Recreational Maryland Cannabis Laws and Dispensary Rules You Must Know for 2023

(1) A person must obtain a cannabis license issued by the division administration to operate a cannabis business. (2) A cannabis license issued under this subtitle:(i) Authorizes the holder of the license to operate a medical marijuana and adult-use cannabis business;(ii) Is valid for 5 years on initial licensure and 5 years on renewal; and(iii) May be transferred only in accordance with subtitle 5 of this title. (b) (1) The division administration shall:(i) Issue standard licenses, micro licenses, incubator space licenses, and on-site consumption licenses in accordance with this title;(ii) On or before July 1, 2023, convert licenses that were issued to medical cannabis growers, processors, and dispensaries, including those businesses preapproved for licensure, to licenses to operate a medical and adult-use cannabis business if: 1. A conversion fee is paid in accordance with § 36–403 of this subtitle; and 2. The business complies with the ownership restrictions under subsection (e) of this section;(iii) Set production, processing, sales, and other limitations and requirements for all license types;(iv) Issue dispensary licenses in a manner that encourages a balanced geographic distribution based on population and market demand within a specific county, as well as cross-jurisdictional market demand; and(v) Consider market demand in the issuance of all license types;(vi) Adopt regulations requiring licensees whose licenses were converted by the division administration under item (ii) of this paragraph to reserve a specified amount of cannabis for social equity licensees. (2) The division administration may:(i) Inspect a cannabis licensee to ensure compliance with this title and the regulations adopted under this title;(ii) Revoke a cannabis license if good faith efforts have not been made by the cannabis licensee to establish a cannabis business within 18 months after the license was awarded;(iii) Impose penalties or rescind the license of a cannabis licensee that does not meet the standards for licensure established under this title or regulations adopted under this title; and(iv) Conditionally award cannabis licenses. (c) (1) A standard license authorizes the holder of the license:(i) For growers, to operate more than 10,000 square feet, but not more than 300,000 square feet, of indoor canopy or its equivalent, as calculated by the division administration;(ii) For processors, to process more than 1,000 pounds of cannabis per year, as calculated by the division administration; and(iii) For dispensaries, to operate a store at a physical location that sells cannabis or cannabis products. (2) A micro license authorizes the holder of the license:(i) For growers, to operate not more than 10,000 square feet of indoor canopy or its equivalent, as calculated by the division administration;(ii) For processors, to process not more than 1,000 pounds of cannabis per year, as calculated by the division administration; and (iii) For dispensaries, to operate a delivery service that sells cannabis or cannabis products without a physical storefront, provided that the licensee employs not more than 10 employees. (3) An incubator space license authorizes the holder of the license to operate a facility within which a micro licensee may operate in accordance with § 36–406 of this subtitle. (4) An on-site consumption license authorizes the holder of the license to operate a facility on the premises of which individuals can smoke outdoors, vape, or consume cannabis in accordance with § 36–407 of this subtitle. (d) The division administration may not issue more than the following number of licenses per type, including licenses converted under subsection (b)(1)(ii) of this section:(1) For standard licenses:(i) 75 grower licenses;(ii) 100 processor licenses; and(iii) 300 dispensary licenses;(2) For micro licenses:(i) 100 grower licenses;(ii) 100 processor licenses; and(iii) 200 dispensary licenses;(3) For incubator space licenses, 10 licenses; and(4) For on-site consumption licenses, 50 licenses. (e) (1) This subsection applies to all licenses, including licenses converted under subsection (b)(1)(ii) of this section. (2) Subject to paragraph (3) of this subsection, a person may have an ownership interest in or control of, including the power to manage and operate, only:(i) For standard licenses and micro licenses:1. One grower licensee;2. One processor licensee; and3. Not more than four dispensary licensees;(ii) For incubator space licenses, not more than two licensees; and(iii) For on-site consumption licenses, not more than two licensees.

