New Mexico’s Cannabis Regulation Act

by | Jul 1, 2021

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Reprinted from the Marijuana Policy Project (MPP)

New Mexico’s HB 2, the Cannabis Regulation Act, legalizes and regulates cannabis for adults 21 and older. It passed the legislature on March 31, 2021 during a special session called for that purpose by Gov. Michelle Lujan Grisham. It now heads to the governor’s desk for her signature.

Adult-Use Possession and Cultivation Limits

Adults who are 21 and older will be allowed to:

  • possess, purchase, and give other adults up to two ounces of marijuana, up to 16 grams of concentrated marijuana, and 800 milligrams of edible cannabis;
  • cultivate up to six mature and six immature cannabis plants, with a maximum of 12 mature plants per household;
  • create cannabis-infused foods at home or perform extracts that do not involve volatile solvents;
  • possess greater amounts of cannabis, if it is stored in a locked space at the person’s residence that is not visible from public spaces; and
  • possess, manufacture, and give away paraphernalia.

State Cannabis Licensing

  • A Cannabis Control Division will be created within the Regulation and Licensing Department to license and regulate cannabis businesses.
  • The Division will license 10 types of cannabis businesses: couriers, producers (growers), manufacturers, retailers, microbusinesses, cannabis consumption areas, vertically integrated establishments, and integrated microbusinesses.
  • Producer microbusinesses may grow no more than 200 mature plants at a time.
  • Integrated microbusinesses may cultivate cannabis, produce infused products, and/or operate a single retail location.
  • Any qualified applicant can apply for a license. Within 90 days of deeming an application complete, the Division will grant or deny the license.
  • Applicants may not have prior convictions “substantially related to the qualifications, functions or duties.” This includes felony convictions involving fraud, embezzlement, or deceit, or involving a minor in drug sales. It does not include cannabis convictions.
  • Multiple licensees may operate at one premises, and licensees may operate many premises.

Cannabis Business Requirements and Regulations

The Cannabis Control Division will develop rules – which must be consistent with industry standards – on advertising, health and safety, testing, labeling and packaging, regarding additives (including banning nicotine), quality control, and environmental protections.