Lesson 1, Topic 1
In Progress

Standard Cannabis Dispensary

General Regulations and Requirements

Let’s dive into what it means to operate a dispensary in Maryland.

  1. Location and Compliance: If you’re planning to open a dispensary, the first thing to note is that it must be located within Maryland. It’s crucial that your dispensary not only fits into the local scenery but also meets all local zoning and planning requirements. We’ll delve deeper into these requirements later in this section to ensure your dispensary becomes a welcomed addition to the community.
  2. Licensing: Your dispensary license is your ticket to operate. You’ll need to display this license prominently in your dispensary. This isn’t just a formality—it’s about transparency and trust with your customers.
  3. Accessibility: Providing a welcoming environment for all is key. This means making sure that your facilities are accessible to qualifying patients and registered caregivers, aligning with specific standards set by Maryland regulations. We will explore more about qualifying patients and registered caregivers in greater detail in the next lesson of this course.

Now, about making changes to your premises:

Any renovations or major changes to your dispensary must be approved by the Maryland Cannabis Administration beforehand. Think of this as making sure that all changes meet a set standard that ensures safety and compliance.

Information Display Requirements

  • You’ll need to clearly display the minimum age and identification requirements for purchasing cannabis. This helps in preventing underage sales and ensures legal compliance.
  • Additionally, the Maryland Cannabis Administration may ask you to display other health and safety information to keep your customers well-informed.

Premises Access

  • Access to your dispensary should be limited to qualifying patients, registered caregivers, and individuals who are 21 years of age or older. This helps maintain a safe and legal operating environment.
  • However, there’s an exception for young visitors under 8 years old—they can enter the premises when accompanied by a qualifying patient or registered caregiver for the duration of their visit. This ensures that even younger visitors are under responsible supervision.

Security and Surveillance Protocols

Let’s explore the security measures a standard dispensary in Maryland must uphold to ensure both compliance and safety.

  1. Building Security:
  • Construction: Every dispensary must be constructed robustly to prevent any unauthorized access. This means strong materials and thoughtful design are a must.
  • Secure Storage: Your cannabis inventory needs a special room, and here’s what it should look like:
    • The walls should be as solid as concrete, literally. This is to make sure no one can easily break in.
    • You’ll want to position this room away from any exterior walls to add an extra layer of security.
    • The room should have just one entrance door, which is not only secure but also discreet—it shouldn’t be visible from public areas and must have high-security locks, like a cipher or chip-activated system.
  1. Inventory Handling:

Your cannabis should stay locked in the secure room unless your dispensary is open or during the two hours before opening and two hours after closing. This helps in maintaining tight control over your inventory.

  1. Requesting Exceptions:

If you need to tweak this schedule for something like an inventory review, you’ll need to ask for an exemption from the Maryland Cannabis Administration. Make sure your request is done precisely as they require, and you have their go-ahead before making any changes.

  1. Lighting and Surveillance:
  • Lighting: Install lighting fixtures that complement your surveillance efforts, making sure everything is visible and clear.
  • Video Surveillance: Here’s how you set up your cameras:
    • They should be motion-activated and capable of recording high-quality, high-resolution images that can clearly show facial details.
    • Cameras must operate non-stop, all year round, and every frame should have a timestamp.
    • Place cameras strategically to cover exits, entrances, and areas where cannabis is handled.
    • Notices should be posted to inform visitors about the surveillance.
  1. Security Systems:
  • Coverage: Install a comprehensive security alarm system that covers all entry points, rooms storing cannabis, and locations where records are kept, both on-site and off-site.
  • Features: Your security system should:
    • Be monitored continuously.
    • Detect smoke, fire, and power loss.
    • Include panic alarms within easy reach.
    • Have auxiliary power to stay operational for at least 48 hours in case of a power outage.
  1. Handling Surveillance Data:
  • Security footage should be access-controlled and backed up by a separate alarm system.
  • Keep the recordings for at least 90 days, and they should be easily accessible for investigations.
  • If required, you must provide footage to the Administration or law enforcement within 48 hours. Failing to do so, or not providing required footage within the set retention period, can lead to violations and penalties.

