlling shareholder or in a similar position of authority that allowed such person to make command or control decisions regarding the operations and management of another person who (i) is prohibited from selling or offering any cannabis or cannabis product under this section, and (ii) sold or offered any cannabis or cannabis product in violation of this section, (B) such person knew that such other person (i) is prohibited from selling or offering any cannabis or cannabis product under this section, and (ii) sold or offered any cannabis or cannabis product in violation of this section, (C) such person provided substantial assistance or encouragement in connection with the sale or offer of such cannabis or cannabis product in violation of this section, and (D) such person's conduct was a substantial factor in furthering the sale or offer of such cannabis or cannabis product in violation of this section.

(3) Any person who manages or controls a commercial property, or who manages or controls a commercial building, room, space or enclosure, in such person's capacity as an owner, lessee, agent, employee or mortgagor, who knowingly leases, rents or makes such property, building, room, space or enclosure available for use, with or without compensation, for the purpose of any sale or offer of any cannabis or cannabis product in violation of this section shall be assessed a civil penalty of ten thousand dollars for each violation. Each day that such violation continues shall constitute a separate offense.

(4) No person other than the Attorney General, upon complaint of the Commissioner of Consumer Protection, or a municipality in which the violation of this section occurred shall assess any civil penalty under this subsection or institute a civil action to recover any civil penalty imposed under this subsection. If a municipality institutes a civil action to recover any civil penalty imposed under this subsection, such penalty shall be paid to the municipality.

(g) Nothing in this section shall be construed to prohibit the imposition of any criminal penalty on any person who (1) is prohibited from selling or offering any cannabis or cannabis product under this section, and (2) sells or offers any cannabis or cannabis product in violation of this section.

(June Sp. Sess. P.A. 21-1, S. 21; P.A. 24-76, S. 7, 8; P.A. 25-166, S. 11.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 24-76 amended Subsec. (b) by deleting exception providing that retailers, hybrid retailers, micro-cultivators and dispensary facilities may utilize their own employees to deliver cannabis for a limited time, and made technical and conforming changes throughout section, effective July 1, 2024, and added Subsecs. (c) to (f) re unfair and deceptive trade practices, civil penalties and enforcement by commissioner, Attorney General and municipalities and effect on criminal penalties, effective October 1, 2024; P.A. 25-166 added new Subsec. (a) defining “cigarette”, “electronic cigarette liquid”, “electronic nicotine delivery system”, “immediate threat to public health and safety”, “liquid nicotine container” and “tobacco product”, redesignated existing Subsecs. (a) to (f) as Subsecs. (b) to (g), amended redesignated Subsecs. (b) and (c) by adding references to cannabis product, amended redesignated Subsec. (e) by adding provision re submission of copy of application to Attorney General and commissioner in Subdiv. (2), adding provisions re electronic cigarette liquid, electronic nicotine delivery system and liquid nicotine container in Subdiv. (3)(B) and deleting definition of “cigarette” in Subdiv. (4), amended redesignated Subsec. (f)(4) by deleting provision re payment of civil penalty to state and made technical and conforming changes in redesignated Subsecs. (b), (c), (e)(3)(B) and (f)(4).

Sec. 21a-420d. Social Equity Council established. Membership. Powers. Study. Recommendations. List of disproportionately impacted areas. Duties. Bylaws. Reports and plans. Conduct and ethics. (a) There is established a Social Equity Council, which shall be within the Department of Economic and Community Development for administrative purposes only.

(b) The Social Equity Council shall consist of seventeen members as follows:

(1) One appointed by the speaker of the House of Representatives, who has a professional background of not less than five years working in the field of either social justice or civil rights;

(2) One appointed by the president pro tempore of the Senate, who has a professional background of not less than five years working in the field of either social justice or civil rights;

(3) One appointed by the majority leader of the House of Representatives, who has a professional background of not less than five years working in the field of economic development to help minority-owned businesses;

(4) One appointed by the majority leader of the Senate, who has a professional background of not less than five years in providing access to capital to minorities, as defined in section 32-9n;

(5) One appointed by the minority leader of the House of Representatives, who is from a community that has been disproportionately harmed by cannabis prohibition and enforcement;

(6) One appointed by the minority leader of the Senate, who has a professional background of not less than five years in providing access to capital to minorities, as defined in section 32-9n;

(7) Two appointed by the chairperson of the Black and Puerto Rican Caucus of the General Assembly, one of whom shall be designated by the chairperson of the Black Caucus of the General Assembly and one of whom shall be designated by the chairperson of the Puerto Rican and Latino Caucus of the General Assembly;

(8) Five appointed by the Governor, one who is from a community that has been disproportionately harmed by cannabis prohibition and enforcement, one who has a professional background of not less than five years working in the field of economic development and one who is an executive branch official focused on workforce development;

(9) The Commissioner of Consumer Protection, or the commissioner's designee;

(10) The Commissioner of Economic and Community Development, or the commissioner's designee;

(11) The State Treasurer, or the State Treasurer's designee; and

(12) The Secretary of the Office of Policy and Management, or the secretary's designee.

(c) (1) In making the appointments in subsection (b) of this section, the appointing authority shall use best efforts to make appointments that reflect the racial, gender and geographic diversity of the population of the state.

(2) Members appointed by the Governor shall serve a term of four years from the time of appointment and members appointed by any other appointing authority shall serve a term of three years from the time of appointment. The appointing authority shall fill any vacancy for the unexpired term.

(3) (A) The Governor shall appoint an interim executive director to operationalize and support the Social Equity Council until, notwithstanding the provisions of section 4-9a, the council appoints an executive director. Subject to the provisions of chapter 67, and within available appropriations, the council may thereafter appoint an executive director and such other employees as may be necessary for the discharge of the duties of the council.

(B) Not later than July 1, 2024, the council shall adopt bylaws specifying which duties are retained by the members of the council and which duties are delegated to the executive director.

(C) The council may, by a simple majority vote of the members of the council, take any formal personnel action concerning the executive director for any reason.

(D) In addition to the council's authority under subparagraph (C) of this subdivision, if a final review board consisting of the chairperson and the members of the council appointed under subdivisions (1), (2), (5) and (6) of subsection (b) of this section determines, by a simple majority vote of the members of the final review board, that removing the executive director is in the best interest of serving the council's mission, such final review board shall issue a letter to the council recommending that the council remove the executive director.

(4) The Governor shall appoint the chairperson of the council from among the members of the council. The chairperson shall directly supervise, establish annual goals for and conduct an annual performance review of the executive director.

(5) The chairperson and executive director shall jointly develop, and the council shall review and approve, (A) allocations of moneys in the social equity and innovation account established under section 21a-420f, for the purposes that the council determines under subsection (a) of section 21a-420f, further the principles of equity, and (B) any plans for expenditures to provide (i) access to capital for businesses, (ii) technical assistance for the start-up and operation of a business, (iii) funding for workforce education, (iv) funding for community investments, and (v) funding for investments in disproportionately impacted areas.

(d) A majority of the members of the Social Equity Council shall constitute a quorum for the transaction of any business. The members of the council shall serve without compensation, but shall, within available appropriations, be reimbursed for expenses necessarily incurred in the performance of their duties. Any member who fails to attend three consecutive meetings, or who fails to attend fifty per cent of all meetings held during any calendar year, may be removed from office by a simple majority vote of the members of the council. The appointing authority shall fill the vacancy for the unexpired term of any member who is removed from office under this subsection, and shall use best efforts to ensure such appointment reflects the racial, gender and geographic diversity of the population of the state.

(e) The Social Equity Council may (1) request, and shall receive, from any state agency such information and assistance as the council may require, (2) use such funds as may be available from federal, state or other sources and may enter into contracts to carry out the purposes of the council, including, but not limited to, contracts or agreements with Connecticut Innovations, Incorporated, constituent units of the state system of higher education, regional workforce development boards and community development financial institutions, (3) utilize voluntary and uncompensated services of private individuals, state or federal agencies and organizations as may, from time to time, be offered and needed, (4) accept any gift, donation or bequest for the purpose of performing the duties of the council, (5) hold public hearings, (6) establish such standing committees, as necessary, to perform the duties of the council, and (7) adopt regulations, in accordance with chapter 54, as the council may deem necessary to carry out the duties of the council.

(f) The Social Equity Council shall promote and encourage full participation in the cannabis industry by persons from communities that have been disproportionately harmed by cannabis prohibition and enforcement.

(g) Not later than forty-five days after June 22, 2021, or at a later date determined by the Social Equity Council, the council shall establish criteria for proposals to conduct a study under this section and the Secretary of the Office of Policy and Management shall post on the State Contracting Portal a request for proposals to conduct a study, and shall select an independent third party to conduct such study and provide detailed findings of fact regarding the following matters in the state or other matters determined by the council:

(1) Historical and present-day social, economic and familial consequences of cannabis prohibition, the criminalization and stigmatization of cannabis use and related public policies;

(2) Historical and present-day structures, patterns, causes and consequences of intentional and unintentional racial discrimination and racial disparities in the development, application and enforcement of cannabis prohibition and related public policies;

(3) Foreseeable long-term social, economic and familial consequences of unremedied past racial discrimination and disparities arising from past and continued cannabis prohibition, stigmatization and criminalization;

(4) Existing patterns of racial discrimination and racial disparities in access to entrepreneurship, employment and other economic benefits arising in the lawful palliative use cannabis sector as established pursuant to chapter 420f; and

(5) Any other matters that the council deems relevant and feasible for study for the purpose of making reasonable and practical recommendations for the establishment of an equitable and lawful adult-use cannabis business sector in this state.

(h) Not later than January 1, 2022, the Social Equity Council shall, taking into account the results of the study conducted in accordance with subsection (g) of this section, make written recommendations, in accordance with the provisions of section 11-4a, to the Governor and the joint standing committees of the General Assembly having cognizance of matters relating to finance, revenue and bonding, consumer protection and the judiciary regarding legislation to implement the provisions of this section. The council shall make recommendations regarding:

(1) Creating programs to ensure that individuals from communities that have been disproportionately harmed by cannabis prohibition and enforcement are provided equal access to licenses for cannabis establishments;

(2) Specifying additional qualifications for social equity applicants;

(3) Providing for expedited or priority license processing for each license as a retailer, hybrid retailer, cultivator, micro-cultivator, product manufacturer, food and beverage manufacturer, product packager, transporter and delivery service license for social equity applicants;

(4) Establishing minimum criteria for any cannabis establishment licensed on or after January 1, 2022, to comply with an approved workforce development plan to reinvest or provide employment and training opportunities for individuals in disproportionately impacted areas;

(5) Establishing criteria for a social equity plan for any cannabis establishment licensed on or after January 1, 2022, to further the principles of equity;

(6) Recruiting individuals from communities that have been disproportionately harmed by cannabis prohibition and enforcement to enroll in the workforce training program established pursuant to section 21a-421g;

(7) Potential uses for revenue generated under RERACA to further equity;

(8) Encouraging participation of investors, cannabis establishments and entrepreneurs in the cannabis business accelerator program established pursuant to section 21a-421f;

(9) Establishing a process to best ensure that social equity applicants have access to the capital and training needed to own and operate a cannabis establishment; and

(10) Developing a vendor list of women-owned and minority-owned businesses that cannabis establishments may contract with for necessary services, including, but not limited to, office supplies, information technology infrastructure and cleaning services.

(i) (1) Not later than August 1, 2021, and annually thereafter until July 31, 2023, the Social Equity Council shall use the most recent five-year United States Census Bureau American Community Survey estimates or any successor data to determine one or more United States census tracts in the state that are a disproportionately impacted area and shall publish a list of such tracts on the council's Internet web site.

(2) Not later than August 1, 2023, the council shall use poverty rate data from the most recent five-year United States Census Bureau American Community Survey estimates, population data from the most recent decennial census and conviction information from databases managed by the Department of Emergency Services and Public Protection to identify all United States census tracts in the state that are disproportionately impacted areas and shall publish a list of such tracts on the council's Internet web site. In identifying which census tracts in this state are disproportionately impacted areas and preparing such list, the council shall:

(A) Not deem any census tract with a poverty rate that is less than the state-wide poverty rate to be a disproportionately impacted area;

(B) After eliminating the census tracts described in subparagraph (A) of this subdivision, rank the remaining census tracts in order from the census tract with the greatest historical conviction rate for drug-related offenses to the census tract with the lowest historical conviction rate for drug-related offenses; and

(C) Include census tracts in the order of rank described in subparagraph (B) of this subdivision until including the next census tract would cause the total population of all included census tracts to exceed twenty-five per cent of the state's population.

(j) After developing criteria for workforce development plans as described in subdivision (4) of subsection (h) of this section, the Social Equity Council shall review and approve or deny in writing any such plan submitted by an applicant for a final license. If the Social Equity Council does not approve a workforce development plan for a cannabis establishment on or before July 1, 2025, the cannabis establishment shall submit a workforce development plan to the council not later than October 1, 2025, or sixty days prior to the next renewal date for such cannabis establishment's license, whichever is earlier. Not later than sixty days after the cannabis establishment submits the workforce development plan to the council, the council shall send notice to the cannabis establishment disclosing whether such workforce development plan has been approved, rejected or requires modification.

(k) The Social Equity Council shall develop criteria for evaluating the ownership and control of any equity joint venture created under section 21a-420j, 21a-420m, 21a-420u, 21a-420aa, 21a-420bbb or 21a-420ccc and shall review and approve or deny in writing such equity joint venture prior to such equity joint venture being licensed under section 21a-420j, 21a-420m, 21a-420u, 21a-420aa, 21a-420bbb or 21a-420ccc. The council shall not approve any equity joint venture applicant which shares with an equity joint venture any individual owner who meets the criteria established in subparagraphs (A) and (B) of subdivision (51) of section 21a-420, other than an individual owner in their capacity as a backer licensed under section 21a-420o.

(l) The Social Equity Council shall, upon receipt of funds from producers in accordance with subdivision (5) of subsection (b) of section 21a-420l, develop a program to assist social equity applicants to open not more than two micro-cultivator establishment businesses in total. Producers shall provide mentorship to such social equity applicants. The council shall, with the department, determine a system to select social equity applicants to participate in such program without participating in a lottery or request for proposals.

(m) (1) The Social Equity Council shall review and either approve or deny, in writing, any social equity plan submitted by a cannabis establishment as part of the cannabis establishment's final license application. The council shall approve or deny such social equity plan not later than thirty days after such social equity plan is submitted to the council. If the council denies any such social equity plan, the applicant may revise and resubmit such social equity plan without prejudice.

(2) (A) Each licensed cannabis establishment shall (i) maintain an active social equity plan at all times while such cannabis establishment is in operation, and (ii) not later than March 1, 2026, and annually thereafter, submit to the council a report disclosing the impact such social equity plan had on the disproportionately impacted area in which such cannabis establishment is located during the preceding calendar year.

(B) The council shall review each report submitted pursuant to subparagraph (A)(ii) of this subdivision and may, not later than sixty days after completing such review, request that the licensed cannabis establishment that submitted such report revise such cannabis establishment's social equity plan to ensure that such social equity plan furthers the principles of equity.

(3) Not later than July 1, 2024, the council shall update the criteria for social equity plans described in subdivision (5) of subsection (h) of this section to include a specific, points-based rubric to evaluate social equity plans.

(n) The Social Equity Council shall approve the amounts, grantees and purposes of any grants made by the council from the social equity and innovation account or the Cannabis Social Equity and Innovation Fund, established under section 21a-420f, and any contract executed by and between the council and a grant maker shall require that the amounts, grantees and purposes of any subgrants made by such grant maker shall be approved by the council.

(o) Not later than July 1, 2024, and quarterly thereafter, the Social Equity Council shall prepare and submit a report, in accordance with the provisions of section 11-4a, to the Governor, the speaker of the House of Representatives, the president pro tempore of the Senate, the majority leader of the House of Representatives, the majority leader of the Senate, the minority leader of the House of Representatives, the minority leader of the Senate and the joint standing committees of the General Assembly having cognizance of matters relating to appropriations and consumer protection. The report shall include, but need not be limited to:

(1) The fiscal-year-to-date expenditures of the council, which expenditures shall disclose, at a minimum: (A) All expenditures made for personal services and the fringe benefit costs associated therewith; (B) all expenditures made for consultants retained for the purpose of reviewing applications for social equity applicant status; (C) all expenditures made to provide businesses with access to capital and the number of businesses that received access to such capital; (D) all expenditures made to provide technical assistance for the start-up and operation of businesses and the number of businesses that received such assistance; (E) all expenditures made to fund workforce education, the number of persons served by the workforce education programs supported by such expenditures and the number of persons successfully placed in relevant professional roles after completing such workforce education programs; (F) all expenditures made to fund community investment grants, the amounts, grantees and purposes of such grants and, if any of such grants were made to a grant maker, the amounts, grantees and purposes of any subgrants made by such grant maker; (G) all expenditures made for promotional or branding items and which promotional or branding items were purchased; (H) all expenditures made for advertising or marketing campaigns; (I) all expenditures made to advertising or marketing firms; (J) all expenditures made for sponsorships; (K) all expenditures made for other community outreach; (L) all expenditures made for travel; and (M) all other expenditures not described in subparagraphs (A) to (L), inclusive, of this subdivision; and

(2) The status of the council's performance of the council's responsibilities in the licensing process under RERACA, including, but not limited to: (A) The number of applications for social equity applicant status, social equity plans and workforce development plans pending before the council, categorized into the number of applications, social equity plans and workforce development plans pending before the council for (i) less than thirty days, (ii) at least thirty days but less than sixty days, (iii) at least sixty days but less than ninety days, and (iv) at least ninety days; (B) the number of applications for social equity applicant status, social equity plans and workforce development plans approved during the then current fiscal year, broken down by license type; and (C) the number of applications for social equity applicant status, social equity plans and workforce development plans denied during the then current fiscal year, broken down by license type.

(p) Not later than July 1, 2024, and monthly thereafter, the executive director of the council shall prepare and submit a report, in accordance with the provisions of section 11-4a, to the council and the Black and Puerto Rican Caucus of the General Assembly. The report shall include, but need not be limited to:

(1) The expenditures the council plans to make during the month immediately following submission of such report, which expenditures shall disclose, at a minimum: (A) All expenditures the council plans to make for consultants retained for the purpose of reviewing applications for social equity applicant status; (B) all expenditures the council plans to make to fund community investment grants, the amounts, grantees and purposes of such grants and, if any of such grants are to be made to a grant maker, the amounts, grantees and purposes of any subgrants to be made by such grant maker; (C) all expenditures the council plans to make for promotional or branding items, for advertising or marketing campaigns, to advertising or marketing firms and for sponsorships; (D) all expenditures the council plans to make for community outreach; and (E) all expenditures the council plans to make for travel; and

(2) The status of the council's performance of the council's responsibilities in the licensing process under RERACA, including, but not limited to, the following information for the date of such report: (A) The number of applications for social equity applicant status that are pending before the council and the date each such application was submitted, broken down by license type, municipality, assembly district and senate district; (B) the number of social equity plans that are pending before the council and the date each such social equity plan was submitted, broken down by license type; and (C) the number of workforce development plans that are pending before the council and the date each such workforce development plan was submitted, broken down by license type.

(q) Not later than October 1, 2025, the council shall develop and submit a strategic plan to the Governor and the joint standing committees of the General Assembly having cognizance of matters relating to appropriations and consumer protection. The strategic plan shall include a framework that outlines the council's goals, planned actions and priorities for the three-year period beginning October 1, 2025, and ending September 30, 2028.

(r) Not later than October 1, 2025, the council shall develop and adopt an ethical code of conduct for council members and staff.

(s) Not later than January 1, 2026, and annually thereafter, the members of the council and council staff shall complete an ethics training course focusing on disproportionately impacted areas and the cannabis industry.

(June Sp. Sess. P.A. 21-1, S. 22; P.A. 22-103, S. 21; P.A. 23-79, S. 21; P.A. 24-76, S. 9; 24-151, S. 139; P.A. 25-31, S. 2; 25-137, S. 1; 25-166, S. 12; 25-168, S. 131.)

History: June Sp. Sess. P.A. 21-1 effective June 22, 2021; P.A. 22-103 amended Subsec. (d) by adding provisions re default resignation of members for failure to attend meetings and filling of resulting vacancies, Subsec. (k) by adding provisions re Sec. 21a-420j and prohibition re approval of equity joint venture applicant which shares with equity joint venture any individual owner who meets criteria established in Sec. 21a-420(48)(A) and (B), and made technical and conforming changes, effective May 24, 2022; P.A. 23-79 amended Subsec. (i) by designating existing provisions as Subdiv. (1), adding “until July 1, 2023,” in Subdiv. (1) and adding Subdiv. (2) re identifying census tracts in state that are disproportionately impacted areas, and made technical and conforming changes in Subsecs. (i) and (k), effective July 1, 2023; P.A. 24-76 amended Subsec. (k) by adding references to Sec. 21a-420aa, adding provision re individual owner in capacity as backer licensed under Sec. 21a-420o and making a conforming change, effective July 1, 2024; P.A. 24-151 substantially amended Subsec. (b) including by increasing membership of council from 15 to 17 and increasing number of appointments by chairperson of Black and Puerto Rican Caucus of General Assembly and Governor from 1 to 2 and 4 to 5, amended Subsec. (c) by designating existing provisions as Subdivs. (1) to (3)(A), adding Subdivs. (3)(B) to (5) re adoption of bylaws, personnel action re executive director and requirements re development, review and approval of budgetary information, allocations and plans for expenditures, added Subsecs. (m) to (p) re review and approval of social equity plan as part of final license application, approval of grants from social equity and innovation account and Cannabis Social Equity and Innovation Fund, quarterly report to Governor and General Assembly and monthly report by executive director, and made technical and conforming changes in Subsecs. (b) to (l), effective June 6, 2024; P.A. 25-31 made a technical change in Subsec. (h)(8); P.A. 25-137 amended Subsec. (d) by adding provision re vote to remove member from office, amended Subsec. (m) by adding new Subdiv. (2) re maintenance, reporting and review of social equity plan and redesignating existing Subdiv. (2) as Subdiv. (3), added Subsecs. (q) to (s) re strategic plan, ethical code of conduct and ethics training course, and made technical and conforming changes in Subsecs. (c)(5)(B), (d) and (h)(5), effective July 8, 2025; P.A. 25-166 amended Subsec. (h)(4) by deleting provision re non-ownership by social equity applicant, substantially amended Subsec. (j) by deleting references to Secs. 21a-420l and 21a-420u and adding provisions re applicants for final license and deadlines for submission and approval of workforce development plan, amended Subsec. (k) by adding references to Secs. 21a-420bbb and 21a-420ccc, and made technical and conforming changes in Subsecs. (h)(8) and (k), effective July 1, 2025; P.A. 25-168 amended Subsec. (c)(5) by deleting provision re budgetary information the council is required to submit in Subpara. (A), redesignating former Subparas. (B) and (C) as Subparas. (A) and (B), and substituting reference to Sec. 21a-420f(a) for reference to Sec. 21a-420f(b)(1)(B) and making technical changes in redesignated Subpara. (A), effective July 1, 2025.

