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FAQs: Licensing-General
 
Q:  What licenses are available?
A:   There are six types of recreational marijuana licenses: Producer, Processor, Wholesaler, Retail, Laboratory,  a Certificate for Research, and a Hemp Certificate.   A producer is also known as the grower. A processor is a business that will transform the raw marijuana into another product (topicals, edibles, concentrates, or extracts). A wholesaler is a business that buys in bulk and sells to licensees rather than to consumers. A retailer is a business that sells directly to consumers.  A laboratory will test marijuana based on rules established by the Oregon Health Authority.  To receive a Laboratory license a Lab must be accredited by the Oregon Environmental Laboratory Accreditation program (ORELAP).  The Hemp Certificate allows persons that are registered with the Oregon Department of Agriculture (ODA) to transfer hemp flower,extracts, or concentrates to OLCC licensed  processors who hold an Industrial hemp processor endorsement.
 
Q:  Is the OLCC still accepting license applications?
A:  Yes, the OLCC began accepting license applications for recreational marijuana on January 4,
2016 and businesses can still apply.
 
Q:  How much are the licensing fees?
A:  A non-refundable application fee of $250 is required for all license types. 
       -Producers: 
          -Micro Tier I - $1,000
          -Micro Tier II $2,000
          -Tier I $3,750
          -Tier II $5,750
          -Medical Canopy: $100

       -Processors: $4,750

       -Wholesalers: $4,750
       -Retailers: $4,750
       -Micro Wholesaler: $1,000
       -Laboratories: $4,750
       -Hemp Certificate: $500    
 
Q:  How many licenses can I have?
A:  A licensee may hold multiple licenses and multiple license types.
 
Q:  Who will be eligible for a marijuana license?
A:  Anyone over 21 years of age and older will be eligible for a recreational marijuana license who meets all requirements as outlined in OLCC Division 25 rules.
 
Q:  Can I sell or make marijuana products for pets?
A:  OLCC retailers may not sell marijuana products that are specifically to be consumed by animals. 
 
Q:  What if my city/county wants to go “dry?”
A:  The Oregon Legislature allows local governments to opt out of the program through the adoption of a local ordinance.  Contact your local municipality directly to verify what their current polices are on marijuana businesses in their jurisdiction.  
 
Q:  Can a license be transferred?
A:  Licenses are not transferrable. However, a licensee that proposes to change its corporate structure, ownership structure, or change who has a financial interest in the business may do so by submitting a form prescribed by the Commission prior to making the change.  If a licensee has a change in ownership that is 51% or greater, a new application must be submitted. 
 
Q:  Is there a limit to the number of licenses that will be issued?
A:  No.  There is no limit to the number of licenses the OLCC will be issuing.
 
Q:  Is there a closing date on applications?
A:  No, there is no closing date for accepting applications. 
 
Q:  Do you have a time frame for how long it will take to get a license?
A:  The Oregon Liquor Control Commission announced on May 30, 2018 it will temporarily shift licensing staff to exclusively process recreational marijuana license renewals and applications for recreational marijuana licenses received by June 15, 2018.  Any applications for recreational marijuana submitted after June 15 will be set aside for processing until the OLCC processes outstanding applications and renewals in the queue. This bulletin provides the most up-to-date guidance on license processing times. 
 
Q:  If I do not have computer access is there a paper application?
A:  The application is only available online. 

Q:  Do you have to be an Oregon resident to receive a license?
A:  No, there is no residency requirement. 
 
Q:  How much information do capital investors have to disclose to the OLCC?
A:  We will ask amount and description. OLCC may require additional information be included
in the interested parties section. We ask potential applicants to use their best judgment in
regards to disclosing information, it is important to not appear as if you are hiding information
in the application.
 
Q:  Are applications time stamped?
A:  Yes, due to the nature of an online system. The date/time stamped on the application will not be used to determine the order of issuing licenses.
Q:  Can all license types buy and purchase from each other? 
A:  Yes, however there are certain restrictions regarding who can buy what items.  You are encouraged to read Division 25 rules and review all the specific privileges under each license type.  For example:  a producer may not sell useable marijuana to another producer, only immature plants.
 
Q:  Can my attorney complete the application for me?
A:  Yes, the OLCC does not prevent business representatives from applying for the license on behalf of their applicant clients, however the applicant must be the e-signatory on the application.
 
