Michigan Office of Administrative Hearings and Rules  
611 W. Ottawa Street  
Lansing, MI 48909  
Phone: 517-335-8658 Fax: 517-335-9512  
AGENCY REPORT TO THE  
JOINT COMMITEE ON ADMNINISTRATIVE RULES (JCAR)  
1. Agency Information  
Agency name:  
Licensing and Regulatory Affairs  
Division/Bureau/Office:  
Marihuana Regulatory Agency  
Name of person completing this form:  
Jessica Fox  
Phone number of person completing this form:  
517-284-9294  
E-mail of person completing this form:  
FOXJ12@michigan.gov  
Name of Department Regulatory Affairs Officer reviewing this form:  
Elizabeth Arasim  
2. Rule Set Information  
MOAHR assigned rule set number:  
2019-72 LR  
Title of proposed rule set:  
Marihuana Sale or Transfer  
3. Purpose for the proposed rules and background:  
To provide one, cohesive set of rules for regulating marihuana licenses for both adult use and medical  
marihuana in the State of Michigan.  
4. Summary of proposed rules:  
The proposed topic-based rule sets are intended to provide clarity/consistency to those working in  
both the medical and adult use markets. The rule sets provide for the implementation of a program to  
license medical/adult use marihuana businesses. The rule sets implement, administer, and enforce  
appropriate standards for marihuana businesses and associated equipment and establish regulations  
ensuring the safety, security, and integrity of the operation of marihuana businesses.  
5. List names of newspapers in which the notice of public hearing was published and  
publication dates:  
The Flint Journal (Pub: 1/28/20), The Grand Rapids Press (Pub: 1/28/20), The Mining Journal (Pub:  
1/16/20)  
MCL 24.242 and 24.245  
Agency Report to JCAR-Page 2  
6. Date of publication of rules and notice of public hearing in Michigan Register:  
2/1/2020  
7. Date, time, and location of public hearing:  
2/12/2020 09:30 AM at Auditorium , 525 West Ottawa Street, Lansing, Michigan  
8. Provide the link the agency used to post the regulatory impact statement and cost-benefit  
analysis on its website:  
https://dtmb.state.mi.us/ARS_Public/Transaction/RFRTransaction?TransactionID=16  
9. List of the name and title of agency representative(s) attending public hearing:  
Executive Director Andrew Brisbo, Legal Analyst Kelly Kronner, Legal Analyst Jessica Fox, Legal  
Analyst Joshua Galicki  
10. Persons submitting comments of support:  
Dykema Gossett, PLLC  
Michigan Cannabis Manufacturers Association  
Michigan Cannabis Industry Association  
Lion Labs, Ltd  
Cannabis Business Association of Michigan  
Choice Laboratories  
Michigan Coalition of Independent Cannabis Testing Laboratories  
PSI Labs  
11. Persons submitting comments of opposition:  
None.  
12. Identify any changes made to the proposed rules based on comments received during the  
public comment period:  
Name &  
Comments made at Written  
Agency Rationale Rule number  
Organization public hearing  
Comments  
for change  
& citation  
changed  
1
Dykema  
Section should be The agency agrees 420.505(1)(e)  
Gossett, PLLC  
changed from  
“holding a  
license” to  
“selling a  
marihuana  
product”.  
that this subrule  
applies to sale and  
this change is  
beneficial to the  
clarity of the rule  
set.  
MCL 24.242 and 24.245  
Agency Report to JCAR-Page 3  
2
Dykema  
Gossett, PLLC  
The phrase  
“under the  
medical  
The agency agrees 420.507(6)  
that the change  
should be made  
marihuana  
facilities  
for clarity.  
licensing act”  
should be moved  
to increase  
clarity.  
3
Dykema  
Gossett, PLLC  
The phrase  
“under the  
medical  
marihuana  
facilities  
The agency agrees 420.507(7)  
that the change  
should be made  
for clarity. The  
agency has  
420.507(8)  
420.507(9)  
licensing act”  
determined that to  
should be moved maintain parity  
to increase  
clarity.  
and improve  
clarity the same  
changes should be  
made in this  
section by moving  
the phrase “under  
the Michigan  
regulation and  
taxation of  
marihuana act”.  