Sec. 21a-420e. Timeline for initial applications for licensure. Fees for licenses. Disclosure of application information. (a) Not later than thirty days after the date that the Social Equity Council identifies the criteria and the necessary supporting documentation for social equity applicants and posts such information on its Internet web site, the department may accept applications for the following cannabis establishment license types: (1) Retailer, (2) hybrid retailer, (3) cultivator, (4) micro-cultivator, (5) product manufacturer, (6) food and beverage manufacturer, (7) product packager, (8) delivery service, (9) transporter, (10) dispensary facility, and (11) producer. Each application for licensure shall require the applicant to indicate whether the applicant wants to be considered for treatment as a social equity applicant.

(b) On and after July 1, 2021, the department may accept applications from any dispensary facility to convert its license to a hybrid-retailer license and any producer for expanded authorization to engage in the adult use cannabis market under its license issued pursuant to section 21a-408i.

(c) Except as provided in subsection (d) of this section, the following fees shall be paid by each applicant:

(1) For a retailer license, the fee to enter the lottery shall be five hundred dollars, the fee to receive a provisional license shall be five thousand dollars and the fee to receive a final license or a renewal of a final license shall be twenty-five thousand dollars.

(2) For a hybrid retailer license, the fee to enter the lottery shall be five hundred dollars, the fee to receive a provisional license shall be five thousand dollars and the fee to receive a final license or a renewal of a final license shall be twenty-five thousand dollars.

(3) For a cultivator license, the fee to enter the lottery shall be one thousand dollars, the fee to receive a provisional license shall be twenty-five thousand dollars and the fee to receive a final license or a renewal of a final license shall be seventy-five thousand dollars.

(4) For a micro-cultivator license, the fee to enter the lottery shall be two hundred fifty dollars, the fee to receive a provisional license shall be five hundred dollars and the fee to receive a final license or a renewal of a final license shall be one thousand dollars.

(5) (A) For a product manufacturer license, the fee to enter the lottery shall be seven hundred fifty dollars, the fee to receive a provisional license shall be five thousand dollars and the fee to receive a final license or a renewal of a final license shall be twenty-five thousand dollars.

(B) For a product manufacturer seeking authorization to expand the product manufacturer's authorized activities to include the authorized activities of a food and beverage manufacturer, the application fee for such expanded authorization shall be five thousand dollars and the fee to renew such expanded authorization shall be five thousand dollars. The fees due under this subparagraph shall be in addition to the fees due under subparagraph (A) of this subdivision.

(6) (A) For a food and beverage manufacturer license, the fee to enter the lottery shall be two hundred fifty dollars, the fee to receive a provisional license shall be one thousand dollars and the fee to receive a final license or a renewal of a final license shall be five thousand dollars.

(B) For a food and beverage manufacturer seeking authorization to expand the food and beverage manufacturer's authorized activities to include the authorized activities of a product manufacturer, the application fee for such expanded authorization shall be twenty-five thousand dollars and the fee to renew such expanded authorization shall be twenty-five thousand dollars. The fees due under this subparagraph shall be in addition to the fees due under subparagraph (A) of this subdivision.

(7) (A) For a product packager license, the fee to enter the lottery shall be five hundred dollars, the fee to receive a provisional license shall be five thousand dollars and the fee to receive a final license or a renewal of a final license shall be twenty-five thousand dollars.

(B) For a product packager seeking authorization to expand the product packager's authorized activities to include the authorized activities of a product manufacturer, the application fee for such expanded authorization shall be thirty thousand dollars and the fee to renew such expanded authorization shall be twenty-five thousand dollars. The renewal fee due under this subparagraph shall be in lieu of the renewal fee due under subparagraph (A) of this subdivision.

(8) For a delivery service or transporter license, the fee to enter the lottery shall be two hundred fifty dollars, the fee to receive a provisional license shall be one thousand dollars and the fee to receive a final license or a renewal of a final license shall be five thousand dollars.

(9) For an initial or renewal of a backer license, the fee shall be one hundred dollars.

(10) For an initial or renewal of a key employee license, the fee shall be one hundred dollars.

(11) For an initial or renewal of a registration of an employee who is not a key employee, the fee shall be fifty dollars.

(12) The license conversion fee for a dispensary facility to become a hybrid retailer shall be one million dollars, except as provided in section 21a-420u.

(13) The license conversion fee for a producer to engage in the adult use cannabis market shall be three million dollars, except as provided in section 21a-420l.

(14) For a dispensary facility license, the fee to enter the lottery shall be five hundred dollars, the fee to receive a provisional license shall be five thousand dollars and the fee to receive a final license or a renewal of a final license shall be five thousand dollars.

(15) For a producer license, the fee to enter the lottery shall be one thousand dollars, the fee to receive a provisional license shall be twenty-five thousand dollars and the fee to receive a final license or a renewal of a final license shall be seventy-five thousand dollars.

(d) For any dispensary facility that has become a hybrid retailer, the renewal fee shall be the same as the fee for a hybrid retailer set forth in subdivision (2) of subsection (c) of this section. For any producer approved for expanded authorization to engage in the adult use cannabis market, the renewal fee shall be seventy-five thousand dollars. A social equity applicant shall pay fifty per cent of the amount of any of the fees specified in subsection (c) of this section for the first three renewal cycles of the applicable cannabis establishment license applied for, and the full amount thereafter, provided in the case of the fees set forth in subdivisions (12) and (13) of subsection (c) of this section, a social equity applicant shall pay the full amount of the fee.

(e) For the fiscal year ending June 30, 2023, and thereafter, fees collected by the department under this section shall be paid to the State Treasurer and credited to the General Fund, except that the fees collected under subdivisions (12) and (13) of subsection (c) of this section shall be deposited in the social equity and innovation account established under section 21a-420f.

(f) For each license type:

(1) Applicants shall apply on a form and in a manner prescribed by the commissioner, which form shall include a method for the applicant to request consideration as a social equity applicant; and

(2) The department shall post on its Internet web site the application period, which shall specify the first and last date that the department will accept applications for that license type. The first date that the department shall accept applications shall be no sooner than thirty days after the date the Social Equity Council posts the criteria and supporting documentation necessary to qualify for consideration as a social equity applicant as set forth in section 21a-420g. Only complete license applications received by the department during the application period shall be considered.

(g) (1) No current or former state officer or employee, or employee of any other person who at any time had access to an application submitted to the department pursuant to this section, may disclose such application, or any information included in or submitted with such application, unless such disclosure is authorized under this subsection.

(2) The commissioner may disclose the following information concerning an application submitted to the department pursuant to this section:

(A) The applicant's name;

(B) The license type for which such application was submitted;

(C) The applicant's social equity designation, if any;

(D) The applicant's address;

(E) The name, electronic mail address and telephone number of the applicant's owner;

(F) The ownership interest that an owner of a social equity applicant holds in such applicant, expressed as a percentage of all ownership interests in such applicant;

(G) The name and address of the person who serves as the applicant's primary business contact;

(H) The application number assigned to such application;

(I) The date such application was submitted to the department;

(J) Information concerning the applicant's formation, including, but not limited to, the applicant's business entity type, formation date and place, and business registration number as such number appears on the electronic business portal established by the Commercial Recording Division of the office of the Secretary of the State pursuant to section 3-99d; and

(K) The name of all cannabis businesses associated with the applicant and listed on such application.

(3) (A) In addition to the information described in subdivision (2) of this subsection, the commissioner may, in the commissioner's sole discretion, disclose any personal information or financial document associated with an application submitted to the department pursuant to this section to:

(i) A federal, state or local government agency acting in the course of such agency's governmental functions, or a person acting on behalf of such agency in performing such functions;

(ii) A college or university conducting research or assisting the state in reviewing such applications, provided such college or university agrees to not disclose any personally identifying information or confidential business information and to deidentify any personal or financial information such college or university receives from the department before releasing any report, study, survey or similar document concerning such information;

(iii) An officer of the court in connection with an administrative, arbitral, civil or criminal proceeding in a court of competent jurisdiction or before a government agency or self-regulatory body, including, but not limited to, the service of process, an investigation performed in anticipation of litigation, an order issued by such court or the execution or enforcement of a judgment or order issued by such court, provided the person to whom the commissioner discloses such information or document is a party in interest to such proceeding;

(iv) A state marshal in the course of performing such marshal's duties under section 6-38a; or

(v) The applicant or the applicant's owner to confirm that any such information or document such applicant or owner submitted to the department in connection with such application is accurate.

(B) Any personal information or financial document the commissioner discloses pursuant to subparagraph (A) of this subdivision shall remain confidential, and no person described in subparagraphs (A)(i) to (A)(iv), inclusive, of this subdivision shall further disseminate such information or document in a manner that would enable another person to identify any person referenced in, and related to, such information or document unless such disclosure is required under other applicable law.

(June Sp. Sess. P.A. 21-1, S. 34; P.A. 23-79, S. 22, 23; 23-204, S. 122; P.A. 24-76, S. 10; P.A. 25-166, S. 13; 25-168, S. 132.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 23-79 amended Subsec. (a) by adding Subdiv. (10) re dispensary facility licenses and Subdiv. (11) re producer licenses, amended Subsec. (c) by adding Subdiv. (14) re dispensary facility licenses and Subdiv. (15) re producer licenses, amended Subsec. (d) by substituting provision re $75,000 renewal fee for producer approved for expanded authorization to engage in adult use cannabis market for provision re renewal fee for producer, added Subsec. (g) establishing requirements re disclosure of application information, and made technical and conforming changes in Subsecs. (a) and (c), effective June 26, 2023, and amended Subsec. (c)(5) by designating existing provisions as Subpara. (A) and adding Subpara. (B) re product manufacturer seeking authorization to expand authorized activities to include authorized activities of food and beverage manufacturer, and amended Subsec. (c)(6) by designating existing provisions as Subpara. (A) and adding Subpara. (B) re food and beverage manufacturer seeking authorization to expand authorized activities to include authorized activities of product manufacturer, effective July 1, 2023; P.A. 23-204 amended Subsec. (e) by substituting “Cannabis Social Equity and Innovation Fund” for “Social Equity and Innovation Fund”, effective July 1, 2023; P.A. 24-76 amended Subsec. (c)(7) by designating existing provisions as Subpara. (A) and adding Subpara. (B) re product packager seeking authorization to expand authorized activities to include authorized activities of product manufacturer, effective July 1, 2024; P.A. 25-166 amended Subsec. (c)(7)(B) by substituting “renewal fee” for “fees”, effective July 1, 2025; P.A. 25-168 amended Subsec. (e) by substituting “social equity and innovation account” for “Cannabis Social Equity and Innovation Fund”, effective July 1, 2025.

Sec. 21a-420f. Account and funds. (a) On and after July 1, 2025, there is established an account to be known as the “social equity and innovation account”, which shall be a separate, nonlapsing account. The account shall contain any moneys required by law to be deposited in the account. Moneys in the account shall be allocated by the Secretary of the Office of Policy and Management for purposes that the Social Equity Council determines, in the Social Equity Council's sole discretion, further the principles of equity, as defined in section 21a-420, which purposes may include, but need not be limited to, providing (1) access to capital for businesses in any industry, (2) technical assistance for the start-up and operation of a business in any industry, (3) funding for workforce education in any industry, (4) funding for community investments, and (5) funding for investments in disproportionately impacted areas.

(b) On and after July 1, 2022, there is established a fund to be known as the “Cannabis Prevention and Recovery Services Fund”. The fund shall contain any moneys required by law to be deposited in the fund and shall be held by the Treasurer separate and apart from all other moneys, funds and accounts. Amounts in the fund may be expended only pursuant to appropriation by the General Assembly. Any balance remaining in the fund at the end of any fiscal year shall be carried forward in the fund for the fiscal year next succeeding. Moneys in the fund shall be appropriated for the purposes of (1) substance abuse prevention, treatment and recovery services, which may include, but need not be limited to, the (A) provision of youth cannabis use prevention services by the local advisory councils on drug use and prevention established by municipalities pursuant to subsection (a) of Section 4126 of the Drug Free Schools and Communities Act of 1986, as amended from time to time, regional behavioral health action organizations described in section 17a-484f, or youth service bureaus established pursuant to section 10-19m, and (B) development of a public awareness campaign to raise awareness of the mental and physical health risks of youth cannabis use and cannabis use by pregnant persons, and (2) collection and analysis of data regarding substance use. The Social Equity Council may make recommendations to any relevant state agency regarding expenditures to be made for the purposes set forth in this subsection.

(c) On and after July 1, 2023, there is established a fund to be known as the “Cannabis Regulatory Fund” which shall be a separate, nonlapsing fund. The fund shall contain any moneys required by law to be deposited in the fund and shall be held by the Treasurer separate and apart from all other moneys, funds and accounts. Moneys in the fund shall be appropriated to state agencies for the purposes of paying costs incurred to implement the activities authorized under RERACA, as defined in section 21a-420.

(June Sp. Sess. P.A. 21-1, S. 128; P.A. 22-118, S. 129; 22-146, S. 4; P.A. 23-79, S. 24; 23-204, S. 88, 120, 124, 356; P.A. 24-151, S. 140; P.A. 25-110, S. 75, 76; 25-168, S. 127.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 22-118 amended Subsecs. (a)(1) and (b)(1) by adding provisions re consultations with Social Equity Council as defined in Sec. 21a-420, added Subsec. (b)(1)(C), and amended Subsec. (c)(1) by adding provision, re paying costs incurred to implement activities authorized under RERACA, amended Subsec. (d) by adding provision re recommendations by Social Equity Council, and made technical and conforming changes, effective May 7, 2022; P.A. 22-146 amended Subsecs. (a)(2) and (b)(2) by adding provisions re fiscal year ending June 30, 2023, added Subsecs. (a)(3) and (b)(3) re transfers and made conforming changes, effective May 7, 2022; P.A. 23-79 amended Subsec. (d)(1) by adding Subparas. (A) and (B) re purposes of appropriations of moneys in fund and making a conforming change, effective July 1, 2023; P.A. 23-204 amended Subsec. (b) by designating provisions re allocation of moneys in social equity and innovation account as new Subdiv. (1)(A) and adding provision therein re fiscal years ending June 30, 2022, and June 30, 2023, redesignating existing Subdiv. (1)(A) to (C) as Subdiv. (1)(A)(i) to (iii) and existing Subdiv. (1)(B)(i) to (iv) as Subdiv. (1)(A)(ii)(I) to (IV), adding new Subdiv. (1)(B) re allocations during fiscal year ending June 30, 2024, adding provision in Subdiv. (3) extending date of transfer of moneys remaining in social equity and innovation account from end of fiscal year ending June 30, 2023, to end of fiscal year ending June 30, 2024, and directing transfer to Social Equity and Innovation Fund instead of General Fund, and making technical and conforming changes throughout Subsec. (b), effective June 12, 2023, and amended Subsec. (c) by substituting “Cannabis Social Equity and Innovation Fund” for “Social Equity and Innovation Fund”, deleting “which shall be a separate, nonlapsing fund” and adding provision requiring expenditure be made pursuant to appropriation of General Assembly and provision concerning carry forward in Subsec. (c)(1), deleting provision re recommendation for funding for credits payable to angel investors that invest in cannabis businesses in Subsec. (c)(2), amended Subsec. (d) by substituting “Cannabis Prevention and Recovery Services Fund” for “Prevention and Recovery Services Fund”, deleting “which shall be a separate, nonlapsing fund” and adding provision requiring expenditure be made pursuant to appropriation of General Assembly and provision concerning carry forward, and added Subsec. (e) establishing the Cannabis Regulatory Fund, effective July 1, 2023; P.A. 24-151 amended Subsecs. (b)(1)(B)(i) to (iii) and (c)(1) by adding “in any industry” and added Subsec. (c)(1)(C) re estimate of amount of funds required to be distributed among permissible purposes for appropriations from Cannabis Social Equity and Innovation Fund, effective June 6, 2024; P.A. 25-110 amended Subsecs. (a)(1) and (b)(1) by deleting reference to General Fund and making a technical change, effective July 1, 2025; P.A. 25-168 deleted former Subsecs. (a) to (c), added new Subsec. (a) re social equity and innovation account and redesignated former Subsecs. (d) and (e) as Subsecs. (b) and (c), effective July 1, 2025.

Sec. 21a-420g. Review of applications by Social Equity Council. Maximum number of applications. Lotteries. Rankings to be confidential. Disqualification. Provisional license. Final license. (a) The Social Equity Council shall review the ownership information and any other information necessary to confirm that an applicant qualifies as a social equity applicant for all cannabis establishment license type applications submitted to the department and designated by the applicant as a social equity applicant. The Social Equity Council shall prescribe the documentation necessary for applicants to submit to establish that the ownership, residency and income requirements for social equity applicants are met. On or before September 1, 2021, the Social Equity Council shall post such necessary documentation requirements on its Internet web site to inform applicants of such requirements prior to the start of the application period.

(b) Except as provided in sections 21a-420o and 21a-420aa to 21a-420cc, inclusive, prior to the first date that the department begins accepting applications for a license type, the department shall determine the maximum number of applications that shall be considered for such license type and post such information on its Internet web site. Fifty per cent of the maximum number of applications that shall be considered for each license type (1) shall be selected through a social equity lottery for such license type, and (2) shall be reserved by the department for social equity applicants. If, upon the close of the application period for a license type, the department receives more applications than the maximum number to be considered in total or to be reserved for social equity applicants as set forth in this subsection, a third-party lottery operator shall conduct a lottery to identify applications for review by the department and the Social Equity Council.

(c) (1) The third-party lottery operator shall:

(A) Not be provided any application received after the close of the application period;

(B) Give equal weight to every complete application submitted during the application period; and

(C) Conduct multiple, separate geographic lotteries if required by the department.

(2) For purposes of the lottery, the third-party lottery operator shall:

(A) Conduct an independent social equity lottery and general lottery for each license type that results in each application being randomly ranked starting with one and continuing sequentially; and

(B) Rank all applications in each lottery numerically according to the order in which they were drawn, including those that exceed the number to be considered, and identify for the department all applications to be considered.

(d) (1) Prior to submitting an application, an applicant that is a business entity shall register such business entity with the Secretary of the State to do business in this state, and include with such application an attestation that such applicant has so registered.

(2) No applicant shall apply more than once in any application period to the social equity lottery round, if applicable, or the general lottery round. The department shall review the list of all lottery applicants in the social equity lottery round and the general lottery round, independently for each such round, to determine whether any applicant has submitted more than one application under the same applicant name. Except as provided in subdivision (3) of this subsection, if the department determines that any applicant has submitted more than one application in the social equity lottery round or the general lottery round, all applications submitted in such round by such applicant shall be disqualified and the department shall remove all such applications from the pool of eligible applications the department provides to the third-party lottery operator for selection in such round.

(3) If a social equity application is entered into the general lottery round pursuant to subdivision (4) of subsection (e) of this section, thereby resulting in two entries by the same social equity applicant in the general lottery round, such entries shall not result in disqualification under subdivision (2) of this subsection. Such social equity applicant shall not be eligible to receive more than one license from any round of the general lottery. If such social equity applicant is selected twice for consideration in any general lottery round, the department shall disqualify the second such selection and request that the third-party lottery operator identify the next-ranked application in the applicable lottery.

(4) No disqualification under this subsection shall result in any refund of lottery fees.

(5) For the purpose of this subsection: (A) “Application period” means the established period of time within which the department may accept applications for a specific license type for the social equity or general lottery; and (B) “round” means each time a lottery is run to determine the ranking of applicants after the conclusion of an application period, either for the social equity lottery or the general lottery.

(e) (1) Upon receipt of an application for social equity consideration or, in the case where a social equity lottery is conducted, after such lottery applicants are selected, the department shall provide to the Social Equity Council the documentation received by the department during the application process that is required under subsection (a) of this section. No identifying information beyond what is necessary to establish social equity status shall be provided to the Social Equity Council. The Social Equity Council shall review the social equity applications to be considered as identified by the third-party lottery operator to determine whether the applicant meets the criteria for a social equity applicant. If the Social Equity Council determines that an applicant does not qualify as a social equity applicant, the application shall not be reviewed further for purposes of receiving a license designated for social equity applicants. The application shall be entered into the general lottery for the applicable license type and may be reviewed further if selected through such lottery, provided the applicant pays the additional amount necessary to pay the full fee for entry into such lottery within five business days of being notified by the Social Equity Council that such applicant does not qualify as a social equity applicant. Not later than thirty days after the Social Equity Council notifies an applicant of the Social Equity Council's determination that the applicant does not meet the criteria for a social equity applicant, the applicant may appeal from such determination to the Superior Court in accordance with section 4-183.

(2) Upon determination by the Social Equity Council that an application selected through the lottery process does not qualify for consideration as a social equity applicant, the department shall request that the third-party lottery operator identify the next-ranked application in the social equity lottery. This process may continue until the Social Equity Council has identified for further consideration the number of applications set forth on the department's web site pursuant to subsection (b) of this section or until there are no remaining social equity applications to be considered.

(3) For each license type, the Social Equity Council shall identify for the department the social equity applications that qualify as social equity applicants and that should be reviewed by the department for purposes of awarding a provisional license.

(4) Any application entered into, but not selected through, the social equity lottery shall not be reviewed as a social equity application, but shall be entered into the general lottery for the applicable license type.

(5) After receiving the list of selected social equity applications reviewed and approved by the Social Equity Council, the department shall notify the third-party lottery operator, which shall then conduct the independent general lottery for all remaining applicants for each license type, rank all general lottery applications numerically including those that exceed the number to be considered, and identify for the department all of the selected applications to be reviewed. The number of applications to be reviewed by the department shall consist of the applications ranked numerically one through the maximum number necessary to ensure that fifty per cent of the applications for each license type identified through the lottery process are selected from the social equity lottery and approved by the Social Equity Council.

(6) The numerical rankings created by the third-party lottery operator shall be confidential and shall not be subject to disclosure under the Freedom of Information Act, as defined in section 1-200.

(f) The department shall review each application to be considered, as identified by the third-party lottery operator or Social Equity Council, as applicable, to confirm such application is complete and to determine whether any application: (1) Includes a backer with a disqualifying conviction; (2) exceeds the cap set forth in section 21a-420i; or (3) has a backer who individually or in connection with a cannabis business in another state or country has an administrative finding or judicial decision that may substantively compromise the integrity of the cannabis program, as determined by the department, or that precludes its participation in this state's cannabis program.