A dispensary shall either provide (1) exclusive access to the licensed premises to qualified patients and registered caregivers for at least one hour per day or (2) a dedicated service line to serve only qualifying patients and registered caregivers for the duration of the licensed premises’ operating hours. mca encourages dispensaries to offer additional accommodations for patients and caregivers, including providing priority access to the service area, designated parking spaces, additional hours, or additional service lines. product reservations generally dispensaries must ensure an adequate supply of medical cannabis products and reserve high potency products for medical patients. specifically, dispensaries may only sell the following products to qualifying patients and registered caregivers: concentrated cannabis products edible cannabis products, infused non-edible cannabis products, capsules, and tinctures containing more than 10 milligrams (mg) tetrahydrocannabinol (THC) per serving or 100 mg thc per package adult consumers may purchase: cannabis vaporizing devices (e.g., vapes) home cultivation products usable cannabis products (e.g., flower, pre-rolls) edible cannabis products, infused non-edible cannabis products, capsules, and tinctures containing up to 10 mg THC per serving or 100 mg of THC per package(a) beginning July 1, 2023, a cannabis licensee that is operating a dispensary shall:(1) ensure that it has an adequate supply for qualifying patients and caregivers; and(2) set aside operating hours or dedicated service lines to serve only qualifying patients and caregivers, and (3) ensure that shelf space at least 25% of cannabis and cannabis products in the dispensary is available for cannabis and cannabis products is from social equity licensees and growers and processors that do not share common ownership with the dispensary. dispensaries shall make a good faith effort to reserve 25% of products available for retail sale for products grown, manufactured, extracted, or otherwise produced by licensees that have no common ownership interest or control with the dispensary license holder and by social equity businesses once they are up and running. when possible, businesses are encouraged to prioritize products produced by social equity businesses. (b) except as provided in subsection (d) of this section, a licensed dispensary may not locate within (1) 500 feet of (i) a pre–existing primary or secondary school in the state, or a licensed child care center or registered family child care home under title 9.5 of the education article; or(ii) a playground, recreation center, library, or public park; or(2) 1,000 feet of another dispensary under this title. (c) a political subdivision may adopt an ordinance reducing the distance requirements under subsection (b) of this section. (d) the distance requirements under subsection (b) of this section do not apply to a dispensary license that was:(1) converted under § 36–401(b)(1)(ii) of this subtitle; and(2) properly zoned and operating before July 1, 2023.

The premises of a licensee shall be constructed to prevent unauthorized entry.

A. A licensed dispensary shall contain a secure room to store the medical cannabis inventory.

B. The secure room:

(1) Shall be constructed of concrete or similar building material that prevents unauthorized entry;

(2) May not be placed adjacent to an exterior wall of the premises; and

(3) Shall have only one entrance door that:

(a) Meets commercial security standards;

(b) Is equipped with a cipher or chip-activated keyed lock or equivalent; and

(c) Is not visible from public areas of the premises.

C. Other than while the licensed dispensary is open for business and 1 hour before and 1 hour after, the inventory of medical cannabis shall be stored in the secure room.

Lighting fixtures of the licensee shall be designed and installed to ensure proper surveillance.

A. A licensee shall maintain a security alarm system that covers all perimeter entry points, windows and portals at the premises.

B. The security alarm system shall be:

(1) Continuously monitored;

(2) Capable of detecting smoke and fire;

(3) Capable of detecting power loss.

C. The security alarm system shall include panic alarm devices mounted at convenient, readily-accessible locations throughout the licensed premises.

D. A second, independent alarm system shall be used to protect:

(1) The location where records are stored on-site;

(2) The location where records are stored off-site; and

(3) Any secure room that holds medical cannabis.

E. The security alarm system shall remain operational until the premises of the licensee no longer have any medical cannabis on the premises.

F. All security alarm systems shall be equipped with auxiliary power sufficient to maintain operation for at least 48 hours.

A. A licensee shall maintain a motion-activated video surveillance recording system at the premises that:

(1) Records all activity in images of high quality and high resolution capable of clearly revealing facial detail;

(2) Operates 24-hours a day, 365 days a year without interruption; and

(3) Provides a date and time stamp for every recorded frame.

B. A licensee shall post appropriate notices advising visitors of the video surveillance.

C. A surveillance camera shall be located and operated to capture activity at each exit from the premises.

D. A surveillance camera shall capture activity at each:

(1) Entrance to an area where medical cannabis is packaged, stored, or dispensed; and

(2) Area where medical cannabis is packaged, stored, or dispensed.

E. Recordings of security video surveillance shall be:

(1) Access-limited;

(2) Secured by a security alarm system that is independent of the main premises security alarm system;

(3) In a format that can be easily accessed for investigational purposes; and

(4) Retained for a minimum of 90 calendar days.

