Vermont Cannabis Control Board Recommends Cannabis Delivery, Special Event and Consumption Licenses in its Latest Report on January 15

MONTPELIER — The Vermont Cannabis Control board submitted its January 15 report to the Legislature on Friday, which made recommendations across several key areas of regulatory development, including online ordering and delivery, additional license types including craft cooperative, delivery, and special events, display and sale of cannabis-related paraphernalia and work with state agency partners on economic opportunity program development.

We’ve highlighted of the major recommendations highlighted from the January 15 report below:

New Social Equity Outreach and Social Equity Recommendations

• The Board is also considering creating an “economic empowerment” policy to support and encourage the participation of low-income applicants and applicants from historically underrepresented groups. This will serve the goal of ensuring a diverse and inclusive cannabis industry that provides economic opportunities to many.
• The Board recommends that the legislature allocate a portion of the cannabis excise tax revenue annually to the Cannabis Business Development Fund. The Control Board’s Advisory Committee recommended that 5-10% of the cannabis tax revenue be dedicated to the Business Development Fund.
• The Board recommends that the legislature create a Cannabis Community Reinvestment Fund to funnel cannabis revenue to communities disproportionately impacted by cannabis prohibition and allocate a percentage of cannabis tax revenue to the fund annually. The Control Board’s Advisory Committee recommended that 20% of the cannabis tax revenue be dedicated to a Reinvestment Fund.
• The Board also recommends lifting the 30% THC cap on cannabis flower. Any legal prohibition will require increased enforcement, which can result in biased enforcement. 30% approaches the natural biological limit of THC production in the cannabis plant, so this prohibition may unnecessarily invite additional enforcement.

Online Ordering and Delivery

• The Board recommends that the legislature authorize cannabis delivery, including the creation of the Delivery license
• The Board recommends that the legislature allow for customers to place orders online for cannabis and cannabis products for both delivery and in-store or curbside pick-up
• The Board recommends that the legislature let the Board determine how to regulate cannabis delivery so that the Board can implement delivery in a way that works for Vermont

Additional License Types

• In addition to the licenses already created, The Board recommends creating the following new licenses at this time:

Potential Future License Types

• The CCB’s proposed rules do not prohibit cannabis licensees from forming a cooperative business on their own. The Board need not micro-manage the market by requiring entrepreneurs to obtain a special license type in order to form this business model.
• At this point, with the lower tier cultivation licenses available and the encouragement of outdoor cultivation, the Board does not believe a separate craft cooperative license would increase the number of small cultivators able to enter and succeed in the Vermont cannabis market.
• In addition to the licenses already created and recommended above, the Board believes creating the following license types in the future will benefit all Vermonters.
• However, the Board recommends these license types not be created or implemented until the existing license types and recommended license types have been fully implemented, the market has started to mature, and the Board has assessed the success of the program.

Cannabidiol and Potency Recommendations

• The Board does not believe there is enough scientific evidence to support imposing minimum cannabidiol amounts or ratios in cannabis and cannabis products.
• The Board recommends that the Legislature not impose any minimum cannabidiol amounts or ratios, or any other potency related restrictions, until there is sufficient scientific evidence to support such policies.

Paraphernalia Recommendations

• The Board recommends the Legislature not impose additional regulations or restrictions on cannabis-related paraphernalia.
• The Board recommends the Legislature not assign the Board any additional role in overseeing or regulating the sale or display of cannabis-related paraphernalia.

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