(g) No additional backers may be added to a cannabis establishment application between the time of lottery entry, or any initial application for a license, and when a final license is awarded to the cannabis establishment, except, if a backer of an applicant or provisional licensee dies, the applicant or provisional licensee may apply to the commissioner to replace the deceased backer, provided if such applicant is a social equity applicant, the Social Equity Council shall review ownership to ensure such replacement would not cause the applicant to no longer qualify as a social equity applicant. A backer may be removed from a cannabis establishment application selected through the general lottery at any time upon notice to the department.

(h) If an applicant is disqualified on the basis of any of the criteria set forth in subsection (f) of this section, the entire application shall be denied, and such denial shall be a final decision of the department unless the applicant removes from such application all backers that would cause such denial not later than thirty days after the department sends notice to the applicant disclosing such denial. Any change to a social equity applicant shall be reviewed and approved by the Social Equity Council before such change is reviewed by the department. Not later than thirty days after the department sends notice to the applicant disclosing such denial, the applicant may appeal such denial to the Superior Court.

(i) For each application denied pursuant to subsection (f) of this section, the department may, within its discretion, request that the third-party lottery operator identify the next-ranked application in the applicable lottery. If the applicant that was denied was a social equity applicant, the next ranked social equity applicant shall first be reviewed by the Social Equity Council to confirm that the applicant qualifies as a social equity applicant prior to being further reviewed by the department. This process may continue until the department has identified for further consideration the number of applications equivalent to the maximum number set forth on its Internet web site pursuant to subsection (b) of this section. If the number of applications remaining is less than the maximum number posted on the department's Internet web site, the department shall award fewer licenses. To the extent the denials result in less than fifty per cent of applicants being social equity applicants, the department shall continue to review and issue provisional and final licenses for the remaining applications, but shall reopen the application period only for social equity applicants.

(j) All applicants selected in the lottery and not denied shall be provided a provisional license application, which shall be submitted in a form and manner prescribed by the commissioner. Lottery applicants shall have sixty days from the date they receive their provisional application to complete the application. The right to apply for a provisional license is nontransferable. Upon receiving a provisional application from an applicant, the department shall review the application for completeness and to confirm that all information provided is acceptable and in compliance with this section and any regulations adopted under this section. If a provisional application does not meet the standards set forth in this section, the applicant shall not be provided a provisional license. A provisional license issued by the department to an applicant, other than a provisional license issued pursuant to section 21a-420o, shall expire twenty-four months after the date on which the department issued such provisional license and shall not be renewed. Upon granting a provisional license, the department shall notify the applicant of the project labor agreement requirements of section 21a-421e. A provisional licensee may apply for a final license of the license type for which the licensee applied during the initial application period. A provisional license shall be nontransferable. If the provisional application does not meet the standards set forth in this section or is not completed within sixty days, the applicant shall not receive a provisional license. The decision of the department not to award a provisional license shall be final and may be appealed in accordance with section 4-183. Nothing in this section shall prevent a provisional applicant from submitting an application for a future lottery.

(k) Final license applications shall be submitted on a form and in a manner approved by the commissioner and shall include, but not be limited to, the information set forth in this section, as well as evidence of the following:

(1) A contract with an entity providing an approved electronic tracking system as set forth in section 21a-421n;

(2) A right to occupy the location at which the cannabis establishment operation will be located, as evidenced by a certificate of occupancy or temporary certificate of occupancy issued by, or a substantively similar written approval obtained from, the local building official verifying that the premises to be occupied for the cannabis establishment operation are substantially complete;

(3) Any necessary local zoning approval for the cannabis establishment operation;

(4) A labor peace agreement complying with section 21a-421d has been entered into between the cannabis establishment and a bona fide labor organization, as defined in section 21a-421d;

(5) A certification by the applicant that a project labor agreement complying with section 21a-421e will be entered into by the cannabis establishment prior to construction of any facility to be used in the operation of a cannabis establishment;

(6) A social equity plan approved by the Social Equity Council;

(7) A workforce development plan approved by the Social Equity Council;

(8) Written policies for preventing diversion and misuse of cannabis and sales to underage persons; and

(9) All other security requirements pertaining to the premises, as set forth by the department based on the specific license type.

(l) At any point prior to the expiration of the provisional license, the department may award a provisional licensee a final license for the license type for which the licensee applied. Prior to receiving final license approval, a provisional licensee shall not possess, distribute, manufacture, sell or transfer cannabis. The department may conduct site inspections prior to issuing a final license.

(m) At any time after receiving a final license, a cannabis establishment may begin operations, provided all other requirements for opening a business in compliance with the laws of this state are complete and all employees have been registered and all key employees and backers have been licensed, with the department.

(June Sp. Sess. P.A. 21-1, S. 35; P.A. 23-79, S. 25; P.A. 24-76, S. 11; P.A. 25-101, S. 11; 25-166, S. 14.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 23-79 amended Subsec. (a) by substituting “cannabis establishment license type” for “license type”, amended Subsec. (c)(2)(A) by substituting “independent social equity lottery and general lottery” for “independent lottery”, amended Subsec. (c)(2)(B) by deleting provision re numerical ranking of applications, added new Subsec. (d) requiring applicant business entities to register with Secretary of the State, establishing maximum number of applications per lottery round and establishing additional procedural requirements re each lottery round, redesignated existing Subsec. (d) as Subsec. (e) and substantially amended same including provisions re conduct of lotteries, redesignated existing Subsec. (e) as Subsec. (f), redesignated existing Subsec. (f) as Subsec. (g) and added provision to same re removal of backer from cannabis establishment application selected through general lottery, redesignated existing Subsec. (g) as Subsec. (h) and substantially amended same including provisions re removal of disqualified backer from denied application, redesignated existing Subsec. (h) as Subsec. (i), redesignated existing Subsec. (i) as Subsec. (j) and substantially amended same including provisions re expiration of provisional licenses, redesignated existing Subsecs. (j) to (l) as Subsecs. (k) to (m), and made technical and conforming changes throughout, effective June 26, 2023; P.A. 24-76 amended Subsec. (b) by adding reference to Sec. 21a-420aa, effective July 1, 2024; P.A. 25-101 amended Subsec. (k) by adding provision in Subdiv. (2) re evidence of right to occupy location and specifying in Subdiv. (9) that security requirements pertain to premises, effective July 1, 2025; P.A. 25-166 amended Subsec. (b) by adding references to Secs. 21a-420bb and 21a-420cc and amended Subsec. (j) by modifying provisions re provisional license expiration and deleting provision re nonrenewability of provisional license issued on or after July 1, 2023, effective July 1, 2025.

Sec. 21a-420h. Regulations re sale or change in ownership of control of cannabis establishment license awarded to social equity applicant. Policies and procedures. Enforcement. The Social Equity Council shall adopt regulations, in accordance with the provisions of chapter 54, to prevent the sale or change in ownership or control of a cannabis establishment license awarded to a social equity applicant to someone other than another qualifying social equity applicant during the period of provisional licensure, and for three years following the issuance of a final license, unless the backer of such licensee has died or has a condition, including, but not limited to, a physical illness or loss of skill or deterioration due to the aging process, emotional disorder or mental illness that would interfere with the backer's ability to operate. If the council approves any sale or change in ownership or control of a cannabis establishment license awarded to a social equity applicant during the three-year period following issuance of a final license, and such sale or change in ownership or control is made to anyone other than another qualifying social equity applicant, the cannabis establishment licensee shall be treated as a cannabis establishment licensee without social equity status beginning on the date of such approval and such cannabis licensee shall no longer be eligible to pay a reduced license renewal fee. Notwithstanding the requirements of sections 4-168 to 4-172, inclusive, in order to effectuate this section, prior to adopting such regulations and not later than October 1, 2021, the council shall issue policies and procedures to implement the provisions of this section that shall have the force and effect of law. The council shall post all policies and procedures on its Internet web site and submit such policies and procedures to the Secretary of the State for posting on the eRegulations System, at least fifteen days prior to the effective date of any policy or procedure. Any such policy or procedure shall no longer be effective upon the earlier of either the adoption of the policy or procedure as a final regulation under section 4-172 or sixty-three months from July 1, 2021. Any violation of such policies and procedures or any violation of such regulations related to the sale or change in ownership may be referred by the Social Equity Council to the department for administrative enforcement action, which may result in a fine of not more than ten million dollars or action against the establishment's license.

(June Sp. Sess. P.A. 21-1, S. 36; P.A. 25-166, S. 15; 25-168, S. 161.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 25-166 added provisions re consequences of council-approved sale or change in ownership or control of cannabis establishment license to person other than qualifying social equity applicant, replaced 48 months with 63 months and deleted provision re submission of regulations under Sec. 4-170, effective July 1, 2025; P.A. 25-168 replaced 48 months with 63 months and deleted provision re submission of regulations under Sec. 4-170, effective June 30, 2025.

Sec. 21a-420j. Creation of equity joint ventures by cultivator. Requirements. Limitations. Fees. (a) A cultivator licensed under section 21a-420o may create not more than two equity joint ventures to be approved by the Social Equity Council under section 21a-420d, and licensed by the department under this section. The equity joint venture shall be in any cannabis establishment licensed business, other than a cultivator license.

(b) The equity joint venture applicant shall submit an application to the Social Equity Council that may include, but need not be limited to, evidence of business formation, ownership allocation, terms of ownership and financing and proof of social equity status. The equity joint venture applicant shall submit to the Social Equity Council information including, but not limited to, the organizing documents of the entity that outline the ownership stake of each backer, initial backer investment and payout information to enable the council to determine the terms of ownership.

(c) Upon obtaining the written approval of the Social Equity Council for an equity joint venture, the equity joint venture applicant shall apply for a license from the department in the same form as required by all other licensees of the same license type, except that such application shall not be subject to the lottery.

(d) (1) Except as provided in subdivision (2) of this subsection, a cultivator licensed under section 21a-420o, including the backer of such cultivator, shall not increase its ownership in an equity joint venture in excess of fifty per cent during the seven-year period after a license is issued by the department under this section.

(2) A cultivator licensed under section 21a-420o who satisfies the criteria established in subparagraph (A) of subdivision (2) of subsection (b) of section 21a-420o, including the backer of such cultivator, shall not increase its ownership in an equity joint venture in excess of fifty per cent during the seven-year period beginning on the date on which a final license is issued by the department under subdivision (2) of subsection (b) of section 21a-420o.

(e) An equity joint venture applicant shall pay fifty per cent of the amount of any applicable fee specified in subsection (c) of section 21a-420e for the first three renewal cycles of the applicable cannabis establishment license applied for, and shall pay the full amount of such fee thereafter.

(P.A. 22-103, S. 5; P.A. 23-79, S. 26; P.A. 25-101, S. 15; 25-166, S. 16; 25-175, S. 2.)

History: P.A. 22-103 effective May 24, 2022; P.A. 23-79 amended Subsec. (e) by establishing requirements re proximity of equity joint ventures that are retailers or hybrid retailers and share a common cultivator backer or owner, effective July 1, 2023; P.A. 25-101 deleted former Subsec. (e) re minimum separation between equity joint ventures that are retailers or hybrid retailers and share common cultivator backer or owner and redesignated existing Subsec. (f) as Subsec. (e), effective January 1, 2026; P.A. 25-166 amended Subsec. (d) by designating existing provisions as Subdiv. (1), adding Subdiv. (2) re increase in ownership in equity joint venture by cultivator who satisfies criteria established in Sec. 21a-420o(b)(2)(A) or such cultivator's backer and making a conforming change in Subdiv. (1), effective July 1, 2025; P.A. 25-175 changed effective date of P.A. 25-101, S. 15, from January 1, 2026, to July 1, 2025, effective July 1, 2025.

Sec. 21a-420m. Creation of equity joint ventures by producer. Requirements. Limitations. Fees. (a) In order to pay a reduced license expansion authorization fee as described in subsection (b) of section 21a-420l, a producer shall commit to create two equity joint ventures to be approved by the Social Equity Council under section 21a-420d and licensed by the department under this section.

(b) The equity joint venture shall be in any cannabis establishment licensed business, other than a cultivator license, provided such equity joint venture is at least fifty per cent owned and controlled by an individual or individuals who meet, or the equity joint venture applicant is an individual who meets, the criteria established in subparagraphs (A) and (B) of subdivision (51) of section 21a-420.

(c) The equity joint venture applicant shall submit an application to the Social Equity Council that may include, but need not be limited to, evidence of business formation, ownership allocation, terms of ownership and financing and proof of social equity status. The equity joint venture applicant shall submit to the Social Equity Council information including, but not limited to, the organizing documents of the entity that outline the ownership stake of each backer, initial backer investment and payout information to enable the council to determine the terms of ownership.

(d) Upon obtaining the written approval of the Social Equity Council for an equity joint venture, the equity joint venture applicant shall apply for a license from the department in the same form as required by all other licensees of the same license type, except that such application shall not be subject to the lottery.

(e) A producer, including the backer of such producer, shall not increase its ownership in an equity joint venture in excess of fifty per cent during the seven-year period after a license is issued by the department under this section.

(f) If a producer has paid a reduced conversion fee, as described in subsection (b) of section 21a-420l, and subsequently did not create two equity joint ventures under this section that, not later than twenty-four months after the Department of Consumer Protection approved the producer's license expansion application under section 21a-420l, each received a final license from the department, the producer shall be liable for the full conversion fee of three million dollars established in section 21a-420l minus such paid reduced conversion fee.

(g) No producer that receives license expansion authorization under section 21a-420l shall create more than two equity joint ventures. No such producer shall apply for, or create, any additional equity joint venture if, on July 1, 2021, such producer has created at least two equity joint ventures that have each received a provisional license.

(h) An equity joint venture applicant shall pay fifty per cent of the amount of any applicable fee specified in subsection (c) of section 21a-420e for the first three renewal cycles of the applicable cannabis establishment license applied for, and shall pay the full amount of such fee thereafter.

(June Sp. Sess. P.A. 21-1, S. 27; P.A. 22-103, S. 6; P.A. 23-79, S. 28; P.A. 24-76, S. 12; P.A. 25-101, S. 16; 25-166, S. 17.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 22-103 amended Subsec. (b) by adding provision re equity joint venture be at least 50 per cent owned or controlled by individual or individuals who meet, or equity joint venture applicant be individual who meets, criteria established in Sec. 21a-420(48)(A) and (B), Subsecs. (c) and (d) by substituting references to equity joint venture applicant for references to producer and social equity applicant and Subsec. (g) by adding provisions re 14 month period for receipt of final license and deduction for paid reduced conversion fee, added Subsec. (h) limiting number of equity joint ventures and Subsec. (i) re reduced fees, and made technical and conforming changes, effective May 24, 2022; P.A. 23-79 substantially amended Subsec. (f) re proximity of equity joint ventures that are retailers or hybrid retailers, and made technical and conforming changes in Subsecs. (b) and (f), effective July 1, 2023; (Revisor's note: In 2024, a reference to “the effective date of this section” in Subsec. (h) was changed editorially by the Revisors to “July 1, 2021” for accuracy); P.A. 24-76 made a conforming change in Subsec. (b), effective July 1, 2024; P.A. 25-101 deleted former Subsec. (f) re minimum separation between equity joint ventures that are retailers or hybrid retailers and share common producer backer or owner and redesignated existing Subsecs. (g) to (i) as Subsecs. (f) to (h), effective January 1, 2026; P.A. 25-166 amended Subsec. (g) by replacing reference to 14 months with 24 months, effective July 1, 2025.

Sec. 21a-420n. Cultivator license. (a) On and after July 1, 2021, the department may issue or renew a license for a person to be a cultivator. No person may act as a cultivator or represent that such person is a licensed cultivator unless such person has obtained a license from the department pursuant to this section.

(b) (1) A cultivator is authorized to cultivate, grow and propagate cannabis at an establishment containing not less than fifteen thousand square feet of grow space, provided such cultivator complies with the provisions of any regulations adopted under section 21a-420q concerning grow space. A cultivator establishment shall meet physical security controls and protocols set forth and required by the commissioner.

(2) (A) Notwithstanding the provisions of subdivision (1) of this subsection, during the period beginning on June 6, 2024, through December 31, 2027, the department may grant a final cultivator license to the holder of a provisional cultivator license issued under section 21a-420o who has not developed the capability to cultivate, grow and propagate cannabis at an establishment containing at least fifteen thousand square feet of grow space, and such holder may carry out the functions of a cultivator, if such holder submits to the department, in a form and manner prescribed by the commissioner:

(i) A completed application for a final cultivator license; and

(ii) Evidence that (I) such holder's licensed cultivation facility contains at least five thousand square feet of grow space, (II) such holder, and such holder's licensed cultivation facility, are in compliance with the provisions of this chapter and the regulations adopted, and policies and procedures issued, under this chapter, (III) such holder has a detailed business plan and buildout schedule to cultivate, grow and propagate cannabis at a licensed establishment containing at least fifteen thousand square feet of grow space on or before December 31, 2027, and (IV) such holder has paid the three-million-dollar fee required under subdivision (3) of subsection (a) of section 21a-420o.

(B) If the department issues a final cultivator license under this subdivision, and the licensee fails to cultivate, grow and propagate cannabis at a licensed establishment containing at least fifteen thousand square feet of grow space on or before December 31, 2027, such licensee shall pay to the department, in a form and manner prescribed by the commissioner, an extension fee in the amount of five hundred dollars for each day that such licensee's licensed establishment fails to satisfy such minimum grow space requirement. The department may, in addition to imposing such extension fee, exercise the department's enforcement authority under section 21a-421p if the licensee fails to satisfy such minimum grow space requirement on or before December 31, 2027.

(c) A cultivator may label, manufacture, package and perform extractions on any cannabis cultivated, grown or propagated at its licensed establishment, including food and beverage products incorporating cannabis and cannabis concentrates, provided the cultivator meets all licensure and application requirements for a food and beverage manufacturer and a product manufacturer.

(d) A cultivator may sell, transfer or transport its cannabis to a cannabis establishment, research program or cannabis testing laboratory utilizing its own employees or a transporter. A cultivator shall not sell, transfer or deliver to consumers, qualifying patients or caregivers, directly or through a delivery service.

(June Sp. Sess. P.A. 21-1, S. 48; P.A. 23-79, S. 29; P.A. 24-115, S. 4; 24-151, S. 138; P.A. 25-166, S. 18.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 23-79 amended Subsec. (d) by substituting “cannabis testing laboratory” for “laboratory”, effective July 1, 2023; P.A. 24-115 amended Subsec. (d) by substituting reference to cannabis establishment for reference to dispensary facility, hybrid retailer, retailer, food and beverage manufacturer, product manufacturer or product packager, and made conforming changes therein, effective June 4, 2024; P.A. 24-151 amended Subsec. (b) by designating existing provisions as Subdiv. (1) and adding Subdiv. (2) re granting final cultivator license to holder of provisional cultivator license issued under Sec. 21a-420o who has not developed capability to cultivate, grow and propagate cannabis at establishment containing at least 15,000 feet of grow space, effective June 6, 2024; P.A. 25-166 amended Subsec. (b)(2) by replacing December 31, 2025, with December 31, 2027, in Subparas. (A), (A)(ii)(III) and (B), effective July 1, 2025.

Sec. 21a-420o. Provisional cultivator license for social equity applicants. Final license. Location outside of disproportionately impacted area. Conversion to micro-cultivator license. (a) Thirty days after the Social Equity Council posts the criteria for social equity applicants on its Internet web site, the department shall open up a three-month application period for cultivators during which a social equity applicant may apply to the department for a provisional cultivator license and final license for a cultivation facility located in a disproportionately impacted area, or at another location described in subparagraph (B) of subdivision (1) of subsection (b) of this section, without participating in a lottery or request for proposals. Such application for a provisional license shall be granted upon: (1) Verification by the Social Equity Council that the applicant meets the criteria for a social equity applicant; (2) the applicant submitting to and passing a criminal background check; and (3) payment of a three-million-dollar fee to be deposited in the social equity and innovation account established in section 21a-420f. Upon granting such provisional license, the department shall notify the applicant of the project labor agreement requirements of section 21a-421e. The department shall not grant an application for a provisional cultivator license under this subsection after December 31, 2026.

(b) (1) To obtain a final cultivator license under this section, the social equity applicant shall provide evidence of (A) a contract with an entity providing an approved electronic tracking system as described in section 21a-421n, (B) a right to exclusively occupy the location at which the cultivation facility will be located, which location shall be situated (i) in a disproportionately impacted area, (ii) on any reservation, as defined in section 47-63, of the Schaghticoke, Paucatuck Eastern Pequot or Golden Hill Paugussett indigenous tribe recognized by this state under subsection (b) of section 47-59a, provided such reservation includes at least ten acres of contiguous land and such land comprised part of such reservation on July 1, 2024, (iii) on any parcel of land owned in fee simple by any indigenous tribe recognized by this state under subsection (b) of section 47-59a, provided such parcel includes at least ten acres of contiguous land and is located in a municipality that, prior to July 1, 2024, contained any portion of a disproportionately impacted area, (iv) in the case of an exclusively outdoor grow, in a municipality containing any portion of a disproportionately impacted area, provided (I) such outdoor grow is conducted on land that such municipality has approved for agricultural or farming uses, and (II) all cultivation complies with the provisions of the regulations adopted, and policies and procedures issued, pursuant to section 21a-421j permitting the outdoor cultivation of cannabis, or (v) at a location within this state outside of a disproportionately impacted area, provided the Social Equity Council has verified that such social equity applicant satisfies the criteria established in subdivision (2) of this subsection, (C) any necessary local zoning approval and building permits for the cultivation facility, (D) a business plan, (E) a social equity plan and a workforce development plan approved by the council, (F) written policies for preventing diversion and misuse of cannabis and sales of cannabis to underage persons, and (G) blueprints of the facility and all other security requirements of the department.

