Cannabis use licenses are gaining traction in the US

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Cannabis use restrictions are a significant problem that has plagued the growth of cannabis markets in the United States, but it is a problem that is slowly being resolved as more states adopt local cannabis use licenses.

The problem of cannabis use

The problem is that people can buy marijuana products in states that have legalized adult cannabis but have limited options if they want to consume the legally purchased cannabis.

This is because no state allows public cannabis use. Instead, laws are being written so that cannabis must be consumed in private homes. However, landlords, hotels and property owners can prohibit tenants and visitors from using cannabis.

The bottom line is that renters and tourists do not have a legal place to consume the cannabis they buy. Ultimately, laws are broken when they are illegally consumed on the street or on private property where consumption is not allowed.

The solution for cannabis use licenses

The solution to the problem is to establish safe places where people can legally consume cannabis products.

Several states already offer cannabis use licenses that either must be held with an active retailer license or can be held independently. Some states are circumventing the rules by allowing private property owners to collect membership fees so that people can enter their facilities and consume cannabis products. Another important difference between state laws is whether consumers can buy and consume cannabis locally or whether they must bring their own cannabis to consume.

There are currently licenses for active cannabis use in California, Colorado, and Michigan. Regulators in Alaska approved on-site consumption at licensed retail establishments approved for special on-site notice in 2019, but operations were delayed due to the COVID-19 pandemic. Illinois also approved its first lounge for Bring Your Own Cannabis (BYOC) consumption last year, and the first lounge is slated to open in Sesser on July 10, 2021.

Cannabis use licenses are also coming to Nevada, New York, and New Jersey. Both New York and New Jersey laws on adult cannabis use allow areas of licensed cannabis use. Licensed cannabis dealers in New Jersey are also allowed to operate a consumption lounge. Consumers can buy cannabis products from retailers or bring their own. New York law allows licensing of social consumption, but official rules have not yet been developed.

Lounge licenses for consumption were approved in Nevada earlier this month, which will help resolve a long-standing problem. The state has been promoting itself as a cannabis-friendly tourist destination since legalizing recreational marijuana in 2017, but visitors were nowhere able to legally consume the products they purchased.

At the same time, Nevada visitors who do not consume cannabis products have been very vocal about the growing problems of public consumption. Strolling the Las Vegas Strip filled with the overwhelming scent of cannabis is the only evidence that the need for legal consumption lounges was an issue that needed to be resolved.

The new law, signed by the governor on June 7, 2021, provides a solution by creating two types of licenses – one for retail cannabis use lounges associated with a licensed retailer and one for independent lounges for cannabis use.

Key Findings About Cannabis Use Licenses In The United States

In most states that allow certain types of local cannabis use, local communities can enact more restrictive laws or ban lounges altogether. However, giving people access to legal purchase and use of cannabis products helps everyone – from boosting government tax revenues to preventing the use of cannabis in public or private places.

As a result, as a growing number of states adopt cannabis use licenses and the COVID-19 pandemic wanes, it is very likely that the first traction lounges that have started to be pre-pandemic will start quickly in the coming months. It is safe to predict that more states will approve consumer licenses in the near future.

To stay up to date on all new cannabis use licenses in the United States, subscribe to the Cannabiz Media License Database. Schedule a demo and see how your company can help connect and engage with new prospects!