Dispensary Premises Organization

Let’s review the key zoning laws, fair practice guidelines, and operational protocols that are essential for running a compliant and successful dispensary.

Local Zoning and Revenue Opportunities

As a player in the cannabis industry, it’s crucial to understand how local governments can impact your business. Local authorities have the power to set zoning laws which dictate where your business can operate. They also manage how the revenue from cannabis businesses is utilized.

Guidelines to Ensure Fair Treatment

To maintain a fair playing field, local governments are restricted from:

  • Enforcing zoning laws that disproportionately burden cannabis businesses.
  • Imposing fees or regulations on cannabis operations that are harsher than those applied to similar businesses in the area.
  • Restricting the movement of cannabis products into or within the area from businesses located in other jurisdictions.
  • Blocking compliant medical cannabis businesses from transitioning to broader licenses.
  • Demanding contributions or benefits from cannabis businesses in exchange for licensing favors.

Dispensary Location Restrictions

As a dispensary owner, location is key, but there are rules:

  • You must set up shop at least 500 feet away from schools, childcare centers, and recreational areas like playgrounds and parks.
  • Keep a distance of at least 1,000 feet from another dispensary.

Local governments can lessen these distance requirements. Also, if your dispensary was already zoned and operational before July 1, 2023, these restrictions might not apply to you.

Optimal Dispensary Layout

Your dispensary should have two main areas:

  1. Public Zone: Accessible to the general public, featuring a waiting area and a service area where registered consumers or caregivers can interact with your staff and receive cannabis.
  2. Operations Zone: This is your behind-the-scenes area where cannabis is stored, prepared, and packaged. This zone is for staff only and includes areas for breaks, personal storage, and operational logistics.

Ensure each zone is clearly marked with appropriate signage, secure access points, and robust security measures like alarms and surveillance. All cannabis inventory, except what is displayed or dispensed, should be securely stored.

Visitor Management

Handling visitors in the operations zone involves strict protocols:

  • Log each visitor’s entry and exit.
  • Keep a photocopy of their government-issued ID.
  • Ensure they are always accompanied by a registered dispensary agent.
  • Prevent them from handling cannabis products.

Maintain these logs for two years, but remember, compliance investigators do not need to follow these visitor protocols.

Service Delivery Methods

Drive-Through Dispensing Services

So, if you’re a standard dispensary and you want to offer drive-through services, here’s what you need to know:

  1. Dispensing Window: You’ll need a window or another type of opening that lets your dispensary agents serve customers—be they adult-use consumers, qualifying patients, or registered caregivers—right from their vehicles. Importantly, your dispensary agents stay inside, and your customers stay in their cars.
  2. Pre-Operation Inspection: Before you start using your drive-through, it needs to pass a pre-operation inspection. This ensures everything’s set up correctly and safely.
  3. Service Area Requirements:
    • Your window or opening must be secure enough to prevent any unauthorized entries.
    • Ensure there’s adequate security lighting, alarm systems, and video surveillance.
    • Display your dispensary license and hours of operation clearly at the drive-through.
    • Doors and other access points between the public area and your operations zone must be secured.
  4. Operating Procedures: Stick to your standard operating procedures and dispensing requirements. We’ll delve deeper into setting these up in a later section of this lesson.

Curbside Pick-Up

Now, if curbside pick-up is more your style, here’s what you’ll need to arrange:

  1. 1Designated Parking: Mark parking spots specifically for curbside pick-up, no more than 100 feet from your main entrance. Make sure dispensary agents are only delivering to these spots.
  2. Video Surveillance: Capture all curbside deliveries on your motion-activated video surveillance, as required.
  3. Adherence to Regulations:
    • Follow your standard operating procedures.
    • Ensure you meet dispensing requirements.
    • If you’re fulfilling online orders, you also need to comply with state regulations.