(2) (A) Beginning on or after October 1, 2025, a social equity applicant that obtains a final cultivator license pursuant to subdivision (1) of this subsection may conduct all activities authorized in section 21a-420n, except for manufacturing or extraction of cannabis, at a location within this state outside of a disproportionately impacted area as set forth in subparagraph (B)(v) of subdivision (1) of this subsection, provided the social equity applicant agrees to comply with the provisions of this subdivision and submits a written request for verification of compliance to the Social Equity Council, and the council determines and verifies based on evidence deemed sufficient by the council, that (i) in the event such social equity applicant engages in manufacturing or extraction of cannabis, such applicant shall engage in such manufacturing or extraction exclusively at a location situated in a disproportionately impacted area in accordance with the provisions of this chapter and the regulations adopted, and policies and procedures issued, under this chapter, (ii) at least fifty per cent of the employees employed by such social equity applicant to engage in manufacturing or extraction of cannabis shall reside in a disproportionately impacted area, (iii) of the employees employed by such social equity applicant to engage in any activity other than manufacturing or extraction of cannabis, (I) at least twenty-five per cent of such employees shall reside in a disproportionately impacted area during the first year after such social equity applicant obtains a final cultivator license and commences cultivation activities under such license, (II) at least fifty per cent of such employees shall reside in a disproportionately impacted area during the second year after such social equity applicant obtains a final cultivator license and commences cultivation activities under such license, and (III) at least seventy-five per cent of such employees shall reside in a disproportionately impacted area during each year beginning with the third year after such social equity applicant obtains a final cultivator license and commences cultivation activities under such license, (iv) such social equity applicant shall, at such social equity applicant's expense, (I) make transportation available to each of its employees who resides in a disproportionately impacted area in order to transport such employee from such employee's residence to such employee's place of work and from such employee's place of work to such employee's residence, or (II) make advance payment to each of its employees who resides in a disproportionately impacted area for the cost of traveling from such employee's residence to such employee's place of work and from such employee's place of work to such employee's residence, and (v) such social equity applicant shall periodically pay to the Social Equity Council, in a form and manner prescribed by the council, on payment dates established by the council and for deposit in the social equity and innovation account established in section 21a-420f, (I) for the first year after such social equity applicant obtains a final cultivator license and commences cultivation activities under such license, one-half per cent of the licensee's gross revenue derived from such licensee's sales to unaffiliated third parties for such year, (II) for the second year after such social equity applicant obtains a final cultivator license and commences cultivation activities under such license, one per cent of the licensee's gross revenue derived from such licensee's sales to unaffiliated third parties for such year, and (III) for each year beginning with the third year after such social equity applicant obtains a final cultivator license and commences cultivation activities under such license, one and one-half per cent of the licensee's gross revenue derived from such licensee's sales to unaffiliated third parties for such year.

(B) The evidence required to be submitted in a written request for verification as set forth in subparagraph (A) of this subdivision shall be submitted to the Social Equity Council in a form and manner prescribed by the council. Upon receipt of a written request for verification under subparagraph (A) of this subdivision, the council shall review the request to determine whether the social equity applicant satisfies the criteria set forth in subparagraph (A) of this subdivision. If the council determines that the social equity applicant does not satisfy such criteria, the council may accept an amended written request for verification or deny such request. Not later than thirty days after the council notifies the social equity applicant that the council has determined that the applicant does not satisfy the criteria set forth in subparagraph (A) of this subdivision, the applicant may appeal from such determination to the Superior Court in accordance with section 4-183.

(C) The Social Equity Council shall identify for the department each social equity applicant that has submitted a written request for verification as set forth in subparagraph (A) of this subdivision, qualifies as a social equity applicant and should be reviewed by the department for purposes of awarding a final cultivator license. After receiving notice from the council that a provisional licensee has been verified and identified by the council pursuant to this subdivision, the department shall proceed with review and processing of such applicant's final license. The Commissioner of Consumer Protection shall not issue a final license to a provisional licensee pursuant to this subdivision unless the council has notified the department of the results of such verification.

(D) Each cultivator issued a final license pursuant to this subdivision shall (i) attest that such cultivator satisfies the criteria set forth in subparagraph (A) of this subdivision at each license renewal, and (ii) comply with all requests for information from the Social Equity Council, and produce copies of all documents necessary for the council to confirm that such cultivator satisfies the criteria set forth in subparagraph (A) of this subdivision, in a form and manner prescribed by the council and not later than two business days after such request. In the event the council determines and verifies that the licensee does not satisfy the criteria set forth in subparagraph (A) of this subdivision, the council shall, after a cure period established by the council, provide to the department a detailed report outlining the basis for the council's determination of noncompliance and any evidence supporting such determination. The council shall concurrently produce a copy of such report to the applicable licensee. Upon receipt of the noncompliance report issued by the council, the department shall schedule a hearing on such matter within forty-five days.

(E) Prior to engaging in any manufacturing or extraction of cannabis, a cultivator licensed pursuant to this subdivision shall apply to the department, in a form and manner prescribed by the commissioner, for an off-site manufacturing endorsement to be issued on or after October 1, 2025. The department may require the cultivator to submit to an inspection of the cultivator's facility prior to issuing such endorsement to ensure that such facility satisfies the provisions of this chapter and the regulations adopted, and policies and procedures issued, under this chapter.

(F) On and after July 1, 2026, any person that holds a final cultivator license issued pursuant to this subdivision shall (i) weigh all cannabis, excluding the leaves or stem of such plant, harvested at such facility not later than twenty-four hours after cutting or trimming such plant and (I) record such weight in an approved electronic tracking system as set forth in section 21a-421n, (II) annually reserve at least eighty per cent of all cannabis weighed pursuant to subparagraph (F)(i) of this subdivision for the purpose of manufacturing or extraction of such cannabis into a cannabis product or cannabis concentrate, and (III) annually sell not more than twenty per cent of all cannabis harvested at such facility, based on the weight recorded pursuant to subparagraph (F)(i) of this subdivision, for distribution as cannabis flower, and (ii) upon each renewal of such final cultivator license, attest that during the then preceding calendar year, such cultivator (I) caused at least eighty per cent of all cannabis weighed and recorded pursuant to subparagraph (F)(i) of this subdivision to be used for the purpose of manufacturing or extraction of such cannabis into a cannabis product or cannabis concentrate, and (II) sold not more than twenty per cent of all cannabis harvested at such facility, based on the weight recorded pursuant to subparagraph (F)(i) of this subdivision, for distribution as cannabis flower.

(c) If the department grants a provisional cultivator license to any person under subsection (a) of this section, such person may apply to the department, in a form and manner prescribed by the commissioner, to convert the provisional cultivator license to a micro-cultivator license, without paying any conversion fee or additional provisional license fee, provided such person has not created more than two equity joint ventures that have obtained final licensure. As part of such application, such person shall attest that such person shall:

(1) Surrender such provisional cultivator license effective immediately upon the department issuing the micro-cultivator license;

(2) Be entitled to create two equity joint ventures, which shall include any equity joint venture created prior to conversion to a micro-cultivator license;

(3) Comply with all provisions of law governing micro-cultivators; and

(4) Not have any change of ownership or control associated with the conversion to a micro-cultivator license.

(d) The department shall not issue a final license to a micro-cultivator provisional licensee unless such licensee has complied with all final licensure requirements set forth in this section and section 21a-420g.

(June Sp. Sess. P.A. 21-1, S. 149; P.A. 23-204, S. 123; P.A. 24-76, S. 13; P.A. 25-166, S. 19; 25-168, S. 133.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 23-204 amended Subsec. (a) by substituting “Cannabis Social Equity and Innovation Fund” for “Social Equity and Innovation Fund”, effective July 1, 2023; P.A. 24-76 amended Subsec. (a) by adding provision prohibiting grant of provisional cultivator license after December 31, 2025, substantially amended Subsec. (b)(2) re location where cultivation facility may be located, and made technical and conforming changes throughout, effective July 1, 2024; P.A. 25-166 amended Subsec. (a) by extending end date of application period for provisional cultivator license from December 31, 2025, to December 31, 2026, substantially amended Subsec. (b) including by designating existing provisions as Subdiv. (1), redesignating existing Subdivs. (1) to (7) as Subdiv. (1)(A) to (G), redesignating existing Subdiv. (2)(D)(i) and (ii) as Subdiv. (1)(B)(iv)(I) and (II), adding Subdiv. (1)(B)(v) re location outside of disproportionately impacted area, adding “building” before “permits” in redesignated Subdiv. (1)(C), adding provision re workforce development plan in Subdiv. (1)(E) and adding new Subdiv. (2) re location outside of disproportionately impacted area, added Subsecs. (c) and (d) re conversion to micro-cultivator license and adherence to Sec. 21a-420g and made technical and conforming changes in Subsec. (a) and redesignated Subsec. (b)(1), effective July 1, 2025; P.A. 25-168 amended Subsec. (a) by substituting “social equity and innovation account” for “Cannabis Social Equity and Innovation Fund”, effective July 1, 2025.

Sec. 21a-420p. Micro-cultivator license. (a) The department may issue or renew a license for a person to be a micro-cultivator. No person may act as a micro-cultivator or represent that such person is a licensed micro-cultivator unless such person has obtained a license from the department pursuant to this section.

(b) A micro-cultivator is authorized to cultivate, grow, propagate, manufacture and package the cannabis plant at an establishment containing not less than two thousand square feet and not more than ten thousand square feet of grow space, prior to any expansion authorized by the commissioner, provided such micro-cultivator complies with the provisions of any regulations adopted under section 21a-420q concerning grow space. A micro-cultivator business shall meet physical security controls set forth and required by the commissioner.

(c) A micro-cultivator may apply for expansion of its grow space, in increments of five thousand square feet, on an annual basis, from the date of initial licensure, if such licensee is not subject to any pending or final administrative actions or judicial findings. If there are any pending or final administrative actions or judicial findings against the licensee, the department shall conduct a suitability review to determine whether such expansion shall be granted, which determination shall be final and appealable only to the Superior Court. The micro-cultivator may apply for an expansion of its business annually upon renewal of its credential until such licensee reaches a maximum of twenty-five thousand square feet of grow space. If a micro-cultivator desires to expand beyond twenty-five thousand square feet of grow space, the micro-cultivator licensee may apply for a cultivator license one year after its last expansion request. The micro-cultivator licensee shall not be required to apply through the lottery application process to convert its license to a cultivator license. If a micro-cultivator maintains its license and meets all of the application and licensure requirements for a cultivator license, including payment of the cultivator license fee established under section 21a-420e, the micro-cultivator licensee shall be granted a cultivator license.

(d) A micro-cultivator may label, manufacture, package and perform extractions on any cannabis cultivated, grown and propagated at its licensed establishment provided it meets all licensure and application requirements for a food and beverage manufacturer, product manufacturer or product packager, as applicable.

(e) A micro-cultivator may sell, transfer or transport its cannabis to a cannabis establishment, cannabis testing laboratory or research program, provided the cannabis is cultivated, grown and propagated at the micro-cultivator's licensed establishment and transported utilizing the micro-cultivator's own employees or a transporter. A micro-cultivator shall not gift or transfer cannabis or cannabis products at no cost to a consumer as part of a commercial transaction.

(f) (1) A micro-cultivator may sell cannabis seedlings cultivated at its micro-cultivator establishment directly to consumers, excluding qualifying patients and caregivers, solely through delivery by either utilizing a delivery service or its own employees, subject to the requirements of subsection (c) of section 21a-420c. No cannabis establishment other than a micro-cultivator shall sell cannabis seedlings to consumers, and no cannabis establishment other than a delivery service or a micro-cultivator utilizing its own employees shall deliver cannabis seedlings cultivated and sold by a micro-cultivator to consumers.

(2) No micro-cultivator shall sell a cannabis seedling to a consumer unless:

(A) The micro-cultivator cultivated the cannabis seedling in this state from seed or clone;

(B) The cannabis seedling (i) has a standing height of not more than six inches measured from the base of the stem to the tallest point of the plant, (ii) does not contain any bud or flower, and (iii) has been tested for pesticides and heavy metals in accordance with the laboratory testing standards established in the policies and procedures issued, and final regulations adopted, by the commissioner pursuant to section 21a-421j; and

(C) A label or informational tag is affixed to the cannabis seedling disclosing the following in legible English, black lettering, Times New Roman font, flat regular typeface, on a contrasting background and in uniform size of not less than one-tenth of one inch, based on a capital letter “K”:

(i) The name of the micro-cultivator;

(ii) A product description for the cannabis seedling;

(iii) One of the following chemotypes anticipated after flowering: (I) “High THC, Low CBD”; (II) “Low THC, High CBD”; or (III) “50/50 THC and CBD”;

(iv) The results of the testing required under subparagraph (B)(iii) of this subdivision;

(v) Directions for optimal care of the cannabis seedling;

(vi) Unobscured symbols, in a size of not less than one-half inch by one-half inch and in a format approved by the commissioner, which symbols shall indicate that the cannabis seedling contains THC and is not legal or safe for individuals younger than twenty-one years of age; and

(vii) A unique identifier generated by a cannabis analytic tracking system maintained by the department and used to track cannabis under the policies and procedures issued, and final regulations adopted, by the commissioner pursuant to section 21a-421j.

(3) Notwithstanding section 21a-421j, no cannabis seedling shall be required to be sold in child-resistant packaging.

(4) No micro-cultivator shall knowingly sell more than three cannabis seedlings to a consumer in any six-month period.

(5) No micro-cultivator shall accept any returned cannabis seedling.

(g) (1) A micro-cultivator that has obtained a final license from the department pursuant to this section and maintains an exclusively indoor grow facility may submit an application to the department, in a form and manner prescribed by the commissioner, for a retailer or hybrid retailer endorsement to such final license under this subsection. Such endorsement, if issued, shall authorize the micro-cultivator to operate a retailer or hybrid retailer pursuant to this subsection. An applicant micro-cultivator shall submit a complete application for an endorsement under this subsection, along with the endorsement application fee, to the department not later than one year after the date on which the applicant micro-cultivator obtained a final micro-cultivator license from the department pursuant to this section or June 30, 2026, whichever is later. The department shall not accept an application submitted pursuant to this subsection after such time period has expired. The amount of the application fee for an endorsement under this subsection shall be the same as the fee imposed to receive a final retailer license or a final hybrid retailer license set forth in subsections (c) and (d) of section 21a-420e. All application fees for an initial endorsement under this subsection shall be deposited in the consumer protection enforcement account established in section 21a-8a. The annual renewal fee for an endorsement issued under this subsection shall be the same as the renewal fee for a final retailer license or a final hybrid retailer license set forth in subsections (c) and (d) of section 21a-420e.

(2) The department shall issue an endorsement to a micro-cultivator pursuant to this subsection if the micro-cultivator:

(A) Submits a timely and complete endorsement application to the department, in the form and manner prescribed by the commissioner;

(B) Attests that the retailer or hybrid retailer created pursuant to the endorsement shall be operated in compliance with all requirements established in this chapter for a licensed retailer or a licensed hybrid retailer; and

(C) Acknowledges and attests that such micro-cultivator shall not engage in any outdoor cultivation of cannabis.

(3) Each micro-cultivator that is issued an endorsement under this subsection shall have twenty-four months from the date such endorsement is issued to (A) satisfy the requirements established in section 21a-420g for a retailer or hybrid retailer that has been issued a final license, and (B) seek and obtain a written statement from the department, in a form and manner prescribed by the commissioner, confirming that such micro-cultivator satisfies such requirements and is authorized to engage in the activities of a retailer or hybrid retailer.

(4) An endorsement issued pursuant to this subsection shall expire and shall not be eligible for reapplication or renewal if the micro-cultivator (A) fails to satisfy the requirements established in subdivision (3) of this subsection, or (B) allows such endorsement to lapse.

(5) The facility of a retailer or hybrid retailer established pursuant to an endorsement issued pursuant to this subsection shall be located (A) on the same premises as the micro-cultivator, or (B) on a tract of land or parcel that abuts such premises or is located within one hundred feet of such premises measured from the point on such tract of land or parcel that is closest to such premises.

(6) Upon receipt of a written statement from the department as set forth in subparagraph (B) of subdivision (3) of this subsection, the micro-cultivator shall:

(A) (i) In the case of a retailer endorsement, be authorized to sell cannabis cultivated indoors by the micro-cultivator to consumers, or (ii) in the case of a hybrid retailer endorsement, be authorized to sell (I) cannabis cultivated indoors by the micro-cultivator to consumers, and (II) medical marijuana products to qualifying patients and caregivers;

(B) Acknowledge and agree that such micro-cultivator is not eligible to expand to a cultivator license, as provided in this section;

(C) Maintain the retailer's or hybrid-retailer's activities and facility in accordance with the requirements established in this chapter, chapter 420f and the regulations, policies and procedures adopted or issued pursuant to said chapters, as applicable; and

(D) Acknowledge and agree that in the event that an administrative agency or court of competent jurisdiction issues a suspension, revocation, cease and desist order or other order halting the micro-cultivator's operations, the micro-cultivator shall cease all public retailer or hybrid-retailer activities associated with the retailer or hybrid retailer endorsement issued pursuant to this subsection.

(7) A micro-cultivator that is issued an endorsement under this subsection may (A) in the case of a retailer endorsement, sell cannabis cultivated by the micro-cultivator directly to consumers by utilizing a delivery service or its own employees, subject to the provisions of subsection (c) of section 21a-420c, provided such micro-cultivator shall exclusively sell cannabis cultivated by such micro-cultivator, and (B) in the case of a hybrid retailer endorsement, sell medical marijuana products directly to qualifying patients and caregivers, and cannabis cultivated by such micro-cultivator directly to consumers, by utilizing a delivery service or its own employees, subject to the provisions of subsection (c) of section 21a-420c.

(8) Notwithstanding the provisions of this section, a micro-cultivator with an active endorsement issued under this subsection shall not exceed twenty-five thousand square feet of grow space and shall not be eligible to convert to a cultivator unless the micro-cultivator permanently surrenders such endorsement and ceases all retailer and hybrid retailer activities at the cannabis establishment.

(9) An endorsement issued under this subsection shall not impact any right a micro-cultivator may have to create an equity joint venture.

(June Sp. Sess. P.A. 21-1, S. 49; P.A. 23-79, S. 30; P.A. 24-76, S. 14; P.A. 25-101, S. 12; 25-166, S. 20, 21.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 23-79 amended Subsec. (e) by substituting “cannabis testing laboratory” for “laboratory”, effective July 1, 2023; P.A. 24-76 substantially amended Subsec. (f) by eliminating provisions re cannabis delivery and adding provisions re cannabis seedlings, effective July 1, 2024; P.A. 25-101 amended Subsec. (e) by replacing references to dispensary facility, hybrid retailer, retailer, delivery service, food and beverage manufacturer, product manufacturer and product packager with reference to cannabis establishment, effective June 24, 2025; P.A. 25-166 amended Subsec. (f) by deleting provision re delivery of cannabis other than cannabis seedlings and adding provisions re micro-cultivator employees, added Subsec. (g) re retailer or hybrid retailer endorsement and made technical and conforming changes in Subsecs. (a) and (f), effective July 1, 2025, and made conforming changes in Subsecs. (f)(1) and (g)(7), effective October 1, 2025 (Revisor's note: In Subsec. (g)(7), Subpara. designator (A) and provisions re hybrid retailers in Subpara. (B), added by P.A. 25-166, S. 20, but omitted from S. 21, were treated as a clerical error and retained, with a conforming change made in Subsec. (g)(7)(B), by the Revisors).

Sec. 21a-420q. Regulations re maximum grow space. Policies and procedures. The commissioner shall adopt regulations, in accordance with the provisions of chapter 54, to establish the maximum grow space permitted by a cultivator and micro-cultivator. In adopting such regulations, the commissioner shall seek to ensure an adequate supply of cannabis for the market. Notwithstanding the requirements of sections 4-168 to 4-172, inclusive, in order to effectuate this section, prior to adopting such regulations, the commissioner shall issue policies and procedures to implement the provisions of this section that shall have the force and effect of law. The commissioner shall post all policies and procedures on the department's Internet web site and submit such policies and procedures to the Secretary of the State for posting on the eRegulations System, at least fifteen days prior to the effective date of any policy or procedure. Any such policy or procedure shall no longer be effective upon the earlier of either the adoption of the policy or procedure as a final regulation under section 4-172 or sixty-three months from July 1, 2021.

(June Sp. Sess. P.A. 21-1, S. 37; P.A. 25-166, S. 22; 25-168, S. 162.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 25-166 replaced reference to 48 months with 63 months and deleted provision re submission of regulations under Sec. 4-170, effective July 1, 2025; P.A. 25-168 made identical changes as P.A. 25-166, effective June 30, 2025.

Sec. 21a-420r. Retailer license. (a) On and after July 1, 2021, the department may issue or renew a license for a person to be a retailer. No person may act as a retailer or represent that such person is a retailer unless such person has obtained a license from the department pursuant to this section.

(b) A retailer may obtain cannabis from a cultivator, micro-cultivator, producer, product packager, food and beverage manufacturer, product manufacturer or transporter or an undeliverable return from a delivery service. A retailer may sell, transport or transfer cannabis or cannabis products to a cannabis establishment, cannabis testing laboratory or research program. A retailer may sell cannabis to a consumer or research program. A retailer may not conduct sales of medical marijuana products nor offer discounts or other inducements to qualifying patients or caregivers. A retailer shall not gift or transfer cannabis at no cost to a consumer as part of a commercial transaction.

(c) Retailers shall maintain a secure location, in a manner approved by the commissioner, at the licensee's premises where cannabis that is unable to be delivered by an employee or delivery service may be returned to the retailer. Such secure cannabis return location shall meet specifications set forth by the commissioner and published on the department's Internet web site or included in regulations adopted by the department.

(d) A retailer may deliver cannabis through a delivery service or by utilizing its own employees, subject to the provisions of subsection (c) of section 21a-420c.

(e) Manufacturer hemp products, as defined in section 22-61l, may be sold within a retailer facility, provided such manufacturer hemp products are:

(1) Stored separately from cannabis and cannabis products;

(2) Separated, by a physical separation, from cannabis and cannabis products in any display area;

(3) Displayed with signage approved by the department;

(4) Tested by a laboratory that meets the standards for accreditation and testing, and sampling methods, set forth for an independent testing laboratory in section 22-61m, which laboratory may be located outside of this state;

(5) Clearly labeled to distinguish the product as (A) a manufacturer hemp product, (B) subject to different testing standards than cannabis, and (C) not cannabis or a cannabis product; and

(6) Sold in accordance with this chapter, chapter 424 and any regulations adopted pursuant to said chapters.

(June Sp. Sess. P.A. 21-1, S. 41; P.A. 23-79, S. 31; 23-166, S. 2; P.A. 25-101, S. 13; 25-166, S. 23.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 23-79 amended Subsec. (b) by substituting “cannabis testing laboratory” for “laboratory”, effective July 1, 2023; P.A. 23-166 added Subsec. (e) re sales of manufacturer hemp products, effective July 1, 2023; P.A. 25-101 amended Subsec. (b) by replacing “delivery service” with “cannabis establishment” in provision re persons to whom retailer may sell, transport or transfer cannabis or cannabis product, effective June 24, 2025; P.A. 25-166 made a conforming change in Subsec. (d).

Sec. 21a-420s. Hybrid retailer license. (a) The department may issue or renew a license for a hybrid retailer. No person may act as a hybrid retailer or represent that such person is a hybrid retailer unless such person has obtained a license from the department pursuant to this section.

