Ariz. Admin. Code § R9-18-302 - Marijuana Establishment License Allocation Process

A. The Department may periodically review current valid marijuana establishment licenses to determine if the Department may issue additional marijuana establishment licenses pursuant to A.R.S. § 36-2854(A)(1)(b).

1. If the Department determines that the Department may issue additional marijuana establishment licenses, the Department shall post, on the Department's website, the information that the Department is accepting marijuana establishment license applications, including the deadline for accepting marijuana establishment license applications.

a. The Department shall post the information in subsection (A)(1) at least 30 calendar days before the date the Department begins accepting applications.

b. The deadline for submission of marijuana establishment license applications is 10 working days after the date the Department begins accepting applications.

c. Ninety working days after the date the Department begins accepting applications, the Department shall determine if the Department received more marijuana establishment license applications that are complete and in compliance with A.R.S. Title 36, Chapter 28.2 and this Chapter to participate in the allocation process than the Department is allowed to issue.

i. If the Department received more marijuana establishment license applications than the Department is allowed to issue, the Department shall allocate any available marijuana establishment licenses according to the priorities established in subsection (B).

ii. If the Department is allowed to issue a marijuana establishment license for each marijuana establishment license application the Department received, the Department shall allocate the marijuana establishment licenses to those applicants.

2. If the Department determines that the Department is not allowed to issue additional marijuana establishment licenses, the Department shall, on the Department's website:

a. Post the information that the Department is not accepting marijuana establishment license applications, and

b. Maintain the information until the next review.

A.B. If the Department receives more marijuana establishment license applications according to R9-18-303 that are complete and compliant with A.R.S. Title 36, Chapter 28.2, and this Chapter to participate in the allocation process than the number of licenses the Department is allowed to issue, the Department shall allocate the marijuana establishment licenses based on random drawing.

B.C. If an entity is allocated a marijuana establishment license under subsection (A)(1)(c)(ii) or (B), the entity shall ensure that each principal officer and each board member, specified according to R9-18-301, obtains a marijuana facility agent license according to R9-18-201 before the entity submits an application for an approval to operate according to R9-18-304.

C.D. If the Department does not allocate a marijuana establishment license to an applicant that had submitted a marijuana establishment license application according to R9-18-303 that the Department determined was complete and compliant with A.R.S. Title 36, Chapter 28.2, and this Chapter to participate in the allocation process, the Department shall provide a written notice to the applicant that states that, although the applicant's marijuana establishment license application was complete and compliant with A.R.S. Title 36, Chapter 28.2, and this Chapter, the Department did not allocate the applicant a marijuana establishment license under the processes in this Section.

D.E. If the Department receives a marijuana establishment license application at a time other than during the application period stated in subsection (A)(1), the Department shall return the application, including the application fee, to the entity that submitted the application.

Notes

Ariz. Admin. Code § R9-18-302

Adopted by final exempt rulemaking at 27 A.A.R. 111, effective 1/15/2021. Amended by exempt rulemaking at 27 A.A.R. 897, effective 6/1/2021. Amended by exempt rulemaking at 29 A.A.R. 2453, effective 10/1/2023.