Hello local government partners,
The Office of Cannabis Management (OCM) has announced that it will resume accepting applications for lower-potency hemp edible (LPHE) licenses starting today, April 1, 2026. All hemp license types will be available: LPHE manufacturer, LPHE wholesaler, and LPHE retailer. Applications will be accepted and reviewed on an ongoing, rolling basis. More information is available in this message delivered to businesses.
Please read on for a number of additional announcements relevant to local governments.
Licensing of hemp businesses continues
Last October, OCM received more than 2,200 applications from hemp businesses – including more than 1,600 from retailers seeking to continue or begin selling LPHEs in businesses ranging from smoke shops, big box liquor stores, breweries, and event venues. As of March 31, all applicants for LPHE licenses from 2025 have received notice on their application from OCM. Those businesses who wish to reapply—or apply for the first time if they did not apply in October—may do so, beginning April 1. Applicants may not manufacture, sell, or import any LPHE product until they receive a license.
Local government complaint process
As a reminder, if you have pursued any involvement or recourse at the local level and remain concerned that a business may not be compliant with state law and/or local ordinances, please complete the Enforcement Complaint Reporting Form.
Retail registration for LPHE retailer license holders
As a reminder, LPHE retailers must obtain retail registration from their local governments – this requirement is in addition to applying for and receiving a license from OCM. Once OCM issues an LPHE retailer license to a business, the office notifies the local government with registration authority, which can then issue the local retail registration.
Close of product transition period
The product transition period outlined in Guidance Memo 2025-03 ended on March 31. Licensed hemp retailers, manufacturers, and wholesalers may continue to sell products manufactured and tested compliant with Minnesota Statutes, section 151.72, and labeled with the two required universal symbols, if they were in their possession prior to March 31. Products manufactured, packaged, labeled, and tested after that date must be compliant with chapter 342. Conducting activities without the proper license may result in enforcement actions up to and including penalties or denial of a license application.
Update about the passing of hemp testing bill
On March 27, Governor Tim Walz signed a bill passed by the Minnesota Legislature allowing businesses to use out-of-state ISO 17025 accredited testing facilities for lower-potency hemp edible (LPHE) products until May 31, 2027. The allowance for businesses to continue to use out-of-state testing facilities for LPHEs will ease pressure on OCM-licensed labs and reduce wait times for cannabis and hemp products as more testing facilities come online and begin to operate under the Minnesota Statutes, chapter 342, and Minnesota Rules, chapter 9810.
Update on pending federal prohibition
As you’re likely aware, the federal government passed legislation that will significantly impact the federal legality of hemp-derived THC products. On Nov. 12, 2025, President Trump signed a bill into law that prohibits hemp-derived products containing more than 0.4 milligrams of THC, effective Nov. 13, 2026. While further assessment and dialogue is ongoing, the office will continue to implement chapter 342 as charged, and local governments and businesses must remain in compliance with current state regulations. As the pending prohibition nears, please be aware that this may affect business decisions, and we suggest businesses seek legal advice. As new information is available on the impact of the new federal legislation on Minnesota, the office will make it available to impacted businesses.
Past OCM bulletins for local government partners