(b) A hybrid retailer may obtain cannabis from a cultivator, micro-cultivator, producer, product packager, food and beverage manufacturer, product manufacturer or transporter. In addition to the activities authorized under section 21a-420t, a hybrid retailer may sell, transport or transfer cannabis to a cannabis establishment, cannabis testing laboratory or research program. A hybrid retailer may sell cannabis products to a consumer or research program. A hybrid retailer shall not gift or transfer cannabis at no cost to a consumer, qualifying patient or caregiver as part of a commercial transaction.

(c) In addition to conducting general retail sales, a hybrid retailer may sell cannabis and medical marijuana products to qualifying patients and caregivers. Any cannabis or medical marijuana products sold to qualifying patients and caregivers shall be dispensed by a licensed pharmacist and shall be recorded in the electronic prescription drug monitoring program, established pursuant to section 21a-254, in real-time or immediately upon completion of the transaction, unless not reasonably feasible for a specific transaction, but in no case longer than one hour after completion of the transaction. Only a licensed pharmacist or dispensary technician may upload or access data in the prescription drug monitoring program.

(d) (1) A hybrid retailer shall maintain a licensed pharmacist on premises for at least eight consecutive hours per calendar week when the hybrid retail location is open to the public or to qualifying patients and caregivers. At all times while a hybrid retailer location is open to the public and a licensed pharmacist is not physically present on premises and available for qualifying patient and caregiver consultations, the hybrid retailer shall ensure that a licensed pharmacist is readily available to (A) provide telehealth consultations for qualifying patients and caregivers, and (B) conduct remote order entry verification in accordance with regulations adopted by the commissioner pursuant to section 20-576, which remote order entry verification shall only be conducted by a licensed pharmacist in compliance with all remote order entry verification requirements established in regulations adopted by the commissioner pursuant to section 20-576.

(2) A hybrid retailer that offers telehealth consultations with a licensed pharmacist shall (A) employ such pharmacist for at least twenty hours per calendar week, (B) maintain technology that is capable of facilitating such consultations, and (C) make such consultations readily available and accessible to qualifying patients and caregivers, including, but not limited to, by telephone from a remote location outside of the hybrid retailer location and from the private consultation space required under subsection (e) of this section.

(3) Each hybrid retailer shall conspicuously post and maintain a sign at the main entrance of the hybrid retailer location, which sign shall (A) be at least twelve inches in height and eighteen inches in width, (B) incorporate lettering in a size and style that is clear and legible, and (C) state the name of the licensed pharmacist who is available for qualifying patient and caregiver consultations either in-person or through telehealth.

(4) Each hybrid retailer shall conspicuously post and maintain a sign at each register or comparable point of sale within the hybrid retailer location, and on any Internet web site maintained by such hybrid retailer, which sign shall (A) be at least eight inches in height and ten inches in width, (B) incorporate lettering in a size and style that is clear and legible, and (C) state “Pharmacist available for consultation” in a clear and legible manner.

(5) Each licensed pharmacist who consults with qualifying patients or caregivers shall annually complete not less than five contact hours of continuing professional education, as set forth in section 20-600, related to the cannabis industry, the pharmacy laws of this state or the treatment of debilitating medical conditions, as defined in section 21a-408. Such contact hours shall be included in, and not be in addition to, the fifteen contact hours required under section 20-600.

(e) The hybrid retailer location shall include a private consultation space for pharmacists to meet with qualifying patients and caregivers. Each hybrid retailer shall conspicuously display, on the exterior of the hybrid retailer location, a symbol that denotes the sale of medical marijuana products, which symbol shall be in a form and manner prescribed by the commissioner and posted on the department's Internet web site. Additionally, the hybrid retailer premises shall accommodate an expedited method of entry that allows for priority entrance into the premises for qualifying patients and caregivers.

(f) Hybrid retailers shall maintain a secure location, in a manner approved by the commissioner, at the licensee's premises where cannabis that is unable to be delivered may be returned to the hybrid retailer. Such secure cannabis return location shall meet specifications set forth by the commissioner and published on the department's Internet web site or included in regulations adopted by the department.

(g) Cannabis dispensed to a qualifying patient or caregiver that is unable to be delivered and is returned by the delivery service to the hybrid retailer shall be returned to the licensee inventory system and removed from the prescription drug monitoring program not later than forty-eight hours after receipt of the cannabis from the delivery service.

(h) A hybrid retailer may not convert its license to a retailer license. To obtain a retailer license, a hybrid retailer shall apply through the lottery application process. A hybrid retailer may convert to a dispensary facility, provided the hybrid retailer complies with all applicable provisions of chapter 420f and has received written approval from the department.

(i) A retailer may apply to the department to convert its license to a hybrid retailer license, without applying through the lottery application system. To convert a retailer license to a hybrid retailer license, a retailer shall submit a complete application to the department, in a form and manner prescribed by the commissioner. Prior to issuing a hybrid retailer license pursuant to this section, the department shall conduct an inspection of the converting retailer establishment. Upon a satisfactory inspection, the department shall deactivate the converting retailer license and issue a new hybrid retailer license to the applicant.

(j) Manufacturer hemp products, as defined in section 22-61l, may be sold within a hybrid retailer facility, provided such manufacturer hemp products are:

(1) Stored separately from cannabis and cannabis products;

(2) Separated, by a physical separation, from cannabis and cannabis products in any display area;

(3) Displayed with signage approved by the department;

(4) Tested by a laboratory that meets the standards for accreditation and testing, and sampling methods, set forth for an independent testing laboratory in section 22-61m, which laboratory may be located outside of this state;

(5) Clearly labeled to distinguish the product as (A) a manufacturer hemp product, (B) subject to different testing standards than cannabis, and (C) not cannabis or a cannabis product;

(6) Sold in accordance with this chapter, chapter 424 and any regulations adopted pursuant to said chapters; and

(7) Derived from hemp grown by a United States Department of Agriculture hemp producer licensee under an approved state or tribal hemp production plan.

(June Sp. Sess. P.A. 21-1, S. 42; P.A. 23-79, S. 32; 23-166, S. 3; P.A. 25-101, S. 14; 25-166, S. 24.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 23-79 amended Subsec. (b) by substituting “cannabis testing laboratory” for “laboratory”, effective July 1, 2023; P.A. 23-166 added Subsec. (i) re sales of manufacturer hemp products, effective July 1, 2023; P.A. 25-101 amended Subsec. (b) by replacing “delivery service” with “cannabis establishment” in provision re persons to whom hybrid retailer may sell, transport or transfer cannabis, effective June 24, 2025; P.A. 25-166 substantially amended Subsec. (d) including by adding provisions re telehealth, signage and continuing professional education, amended Subsec. (e) by adding provisions re display of symbol, added new Subsec. (i) re retailer conversion to hybrid retailer, amended redesignated Subsec. (j) by adding Subdiv. (7) re hemp grown under approved state or tribal hemp production plan and made technical and conforming changes in Subsecs. (a), (c) to (e), (g), (h) and (j) (Revisor's note: In Subsec. (d)(3), the word “sigh” was changed editorially by the Revisors to “sign” for accuracy).

Sec. 21a-420t. Conversion of dispensary facility license to hybrid retailer license. Real-time uploads to prescription drug monitoring program required. Delivery of cannabis or medical marijuana. (a) A dispensary facility may apply to the department, on a form and in a manner prescribed by the commissioner, to convert its license to a hybrid retailer license on or after September 1, 2021, without applying through the lottery application system. The license conversion application shall require a dispensary facility to submit to, and obtain approval from the department for, a detailed medical preservation plan for how it will prioritize sales and access to medical marijuana products for qualifying patients, including, but not limited to, managing customer traffic flow, preventing supply shortages, providing delivery services and ensuring appropriate staffing levels.

(b) After October 1, 2021, qualifying patients shall not be required to designate a dispensary facility or hybrid retailer as its exclusive location to purchase cannabis or medical marijuana products, nor shall the department require any future change of designated dispensary facility applications. If all dispensary facilities demonstrate to the department's satisfaction that they are adhering to the real-time upload requirements set forth in subsection (c) of this section prior to October 1, 2021, the commissioner may eliminate the requirement for designated dispensary facilities prior to said date.

(c) On and after September 1, 2021, dispensary facilities and hybrid retailers shall be required to perform real-time uploads to the prescription drug monitoring program. Any cannabis or medical marijuana products sold to qualifying patients or caregivers shall be dispensed by a licensed pharmacist and shall be recorded into the prescription drug monitoring program, established pursuant to section 21a-254, in real-time or immediately upon completion of the transaction, unless not reasonably feasible for a specific transaction, but in no case longer than one hour after completion of the transaction.

(d) A dispensary facility or hybrid retailer may apply to the department, in a form and in a manner prescribed by the commissioner, to provide delivery services through a delivery service or utilizing its own employees, subject to the provisions of subsection (c) of section 21a-420c, to qualifying patients, caregivers, research program subjects, as defined in section 21a-408, and hospice and other inpatient care facilities licensed by the Department of Public Health pursuant to chapter 368v that have a protocol for the handling and distribution of cannabis that has been approved by the Department of Consumer Protection. A dispensary facility or hybrid retailer may deliver cannabis or medical marijuana products only from its own inventory to qualifying patients and caregivers. If such application is approved by the commissioner, the dispensary facility or hybrid retailer may commence delivery services on and after January 1, 2022, provided the commissioner may authorize dispensary facilities or hybrid retailers to commence delivery services prior to January 1, 2022, upon forty-five days advance written notice, published on the department's Internet web site.

(e) Hybrid retailers may commence delivery of cannabis directly to consumers as of the date the first adult use cannabis sales are permitted by the commissioner as set forth in subsection (f) of this section, through a delivery service, or utilizing their own employees, subject to the provisions of subsection (c) of section 21a-420c.

(f) Dispensary facilities that have been approved by the department and that have converted to hybrid retailers may open their premises to the general public and commence adult use cannabis sales on and after thirty days after the date that cannabis is available for purchase for purposes of adult use sales from producers or cultivators that have at least two hundred fifty thousand square feet of grow space and space used to manufacture cannabis products in the aggregate, which date shall be published on the department's Internet web site.

(June Sp. Sess. P.A. 21-1, S. 43; P.A. 25-166, S. 25.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 25-166 made conforming changes in Subsecs. (d) and (e).

Sec. 21a-420u. Workforce development plan required for conversion to dispensary facility to hybrid retailer. Equity joint ventures: Application, approval requirements and limitations. Fees. (a) In order for a dispensary facility to convert its license to a hybrid-retailer license, a dispensary facility shall have a workforce development plan that has been approved by the Social Equity Council under section 21a-420d and shall either pay the fee of one million dollars established in section 21a-420e or, if such dispensary facility has committed to create one equity joint venture to be approved by the Social Equity Council for ownership purposes under section 21a-420d and subsequent to obtaining such approval, approved by the department for licensure under this section, pay a reduced fee of five hundred thousand dollars.

(b) Any equity joint venture created under this section shall be created for the development of a cannabis establishment, other than a cultivator, provided such equity joint venture is at least fifty per cent owned and controlled by an individual or individuals who meet, or the equity joint venture applicant is an individual who meets, the criteria established in subparagraphs (A) and (B) of subdivision (51) of section 21a-420.

(c) An equity joint venture applicant shall submit an application to the Social Equity Council that may include, but need not be limited to, evidence of business formation, ownership allocation, terms of ownership and financing and proof of social equity status. The equity joint venture applicant shall submit to the Social Equity Council information including, but not limited to, the organizing documents of the entity that outline the ownership stake of each backer, initial backer investment and payout information to enable the council to determine the terms of ownership.

(d) Upon receipt of written approval of the equity joint venture by the Social Equity Council, the equity joint venture applicant shall apply for a license from the department in the same form as required by all other licensees of the same license type and subject to the same fees as required by all other licensees of the same license type, except that such application shall not be subject to the lottery process.

(e) A dispensary facility, including the backers of such dispensary facility, shall not increase its ownership in an equity joint venture in excess of fifty per cent during the seven-year period after a license is issued by the department under this section.

(f) If a dispensary facility has paid the reduced conversion fee, in accordance with subsection (a) of this section, and did not subsequently create one equity joint venture under this section that, not later than twenty-four months after the Department of Consumer Protection approved the dispensary facility's license conversion application under section 21a-420t, receives a final license from the department, the dispensary facility shall be liable for the full conversion fee of one million dollars established in section 21a-420e minus such paid reduced conversion fee.

(g) No dispensary facility that receives approval to convert the dispensary facility's license to a hybrid-retailer license under section 21a-420t shall create more than two equity joint ventures. No such dispensary facility shall apply for, or create, any additional equity joint venture if, on July 1, 2021, such dispensary facility has created at least two equity joint ventures that have each received a provisional license.

(h) An equity joint venture applicant shall pay fifty per cent of the amount of any applicable fee specified in subsection (c) of section 21a-420e for the first three renewal cycles of the applicable cannabis establishment license applied for, and shall pay the full amount of such fee thereafter.

(June Sp. Sess. P.A. 21-1, S. 145; P.A. 22-103, S. 7; P.A. 23-79, S. 33; P.A. 24-76, S. 15; P.A. 25-101, S. 17; 25-166, S. 26.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 22-103 amended Subsec. (b) by adding provision re equity joint venture not be cultivator and be at least 50 per cent owned or controlled by individual or individuals who meet, or equity joint venture applicant be individual who meets, criteria established in Sec. 21a-420(48)(A) and (B), Subsec. (c) by deleting provisions re social equity applicant involvement, evidence of business formation, ownership allocation and terms of ownership and financing, Subsec. (d) by substituting reference to equity joint venture applicant for reference to dispensary facility and social equity applicant and Subsec. (g) by adding provisions re 14 month period for receipt of final license and deduction for paid reduced conversion fee, added Subsec. (h) limiting number of equity joint ventures and Subsec. (i) re reduced fees, and made technical and conforming changes, effective May 24, 2022; P.A. 23-79 amended Subsec. (d) by adding provision re exception to lottery process, amended Subsec. (f) re proximity of equity joint ventures that are retailers or hybrid retailers, and made technical and conforming changes in Subsecs. (b) and (f), effective July 1, 2023; (Revisor's note: In 2024, a reference to “the effective date of this section” in Subsec. (h) was changed editorially by the Revisors to “July 1, 2021” for accuracy); P.A. 24-76 made a conforming change in Subsec. (b), effective July 1, 2024; P.A. 25-101 deleted former Subsec. (f) re minimum separation between equity joint ventures that are retailers or hybrid retailers and share common dispensary facility backer or owner or hybrid retailer backer or owner and redesignated existing Subsecs. (g) to (i) as Subsecs. (f) to (h), effective January 1, 2026; P.A. 25-166 amended Subsec. (g) by replacing reference to 14 months with 24 months, effective July 1, 2025.

Sec. 21a-420z. Delivery service and transporter licenses. Expansion of authorized activities. Regulations and policies and procedures. Registration of delivery service employees. (a) The department may issue or renew a license for a person to be a delivery service or a transporter. No person may act as a delivery service or transporter or represent that such person is a licensed delivery service or transporter unless such person has obtained a license from the department pursuant to this section.

(b) Upon application for a delivery service or transporter license, the applicant shall indicate whether the applicant is applying to transport cannabis (1) between cannabis establishments, in which case the applicant shall apply for a transporter license, or (2) from certain cannabis establishments to consumers or qualifying patients and caregivers, or a combination thereof, in which case the applicant shall apply for a delivery service license.

(c) A delivery service may (1) deliver cannabis from a micro-cultivator, retailer, or hybrid retailer directly to a consumer, and (2) deliver cannabis and medical marijuana products from a hybrid retailer or dispensary facility directly to a qualifying patient, caregiver, or hospice or other inpatient care facility licensed by the Department of Public Health pursuant to chapter 368v that has protocols for the handling and distribution of cannabis that have been approved by the Department of Consumer Protection. A delivery service may not store or maintain control of cannabis or medical marijuana products for more than twenty-four hours between the point when a consumer, qualifying patient, caregiver or facility places an order, until the time that the cannabis or medical marijuana product is delivered to such consumer, qualifying patient, caregiver or facility.

(d) (1) Except as provided in subdivision (2) of this subsection, a transporter may deliver cannabis between cannabis establishments, research programs and cannabis testing laboratories and shall not store or maintain control of cannabis for more than twenty-four hours from the time the transporter obtains the cannabis from a cannabis establishment, research program or cannabis testing laboratory until the time such cannabis is delivered to the destination.

(2) (A) A transporter may expand the transporter's authorized activities to store, maintain and handle cannabis in accordance with the provisions of this subsection, provided such transporter:

(i) Possesses each unit of cannabis for a period not to exceed thirty days beginning on the date on which the transporter receives such cannabis;

(ii) Complies with all security requirements established pursuant to section 21a-421l and the policies, procedures and regulations adopted pursuant to section 21a-421j;

(iii) Attests that such transporter shall not open or remove any cannabis from individual child-resistant packaging, provided nothing in this subdivision shall be construed to prohibit a transporter from consolidating or separating bulk packaged cannabis for the purposes of commercial distribution;

(iv) Attests that such transporter shall comply with all requirements set forth in section 21a-421n, and all policies, procedures and regulations adopted pursuant to section 21a-421j, for the electronic tracking system concerning the receipt, storage, repackaging and distribution of cannabis;

(v) Pays to the department, in a form and manner prescribed by the commissioner, a one-time expansion authorization payment of five thousand dollars, to be deposited in the consumer protection enforcement account established in section 21a-8a;

(vi) Notifies the department, in a form and manner prescribed by the commissioner, at least thirty days before the date on which the transporter intends to commence the storage of cannabis for a period exceeding twenty-four hours; and

(vii) Receives written confirmation from the department that the transporter meets the security requirements described in subparagraph (A)(ii) of this subdivision.

(B) The department shall take all reasonable efforts to schedule an inspection of the cannabis establishment facility not later than sixty days after the department receives an application for transporter expansion pursuant to this subdivision. Upon completion of such inspection, the department shall promptly provide to the transporter (i) written confirmation of compliance with the security requirements set forth in subparagraph (A)(ii) of this subdivision, or (ii) notice of noncompliance with the security requirements set forth in subparagraph (A)(ii) of this subdivision.

(C) A transporter that expands the transporter's authorized activities under subparagraph (A) of this subdivision shall (i) comply with all provisions of this chapter, and all regulations, policies and procedures prescribed pursuant to this chapter, concerning product packagers, and (ii) not open or remove any cannabis from individual child-resistant packaging, provided nothing in this subdivision shall be construed to prohibit a transporter from consolidating or separating bulk packaged cannabis for the purposes of commercial distribution on a scale that is greater than commercial distribution on an individual and final packaging basis.

(D) In the event of a conflict between any provision of this chapter, or any regulation, policy or procedure prescribed pursuant to this chapter, concerning transporters and any such provision, regulation, policy or procedure concerning product packagers, the provision, regulation, policy or procedure imposing the more stringent public health and safety standard shall prevail.

(e) The commissioner shall adopt regulations, in accordance with chapter 54, to implement the provisions of RERACA. Notwithstanding the requirements of sections 4-168 to 4-172, inclusive, in order to effectuate the purposes of RERACA and protect public health and safety, prior to adopting such regulations the commissioner shall issue policies and procedures to implement the provisions of this section that shall have the force and effect of law. The commissioner shall post all policies and procedures on the department's Internet web site, and submit such policies and procedures to the Secretary of the State for posting on the eRegulations System, at least fifteen days prior to the effective date of any policy or procedure. Any such policy or procedure shall no longer be effective upon the earlier of either adoption of such policy or procedure as a final regulation under section 4-172 or sixty-three months from July 1, 2021. The commissioner shall issue policies and procedures, and thereafter adopt final regulations, requiring that: (1) The delivery service and transporter meet certain security requirements related to the storage, handling and transport of cannabis, the vehicles employed, the conduct of employees and agents, and the documentation that shall be maintained by the delivery service, transporter and its drivers; (2) a delivery service that delivers cannabis to consumers maintain an online interface that verifies the age of consumers ordering cannabis for delivery and meets certain specifications and data security standards; and (3) a delivery service that delivers cannabis to consumers, qualifying patients or caregivers, and all employees and agents of such licensee, to verify the identity of the qualifying patient, caregiver or consumer and the age of the consumer upon delivery of cannabis to the end consumer, qualifying patient or caregiver, in a manner acceptable to the commissioner. The individual placing the cannabis order shall be the individual accepting delivery of the cannabis except, in the case of a qualifying patient, the individual accepting the delivery may be the caregiver of such qualifying patient.

(f) A delivery service shall not gift or transfer cannabis at no cost to a consumer or qualifying patient or caregiver as part of a commercial transaction.

(g) A delivery service that employs twelve or more individuals to deliver cannabis pursuant to subsection (c) of this section may only use individuals employed on a full-time basis, not less than thirty-five hours per week, to deliver cannabis pursuant to subsection (c) of this section. Any delivery service employees who deliver cannabis shall be registered with the department, and a delivery service shall not employ more than twenty-five such delivery employees at any given time.

(h) No provision of this section shall be construed to excuse any delivery service from the requirement that such delivery service enter into a labor peace agreement with a bona fide labor organization under section 21a-421d.

(June Sp. Sess. P.A. 21-1, S. 47; P.A. 22-70, S. 10; P.A. 23-79, S. 37; P.A. 25-166, S. 27, 28; 25-168, S. 163.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 22-70 made a technical change in Subsec. (e)(3); P.A. 23-79 amended Subsec. (d) by substituting “cannabis testing laboratory” for “laboratory”, amended Subsec. (g) by adding provision re employment of twelve or more individuals to deliver cannabis pursuant to Subsec. (c) and added Subsec. (h) re labor peace agreements, effective July 1, 2023; P.A. 25-166 amended Subsec. (d) by designating existing provisions as Subdiv. (1) and adding Subdiv. (2) re expansion of transporter's authorized activities, and made technical and conforming changes in Subsecs. (a), (d)(1) and (g), effective October 1, 2025, amended Subsec. (e) by replacing reference to 48 months with 63 months and deleting provision re submission of regulations under Sec. 4-170, effective July 1, 2025; P.A. 25-168 made identical changes as P.A. 25-166, effective June 30, 2025.

