The Massachusetts Cannabis Control Commission (Commission) approved extending the exclusivity period for delivery license types until at least April 2026 to allow further research into the success of businesses with Delivery Courier, Delivery Operator, and Delivery Endorsement licenses.
Commissioners on March 13 voted unanimously (3-0) to approve a 12-month extension of the initial equity exclusivity period, which goes in effect today and will end on April 1, 2026. Under the exclusivity period, which began April 1, 2022 with the first Delivery Operator license commencing operations, delivery licenses are set aside only for businesses with majority ownership made up of Economic Empowerment Applicants (EEA) or Social Equity Program (SEP) participants.
Per Commission regulations, an internal Delivery Exclusivity Working Group was created to report if the goal of full participation in the cannabis industry by people from communities disproportionately harmed by previous marijuana prohibition was met during the three-year exclusivity period for business-to-consumer delivery licensees in the state.
Data collected during the exclusivity period, as well as public feedback in 2024, will be coupled with the evaluation of regulatory changes implemented in late 2024 that affect how delivery businesses operate, including allowing businesses to have one driver in the vehicle for transports under $5,000, extended operating hours, and the ability to produce digital manifests.
The Working Group will deliver its final report on or before Sept. 11, which will include a recommendation of whether Commissioners should extend exclusivity after April 2026. Under 935 CMR 500.050(11)(f)(3), the Commission may extend exclusivity for 12 months without rewriting regulations.
“Exclusivity is a critical tool we have to encourage entrepreneurs from communities disproportionately harmed by cannabis prohibition enter and succeed in the industry,” Commissioner Nurys Camargo said. “It is important we take the time we need to study what our licensees have achieved during the initial exclusivity period before we consider regulatory updates.”
In addition to the new regulatory amendments improving delivery license types finalized in the fall of 2024, the exclusivity review will also consider the new Host Community Agreement and municipal equity requirements under Chapter 180, as well as the beginning of grant funding from the Social Equity Trust Fund.
The Commission offers three delivery license options: Delivery Courier, which allows licensees to deliver between licensed Marijuana Establishments or Marijuana Treatment Centers; Delivery Operator, which allows licensees to buy and warehouse marijuana products for delivery; and Delivery Endorsement, which offers expanded permission for an existing licensee to perform delivery operations. Since the license types were created, the Commission has issued a notice to commence operations to 10 Marijuana Courier, 18 Marijuana Delivery Operator licensees, and two Microbusinesses with Delivery Endorsements.