4
Dykema  
Gossett, PLLC  
"For products  
being sold by a  
The agency agrees 420.504(1)(k)  
that this should be (iii)  
licensee under the modified to  
medical  
provide for  
marihuana  
facilities  
labelling of  
medical marihuana  
licensing act that product only.  
exceed maximum  
THC levels  
allowed for  
products sold  
under MRTMA,  
“For use by  
individuals 21  
years of age or  
older only. Keep  
out of reach of  
children.”  
MCL 24.242 and 24.245  
Agency Report to JCAR-Page 4  
5
Dykema  
Gossett, PLLC  
For all other  
products being  
sold by a  
The agency agrees 420.504(1)(k)  
that this will  
change will  
(iv)  
licensee, “For use decrease the  
by individuals 21 burden on  
years of age or  
older or  
licensees of  
labeling product.  
registered  
qualifying  
patients only.  
Keep out of reach  
of children.  
What does it  
mean to keep  
results? This  
should be  
6
Michigan  
Cannabis  
Manufacturers  
Association  
The agency agrees 420.509(4)  
that this provision  
is unclear, and  
further indicates  
clarified.  
that it is  
unnecessary and  
therefore has been  
removed.  
7
8
Dykema  
Gossett, PLLC  
Listing all  
required testing that the test batch  
information is  
cumbersome.  
The agency agrees 420.504(1)(i)  
number is  
unnecessary  
information.  
Michigan  
Cannabis  
Industry  
The current limit The agency agrees 420.509(5)  
is too stringent  
and does not  
account for the  
size of the  
with this  
comment.  
Association  
operation or the  
number of  
employees.  
9
Lion Labs, Ltd.  
There are  
The agency agrees 420.510(2)  
multiple types of with this  
products that  
need to be  
comment.  
sampled for  
research and  
development. The  
current limits do  
not take that into  
account. This  
should be  
unlimited.  
MCL 24.242 and 24.245  
Agency Report to JCAR-Page 5  
There are  
10  
Lion Labs, Ltd.  
The agency agrees 420.510(3)  
comment.  
multiple types of with this  
products that  
need to be  
sampled for  
research and  
development. The  
current limits do  
not take that into  
account. This  
should be  
unlimited.  
11  
12  
Dykema  
Gossett, PLLC  
The definition of The agency agrees 420.501(h)  
employee does  
not include  
and makes this  
change for  
professional  
services and  
should.  
The limit is not  
enough to  
consistency with  
this change in  
other sections.  
The agency agrees 420.509(6)  
with this  
Lion Labs, Ltd.  
effectively be  
sampled.  
comment.  
Additionally, it  
does not account  
for types of  
products,  
differences in  
populations, etc.  
13  
14  
15  
Cannabis  
Business  
Association of  
Michigan  
The current rule The agency agrees 420.504(g)  
does not allow for with this  
variability due to comment.  
the precision of  
testing.  
Dykema  
Gossett, PLLC  
The current rule The agency agrees 420.504(g)  
does not allow for with this  
variability due to comment.  
the precision of  
testing.  
Choice  
The rule needs to The agency agrees 420.504(g)  
Laboratories  
allow for  
variance.  
with this  
comment.  
MCL 24.242 and 24.245  
Agency Report to JCAR-Page 6  
16  
17  
Michigan  
Coalition of  
Independent  
Cannabis  
Testing  
Laboratories  
PSI Labs  
The rule should The agency agrees 420.504(g)  
allow for a  
with this  
variance in  
comment.  
potency of 10%.  
The rule should The agency agrees 420.504(g)  
allow for a  
with this  
variance in  
comment.  
potency of 10%.  
13.Date report completed:  
3/24/2020  
MCL 24.242 and 24.245  
;