Sec. 21a-420aa. Social equity applicants. Withdrawal of cultivator application and submission of micro-cultivator application. (a)(1) During the period beginning July 1, 2024, and ending March 31, 2025, a social equity applicant that has submitted an application to the department for a cultivator license pursuant to subsection (a) of section 21a-420o may withdraw such application and apply for a micro-cultivator license pursuant to this section if:

(A) The Social Equity Council has verified that the applicant meets the criteria for a social equity applicant pursuant to subdivision (1) of subsection (a) of section 21a-420o;

(B) The social equity applicant is eligible to receive a provisional cultivator license pursuant to subsection (a) of section 21a-420o;

(C) The department has not already issued a provisional cultivator license to the social equity applicant pursuant to subsection (a) of section 21a-420o; and

(D) The social equity applicant submits to the department, in a form and manner prescribed by the commissioner, a written statement by the social equity applicant withdrawing the social equity applicant's application under subsection (a) of section 21a-420o.

(2) No social equity applicant that withdraws an application in the manner set forth in subdivision (1) of this subsection shall be eligible to receive a refund for any fee paid in connection with such withdrawn application.

(b) During the period beginning July 1, 2024, and ending December 31, 2025, the department shall issue a provisional micro-cultivator license to a social equity applicant pursuant to this section:

(1) If the social equity applicant meets the eligibility criteria established in subdivision (1) of subsection (a) of this section;

(2) If during the period beginning July 1, 2024, and ending March 31, 2025, the social equity applicant submits to the department, in a form and manner prescribed by the commissioner:

(A) A completed micro-cultivator license application and other documentation required to determine eligibility as set forth in subsections (e) to (l), inclusive, of section 21a-420g;

(B) A written statement by the social equity applicant disclosing whether any change occurred in the ownership or control of the social equity applicant after the Social Equity Council verified that the applicant met the criteria for a social equity applicant pursuant to subdivision (1) of subsection (a) of section 21a-420o; and

(C) The application fee required under subdivision (1) of subsection (c) of this section; and

(3) If any change described in subparagraph (B) of subdivision (2) of this subsection has occurred:

(A) Such change in ownership or control is allowed under (i) section 21a-420g, and (ii) any regulation adopted, or policy or procedure issued, pursuant to section 21a-420g or 21a-420h; and

(B) Pursuant to subsection (d) of this section, (i) the Social Equity Council has determined that the social equity applicant continues to meet the criteria for a social equity applicant, and (ii) the department has received a written notice from the Social Equity Council affirming that the Social Equity Council has determined that the social equity applicant continues to meet the criteria for a social equity applicant.

(c) (1) A social equity applicant that submits a micro-cultivator license application pursuant to subsection (b) of this section shall submit to the department an application fee in the amount of five hundred thousand dollars. All application fees collected pursuant to this subdivision shall be deposited in the consumer protection enforcement account established in section 21a-8a.

(2) The fee to renew a final micro-cultivator license issued pursuant to this section shall be the same as the fee to renew a final micro-cultivator license as set forth in section 21a-420e. All renewal fees collected pursuant to this subdivision shall be paid to the State Treasurer and credited to the General Fund.

(d) If any change described in subparagraph (B) of subdivision (2) of subsection (b) of this section has occurred, the Social Equity Council shall (1) determine whether the social equity applicant continues to meet the criteria for a social equity applicant, and (2) submit to the department, in a form and manner prescribed by the commissioner, a written notice disclosing such determination.

(e) No social equity applicant that receives a micro-cultivator license under this section shall be eligible to apply for a provisional license and a final license to create more than one equity joint venture to be approved by the Social Equity Council under section 21a-420d, and no such social equity applicant shall operate any such equity joint venture unless such social equity applicant has received a micro-cultivator license under this section, commenced cultivation activities under such micro-cultivator license and submitted to the department both the application fee required under subdivision (1) of subsection (c) of this section and a conversion fee in the amount of five hundred thousand dollars. The conversion fee collected pursuant to this subsection shall be deposited in the social equity and innovation account established in section 21a-420f.

(f) Each application submitted to the department pursuant to subsection (b) of this section, and all information included in, or submitted with, any application submitted pursuant to said subsection, shall be subject to the provisions of subsection (g) of section 21a-420e.

(g) Notwithstanding any other provision of RERACA, and except as otherwise provided in subsections (a) to (f), inclusive, of this section:

(1) Each application submitted pursuant to subsection (b) of this section shall be processed as any other micro-cultivator application that has been selected through the lottery; and

(2) Each social equity applicant, application submitted pursuant to subsection (b) of this section and micro-cultivator license issued pursuant to this section shall be subject to subsections (e) to (l), inclusive, of section 21a-420g.

(P.A. 24-76, S. 5; P.A. 25-168, S. 134.)

History: P.A. 24-76 effective July 1, 2024; P.A. 25-168 amended Subsec. (e) by substituting “social equity and innovation account” for “Cannabis Social Equity and Innovation Fund”, effective July 1, 2025.

Sec. 21a-420bb. Social equity applicants and provisional cultivator licensees. Withdrawal of cultivator application and submission of micro-cultivator application. (a)(1) During the period beginning July 1, 2025, and ending December 31, 2026, a social equity applicant that has submitted an application to the department for a cultivator license, or has received a provisional cultivator license, pursuant to subsection (a) of section 21a-420o may withdraw such application and apply for a micro-cultivator license pursuant to this section if:

(A) The Social Equity Council has verified that the applicant meets the criteria for a social equity applicant pursuant to subdivision (1) of subsection (a) of section 21a-420o;

(B) The social equity applicant is eligible to receive a provisional cultivator license pursuant to subsection (a) of section 21a-420o; and

(C) The social equity applicant submits to the department, in a form and manner prescribed by the commissioner, a written statement by the social equity applicant withdrawing the social equity applicant's application submitted, or provisional cultivator license issued, under subsection (a) of section 21a-420o.

(2) No social equity applicant that withdraws an application or provisional cultivator license in the manner set forth in subdivision (1) of this subsection shall be eligible to receive a refund for any fee paid in connection with such withdrawn application.

(b) During the period beginning July 1, 2025, and ending March 31, 2027, the department shall issue a provisional micro-cultivator license to a social equity applicant pursuant to this section:

(1) If the social equity applicant meets the eligibility criteria established in subdivision (1) of subsection (a) of this section;

(2) If during the period beginning July 1, 2025, and ending December 31, 2026, the social equity applicant submits to the department, in a form and manner prescribed by the commissioner:

(A) A completed micro-cultivator license application and other documentation required to determine eligibility as set forth in subsections (e) to (l), inclusive, of section 21a-420g;

(B) A written statement by the social equity applicant disclosing whether any change occurred in the ownership or control of the social equity applicant after the Social Equity Council verified that the applicant met the criteria for a social equity applicant pursuant to subdivision (1) of subsection (a) of section 21a-420o; and

(C) The application fee required under subdivision (1) of subsection (c) of this section; and

(3) If any change described in subparagraph (B) of subdivision (2) of this subsection has occurred:

(A) Such change in ownership or control is allowed under (i) section 21a-420g, and (ii) any regulation adopted, or policy or procedure issued, pursuant to section 21a-420g or 21a-420h; and

(B) Pursuant to subsection (d) of this section, (i) the Social Equity Council has determined that the social equity applicant continues to meet the criteria for a social equity applicant, and (ii) the department has received a written notice from the Social Equity Council affirming that the Social Equity Council has determined that the social equity applicant continues to meet the criteria for a social equity applicant.

(c) (1) A social equity applicant that has not obtained a provisional cultivator license under subsection (a) of section 21a-420o and submits a micro-cultivator license application pursuant to subsection (b) of this section shall submit to the department an application fee in the amount of five hundred thousand dollars. The three-million-dollar fee paid by the social equity applicant pursuant to section 21a-420o to receive a provisional cultivator license shall be considered the application fee to convert to a micro-cultivator license pursuant to this section. All application fees collected pursuant to this subdivision shall be deposited in the consumer protection enforcement account established in section 21a-8a.

(2) The fee to renew a final micro-cultivator license issued pursuant to this section shall be the same as the fee to renew a final micro-cultivator license as set forth in section 21a-420e. All renewal fees collected pursuant to this subdivision shall be paid to the State Treasurer and credited to the General Fund.

(d) If any change described in subparagraph (B) of subdivision (2) of subsection (b) of this section has occurred, the Social Equity Council shall (1) determine whether the social equity applicant continues to meet the criteria for a social equity applicant, and (2) submit to the department, in a form and manner prescribed by the commissioner, a written notice disclosing such determination.

(e) No social equity applicant that receives a micro-cultivator license under this section shall be eligible to apply for a provisional license and a final license to create more than one equity joint venture to be approved by the Social Equity Council under section 21a-420d, and no such social equity applicant shall operate any such equity joint venture unless such social equity applicant has received a micro-cultivator license under this section, commenced cultivation activities under such micro-cultivator license and submitted to the department both the application fee required under subdivision (1) of subsection (c) of this section and a conversion fee in the amount of five hundred thousand dollars. The conversion fee collected pursuant to this subsection shall be deposited in the social equity and innovation account established in section 21a-420f. The three-million-dollar fee paid by the social equity applicant pursuant to section 21a-420o to receive a provisional cultivator license shall be considered the conversion fee to convert to a micro-cultivator license pursuant to this section. Cultivators that paid the three-million-dollar fee under section 21a-420o and received license conversion approval under section 21a-420aa may create not more than two equity joint ventures. No such cultivator shall apply for, or create, any additional equity joint venture if, on July 1, 2025, such cultivator has created at least two equity joint ventures that have each received a provisional license.

(f) Each application submitted to the department pursuant to subsection (b) of this section, and all information included in, or submitted with, any application submitted pursuant to said subsection, shall be subject to the provisions of subsection (g) of section 21a-420e.

(g) A micro-cultivator licensed under this section, including the backer of such micro-cultivator, shall not increase its ownership in an equity joint venture in excess of fifty per cent during the seven-year period beginning on the date on which a final micro-cultivator license is issued by the department under this section.

(h) Notwithstanding any other provision of RERACA, and except as otherwise provided in subsections (a) to (g), inclusive, of this section:

(1) Each application submitted pursuant to subsection (b) of this section shall be processed as any other micro-cultivator application that has been selected through the lottery; and

(2) Each social equity applicant, application submitted pursuant to subsection (b) of this section and micro-cultivator license issued pursuant to this section shall be subject to subsections (e) to (l), inclusive, of section 21a-420g.

(P.A. 25-166, S. 8.)

History: P.A. 25-166 effective July 1, 2025.

Sec. 21a-420cc. Social equity applicants. Cultivator or micro-cultivator facility outside of disproportionately impacted area permitted. Requirements. (a) During the period beginning January 1, 2026, and ending December 31, 2027, the department shall issue a cultivator license or micro-cultivator license to a social equity applicant, which permits such applicant to locate such applicant's cultivator or micro-cultivator facility outside of a disproportionately impacted area, provided:

(1) On or before July 1, 2026, the social equity applicant submits to the department a complete application for a provisional cultivator or micro-cultivator license pursuant to subsection (a) of section 21a-420o;

(2) On or before June 30, 2027, the Social Equity Council verifies, pursuant to subdivision (1) of subsection (a) of section 21a-420o, that such applicant meets the criteria established for a social equity applicant;

(3) On or before June 30, 2027, the department issues a provisional cultivator or micro-cultivator license to the social equity applicant pursuant to section 21a-420o; and

(4) On or before July 1, 2027, the provisional licensee submits to the department a complete application for a final cultivator or micro-cultivator license, as prescribed in section 21a-420g, which application shall include:

(A) A copy of a fully executed lease agreement between the provisional licensee and a hemp producer, which hemp producer has been continually licensed under section 22-61l since January 1, 2024, and which agreement provides:

(i) For the use of the hemp producer's lot, as defined in section 22-61l, that is on record with the Department of Agriculture on January 1, 2024, and may be located outside of a disproportionately impacted area; and

(ii) That the hemp producer does not currently hold a position of ownership, control or management of the provisional licensee, and if a final cultivator or micro-cultivator license is issued to the provisional licensee pursuant to this section, the hemp producer shall not hold a position of ownership, control or management of the licensee for a period of seven years commencing on the date on which such final license is issued pursuant to this section; and

(iii) An express acknowledgment by the parties that if the department issues a final cultivator or micro-cultivator license to the provisional licensee pursuant to this section, the hemp producer shall immediately be deemed to have automatically surrendered such hemp producer's license;

(B) Evidence sufficient for the department to verify that the hemp producer that is a party to the lease has been continually licensed as a hemp producer since January 1, 2024;

(C) An acknowledgment by the provisional licensee that, if the department issues a final cultivator or micro-cultivator license to such provisional licensee pursuant to this section, such licensee shall (i) in the case of a final cultivator license, be eligible to create not more than one equity joint venture after such licensee receives such license and commences cultivation activities under such license, or (ii) in the case of a final micro-cultivator license, be ineligible to create an equity joint venture after such licensee receives such license; and

(D) An attestation by the provisional licensee that (i) the hemp producer from which such provisional licensee is leasing land shall have no ownership interest in, or managerial control over, such licensee, other than any ownership interest or control previously disclosed to the Social Equity Council for the purpose of determining that the social equity applicant meets the criteria for a social equity applicant pursuant to subdivision (1) of subsection (a) of section 21a-420o, and (ii) all hemp has been harvested from the lot subject to the lease between the provisional licensee and the hemp producer.

(b) During the seven-year period commencing on the date on which a final cultivator license or final micro-cultivator license is issued pursuant to this section, the cultivator or micro-cultivator issued such final license shall:

(1) Not enter into any business arrangement with the hemp producer, other than for the lease of the hemp producer's lot, or any affiliate, subsidiary or entity controlled by the hemp producer if such business arrangement may result in such hemp producer, affiliate, subsidiary or entity holding a position of ownership, control or management of the cultivator or micro-cultivator; and

(2) Disclose any direct or indirect business interest or relationship between the cultivator or micro-cultivator and the hemp producer or any affiliate, subsidiary or entity controlled by the hemp producer or any key participant, as defined in section 22-61l.

(c) The fee to renew a final cultivator license or final micro-cultivator license issued pursuant to this section shall be the same as the fee to renew a final cultivator license or final micro-cultivator license as set forth in section 21a-420e.

(d) All hemp located on the lot subject to the lease agreement between the provisional licensee and the hemp producer shall continue to be deemed hemp until the department issues a final cultivator license or final micro-cultivator license to such licensee. After the department issues a final cultivator license or final micro-cultivator license pursuant to this section, such hemp shall be deemed to be cannabis and shall be subject to all cannabis cultivation, testing, labeling, tracking, reporting and manufacturing provisions of RERACA as such provisions apply to cultivators and micro-cultivators.

(e) No provisional licensee that receives a final cultivator license under this section shall be eligible to create more than one equity joint venture, and no such licensee shall create any equity joint venture unless such licensee has received a final cultivator license under this section and commenced cultivation activities under such cultivator license. No provisional licensee that receives a micro-cultivator license under this section shall be eligible to create an equity joint venture.

(f) Each application submitted to the department pursuant to subsection (a) of this section, and all information included in or submitted with such application, shall be subject to the provisions of subsection (g) of section 21a-420e.

(P.A. 25-166, S. 9.)

History: P.A. 25-166 effective July 1, 2025.

Sec. 21a-420dd. Temporary cannabis operator license. (a) As used in this section:

(1) “Court appointee” (A) means a person appointed or designated as part of a court supervised proceeding to exercise court oversight with respect to the property, assets, management or operations of a cannabis establishment, and (B) includes, but is not limited to, a receiver, custodian, guardian or trustee or the executor or administrator of an estate; and

(2) “Court supervised proceeding” means a proceeding in which a court of competent jurisdiction appoints or designates a court appointee to exercise court oversight with respect to the property, assets, management or operations of a cannabis establishment.

(b) (1) The Department of Consumer Protection may, upon receipt of a complete application and payment of the fee required under subsection (c) of this section, issue a temporary cannabis operator license to a court appointee to operate a cannabis establishment for a period (A) not to exceed sixty days, or (B) longer than sixty days, provided the Commissioner of Consumer Protection, in the commissioner's sole discretion, deems such longer period reasonably necessary to allow for the orderly disposition of (i) the cannabis establishment in the court supervised proceeding, or (ii) any delinquencies or deficiencies identified by the court.

(2) The department may recommend that a person be appointed or designated as the court appointee as part of any court supervised proceeding before any court of competent jurisdiction in this state.

(3) Each court appointee who is licensed as a temporary cannabis operator under this section shall comply with all applicable provisions of the general statutes and all applicable regulations, policies and procedures adopted or promulgated thereunder.

(c) (1) A court appointee shall submit to the department, in a form and manner prescribed by the commissioner, an application for a temporary cannabis operator license. Such application shall include, but need not be limited to:

(A) The contact information for such court appointee;

(B) Proof that such court appointee has been appointed or designated to exercise court oversight with respect to the property, assets, management or operations of the relevant cannabis establishment;

(C) The requested duration of the temporary cannabis operator license; and

(D) A summary of the circumstances necessitating such application.

(2) Notwithstanding any provision of the general statutes, no court appointee who applies for a temporary cannabis operator license pursuant to subdivision (1) of this subsection shall be required to submit to or pass a criminal history records check or financial history check.

(3) Each application submitted to the department pursuant to subdivision (1) of this subsection shall be accompanied by a nonrefundable application fee in the amount of five hundred dollars. All application fees collected by the department under this subdivision shall be paid to the State Treasurer and credited to the General Fund.

(d) A court appointee may submit to the department, in a form and manner prescribed by the commissioner, a request to extend the term of a temporary cannabis operator license issued pursuant to this section. The department may grant an extension request submitted pursuant to this subsection if the commissioner determines, in the commissioner's discretion, that such extension is reasonably necessary to allow for resolution of the court supervised proceeding. If such an extension is granted, it shall be so granted in a form and manner prescribed by the commissioner.

(e) The commissioner may refuse to issue or extend, or may revoke, a temporary cannabis operator license issued pursuant to this section:

(1) If the court appointee does not propose to begin operating the cannabis establishment immediately upon issuance of the temporary cannabis operator license, or does not begin operating the cannabis establishment immediately upon issuance of such license, unless the commissioner, in the commissioner's discretion and in writing, waives such requirement and extends the period during which the court appointee shall begin operating such cannabis establishment;

(2) For sufficient cause, as set forth in subsection (b) of section 21a-421p;

(3) If the court appointee operates the cannabis establishment in violation of any applicable provision of the general statutes or any regulation, policy or procedure adopted or promulgated thereunder; or

(4) If the term of such temporary cannabis operator license has expired.

(P.A. 25-101, S. 8.)

History: P.A. 25-101 effective July 1, 2025.

Sec. 21a-421a. Registration requirement for employees of cannabis establishment, cannabis testing laboratory or research program. Licensure requirement for backers, key employees and certain authorized representatives. Application requirements. Notice requirements. Regulations. (a) Each employee of a cannabis establishment, cannabis testing laboratory or research program, other than a key employee, shall annually apply for and obtain a registration, on a form and in a manner prescribed by the commissioner, prior to commencing employment at the cannabis establishment business.

(b) No person shall act as a backer or key employee, or represent that such person is a backer or key employee, unless such person has obtained a license from the department pursuant to this subsection. Such person shall apply for a license on a form and in a manner prescribed by the commissioner. Such form may require the applicant to: (1) Except as provided in subsection (c) of this section, submit to a state and national criminal history records check conducted in accordance with section 29-17a, which may include a financial history check if requested by the commissioner, to determine the character and fitness of the applicant for the license, (2) provide information sufficient for the department to assess whether the applicant has an ownership interest in any other cannabis establishment, cannabis establishment applicant or cannabis-related business nationally or internationally, (3) provide demographic information, and (4) obtain such other information as the department determines is consistent with the requirements of RERACA or chapter 420f. A backer or key employee shall be denied a license in the event his or her background check reveals a disqualifying conviction.

(c) If a person listed in subparagraph (A) of subdivision (2) of section 21a-420 holds any security interest in a cannabis establishment and appoints an authorized representative to temporarily engage in the control, management or operation of the cannabis establishment due to any failure to comply with the terms of the security instrument that created such security interest, such authorized representative shall obtain a key employee license from the department pursuant to subsection (b) of this section before temporarily engaging in the control, management or operation of such cannabis establishment. Such authorized representative shall apply for a key employee license in accordance with the provisions of subsection (b) of this section, except such authorized representative shall not be required to submit to a state and national criminal history records check conducted in accordance with section 29-17a. The provisions of this subsection shall not apply to an authorized representative who is a court appointee, as defined in section 21a-420dd.

(d) Except as provided in subsection (e) of this section, any person who receives a cannabis establishment license, backer or key employee license or employee registration issued pursuant to subsection (a) of this section shall notify the department, in writing, of any changes to the information supplied on the application for such license or registration not later than five business days after such change.

(e) Any person who receives a cannabis establishment license or backer or key employee license shall notify the department, in a manner prescribed by the department, of any arrest or conviction of such person for an offense that would constitute a disqualifying conviction, as defined in section 21a-420, not later than forty-eight hours after such arrest or conviction.

(f) The department may adopt regulations in accordance with the provisions of chapter 54 to implement the provisions of this section, or may adopt policies and procedures as set forth in section 21a-421j, prior to adopting such final regulations.

(June Sp. Sess. P.A. 21-1, S. 29; P.A. 23-79, S. 38; P.A. 25-101, S. 18.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 23-79 amended Subsec. (a) by substituting “cannabis testing laboratory” for “laboratory”, effective July 1, 2023; P.A. 25-101 added new Subsec. (c) re key employee licensure requirement for certain authorized representatives, redesignated existing Subsecs. (c) to (e) as Subsecs. (d) to (f) and made conforming changes in Subsec. (b)(1) and redesignated Subsec. (d), effective July 1, 2025.

Sec. 21a-421i. Revolving loan program. (a)(1) The Department of Economic and Community Development and the Social Equity Council shall jointly develop and establish:

(A) A revolving loan program for the purposes of subdivision (1) of subsection (b) of section 21a-421h, including (i) requirements for loan eligibility under the program, (ii) an application form and the information and documentation required to be submitted with such application, (iii) the terms of the loans to be offered, including the rates of interest to be charged and the length of the loans, (iv) a plan for publicizing and marketing the program, and (v) any other requirements necessary to implement the program; and

(B) Application forms, applicant requirements and any other provisions the department and the council deem necessary for the purposes of subdivisions (2) to (4), inclusive, of subsection (b) of section 21a-421h.

(2) The department and the council shall post on the Internet web sites of the Department of Economic and Community Development and the Department of Consumer Protection information concerning the loan program and other available funding under this section.

(b) (1) The Department of Economic and Community Development and the Social Equity Council shall approve or deny an application described in subdivision (1) of subsection (a) of this section not later than one hundred twenty days after the department and the council receive a completed application form and all information and documentation required to be submitted with such application form.

(2) If the department and the council deny an application as set forth in subdivision (1) of this subsection, the applicant may reapply without prejudice by submitting a new application as set forth in subdivision (1) of subsection (a) of this section.

