A cultivator license lets the holder grow cannabis and make certain sales or transfers, but licensed cultivators and applicants must meet licensing, security, approval, and employee-screening requirements.
AMENDED BY ACT 2024-342, EFFECTIVE JUNE 1, 2024. SEE VERSION LABELED PENDING. (a)(1) A cultivator license authorizes all of the following: a. The cultivation of cannabis. b. The sale or transfer of cannabis to a processor. c. If the cultivator contracts with a processor to process its cannabis into medical cannabis on the cultivator’s behalf, the sale or transfer of medical cannabis to a dispensary. (2) A cultivator license authorizes the cultivator to transfer cannabis only by means of a secure transporter. (b) The commission shall consult with the Department of Agriculture and Industries when determining the number of cultivator licenses to issue, provided the commission shall issue no more than 12 cultivator licenses. (c) An applicant for a license under this section shall meet all of the following requirements: (1) Demonstrate the ability to secure and maintain cultivation facilities. (2) Demonstrate the ability to obtain and use an inventory control and tracking system as required under Section 20-2A-60. (3) Demonstrate the ability to commence cultivation of cannabis within 60 days of application approval notification. (4) Demonstrate the ability to destroy unused or waste cannabis in accordance with rules adopted by the department. (5) Demonstrate the financial stability to provide proper testing of individual lots and batches. (d) A licensed cultivator shall comply with all of the following, in accordance with rules adopted by the department: (1) All facilities shall be protected by a monitored security alarm system, be enclosed, and remain locked at all times. (2) All individuals entering and exiting facilities shall be monitored by video surveillance and keypad or access card entry. (3) All employees may not have any conviction within the past 10 years for a controlled substance-related felony or a controlled substance-related misdemeanor other than a conviction that was overturned on appeal or a charge that was expunged pursuant to Chapter 27 of Title 15. (4) Cultivars selected by a licensee must be approved by the department prior to acquisition of plant material for cultivation. (e) A cultivator shall be subject to inspection by the department. (f) The cultivation of cannabis pursuant to this chapter shall be considered an agricultural purpose for purposes of Section 40-23-4. (g) Nothing in this section shall be construed to prohibit the hydroponic growing of cannabis. (h) The department shall consult with the commission when adopting rules pursuant to this article.