Medical pot panel sets scoring process for applications

The Arkansas Medical Marijuana Commission set the stage for the state to begin accepting applications for medical marijuana sellers and growers by finalizing the process on Tuesday.

It was the last action required by the commission before would-be business owners navigate the voter-approved Arkansas Medical Marijuana Amendment, regulations approved by three state entities and legislative changes in order to fill out paperwork and compete for high scores from the five-member commission.

The commission had decided in earlier meetings that it will grant 32 dispensary licenses and five cultivation facility licenses. The dispensaries will be spread evenly in eight geographic zones across the state.

By June 20, the state will issue public notice that it

will begin accepting applications to run those businesses starting June 30. The application period will last 90 days.

On Tuesday, the commission concentrated on how much to define how it would score applications.

In a series of 3-2 votes, the commission developed more detailed scoring within two broad sections in the application. Joel DiPippa, an attorney with the Department of Finance and Administration, said lacking a scoring breakdown would “almost guarantee that there will be lawsuits that will prevent the implementation of this program.”

The commission had put off the decision at last week’s meeting. Initially, the move was solely supported by Commissioner Stephen Carroll, who said the panel owed it to applicants to tell them what was important on the application.

Half of the 100 total points that are available to potential growers and sellers were in a section devoted to operating marijuana facilities in compliance with laws and rules. It deals with everything from the ability to grow marijuana to security planning.

Other sections are devoted to applicant qualifications, financial disclosure and an operations plan. Applicants also can get up to 10 bonus points for meeting certain optional standards set by the state, including minority-group member ownership, association with a medical doctor or pharmacist, or providing programs beneficial to the

community.

The commission is using the same standards to score both dispensary and cultivation facility licenses.

“We need to make it clear on the front end to the applicant exactly what’s expected of them,” Carroll said.

DiPippa said that by making the scoring sections too broad, commissioners would find it difficult to make objective decisions.

Commissioner Carlos Roman was the most vocal opponent of subdividing the sections. He said he wanted to emphasize safety in his scoring but that he respected other commissioners who might have different priorities.

But he changed his mind over the course of the meeting. In an interview afterward, he said the crowd — which numbered over 100 at Tuesday’s meeting — played a role. Over the course of the meeting, the crowd applauded DiPippa and Carroll several times.

Those interested in gaining a stake in medical marijuana businesses are regular attendees.

“I heard the public sentiment,” Roman said. “We’re not here for us. We’re here to get this done the right way.”

Chairman Ronda Henry-Tillman sided with Roman and Carroll to push the more detailed scoring plan forward.

Commissioners James Miller and Travis Story voted against the proposal. During the meeting, Story noted that other states allow for broader scoring guidelines.

After the meeting, Story said commissioners should be allowed to weight sections in different ways.

“I think ultimately lawsuits are probably inevitable at some point,” he said of DiPippa’s analysis. “But having a way to score it that’s fair and brings all of the commissioners’ input is something that’s needed.”

The changes mean the 50-point section devoted to legal operation of a dispensary has five individually scored subsections, and the 20-point operations plan section has two subsections.

Also during Tuesday’s meeting, the commission adopted a 25-page limit for application summaries. However, the commission will allow unlimited addenda to provide additional detail where needed.

The Arkansas Medical Marijuana Commission is not expected to meet for several months, to allow dispensary and cultivation facility applications to be submitted.

Jake Bleed, a spokesman for the Department of Finance and Administration, said there is no deadline for the commission to consider the applications. Without knowing how many people will apply, he said, it’s difficult to know when the commission might finish scoring the applications.

Arkansas is one of 29 states, plus the District of Columbia, Guam and Puerto Rico, that now allow for comprehensive public medical marijuana programs, according to the National Conference of State Legislatures.

Problems with the licensing process have led to delays in some states. For example, in Maryland, Alternative Medicine, a company that was not selected as a finalist in the state’s licensing process, is suing the state.

The company alleges the Maryland Medical Cannabis Commission didn’t consider racial diversity of applicants as set in the law, according to a report from The Associated Press.