(June Sp. Sess. P.A. 21-1, S. 135; P.A. 25-137, S. 3.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 25-137 deleted former Subsec. (a) defining “Social Equity Council”, “cannabis establishment” and “social equity applicant”, redesignated existing Subsec. (b) as Subsec. (a) and added new Subsec. (b) re approval or denial of application, effective July 8, 2025.

Sec. 21a-421j. Regulations required to implement RERACA. Policies and procedures. (a) As used in this section, “total THC” has the same meaning as provided in section 21a-240.

(b) The commissioner shall adopt regulations in accordance with chapter 54 to implement the provisions of RERACA. Notwithstanding the requirements of sections 4-168 to 4-172, inclusive, in order to effectuate the purposes of RERACA and protect public health and safety, prior to adopting such regulations the commissioner shall issue policies and procedures to implement the provisions of RERACA that shall have the force and effect of law. The commissioner shall post all policies and procedures on the department's Internet web site and submit such policies and procedures to the Secretary of the State for posting on the eRegulations System, at least fifteen days prior to the effective date of any policy or procedure. The commissioner shall also provide such policies and procedures, in a manner prescribed by the commissioner, to each licensee. Any such policy or procedure shall no longer be effective upon the earlier of either the adoption of the policy or procedure as a final regulation under section 4-172 or sixty-three months from June 22, 2021. The commissioner shall issue policies and procedures and thereafter final regulations that include, but are not limited to, the following:

(1) Setting appropriate dosage, potency, concentration and serving size limits and delineation requirements for cannabis, provided a standardized serving of edible cannabis product or beverage, other than a medical marijuana product, shall contain not more than five milligrams of THC.

(2) Requiring that each single standardized serving of cannabis product in a multiple-serving edible product or beverage is physically demarked in a way that enables a reasonable person to determine how much of the product constitutes a single serving and a maximum amount of THC per multiple-serving edible cannabis product or beverage.

(3) Requiring that, if it is impracticable to clearly demark every standardized serving of cannabis product or to make each standardized serving easily separable in an edible cannabis product or beverage, the product, other than cannabis concentrate or medical marijuana product, shall contain not more than five milligrams of THC per unit of sale.

(4) Establishing, in consultation with the Department of Mental Health and Addiction Services, consumer health materials that shall be posted or distributed, as specified by the commissioner, by cannabis establishments to maximize dissemination to cannabis consumers. Consumer health materials may include pamphlets, packaging inserts, signage, online and printed advertisements and advisories and printed health materials.

(5) Imposing labeling and packaging requirements for cannabis sold by a cannabis establishment that include, but are not limited to, the following:

(A) Inclusion of universal symbols to indicate that cannabis, or a cannabis product, contains THC and is not legal or safe for individuals younger than twenty-one years of age, and prescribe how such product and product packaging shall utilize and exhibit such symbols.

(B) A disclosure concerning the length of time it typically takes for the cannabis to affect an individual, including that certain forms of cannabis take longer to have an effect.

(C) A notation of the amount of cannabis the cannabis product is considered the equivalent to.

(D) A list of ingredients and additives for cannabis.

(E) Except as provided in subdivision (3) of subsection (f) of section 21a-420p, child-resistant, tamper-resistant and light-resistant packaging. For the purposes of this subparagraph, packaging shall be deemed to be (i) child-resistant if the packaging satisfies the standard for special packaging established in 16 CFR 1700.1(b)(4), as amended from time to time, (ii) tamper-resistant if the packaging has at least one barrier to, or indicator of, entry that would preclude the contents of such packaging from being accessed or adulterated without indicating to a reasonable person that such packaging has been breached, and (iii) light-resistant if the packaging is entirely and uniformly opaque and protects the entirety of the contents of such packaging from the effects of light.

(F) Except as provided in subdivision (3) of subsection (f) of section 21a-420p, (i) packaging for cannabis intended for multiple servings to be resealable in such a manner so as to render such packaging continuously child-resistant, as described in subparagraph (E)(i) of this subdivision, and preserve the integrity of the contents of such packaging, and (ii) if packaging for cannabis intended for multiple servings contains any edible cannabis product, for each single standardized serving to be easily discernible and (I) individually wrapped, or (II) physically demarked and delineated as required under this subsection.

(G) Impervious packaging that protects the contents of such packaging from contamination and exposure to any toxic or harmful substance, including, but not limited to, any glue or other adhesive or substance that is incorporated in such packaging.

(H) Product tracking information sufficient to determine where and when the cannabis was grown and manufactured such that a product recall could be effectuated.

(I) A net weight statement.

(J) A recommended use by or expiration date.

(K) Standard and uniform packaging and labeling, including, but not limited to, requirements (i) regarding branding or logos, (ii) that all packaging be opaque, and (iii) that amounts and concentrations of THC and cannabidiol, per serving and per package, be clearly marked on the packaging or label of any cannabis product sold.

(L) For any cannabis concentrate cannabis product that contains a total THC percentage greater than thirty per cent, a warning that such cannabis product is a high-potency product and may increase the risk of psychosis.

(M) Chemotypes, which shall be displayed as (i) “High THC, Low CBD” where the ratio of THC to CBD is greater than five to one and the total THC percentage is at least fifteen per cent, (ii) “Moderate THC, Moderate CBD” where the ratio of THC to CBD is at least one to five but not greater than five to one and the total THC percentage is greater than five per cent but less than fifteen per cent, (iii) “Low THC, High CBD” where the ratio of THC to CBD is less than one to five and the total THC percentage is not greater than five per cent, or (iv) the chemotype described in clause (i), (ii) or (iii) of this subparagraph that most closely fits the cannabis or cannabis product, as determined by mathematical analysis of the ratio of THC to CBD, where such cannabis or cannabis product does not fit a chemotype described in clause (i), (ii) or (iii) of this subparagraph.

(N) A requirement that, prior to being sold and transferred to a consumer, qualifying patient or caregiver, cannabis packaging be clearly labeled, whether printed directly on such packaging or affixed by way of a separate label, other than an extended content label, with:

(i) A unique identifier generated by a cannabis analytic tracking system maintained by the department and used to track cannabis under the policies and procedures issued, and final regulations adopted, by the commissioner pursuant to this section; and

(ii) The following information concerning the cannabis contained in such packaging, which shall be in legible English, black lettering, Times New Roman font, flat regular typeface, on a contrasting background and in uniform size of not less than one-tenth of one inch, based on a capital letter “K”, which information shall also be available on the Internet web site of the cannabis establishment that sells and transfers such cannabis:

(I) The name of such cannabis, as registered with the department under the policies and procedures issued, and final regulations adopted, by the commissioner pursuant to this section.

(II) The expiration date, which shall not account for any refrigeration after such cannabis is sold and transferred to the consumer, qualifying patient or caregiver.

(III) The net weight or volume, expressed in metric and imperial units.

(IV) The standardized serving size, expressed in customary units, and the number of servings included in such packaging, if applicable.

(V) Directions for use and storage.

(VI) Each active ingredient comprising at least one per cent of such cannabis, including cannabinoids, isomers, esters, ethers and salts and salts of isomers, esters and ethers, and all quantities thereof expressed in metric units and as a percentage of volume.

(VII) A list of all known allergens, as identified by the federal Food and Drug Administration, contained in such cannabis, or the denotation “no known FDA identified allergens” if such cannabis does not contain any allergen identified by the federal Food and Drug Administration.

(VIII) The following warning statement within, and outlined by, a red box:

“This product is not FDA-approved, may be intoxicating, cause long-term physical and mental health problems, and have delayed side effects. It is illegal to operate a vehicle or machinery under the influence of cannabis. Keep away from children.”

(IX) At least one of the following warning statements, rotated quarterly on an alternating basis:

“Warning: Frequent and prolonged use of cannabis can contribute to mental health problems over time, including anxiety, depression, stunted brain development and impaired memory.”

“Warning: Consumption while pregnant or breastfeeding may be harmful.”

“Warning: Cannabis has intoxicating effects and may be habit-forming and addictive.”

“Warning: Consuming more than the recommended amount may result in adverse effects requiring medical attention.”.

(X) All information necessary to comply with labeling requirements imposed under the laws of this state and federal law, including, but not limited to, sections 21a-91 to 21a-120, inclusive, and 21a-151 to 21a-159, inclusive, the Federal Food, Drug and Cosmetic Act, 21 USC 301 et seq., as amended from time to time, and the federal Fair Packaging and Labeling Act, 15 USC 1451 et seq., as amended from time to time, for similar products that do not contain cannabis.

(XI) Such additional warning labels for certain cannabis products as the commissioner may require and post on the department's Internet web site.

(6) Establishing laboratory testing standards, consumer disclosures concerning mold and yeast in cannabis and permitted remediation practices.

(7) Restricting forms of cannabis products and cannabis product delivery systems to ensure consumer safety and deter public health concerns.

(8) Prohibiting certain manufacturing methods, or inclusion of additives to cannabis products, including, but not limited to, (A) added flavoring, terpenes or other additives unless approved by the department, or (B) any form of nicotine or other additive containing nicotine.

(9) Prohibiting cannabis product types that appeal to children, including, but not limited to, facsimiles of foods, beverages and other items that appeal to children.

(10) Establishing physical and cyber security requirements related to build out, monitoring and protocols for cannabis establishments as a requirement for licensure.

(11) Placing temporary limits on the sale of cannabis in the adult-use market, if deemed appropriate and necessary by the commissioner, in response to a shortage of cannabis for qualifying patients.

(12) Requiring retailers and hybrid retailers to make best efforts to provide access to (A) low-dose THC products, including products that have one milligram and two and a half milligrams of THC per dose, and (B) high-dose CBD products.

(13) Requiring producers, cultivators, micro-cultivators, product manufacturers and food and beverage manufacturers to register brand names for cannabis, in accordance with the policies and procedures and subject to the fee set forth in, regulations adopted under chapter 420f.

(14) Prohibiting a cannabis establishment from selling, other than the sale of medical marijuana products between cannabis establishments and the sale of cannabis to qualifying patients and caregivers, (A) cannabis flower or other cannabis plant material with a total THC concentration greater than thirty-five per cent on a dry-weight basis, and (B) any cannabis product other than cannabis flower and cannabis plant material with a total THC concentration greater than seventy per cent on a dry-weight basis, except that the provisions of subparagraph (B) of this subdivision shall not apply to the sale of prefilled cartridges for use in an electronic cannabis delivery system, as defined in section 19a-342a and the department may adjust the percentages set forth in subparagraph (A) or (B) of this subdivision in regulations adopted pursuant to this section for purposes of public health or to address market access or shortage. As used in this subdivision, “cannabis plant material” means material from the cannabis plant, as defined in section 21a-279a.

(15) Requiring dispensary facilities, hybrid retailers and retailers to display the following types of cannabis in a form and manner prescribed by the department and in an area physically and visually separated from other cannabis for sale at such establishment: (A) Cannabis flower or other cannabis plant material with a total THC concentration greater than thirty per cent on a dry-weight basis, and (B) any cannabis product other than cannabis flower and cannabis plant material with a total THC concentration greater than sixty per cent on a dry-weight basis, excluding prefilled cartridges for use in an electronic cannabis delivery system. As used in this subdivision, “cannabis plant material” has the same meaning as provided in subsection (j) of section 21a-279a.

(16) Requiring any dispensary facility, hybrid retailer or retailer that sells any form of cannabis that exceeds the THC concentrations set forth in subdivision (15) of this subsection to include the words “Warning - High THC” next to each such form of cannabis on such cannabis establishment's menus and advertisements.

(17) Prescribing signage to be displayed at a dispensary facility, hybrid retailer or retailer informing consumers, qualifying patients and caregivers of health risks associated with cannabis in excess of the THC concentrations set forth in subdivision (15) of this subsection.

(18) Permitting the outdoor cultivation of cannabis.

(19) Prohibiting packaging that is (A) visually similar to any commercially similar product that does not contain cannabis, or (B) used for any good that is marketed to individuals reasonably expected to be younger than twenty-one years of age.

(20) Allowing packaging to include a picture of the cannabis product and contain a logo of one cannabis establishment, which logo may be comprised of not more than three colors and provided neither black nor white shall be considered one of such three colors.

(21) Requiring packaging to (A) be entirely and uniformly one color, and (B) not incorporate any information, print, embossing, debossing, graphic or hidden feature, other than any permitted or required label.

(22) Requiring that packaging and labeling for an edible cannabis product, excluding the warning labels required under this subsection and a picture of the cannabis product described in subdivision (20) of this subsection but including, but not limited to, the logo of the cannabis establishment, shall only be comprised of black and white or a combination thereof.

(23) (A) Except as provided in subparagraph (B) of this subdivision, requiring that delivery device cartridges be labeled, in a clearly legible manner and in as large a font as the size of the device reasonably allows, with only the following information (i) the name of the cannabis establishment where the cannabis is grown or manufactured, (ii) the cannabis brand, (iii) the total THC and total CBD content contained within the delivery device cartridge, (iv) the expiration date, and (v) the unique identifier generated by a cannabis analytic tracking system maintained by the department and used to track cannabis under the policies and procedures issued, and final regulations adopted, by the commissioner pursuant to this section.

(B) A cannabis establishment may emboss, deboss or similarly print the name of the cannabis establishment's business entity, and one logo with not more than three colors, on a delivery device cartridge.

(24) Prescribing signage to be prominently displayed at dispensary facilities, retailers and hybrid retailers disclosing (A) possible health risks related to mold, and (B) the use and possible health risks related to the use of mold remediation techniques.

(June Sp. Sess. P.A. 21-1, S. 32; P A. 23-79, S. 41; 23-166, S. 7; P.A. 24-76, S. 20; 24-115, S. 5; P.A. 25-166, S. 29, 30; 25-168, S. 164.)

History: June Sp. Sess. P.A. 21-1 effective June 22, 2021; P.A. 23-79 added Subsec. (a) to relocate existing definition of “total THC” from existing Subdiv. (14), redesignated existing provisions as Subsec. (b), added provision re provision of policies and procedures to each licensee in Subsec. (b), amended Subsec. (b)(5)(A) by adding provisions re inclusion of universal symbols indicating that cannabis or cannabis product contains THC and is not legal or safe for individuals younger than 21 years of age, substantially amended Subsec. (b)(5)(E) by adding provisions re child-resistant, tamper-resistant and light-resistant packaging, added Subsec. (b)(5)(F) and (G) re packaging for cannabis intended for multiple servings and impervious packaging, respectively, redesignated existing Subdiv. (5)(F) to (I) as Subsec. (b)(5)(H) to (K), added Subsec. (b)(5)(L) to (N) re high-potency products, chemotypes and packaging and labeling requirements, added Subsec. (b)(16) to (20) with additional provisions re packaging and labeling, and made technical and conforming changes throughout Subsec. (b), effective July 1, 2023; P.A. 23-166 changed effective date of P.A. 23-79, S. 41, from July 1, 2023, to October 1, 2023; P.A. 24-76 amended Subsec. (b) by adding provision re Sec. 21a-420p(f)(3), and deleting provision re wrapping edible products, in Subdiv. (5)(E), substantially revising Subdiv. (5)(F) by adding provision re Sec. 21a-420p(f)(3), designating existing provisions as clause (i) and adding clause (ii) re discernability, wrapping, demarcation and delineation of standardized servings, substituting “state and federal law” for “state or federal law” in Subdiv. (5)(N)(ii)(X), adding provisions in Subdiv. (6) re consumer disclosures concerning mold, yeast and permitted remediation practices and adding Subdiv. (21) re signage disclosing use of mold remediation techniques and possible health risks related to mold and such techniques, effective July 1, 2024; P.A. 24-115 amended Subsec. (b)(5) by deleting requirement that edible product be individually wrapped in Subpara. (E), designating existing provisions of Subpara. (F) as Subpara. (F)(i), adding Subpara. (F)(ii) re packaging for cannabis intended for multiple servings and containing edible cannabis products and substituting “state and federal law” for “state or federal law” in Subpara. (N)(ii)(X), effective June 4, 2024; P.A. 25-166 amended Subsec. (b) by adding provision in Subdiv. (9) re facsimiles of foods, beverages and other items, replacing 30 per cent with 35 per cent in Subdiv. (14)(A) and 60 per cent with 70 per cent in Subdiv. (14)(B), adding new Subdivs. (15) to (17) re high THC products, redesignating existing Subdivs. (15) to (21) as Subdivs. (18) to (24) and making a conforming change in redesignated Subdiv. (22), effective October 1, 2025, amended Subsec. (b) by replacing reference to 48 months with 63 months and deleting provision re submission of regulations under Sec. 4-170 in introductory language, deleting “all” before “additives” in Subdiv. (5)(D) and making a conforming change in Subdiv. (14), effective July 1, 2025; P.A. 25-168 made identical changes as P.A. 25-166, effective June 30, 2025.

Sec. 21a-421k. Regulations to effectuate purposes of RERACA and protect public health and safety. Policies and procedures. (a) The commissioner may adopt regulations in accordance with chapter 54, including emergency regulations pursuant to section 4-168, to implement the provisions of RERACA.

(b) Notwithstanding the requirements of sections 4-168 to 4-172, inclusive, in order to effectuate the purposes of RERACA and protect public health and safety, prior to adopting such regulations the commissioner shall implement policies and procedures to implement the provisions of RERACA that shall have the force and effect of law. The commissioner shall post all such policies and procedures on the department's Internet web site and submit such policies and procedures to the Secretary of the State for posting on the eRegulations System, at least fifteen days prior to the effective date of any policy or procedure. Any such policies and procedures shall no longer be effective upon the earlier of either adoption of such policies and procedures as a final regulation under section 4-172 or sixty-three months from June 22, 2021.

(June Sp. Sess. P.A. 21-1, S. 59; P.A. 25-166, S. 31; 25-168, S. 165.)

History: June Sp. Sess. P.A. 21-1 effective June 22, 2021; P.A. 25-166 amended Subsec. (b) by replacing reference to 48 months with 63 months and deleting provision re submission of regulations under Sec. 4-170, effective July 1, 2025; P.A. 25-168 made identical changes as P.A. 25-166, effective June 30, 2025.

Sec. 21a-421l. Policies and procedures re cultivation, processing, manufacture, security, storage, inventory and distribution of cannabis required of cannabis establishments. Internal investigations re suspected diversions. (a) Each cannabis establishment shall establish, maintain and comply with written policies and procedures for the cultivation, processing, manufacture, security, storage, inventory and distribution of cannabis, as applicable to the specific license type. Such policies and procedures shall include methods for identifying, recording and reporting diversion, theft or loss, and for correcting all errors and inaccuracies in inventories. Cannabis establishments shall include in their written policies and procedures a process for each of the following, if the establishment engages in such activity:

(1) Handling mandatory and voluntary recalls of cannabis. Such process shall be adequate to deal with recalls due to any order of the commissioner and any voluntary action by the cannabis establishment to remove defective or potentially defective cannabis from the market or any action undertaken to promote public health and safety by replacing existing cannabis with improved products or packaging;

(2) Preparing for, protecting against and handling any crisis that affects the security or operation of any facility used in the operation of a cannabis establishment in the event of a strike, fire, flood or other natural disaster, or other situations of local, state or national emergency;

(3) Ensuring that any outdated, damaged, deteriorated, misbranded or adulterated cannabis is segregated from all other inventory and destroyed. Such procedure shall provide for written documentation of the cannabis disposition; and

(4) Ensuring the oldest stock of a cannabis is sold, delivered or dispensed first. Such procedure may permit deviation from this requirement, if such deviation is temporary and approved by the commissioner.

(b) A cannabis establishment shall (1) store all cannabis in such a manner as to prevent diversion, theft or loss, (2) make cannabis accessible only to the minimum number of specifically authorized employees essential for efficient operation, and (3) return any cannabis to a secure location at the end of the scheduled business day. For the purposes of this subsection, a location shall be deemed to be secure if the location satisfies the requirements imposed in subsection (b) of section 21a-262-4 of the regulations of Connecticut state agencies for controlled substances listed in schedules III, IV and V of the Connecticut controlled substance scheduling regulations adopted pursuant to section 21a-243.

(c) In the event of any suspected diversion of cannabis from a cannabis establishment, the cannabis establishment may conduct an internal investigation prior to notifying the department, provided:

(1) The cannabis establishment has reasonably determined that the amount of cannabis involved with such suspected diversion is equal to not more than one-half ounce of raw cannabis or the equivalent as set forth in section 21a-279a;

(2) Not later than two business days after the suspected diversion is initially discovered, the cannabis establishment notifies the department of the diversion and any findings of the cannabis establishment's investigation;

(3) If at least two instances of cannabis diversion occur at the cannabis establishment within any six-month period, the commissioner may, in the commissioner's sole discretion, require the cannabis establishment to immediately notify the department of any subsequent suspected employee diversion;

(4) If at least three instances of cannabis diversion occur at the cannabis establishment within any twelve-month period, the cannabis establishment shall notify the department immediately upon any future discovery or suspicion of cannabis diversion;

(5) The suspected diversion does not involve any person with a financial interest in the cannabis establishment or a key employee of the cannabis establishment, and the cannabis establishment shall immediately notify the department of any such suspected diversion; and

(6) Nothing in this subsection shall be construed to prohibit the department from conducting an investigation.

(June Sp. Sess. P.A. 21-1, S. 54; P.A. 24-76, S. 21; P.A. 25-166, S. 32.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 24-76 amended Subsec. (b) by adding provisions re when location shall be deemed secure, effective July 1, 2024; P.A. 25-166 added Subsec. (c) re internal investigations of suspected cannabis diversions.

Sec. 21a-421p. Suspension or revocation of, refusal to grant or placement of conditions on license or registration. Imposition of fines. Certain information exempt from disclosure. Notice and hearing. Restrictions on timing of reapplication for license or registration. (a) For sufficient cause found pursuant to subsection (b) of this section, the commissioner may suspend or revoke a license or registration, issue fines of not more than twenty-five thousand dollars per violation, accept an offer in compromise or refuse to grant or renew a license or registration issued pursuant to RERACA, or place such licensee or registrant on probation, place conditions on such licensee or registrant or take other actions authorized by law. Information from inspections and investigations conducted by the department related to administrative complaints or cases shall not be subject to disclosure under the Freedom of Information Act, as defined in section 1-200, except after the department has entered into a settlement agreement, or concluded its investigation or inspection as evidenced by case closure, provided nothing in this section shall prevent the department from sharing information with other state and federal agencies and law enforcement as it relates to investigating violations of law. At the conclusion of any inspection or compliance check, the department shall provide a written statement to the licensee or registrant detailing (1) the findings and results of such inspection or compliance check, (2) any area of concern that has been identified, and (3) any corrective action that is required to address such area of concern.

