Licensing Process / Application of Intent
Application of Intent
One of the first steps to applying for a Marijuana Establishment (ME) or Medical Marijuana Treatment Center (MTC) license is submitting an Application of Intent.
The Application of Intent includes the following completed forms and documents:
- Application of Intent
- Copy of the corporation’s Certificate of Good Standing
- Financial account summary or summaries
- Application fee in the form of a bank or cashier’s check made payable to the Massachusetts Cannabis Control Commission (fees are non-refundable and non-transferable)
- Remittance form: Application of Intent
Each submitted application must be a complete, collated response, printed single-sided on 8 ½” x 11” paper, and secured with a binder clip. No ring binders, spiral binding, staples, or folders please.
Mail the Application of Intent, along with all required attachments, the application fee, and the remittance form to:
Cannabis Control Commission
Application of Intent
Union Station
2 Washington Square
Worcester, MA 01604
The Commission reviews applications in the order they are received. All application responses, including all attachments, will be subject to release pursuant to a public records request, as redacted pursuant to the requirements at M.G.L. c. 4, § 7(26).
No executive, member, or entity owned or controlled by such an executive or member may directly or indirectly control more than three MTCs.
If you are seeking to register more than one MTC, you must submit a separate Application of Intent, all required attachments, and application fee for each proposed MTC.
Required Individuals and Entities
An applicant must disclose persons or entities who will have direct or indirect control in their application for licensure. This person or entity must satisfy one or more of the following criteria:
- An owner that possesses a financial interest in the form of equity of 10% or greater in a ME or MTC.
- A person or entity that possesses a voting interest of 10% or greater in a ME or MTC or a right to veto significant events.
- A close associate.
- A person or entity that has rights to control, through contract or otherwise, or authority, including but not limited to:
- Making decisions regarding operations and strategic planning, capital allocations, acquisitions, and divestments.
- Appointing more than 50% of the directors.
- Appointing or removing corporate-level officers.
- Making major marketing, production, and financial decisions.
- Executing significant or exclusive contracts.
- Earning 10% or more of the profits or collecting more than 10% of the dividends.
Persons or entities having indirect control include any person with a controlling interest in an indirect holding or parent company of the applicant, and the chief executive officer and executive director of those companies, or any person or entity in a position indirectly to control the decision-making of a ME or MTC.
Applicants are encouraged to include individuals that exert control through the contribution of services. For example, an individual may exert control by making decisions about the establishment management or operations. Applicants do not need to disclose individuals who provide services and do not exert control. For example, applicants do not need to disclose consultants who consult, but do not make decisions for the establishment.
Disclosure of In-State Interests
Applicants are required to disclose whether any individual or entity listed in the application are disclosed in any other ME or MTC license application or associated with another any existing license. The disclosure should include all current information that is known to be accurate and true.
Disclosure of Out-of-State Interests
Applicants are required to disclose whether any individual or entity listed in an application has past or present marijuana- or license-related business interests in other states and to provide documentation of their interests. Applicants should also disclose any ownership interest in a business that transacts with any cannabis-related businesses. They should exercise their judgment in identifying other business interests relevant to their application.
The documentation required for this section can take the form of a business license, articles of organization, bylaws, operating agreements, or an affidavit stating that the disclosure is accurate and true.
Capital Resources
Applicants shall disclose the amounts and sources of capital resources available to them from any individual or entity that will be contributing capital to establish or operate the identified ME. Forms of capital could include loans (monetary, real or personal property) for repayment or for equity stakes.
The applicant must disclose the name, address, contact information, and amount and source of the capital that will be provided from each individual or entity. In addition to the disclosure, the applicant must submit documentation that includes, but is not limited to, a bank or financial institution record dated within 60 days of the application submission date verifying the existence of the capital. If the individual or entity is providing capital resources for repayment of a loan, any written agreement governing the loan must be provided as well.
If the individual or entity contributing capital resources could be classified as a person or entity having direct or indirect control, they must also be listed as such in the appropriate section.
After making these disclosures and providing this information, the applicant must certify that the funds used to invest in or finance the ME or MTC were lawfully earned or obtained, which can be demonstrated by an affidavit or notarized document attesting to this requirement. As part of a review of the application, or an inspection of the licensee’s operations, the Commission may require additional information or documentation that demonstrates the source of the funds.
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Adult/Medical License Application Difference
ME applicants have no minimum amount of capital resources that must be demonstrated. MTC applicants must demonstrate capital resources of $500,000 on their first application and an additional $400,000 for the second and third applications.
Bond or Escrow
All applicants are required to set aside, either through a bond or an escrow account, an amount of money sufficient to cover the dismantling and winding down of the ME or MTC. The amount set aside must be enough to cover the cost of satisfying any outstanding state or municipal sales tax obligations, costs incurred securing the licensee’s facility, and cost incurred destroying the marijuana and marijuana products in its inventory.
If the applicant acquires a bond, the applicant is required to set aside the total amount of their licensing fees as set forth in 935 CMR 500.005 or 501.005, even if the fees have been waived. If the applicant establishes an escrow account, the applicant must set aside at least $5,000, and is encouraged to set aside the total amount of their licensing fees, even if the fees have been waived.
If the applicant acquires a bond, it should reflect the following:
- The applicant is the principal.
- The Commonwealth of Massachusetts Cannabis Control Commission, 2 Washington Square, Worcester, MA, 01604, is the obligee.
- The purpose of the bond is to cover any costs incurred by the Commission to satisfy any outstanding state and local sales tax obligations, costs incurred to secure any licensed marijuana facility, costs incurred to destroy the marijuana and marijuana products in its inventory, and to cover other costs incurred by the Commission or its designee in dismantling or winding down of the licensee’s facility in accordance with its policies and governing laws.