F. Any recording of security video surveillance shall be made available to the Commission or law enforcement agency for just cause as requested within 48 hours.

G. Violation.

(1) Failure to provide the Commission with any recording of video surveillance within 48 hours of a request from the Commission is a violation of COMAR 10.62.34.01.

(2) Each day of recording that a licensee fails to provide to the Commission, within the minimum of 90 calendar days that shall be retained, constitutes a separate violation.

A. A licensee shall divide the licensed dispensary premises between a public zone and an operations zone.

B. Public Zone.

(1) The public zone shall have:

(a) A waiting area open to the general public; and

(b) A service area in which a qualifying patient or caregiver may consult with a registered dispensary agent and receive medical cannabis.

(2) The licensed dispensary shall restrict entry into the service area to qualifying patients and caregivers.

(3) The licensed dispensarys hours of business shall be displayed at the entrance to the public zone.

C. Operations Zone.

(1) All operations other than consulting with qualifying patients and caregivers and dispensing medical cannabis shall be carried out in the operations zone.

(2) The operations zone shall be appropriately divided into separate areas for:

(a) Medical cannabis storage;

(b) Medical cannabis preparation and packaging;

(c) Use by dispensary agents for breaks; and

(d) Changing clothing and dispensary agent lockers.

(3) Tamper-evident logbooks or electronic identification logs shall document the movement of persons to and from the operations zone.

D. Appropriate signage shall clearly delineate the separate zones.

E. Doors and other access points between zones shall be secured.

F. Security alarms systems and video surveillance, as described in Regulations .06 and .07 of this chapter, shall be used to monitor the separation between zones.

G. All medical cannabis, other than that being displayed, being processed, or being dispensed during business hours, shall be kept in a secure room.

H. No individual other than a registered dispensary agent may handle the inventory in a display case or elsewhere in the dispensary until dispensed.

(a) in this subtitle, “advertisement” means the publication, dissemination, or circulation of any auditory, visual, digital, oral, or written matter which is directly or indirectly calculated to induce the sale of cannabis or any cannabis–related product or service. (b) “advertisement” does not include packaging or labeling. (a) an advertisement for cannabis and cannabis products or cannabis-related services that makes therapeutic or medical claims shall: (1) be supported by competent and reliable scientific evidence; And (2) include information on the most significant serious and most common side effects or risks associated with the use of marijuana. (a) (1) this subsection does not apply to an advertisement placed on property owned or leased by a dispensary, grower, or Processor. (2) an advertisement for a cannabis licensee, cannabis product, or cannabis-related service may not: (1) make a statement that is false or misleading in a material way or is otherwise a violation of Title 13, subtitle 3 of the commercial law article; (i) violate Title 13, subtitle 3 of the commercial law article; (ii) directly or indirectly target individuals under the age of 21 years; (iii) contain a design, an illustration, a picture, or a representation that: (i) 1. targets or is attractive to minors, including a cartoon character, a mascot, or any other depiction that is commonly used to market products to minors; (ii) 2. displays the use of cannabis, including the consumption, smoking, or vaping of cannabis; (iii) 3. encourages or promotes cannabis for use as an intoxicant; or (i) 4. is obscene; (3) (iv) engage in advertising by means of television, radio, internet, mobile application, social media, or other electronic communication, or print publication, unless at least 85% of the audience is reasonably expected to be at least 21 years old as determined by reliable and current audience composition data; or

(4) (v) engage in advertising by means of placing an advertisement on the side of a building or another publicly visible location of any form, including a sign, a poster, a placard, a device, a graphic display, an outdoor billboard, or a freestanding signboard. (b) (1) (i) subject to subparagraph (ii) of this paragraph, each cannabis–related website shall employ a neutral age–screening mechanism that verifies that the user is at least 21 years old, including by using an age–gate, age–screen, or age-verification mechanism before the user may access or view any content and before the website may collect the user’s address, email address, phone number, or contact information to disseminate advertisements. (ii) if a website is appropriate for a qualifying patient who is under the age of 21 years, the website shall provide an alternative screening mechanism for the qualifying patient. (2) an advertisement placed on social media or a mobile application shall include a notification that an individual must be at least 21 years old to view the content. (3) the provisions of this subtitle applicable to cannabis licensees may not be avoided by hiring or contracting with a third–party, or outsourcing advertisements that do not comply with this subtitle. (4) a cannabis licensee may not allow the use of the licensee’s trademarks, brands, names, locations, or other distinguishing characteristics for third–party use for advertisements that do not comply with this subtitle.