(b) Any of the following shall constitute sufficient cause for such action by the commissioner, including, but not limited to:

(1) Furnishing of false or fraudulent information in any application or failure to comply with representations made in any application, including, but not limited to, medical preservation plans and security requirements;

(2) A civil judgment against or disqualifying conviction of a cannabis establishment licensee, backer, key employee or license applicant;

(3) Failure to maintain effective controls against diversion, theft or loss of cannabis, cannabis products or other controlled substances;

(4) Discipline by, or a pending disciplinary action or an unresolved complaint against a cannabis establishment licensee, registrant or applicant regarding any professional license or registration of any federal, state or local government;

(5) Failure to keep accurate records and to account for the cultivation, manufacture, packaging or sale of cannabis;

(6) Denial, suspension or revocation of a license or registration, or the denial of a renewal of a license or registration, by any federal, state or local government or a foreign jurisdiction;

(7) False, misleading or deceptive representations to the public or the department;

(8) Return to regular stock of any cannabis where:

(A) The package or container containing the cannabis has been opened, breached, tampered with or otherwise adulterated; or

(B) The cannabis has been previously sold to an end user or research program subject;

(9) Involvement in a fraudulent or deceitful practice or transaction;

(10) Performance of incompetent or negligent work;

(11) Failure to maintain the entire cannabis establishment premises or cannabis testing laboratory and contents in a secure, clean, orderly and sanitary condition;

(12) Allowing another person to use the licensee's license;

(13) Failure to properly register employees or license key employees, or failure to notify the department of a change in key employees or backers;

(14) An adverse administrative decision or delinquency assessment against the cannabis establishment from the Department of Revenue Services;

(15) Failure to cooperate or give information to the department, local law enforcement authorities or any other enforcement agency upon any matter arising out of conduct in connection with a research program or at the premises of a cannabis establishment or a cannabis testing laboratory;

(16) Advertising in a manner prohibited by section 21a-421bb; or

(17) Failure to comply with any provision of RERACA, or any policies and procedures issued by the commissioner to implement, or regulations adopted pursuant to, RERACA.

(c) Upon refusal to issue or renew a license or registration, the commissioner shall notify the applicant of the denial and of the applicant's right to request a hearing within ten days from the date of receipt of the notice of denial. If the applicant requests a hearing within such ten-day period, the commissioner shall give notice of the grounds for the commissioner's refusal and shall conduct a hearing concerning such refusal in accordance with the provisions of chapter 54 concerning contested cases. If the commissioner's denial of a license or registration is sustained after such hearing, an applicant may not apply for a new cannabis establishment, cannabis testing laboratory, backer or key employee license, or employee registration or cannabis testing laboratory employee registration, for a period of one year after the date on which such denial was sustained.

(d) No person whose license or registration has been revoked may apply for a cannabis establishment, backer or key employee license or an employee registration for a period of one year after the date of such revocation.

(e) The voluntary surrender of a license or registration, or failure to renew a license or registration, shall not prevent the commissioner from suspending or revoking such license or registration or imposing other penalties permitted by RERACA.

(June Sp. Sess. P.A. 21-1, S. 58; P.A. 23-79, S. 42; P.A. 25-166, S. 33.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 23-79 amended Subsec. (a) by substituting “authorized” for “permitted”, amended Subsec. (b) by substituting “cannabis testing laboratory” for “laboratory” in Subdivs. (11) and (15) and substituting “allowing” for “permitting” in Subdiv. (12), amended Subsec. (c) by adding provisions re cannabis testing laboratories and cannabis testing laboratory employees, and made technical and conforming changes in Subsecs. (a), (b)(15) and (e), effective July 1, 2023; P.A. 25-166 amended Subsec. (a) by adding provision re written statement following inspection or compliance check, effective July 1, 2025.

Sec. 21a-421t. Standardized signage to be displayed by cannabis establishment. Prohibition. Enforcement. Penalty. (a) The Department of Consumer Protection shall develop standardized signage which shall include a quick response code or comparable electronic identifier that will enable any person using such code or identifier to determine whether the cannabis establishment displaying such signage holds an active cannabis establishment license issued by the department.

(b) Each cannabis establishment shall display the standardized signage developed by the department pursuant to subsection (a) of this section in a form and manner prescribed by the department. No cannabis establishment shall display such signage in any other form or manner.

(c) No person or establishment other than a cannabis establishment shall display the standardized signage developed by the department pursuant to subsection (a) of this section, or any substantially similar signage, that incorrectly indicates that such person or establishment holds an active cannabis establishment license issued by the department.

(d) A violation of subsection (b) or (c) of this section shall be deemed an unfair or deceptive trade practice under subsection (a) of section 42-110b. A cannabis establishment that violates the provisions of subsection (b) of this section shall be subject to additional enforcement action pursuant to section 21a-421p.

(P.A. 25-101, S. 9.)

History: P.A. 25-101 effective July 1, 2025.

Sec. 21a-421u. License nonrenewal notice required. Prohibitions re lapsed license. Reinstatement of lapsed license. (a) If a cannabis establishment elects not to renew its cannabis establishment license, the cannabis establishment shall submit a nonrenewal notice to the Department of Consumer Protection, in a form and manner prescribed by the Commissioner of Consumer Protection, for the purpose of coordinating efforts to dispose of any cannabis that may be in the possession of such cannabis establishment upon expiration of such license. The cannabis establishment shall submit such nonrenewal notice to the department not more than thirty days prior to the expiration date of such license.

(b) No holder of a lapsed cannabis establishment license shall (1) engage in any activity for which an active cannabis establishment license is required, or (2) possess any cannabis on the premises of the lapsed cannabis establishment.

(c) (1) If the Department of Consumer Protection does not receive a complete license renewal application from a cannabis establishment on or before the expiration date of the cannabis establishment's license, the department may accept a license reinstatement application from the lapsed cannabis establishment during the ninety-day period following such expiration date. If the department accepts a reinstatement application during such ninety-day period, the applicant shall (A) pay to the department (i) the current year's license renewal fee, and (ii) a late fee equal to ten per cent of such license renewal fee, and (B) submit to the department, in a form and manner prescribed by the Commissioner of Consumer Protection, a statement signed by the applicant attesting that the applicant did not engage in any activity in this state for which an active cannabis establishment license is required while such applicant's license was lapsed.

(2) The department may, in the department's discretion, reinstate the lapsed cannabis establishment license for an applicant that has satisfied the requirements established in subdivision (1) of this subsection. If the reinstated cannabis establishment license was issued to a social equity applicant, the period during which such license was lapsed shall not be counted toward the time the applicant was licensed for the purposes of the ownership and control requirements established in sections 21a-420h, 21a-420j, 21a-420m and 21a-420u.

(P.A. 25-101, S. 10.)

History: P.A. 25-101 effective July 1, 2025.

PART II

PROHIBITIONS

Sec. 21a-421bb. Prohibitions re advertisement of cannabis and cannabis products. Registration of cannabis brand names. (a) No person, other than the holder of a cannabis establishment license issued pursuant to this chapter, a person who provides professional services related to the purchase, sale or use of cannabis or a person who displays advertising or promotional materials that are solely visible within the interior of a cannabis establishment, shall advertise any cannabis or services related to cannabis in this state.

(b) Except as provided in subsection (d) of this section, cannabis establishments shall not:

(1) Advertise, including, but not limited to, through a business name or logo, cannabis, cannabis paraphernalia or goods or services related to cannabis:

(A) In ways that target or are designed to appeal to individuals under twenty-one years of age, including, but not limited to, spokespersons or celebrities who appeal to individuals under the legal age to purchase cannabis or cannabis products, depictions of a person under twenty-five years of age consuming cannabis, or, the inclusion of objects, such as toys, characters or cartoon characters, suggesting the presence of a person under twenty-one years of age, or any other depiction designed in any manner to be appealing to a person under twenty-one years of age; or

(B) By using any image, or any other visual representation, of the cannabis plant or any part of the cannabis plant, including, but not limited to, the leaf of the cannabis plant;

(2) Engage in any advertising by means of any form of billboard within one thousand five hundred feet of an elementary or secondary school ground or a house of worship, recreation center or facility, child care center, playground, public park or library, or engage in any advertising by means of a billboard between the hours of six o'clock a.m. and eleven o'clock p.m.;

(3) Engage in advertising by means of any television, radio, Internet, mobile application, social media or other electronic communication, billboard or other outdoor signage, or print publication unless the cannabis establishment has reliable evidence that at least ninety per cent of the audience for the advertisement is reasonably expected to be twenty-one years of age or older;

(4) Engage in advertising or marketing directed toward location-based devices, including, but not limited to, cellular phones, unless the marketing is a mobile device application installed on the device by the owner of the device who is twenty-one years of age or older and includes a permanent and easy opt-out feature and warnings that the use of cannabis is restricted to persons twenty-one years of age or older;

(5) Advertise cannabis or cannabis products in a manner claiming or implying, or permit any employee of the cannabis establishment to claim or imply, that such products have curative or therapeutic effects, or that any other medical claim is true, or allow any employee to promote cannabis for a wellness purpose unless such claims are substantiated as set forth in regulations adopted under chapter 420f or verbally conveyed by a licensed pharmacist or other licensed medical practitioner in the course of business in, or while representing, a hybrid retail or dispensary facility;

(6) Sponsor charitable, sports, musical, artistic, cultural, social or other similar events or advertising at, or in connection with, such an event unless the cannabis establishment has reliable evidence that (A) not more than ten per cent of the in-person audience at the event is reasonably expected to be under the legal age to purchase cannabis or cannabis products, and (B) not more than ten per cent of the audience that will watch, listen or participate in the event is expected to be under the legal age to purchase cannabis products;

(7) Advertise cannabis, cannabis products or cannabis paraphernalia in any physical form visible to the public within five hundred feet of an elementary or secondary school ground or a recreation center or facility, child care center, playground, public park or library;

(8) Cultivate cannabis or manufacture cannabis products for distribution outside of this state in violation of federal law, advertise in any way that encourages the transportation of cannabis across state lines or otherwise encourages illegal activity;

(9) Except for dispensary facilities and hybrid retailers, exhibit within or upon the outside of the facility used in the operation of a cannabis establishment, or include in any advertisement, the word “dispensary” or any variation of such term or any other words, displays or symbols indicating that such store, shop or place of business is a dispensary;

(10) Exhibit within or upon the outside of the premises subject to the cannabis establishment license, or include in any advertisement the words “drug store”, “pharmacy”, “apothecary”, “drug”, “drugs” or “medicine shop” or any combination of such terms or any other words, displays or symbols indicating that such store, shop or place of business is a pharmacy;

(11) Advertise on or in public or private vehicles or at bus stops, taxi stands, transportation waiting areas, train stations, airports or other similar transportation venues including, but not limited to, vinyl-wrapped vehicles or signs or logos on transportation vehicles not owned by a cannabis establishment;

(12) Display cannabis, cannabis products or any image, or any other visual representation, of the cannabis plant or any part of the cannabis plant, including, but not limited to, the leaf of the cannabis plant, so as to be clearly visible to a person from the exterior of the facility used in the operation of a cannabis establishment, or display signs or other printed material advertising any brand or any kind of cannabis or cannabis product, or including any image, or any other visual representation, of the cannabis plant or any part of the cannabis plant, including, but not limited to, the leaf of the cannabis plant, on the exterior of any facility used in the operation of a cannabis establishment;

(13) Utilize radio or loudspeaker, in a vehicle or in or outside of a facility used in the operation of a cannabis establishment, for the purposes of advertising the sale of cannabis or cannabis products;

(14) Operate any Internet web site advertising or depicting cannabis, cannabis products or cannabis paraphernalia unless such Internet web site verifies that the entrants or users are twenty-one years of age or older; or

(15) Engage in advertising or marketing that includes a discounted price or other promotional offering as an inducement to purchase any cannabis or cannabis product that is not a medical marijuana product, except a discounted price or promotional offering may be offered, as an inducement to purchase cannabis, (A) within a dispensary facility, retailer or hybrid retailer, (B) through a delivery service, or (C) on an Internet web site maintained by or for a dispensary facility, retailer or hybrid retailer where cannabis or cannabis products may be lawfully ordered.

(c) Except as provided in subsection (d) of this section, any advertisements from a cannabis establishment shall contain the following warning: “Do not use cannabis if you are under twenty-one years of age. Keep cannabis out of the reach of children.” In a print or visual medium, such warning shall be conspicuous, easily legible and shall take up not less than ten per cent of the advertisement space. In an audio medium, such warning shall be at the same speed as the rest of the advertisement and be easily intelligible.

(d) Any outdoor signage, including, but not limited to, any monument sign, pylon sign or wayfinding sign, shall be deemed to satisfy the audience requirement established in subdivision (3) of subsection (b) of this section, be exempt from the distance requirement established in subdivision (7) of subsection (b) of this section and not be required to contain the warning required under subsection (c) of this section, if such outdoor signage:

(1) Contains only the name and logo of the cannabis establishment;

(2) Does not include any image, or any other visual representation, of the cannabis plant or any part of the cannabis plant, including, but not limited to, the leaf of the cannabis plant;

(3) Is comprised of not more than three colors; and

(4) Is located:

(A) On the cannabis establishment's premises, regardless of whether such cannabis establishment leases or owns such premises; or

(B) On any commercial property occupied by multiple tenants including such cannabis establishment.

(e) The department shall not register, and may require revision of, any submitted or registered cannabis brand name that:

(1) Is identical to, or confusingly similar to, the name of an existing non-cannabis product;

(2) Is identical to, or confusingly similar to, the name of an unlawful product or substance;

(3) Is confusingly similar to the name of a previously approved cannabis brand name;

(4) Is obscene or indecent; and

(5) Is customarily associated with persons under the age of twenty-one.

(f) A violation of the provisions of subsections (a) to (c), inclusive, of this section shall be deemed to be an unfair or deceptive trade practice under subsection (a) of section 42-110b.

(June Sp. Sess. P.A. 21-1, S. 33; P.A. 22-103, S. 8; 22-104, S. 54; P.A. 23-79, S. 43; P.A. 24-76, S. 22; P.A. 25-31, S. 3; 25-166, S. 34.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 22-103 added new Subsec. (a) prohibiting persons other than cannabis establishments licensed in this state from advertising cannabis or cannabis services in this state, redesignated existing Subsec. (a) as Subsec. (b), amended redesignated Subsec. (b) by adding reference to new Subsec. (d), adding provision re advertising through business name or logo in Subdiv. (1), redesignating existing provisions re advertisements targeted to individuals under twenty-one years of age as Subdiv. (1)(A), adding Subdiv. (1)(B) re images or other visual representations of cannabis plant and Subdiv. (2) re electronic or illuminated billboard advertising and redesignating existing Subdivs. (2) to (13) as Subdivs. (3) to (14), amended redesignated Subsec. (b)(7) by substituting “one thousand five hundred feet” for “five hundred feet” and adding “or a house of worship” and redesignated Subsec. (b)(12) by adding provisions re images or other visual representations of cannabis plant, redesignated existing Subsec. (b) as Subsec. (c) and added reference to new Subsec. (d), added new Subsec. (d) re exception to audience and warning requirements, redesignated existing Subsecs. (c) and (d) as Subsecs. (e) and (f), amended redesignated Subsec. (f) by substituting reference to Subsecs. (a) to (c) for reference to Subsec. (a) or (b), and made technical and conforming changes, effective May 24, 2022; P.A. 22-104 amended Subsec. (b) by adding provision re advertising by means of any form of billboard within one thousand five hundred feet of elementary or secondary school ground, house of worship, recreation center or facility, child care center, playground, public park or library in Subdiv. (2), substituting five hundred feet for one thousand five hundred feet and deleting “house of worship” in Subdiv. (7), and making conforming changes, effective May 24, 2022; P.A. 23-79 amended Subsec. (a) by adding provision re persons who provide professional services related to purchase, sale or use of cannabis, amended Subsec. (b)(2) by substituting “a billboard” for “an electronic or illuminated billboard”, and amended Subsec. (d) by adding provision re exemption from distance requirement established in Subsec. (b)(7) and making a conforming change, effective July 1, 2023; P.A. 24-76 amended Subsec. (b) by adding Subdiv. (15) re advertising or marketing that includes discounted price or other promotional offering as inducement to purchase cannabis or cannabis product that is not medical marijuana product and making conforming changes, effective July 1, 2024; P.A. 25-31 made technical changes in Subsec. (b)(14); P.A. 25-166 amended Subsec. (a) by adding provision re person who displays advertising or promotional materials solely visible within interior of cannabis establishment.

Sec. 21a-421aaa. Sale or delivery of cannabis or cannabis paraphernalia to person under twenty-one. (a) Any cannabis establishment licensee or any agent of a cannabis establishment licensee who sells or delivers cannabis to any person under twenty-one years of age shall be guilty of a class E felony.

(b) Any cannabis establishment licensee or any agent of a cannabis establishment licensee who sells or delivers cannabis paraphernalia to any person under twenty-one years of age shall be guilty of a class C misdemeanor. For purposes of this section, “paraphernalia” has the same meaning as provided in section 21a-420.

(June Sp. Sess. P.A. 21-1, S. 105; P.A. 25-166, S. 42.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 25-166 substantially amended provisions including by designating provisions re sale or delivery of cannabis as Subsec. (a) and provisions re cannabis paraphernalia as Subsec. (b) and providing that prohibited sale or delivery of cannabis is class E felony and cannabis paraphernalia is class C misdemeanor.

Sec. 21a-421ccc. Possession of cannabis in dwelling unit or private property by person under twenty-one. (a) No person having possession of, or exercising dominion and control over, any dwelling unit or private property shall: (1) Knowingly or recklessly permit any person under twenty-one years of age to possess cannabis in violation of section 21a-279a, in such dwelling unit or on such private property, or (2) knowing that any person under twenty-one years of age possesses cannabis in violation of section 21a-279a, in such dwelling unit or on such private property, fail to make reasonable efforts to halt such possession.

(b) Any person who violates the provisions of subsection (a) of this section shall be guilty of a class A misdemeanor.

(June Sp. Sess. P.A. 21-1, S. 109; P.A. 25-101, S. 19.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021; P.A. 25-101 changed references from Sec. 21-279a to Sec. 21a-279a in Subsec. (a), effective June 24, 2025.

Sec. 21a-421iii. Sale or delivery of synthetic cannabinoid by cannabis establishment licensee or servant or agent thereof. Any cannabis establishment licensee or any servant or agent of a cannabis establishment licensee who sells or delivers any synthetic cannabinoid to any person shall be guilty of a class E felony. For purposes of this section, “synthetic cannabinoid” has the same meaning as provided in section 21a-240.

(P.A. 25-166, S. 41.)

PART III

MISCELLANEOUS PROVISIONS

Sec. 21a-422f. Municipal authority re establishing cannabis establishments. Restrictions. Zoning. Special permits. Hours of operation. (a) As used in this section, “municipality” means any town, city or borough, consolidated town and city or consolidated town and borough, and a district establishing a zoning commission under section 7-326.

(b) Any municipality may, by amendment to such municipality's zoning regulations or by local ordinance, (1) prohibit the establishment of a cannabis establishment, (2) except as provided in subsection (f) of this section, establish reasonable restrictions regarding the hours and signage within the limits of such municipality, or (3) establish restrictions on the proximity of cannabis establishments to any of the establishments listed in subdivision (1) of subsection (a) of section 30-46. The chief zoning official of a municipality shall report, in writing, any zoning changes adopted by the municipality regarding cannabis establishments pursuant to this subsection to the Secretary of the Office of Policy and Management and to the department not later than fourteen days after the adoption of such changes.

(c) Unless otherwise provided for by a municipality through its zoning regulations or ordinances, a cannabis establishment shall be zoned as if for any other similar use, other than a cannabis establishment, would be zoned.

(d) Any restriction regarding hours, zoning and signage of a cannabis establishment adopted by a municipality shall not apply to an existing cannabis establishment located in such municipality if such cannabis establishment does not convert to a different license type, for a period of five years after the adoption of such prohibition or restriction.

(e) For purposes of ensuring compliance with this section, a special permit or other affirmative approval shall be required for any retailer or micro-cultivator seeking to be located within a municipality. When awarding final licenses for a retailer or micro-cultivator, the Department of Consumer Protection may assume that, if an applicant for such final license has obtained zoning approval, the approval of a final license for such applicant shall not result in a violation of this section or any municipal restrictions on the number or density of cannabis establishments.

(f) No retailer, hybrid retailer or micro-cultivator with a retailer or hybrid-retailer endorsement shall engage in any direct or indirect retail sale of cannabis (1) on Sunday before ten o'clock a.m. or after six o'clock p.m., or (2) on any day other than Sunday before eight o'clock a.m. or after ten o'clock p.m.

(June Sp. Sess. P.A. 21-1, S. 148; P.A. 22-103, S. 9; P.A. 25-166, S. 35.)

History: June Sp. Sess. P.A. 21-1 effective July 1, 2021 (Revisor's note: In Subsec. (b) “subsection (a) of subdivision (1)” was changed to “subdivision (1) of subsection (a)” for accuracy); P.A. 22-103 deleted former Subsecs. (e) and (f) re maximum number of retailers or micro-cultivators in municipality, redesignated existing Subsec. (g) as Subsec. (e) and amended same by deleting provision re special permits and maximum number of retailers or micro-cultivators in municipality, and made technical and conforming changes, effective May 24, 2022; P.A. 25-166 added Subsec. (f) re permissible hours of operation and made a conforming change in Subsec. (b)(2), effective July 1, 2025.

Sec. 21a-422u. Standardized signage verifying status as cannabis establishment licensee. Requirements. Prohibitions. Enforcement. Unfair or deceptive trade practice. (a) The Department of Consumer Protection shall develop signage containing a quick response code, or a comparable electronic identifier, that verifies whether the person displaying such signage holds an active cannabis establishment license issued by the department. Such signage shall be displayed in the form and manner prescribed by the Commissioner of Consumer Protection.

(b) No person shall display the signage developed by the Department of Consumer Protection pursuant to subsection (a) of this section, or any substantially similar signage, unless such person holds an active cannabis establishment license issued by the department.

(c) No cannabis establishment shall display the signage developed by the Department of Consumer Protection pursuant to subsection (a) of this section in any form or manner other than the form and manner prescribed by the Commissioner of Consumer Protection pursuant to subsection (a) of this section.

(d) Any violation of the provisions of subsection (b) or (c) of this section shall be deemed an unfair or deceptive trade practice under subsection (a) of section 42-110b. Any cannabis establishment that violates the provisions of subsection (c) of this section may be subject to additional enforcement action pursuant to section 21a-421p.

(P.A. 25-166, S. 10.)