The capitalization sources can be demonstrated as follows:
At least 25% is in liquid assets. Liquid assets include assets easily convertible to cash. Examples of liquid assets may include, cash, marihuana inventory (in compliance with the administrative rules), CD’s, 401(k), stocks, and bonds.
Remaining capitalization may be evidenced in either additional liquid assets or non-liquid forms, for example equity in real property, supplies, equipment, and fixtures.
Evidence must be provided proving that there is no lien or encumbrance on the asset provided as a source of capitalization.
Additionally, the capitalization amounts and sources must be validated by CPA-attested financial statements
You must meet the requirements in the statutory definition of “caregiver” in MCL 333.26423(h). The Michigan Medical Marihuana Act (MMMA) can be found on our website at www.michigan.gov/mmp.
A patient must submit one of the following to designate you as their caregiver:
A complete Application Packet (if the patient is within 60 days of his or her registry card expiring OR the person is not a current patient with an active registry card)
A complete Add or Change Caregiver Form (if the patient already has an active registry card)
Your $25 processing fee must be submitted with the patient’s Application Packet or Add or Change Caregiver Form (the patient must also submit a $10 fee – total fee is $35).
Your valid state-issued driver license or personal identification card must be submitted with the patient’s Application Packet or Add or Change Caregiver Form.
Note: We will not accept an expired driver license or personal identification card.
Being a Caregiver
The Michigan Medical Marihuana Act (MMMA) allows registered caregivers to grow Marijuana for up to 5 patients.
The Michigan Medical Marihuana Act (MMMA) permits for 12 plants per patient, or 72 plants total, if the caregiver is also a patient.
The MMMA also limits caregivers to possessing only 2.5 ounces per patient
This amount can be surpassed from harvesting just one plant thus creating an excess amount.
Courts have also ruled that caregiver-to-caregiver transactions are not authorized by the MMMA, yet every single dispensary in Michigan is currently utilizing caregiver-to-caregiver transactions to provide patients with medicine.
Given the chaotic enforcement of the MMMA by state and local law enforcement and the endless conflicting laws, rules and court decisions it makes it virtually impossible for caregivers to operate in complete compliance with the law without taking a financial loss.
With the implementation of the MMFLA, the ever evolving laws and the legalization initiative, some politicians have talked about eliminating all or portions of the MMMA.
Caregivers therefore need to think about their position within the Michigan Marijuana industry.
Komorn Law has represented numerous clients through the legal chaos of starting up a business in the Michigan Medical Marihuana Industry.
Operation at a same location (commonly referred to as co-location) is allowed for grower, processor, and provisioning center licenses when specific requirements are meant:
The operation at a same location shall not be in violation of any municipal ordinances or zoning regulations.
The municipality shall not limit the type or number of marihuana facilities under section 205 of the act or prohibit the operation at the same location by local ordinance or zoning regulations.
For clarification purposes, the intent is that the applicant cannot circumvent the municipal ordinance or zoning regulation, which may limit the type or number of marihuana facilities under section 205 of the act, simply by operating at a same location.
Each license has distinct and identifiable areas with designated structures that are contiguous and specific to the state operating license.
Have separate entrances and exits, inventory, record keeping, and point of sale operations, if applicable.
Operation of a state operating license at the same location that includes a licensed provisioning center shall have the entrance and exit to the licensed provisioning center and entire inventory physically separated from any of the other licensed marihuana facility or facilities so that persons can clearly identify the retail entrance and exit.
Any other requirements outlined in the emergency administrative rules or MMFLA.
A new advisory bulletin has been issued by the Bureau of Medical Marihuana.
Proficiency Testing Guidelines for Safety Compliance Facilities.
Released July 5, 2018
The Medical Marihuana Facilities Licensing Act (MMFLA) and the May 30, 2018 Emergency Rules require the Dept of Licensing and Regulatory Affairs to establish a proficiency testing program and designate safety compliance facility participation.
A safety compliance facility shall analyze proficiency test (PT) samples using the same procedures with the same number of replicate analyses, standards, testing analysts and equipment as used for marihuana product testing. The following proficiency testing must be performed by Safety Compliance Facilities (SCFs) annually:
SCFs will need to complete one set of PT samples for all tests on their scope of accreditation.
Proficiency test results must be conveyed as numerical accuracy percentages, not simply as PASS/FAIL results. Actual PASS/FAIL results must be calculated based on accuracy thresholds generated by reproducibility studies specific to each assay.
Safety Compliance Facilities may use any ISO 17043 accredited laboratory for their testing needs. There are several ISO 17043 accredited laboratories where samples can be purchased, including The Emerald Test, NSI Lab Solutions, Sigma-Aldrich and Absolute Standards Inc.
For parameters where there are currently no commercially available PT samples, SCFs should send samples (as blind samples) to another licensed SCF who performs testing by the same or similar methodology. The results should then be compared. A passing grade for the PT requires a score of at least 80%.
Copies of all proficiency testing (both acceptable and unacceptable) results need to be sent to the department for review via email: LARA-BMMR-Enforcement@michigan.gov. Please indicate in the subject line “Proficiency Testing Results for Review-SCF Name.”
It is also available at the following link…PDF Document
What does the Medical Marihuana Licensing Board do?
The Medical Marihuana Licensing Board is comprised of 5 members, appointed by the Governor (with input from the Senate Majority Leader and the Speaker of the House), to administer the Medical Marihuana Facilities Licensing Act. This includes reviewing applications, issuing licenses, revoking/suspending licenses, renewing licenses, and investigating individuals who are applying for licensure or complaints received about someone who holds a license.