Q:  Can we apply for a license even though the building isn’t complete?
A:  Yes, you may apply for your license even though the building, security measures, etc. are not complete, however all items must be in place prior to license approval. You must have a premises address to apply for a license.
 
Q:  Does my on-site facility manager have to be a two year resident?
A:  No, all residency requirements were removed in 2016 legislation.
 
Q:  Are applicants with a complete application expected to go through the licensing process quicker?
A:  We are unable to determine the time it will take to process individual applications, since each application is approved/denied on a case by case basis.  However the more documents you have up front the better.
 
Q:  Will we be required to submit information for spouses?
A:  An applicant’s spouse is considered a person with financial interest and their information is required to be included in the application whether they are involved in the business or not.
 
Q:  Am I required to own the land I’m using for my license or can I rent?  At the time of application the Division 25 rules indicate you need to prove lawful possession of the property.  Do I have to hold the lease until my application is approved?
A:  It is not required to own the property that is being used for the license.  You will need to provide verification you have the legal right to use the land proposed for business.  A draft lease or agreement referencing the circumstance between the potential licensee and the property owner may be acceptable when submitting the application, but any such lease or agreement will need to be executed prior to license issuance.
 
Q:  If one of my applicants has an outstanding tax burden will this affect our license?
A:  Each application is reviewed on a case by case basis. 
 
Q:  If I am teaching an education class on growing marijuana do I need a license?
A:  If you are within the laws of personal possession, then no.  If you are intending to sell marijuana products then you will need a license.
 
Q:  If I want to apply as the DBA which SOS registration do I use?
A: If you are applying with the DBA business information, then you should use the corresponding SOS registration number with that DBA.
 
Q:  Are franchises a possibility?
A:  Yes, there is nothing in our current rule language prohibiting franchises.
 
Q: Once I’m approved for a license am I required to operate my business immediately?
A:  There is no requirement to operate your business as soon as you’ve received your license.  This is your personal business decision.
 
Q:  If I have a criminal background will I be denied approval for a license?
A:  We are unable to confirm if an application will be approved or denied as each application is considered on a case by case basis.  However it is important to provide as much information as possible so as not to appear as if you are withholding or providing false information.
 
Q:  Do employees need to be listed on the application?
A:  No, however a log of all employees will be entered into the Cannabis Tracking System (CTS).
 
Q:  Are there resources available for those interested in transitioning from an agricultural farmer to a marijuana producer?
A:  You may wish to contact the Oregon Department of Agriculture.  They have a cannabis coordinator who may be able to assist.
 
Q:  What happens if I feel the investigator reviewing my application is abusing their power?
A:  OLCC has a process for making complaints against employees.  If you feel a final decision adversely affects your license, you are entitled to pursue a hearing under ORS Chapter 183.
 
Q:  Can I have all of my licenses in one building?
A:  The language in Division 25 rules does not prevent different license types from being located on the same property.  However Chapter 475Bdoes indicate the Oregon Liquor Control Commission may require a premises to be segregated into separate areas if there appears to be a reason for the licensed areas to be separated. All applicants should also be in compliance with local government regulations.  Although Division 25 rules do not require segregation, the local government may have specific restrictions on this matter.   The OLCC recommends applicants work with local governments to ensure compliance. 

Q.  I would like to split a warehouse into multiple areas and rent the space to licensees.  Is this possible?
A:  Yes, for most license types.  Indoor growers may be located in the same building as long as they are not under common ownership.  With the exception of those processors sharing a commercial kitchen, all licenses should have their own separate address (suite/unit). 
 
Q:  What information will be subject to public records requests?
A:  Some application information is subject to disclosure under Oregon’s Public Records Law.  There are exceptions to disclosure, including addresses, select proprietary information, and security details.  If necessary the OLCC will work with the Department of Justice to determine if specific application information should be considered public or confidential under Oregon Public Records Law.
 
Q:  Can I open a smoking lounge?
A:  Public consumption is still prohibited under law.  Licensure for a cannabis café allowing public use would require a statutory change.  Also, cannabis falls under the regulation of Oregon’s Clean Air Act in 2016.
 
Q:  Are there limits in regards to how much marijuana can be transferred between license types?
A:  No limit has been established at this time.  We encourage applicants to research Oregon Department of Transportation laws and Division 25 rules.
  
Q:  How is banking handled?  Banks won’t work with me because marijuana is illegal federally?
A:  The OLCC does not set banking regulations. 
 
