Kentucky Governor announced that the state will implement a lottery system to award initial licenses for businesses looking to participate in the medical cannabis program set to launch in 2025. The lottery, scheduled for October, aims to provide a fair chance to all qualifying applicants without the need for lobbying or bidding wars.
The state plans to issue 48 medical cannabis dispensary licenses across 11 regions, with each region receiving at least four licenses. Exceptions are made for Louisville and Lexington, which can have two licenses each. Additionally, a limited number of cultivator and processor licenses will be issued to prevent oversaturation of the market.
Governor Beshear emphasized the importance of maintaining a balanced market to meet demand without causing an excess of products. The program's design focuses on accessibility for patients with qualifying health conditions while ensuring a manageable rollout.
While the initial program is limited, the governor hinted at potential expansions in the future based on demand and the addition of new qualifying medical conditions. The recent legislation signed by the governor accelerated the licensing timeline by six months, allowing for potential supplies to be available by January.
Last year, Kentucky legalized medical cannabis for individuals with various debilitating illnesses, including cancer, multiple sclerosis, chronic pain, epilepsy, chronic nausea, and PTSD. The governor expressed interest in expanding the list of qualifying conditions in the future.
Local governments and schools have the option to opt-out of participating in the state's medical cannabis program, providing flexibility at the community level.