(A) A cannabis licensee may not sell, transfer, or deliver cannabis or cannabis products unless the licensee verifies by means of a valid driver’s license or other government-issued photo identification containing the bearer’s date of birth that:

(1) For adult-use cannabis, the consumer is at least 21 years old; or (2) For medical cannabis, the patient or caregiver is: (I) Registered with the Division Administration, and (II) At least 18 years old. (B) (I) A licensee that sells, transfers, or delivers cannabis or cannabis products in violation of subsection (A) of this section is subject to a civil penalty of (1) $500 for a first violation;

(2) $1,000 for a second violation occurring within 24 months after the first violation; and (3) $5,000 for each subsequent violation occurring within 24 months after the immediately preceding violation. (II) A violation of subsection (A) of this section that occurs more than 24 months after the immediately preceding violation shall be treated as a first violation. The Division Administration may deny a cannabis license to an applicant, reprimand a cannabis licensee, or suspend or revoke a cannabis license if the applicant or licensee violates subsection (A) of this section two or more times in a 24-month period. In a hearing for an alleged violation of this section, it is a defense that an agent of the defendant examined the consumer’s, patient’s, or caregiver’s driver’s license or other valid identification issued by a governmental unit that positively identified the consumer, patient, or caregiver as meeting the minimum age specified in subsection (A) of this section. (C) A cannabis licensee may not: (I) Sell, transfer, or deliver cannabis to an individual who is visibly intoxicated; or (II) Offer cannabis or cannabis products as a prize, premium, or consideration for a lottery, contest, game of chance, game of skill, or competition of any kind; or (III) Conduct direct-to-consumer internet sales of adult-use cannabis on or before July 1, 2025. A cannabis licensee that violates paragraph (1) of this subsection is subject to a fine not exceeding $1,000, suspension or revocation of a license, or both.

A dispensary may use an online ordering system to conduct pre-orders for pick-up or delivery. At this time, adult consumers, qualifying patients, and caregivers are eligible to pre-order for pickup; only qualifying patients and caregivers are eligible for delivery. ○ If a dispensary uses an online ordering system, it must (1) verify the consumer is at least 21 years old or that the individual is a qualifying patient or registered caregiver and (2) collect both signature and contact information. Only then may the online ordering system collect payment. A licensed dispensary may not sell or distribute cannabis through an unlicensed third party, intermediary business, broker, or any other business or entity. A dispensary must restrict access to only qualifying patients, caregivers, and individuals over the age of 21. A dispensary may not be open for business for more than 12 hours a day, before 8 am, or after 10 pm. A dispensary may be required to conspicuously display valid proof of licensure, consumer education safety information provided by the MCA, and minimum purchase age and identification requirements.