Q: What level of debt can an applicant have while applying?
A:  The OLCC does not check credit.
 
Q:  Can I charge for the tours that I conduct on the premises?
A:  OLCC Division 25 rules do not prohibit charging for tours conducted on premises.  However, all tours must comply with requirements in rule.
 
Q:  I want to move my licensed premises, how do I do this?
A:  Changing the location of a business requires submittal of a Change of Location application and payment of the $1,000 review fee.   
 
Q:  If I want to be a contractor to perform work at licensed premises do I need a license?
A:  This will depend on the circumstances of the financial interest and work performed. In general, a contractor who is paid a set fee to do work will not be required to be licensed under the OLCC licensing system. Profit-sharing arrangements may constitute a financial interest requiring a license.
 
Q:  How will the grower/processor know that the retailer is licensed?  Will licensees be able to check with the OLCC about license status?
A:   OLCC has a list of retail licensees posted on our website and it updated on a weekly basis. The license will be available for electronic download and must be printed and posted on the licensed premise, according to OLCC Division 25 rules. When transferring product to another licensee, a manifest through CTS is required, which lists the receiving licensee’s CTS
information and confirm that they have an active license.
 
Q:  How do you define out of ordinary compensation for financial interest?
A:  Out of the ordinary compensation would be paying an employee at a much higher rate than others doing the same job.  If your investigator thinks someone is receiving an unreasonable rate of pay they may inquire why and how the business decision was made. 
 
Q:  How do we do the background check?
A:  Fieldprint, in coordination with the Oregon State Police, will be used to perform the background check on all persons where this is required. You will be notified by the investigator reviewing your application who is affected and if/when it is time to get your fingerprints taken for the background check.
 
Q: Will we receive notice before an inspector visits the premises?
A:  After licensure the inspector may visit the premise at any time, however there is no intention to continuously visit a premise unannounced unless a reason arises to do so.
 
Q:  Is there a minimum or maximum facility size?
A: No, except that a producer’s canopy area may not exceed the maximum allowed by their license type.
 
Q:  How long is the license good for?
A:  The licenses are annual from the date of payment.
 
Q:  What is the minimum age of the workers on a site?
A:  All employees must be 21+.
 
Q:  What if there’s a change to the business structure after a license is issued?
A:  There is a change of business structure form that must be completed prior to the change occurring, as indicated in the OLCC Division 25 rules.
 
Q:  Can a liquor licensee apply for a recreational license?
A:  Yes, but the proposed business may not be at the same location as the liquor establishment.
 
Q: How do we submit the LUCS request form?
A: After submitting the
LUCS to your local jurisdiction and paying their local fee, applicants rshould return the final LUCS to the OLCC with the initial application or upon request by OLCC staff. OLCC will then verify with the local government that all information on the form is correct.
 
Q: If I submit an Outdoor Producer application will I be licensed in time to participate in this grow season?
A: Based off of the current trend the outdoor producer license investigations are averaging about 90 days once assigned to an investigator, but may be longer or shorter depending on various factors. OLCC will accept applications for all license types at any time, but you will need to make your own judgment, based on this current average, whether submitting your
application will work for your business.
 
Q: I received a Producer license from the OLCC and would like to know when I can sell my product into the recreational marijuana market?
A: A producer may sell or transfer their recreational product to any OLCC licensed Processor, Wholesaler or Retailer.  A producer cannot sell or transfer their recreational product directly to consumers. 
 
Q: I have been in Local Government Review for a long time but have already submitted my approved Land Use Compatibility Statement (LUCS). What does this status mean?
A: Once the OLCC has noted the receipt of your processed or submitted LUCS your status will be changed to Local Government Review.  You will remain in Local Government Review until your application has been assigned to an investigator.
 
Q: I submitted my application months ago and haven’t been contacted by anyone from the OLCC.
A: The OLCC is working diligently to process the hundreds of applications that have been submitted. You will be contacted directly by your investigator once your file has been assigned.
 
Q: I have submitted an application and have questions about it. What information does the OLCC need in order to answer my questions about my application?
A: Any time you contact the OLCC with questions it will be extremely helpful for you to provide your Record ID number. This is a number that you can easily find by logging into your application, and will be on the same line as your application on your license dashboard.
 
Q: I submitted my license application but would like to upload updated documents to it. How do I do this?
A: Please wait until you have been assigned an investigator, you may contact your investigator and ask them to help you upload documents to your application.