If the applicant establishes an escrow account, the account should reflect the following:
- The Commonwealth of Massachusetts Cannabis Control Commission, 2 Washington Square, Worcester, MA, 01604, is the sole beneficiary.
- The purpose of the bond is to cover any costs incurred by the Commission to satisfy any outstanding state and local sales tax obligations, costs incurred to secure any licensed marijuana facility, costs incurred to destroy the marijuana and marijuana products in its inventory, and to cover other costs incurred by the Commission or its designee in dismantling or winding down of the licensee’s facility in accordance with its policies and governing laws.
If the applicant’s attorney holds the funds in its trust/escrow account in the client’s name, a Memorandum of Understanding (MOU) with the attorney is an acceptable way to meet this requirement as long as the MOU reflects the following:
- The attorney is holding the funds for the sole purpose of covering any costs incurred by the Commission to satisfy any outstanding state and local sales tax obligations, costs incurred to secure any licensed marijuana facility, costs incurred to destroy the marijuana and marijuana products in its inventory, and to cover other costs incurred by the Commission or its designee in dismantling or winding down of the licensee’s facility in accordance with its policies and governing laws.
- The amount of funds.
- The attorney will release the funds to the Commission or its designee on a demonstration that it has incurred these costs.
Property Identification and Interest Documentation
Each applicant must disclose the location of their proposed ME or MTC. A licensee is limited to performing operations at a single location with the exception of Craft Marijuana Cooperatives and MTC licensees.
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Adult/Medical License Application Difference
ME applicants apply for a license usually for a single operation (i.e. cultivation) and must select no more than one location.
MTC applicants apply to cultivate, process, produce, and dispense marijuana under a single license. The licensee can select up to two locations to cultivate, produce, and dispense marijuana.
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After identifying the proposed location(s) where operations will be licensed, the applicant is required to submit property interest documentation, which may be demonstrated by one of the following:
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- Clear legal title to the proposed site
- An option to purchase the proposed site
- A legally enforceable agreement to give such title
Host Community Agreement Certification
Applicants must upload a single-page certification signed by the contracting authorities for the host community and applicant demonstrating that they have executed a Host Community Agreement.
If the applicant will operate at more than one location (for example, Craft Marijuana Cooperatives or MTCs), a certification form is required for each location.
A fully executed Host Community Agreement will not be accepted in lieu of the single-page certification form. Download the single-page certification form.
Community Outreach Meeting Attestation and Documentation
All applicants must conduct a Community Outreach Meeting in the municipality in which they plan to operate.
Applicants must provide a completed Community Outreach Meeting Attestation form (available here) with their Application of Intent. The form must include:
- A copy of the notice in the publication that shows the required information that was provided to the public.
- The name and date of the publication where the notice appeared.
- A copy of the notice filed with the city or town clerk.
- A copy of the notice mailed to abutters.
Plan to Remain Compliant with Local Ordinances
Each applicant must submit a description of plans to ensure that the ME or MTC is or will be compliant with local codes, ordinances, and bylaws for its physical address. This includes, but is not limited to, the identification of all local requirements for the sale of adult use or medical use of marijuana.
This plan shall identify all steps taken with municipal departments or officials regarding local rules and permitting requirements. Additionally, applicants shall include in their plan, but not be limited to, the following information:
- Identification of the appropriate zoning district of the proposed address.
- Identification of the appropriate permits that are required, if any, and the timing and frequency of obtaining and renewing such permits.
Plan to Positively Impact Disproportionately Harmed People
Applicants must submit a plan that outlines how it will positively impact disproportionately harmed people. The plans shall be designed to positively impact the following groups of disproportionately harmed people, as designated by the Commission:
- Past or present residents of the geographic Areas of Disproportionate Impact. Note: some disproportionately impacted geographic locations are cities or towns, and others are neighborhoods identified by census tracts. The designation of these areas will be re-evaluated periodically.
- Commission-designated Economic Empowerment Priority applicants.
- Commission-designated Social Equity Program participants.
Checklist
- List of all persons or entities with direct or indirect control
- List of all persons or entities contributing 10% or more of capital resources and bank statement(s) or letter(s) from a financial institution for each person or entity contributing capital resources showing proof of funds dated within 60 days of submission of the application (MTC applicants are required to show a specific minimum amount of capital resources)
- Disclosure and documentation of any out-of-state or in-state marijuana-related business interests for any individual or entity associated with the application
- Disclosure of the proposed address of the ME along with property interest documentation
- Bond or escrow
- Host Community Agreement Certification form
- Community Outreach Meeting Attestation Form
- Copy of Community Outreach Notice from a newspaper
- Copy of Community Outreach Notice filed with the municipality
- Copy of Community Outreach Notice to all abutters within 300 feet of the property
- Plan to remain compliant with local zoning/ordinances
- Plan for Positive Impact
- Specific requirements for certain License Types:
- Marijuana Microbusiness: evidence of MA residency for a majority of the members or executives
- Craft Marijuana Cooperative: evidence of MA residency for all members and shareholders, evidence of cooperative’s business organization, evidence of one member filing a Schedule F (Form 1040), and evidence of organization consistent with Seven Cooperative Principles
- Delivery-Only Licensee: disclosure and documentation of any delivery agreement with Marijuana Retailers and any agreement with a Third-Party Technology Platform Provider
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Meeting
The Cannabis Control Commission conducts meetings and other events to keep you informed.
Subscribe to Our
Notice List
Sign up for updates from the Cannabis Control Commission.