A dispensary may not knowingly dispense more than the personal use amount of cannabis in a single day. According to Criminal Law Article, §5-101, this means (1) an amount of usable cannabis that does not exceed 1.5 ounces (oz); (2) an amount of concentrated cannabis that does not exceed 12 grams (g); or (3) a number of cannabis products containing delta-9-THC that does not exceed 750 mg. As a reminder, concentrated cannabis products are only authorized for medical sales. For adult-use sales, cannabis vaporizing devices are weighed as concentrated cannabis, regardless of the production method, and are restricted by the 12-gram limit for a single transaction. Additionally, tinctures and capsules are counted as edible cannabis products and are restricted by the 750 mg edible cannabis product limit for a single transaction. Therefore, the amounts that adults can purchase outside of the medical market are aligned as follows with the current criminal law of marijuana possession limits: 1. An amount of usable cannabis that does not exceed 1.5 ounces (oz). a. The new regulations create a category for usable cannabis products. This includes i. Pre-rolls; ii. Jarred, sealed, or otherwise stored, and prepackaged amounts of the flower. b. The combined weight of the flower sold as a usable cannabis product to an individual may not exceed 1.5 ounces or 42.5 grams. 2. An amount of concentrated cannabis that does not exceed 12 grams (g). a. For the purposes of adult-use sales, only cannabis vaporizing devices or fluid are considered in this category, e.g. a 1-gram vape cartridge is considered 1 gram of concentrated cannabis for these sales restrictions. b. An individual may not purchase more than 12 grams of vapes, vape cartridges, etc. regardless of the production process of the product. c. An individual may not purchase any other concentrated product. 3. a number of cannabis products containing delta-9-THC that do not exceed 750 mg. a. Any other cannabis product providing it contain less than 10 mg per serving and 100 mg per package. This includes i. Edibles; ii. Capsules; iii. Tinctures; iv. Topicals/lotions (e.g. “infused non-edibles”). b. Products under this category may not be combined to contain more than 750 mg of THC in a single transaction for adult-use consumers. c. Any products with greater than 10 mg of THC per serving or 100 mg of THC per package may not be sold to adult-use consumers. These are combined limits. For the purposes of dispensing cannabis, an individual purchasing the MAXIMUM amount of any one product type MAY NOT purchase any additional product type(s). See examples below for violations of the sales limits: Sample Transaction Clause for Violation 1.6 ounces of flower product. The total amount of usable cannabis sold exceeds the 1.5-ounce restriction under the Personal Use Amount. 1.5 ounces of flower product and a 1-gram vape cartridge. The total amount sold includes the maximum of the usable cannabis category and additional products. Eight 1-gram disposable vapes and nine 0.5-gram vape cartridges. The total grams of vape products sold exceeds the 12-gram restriction in the Personal Use Amount by 0.5 grams (12.5 grams of vapes being sold in total). Sample Transaction Clause for Violation Seven packages of 100 mg THC edible products, a 50 mg THC tincture, and 3.5 grams of flower. The total amount sold includes products containing exactly 750 mg of THC and an additional amount of usable cannabis. Six packages of 75 mg THC edible products, and three 100 mg THC lotions, and a container of ten-5 mg THC capsules. The total amount of products containing THC sold is 800 mg, which exceeds the personal use amount of 750 mg. Additionally, dispensary agents are required under regulations to deny sales to any consumer whose purchase patterns may reasonably be used for resale or product diversion. The MCA may query METRC for purchases that either: (a) violate the sales restrictions set forth in regulations; or (b) approach a number of cannabis products that could reasonably be interpreted for resale or diversion. A dispensary may sell up to two clones or seedlings to any adult who is at least 21 years old and up to four clones or seedlings to any qualifying patient who is at least 21 years old or a registered caregiver. A dispensary may sell up to 6 seeds to any adult-use consumer, qualifying patient, or registered caregiver. A dispensary agent should decline to dispense cannabis to a consumer if they appear to be under the influence of alcohol or drugs, attempting to purchase cannabis products for resale, or obtaining a number of cannabis products greater than the personal use amounts. As of July 1, 2023, an adult over the age of 21 can legally possess up to the following amounts: up to 1.5 ounces of cannabis or up to 12 grams of concentrated cannabis or cannabis products containing up to 750 milligrams of delta-9-TCH or up to 2 cannabis plants adults can grow 2 cannabis plants. The plants must be out of public view and secured so that they are not accessible to unauthorized individuals or individuals under the age of 21. Home cultivation products are now authorized for retail sale by dispensaries to consumers, patients, and caregivers. Home cultivation products include clones, seeds, seedlings, stalks, roots, and stems of the cannabis plant. A licensed dispensary may only obtain home cultivation products from a licensed grower. A new product authorized under these regulations for adult consumers is liquid edible products (e.g., beverages). For the purposes of producing a liquid edible product, one single container is a single serving of a product, and it may not contain more than 10 mg of THC. Liquid edibles must also comply with the requirements of other edible products in terms of production, packaging, and labeling. This includes limiting the manufacture of these products to facilities with a valid edibles permit.

Yes, starting July 1, 2023, adults will be able to purchase cannabis at a dispensary for recreational use.

Yes, cannabis is legal for adults 21 and over to purchase and consume in Maryland, including Baltimore.

Adults 21+ can purchase 1.5 ounces of cannabis and 12 grams of cannabis concentrates from licensed dispensaries.

Adults in Maryland can cultivate up to two marijuana plants. These plants must be out of public view.

Yes! Flowhub was the first integrator with Metrc, so we have a deep understanding of how to keep your dispensary compliant. We also are compliant with Maryland's unique adult-use cannabis regulations.