New Mexico Marijuana Producer License

Does New Mexico Require Marijuana Growers to Obtain a Cannabis Producer License?

Yes. New Mexico refers to its cannabis cultivation licenses as producer licenses. According to New Mexico Administrative Code (NMAC) 16.8.2, cannabis producers in New Mexico require licenses to operate in the state. The cannabis producer license permits holders to plant, grow, and harvest cannabis in New Mexico. The New Mexico Regulation and Licensing Department (NMRLD) is responsible for issuing marijuana producer licenses and monitoring the activities of all the licensees in the state. The NMRLD will not approve an application for licensure to operate within the exterior boundaries of a federally recognized Indian nation, tribe, or pueblo. Such applications are only approved if the tribal government and the New Mexico Regulation and Licensing Department have entered into an intergovernmental agreement. The agreement will coordinate the cross-jurisdictional administration of New Mexico and tribal laws relating to the Cannabis Regulation Act or the Lynn and Erin Compassionate Use Act. Marijuana producer license holders are only permitted to cultivate cannabis on NMRLD licensed premises.

What Are the Different Types of Cannabis Producer Licenses in New Mexico?

As stipulated by House Bill 2, New Mexico issues two types of cannabis producer licenses. These are:

• Cannabis producer license: A cannabis producer license holder cultivates cannabis plants and ensures that unprocessed cannabis produce is tested by a cannabis testing lab. They also move unprocessed cannabis products exclusively to other cannabis businesses or wholesale cannabis to other cannabis businesses.
• Cannabis producer microbusiness license: This license allows a cannabis producer to operate on a single licensed premise with no more than 200 mature cannabis plants at a time.

When approving cannabis producer licenses, the New Mexico Regulation and Licensing Department (NMRLD) indicates if the licenses are for medical cannabis activities, recreational cannabis activities, or both. In the state of New Mexico, cannabis producer licenses are valid for 12 months from the licensing date and must be renewed annually, except they are revoked, suspended, or terminated by the NMRLD before the date of expiration.

Who Can Grow Marijuana in New Mexico?

As stipulated in Title 8 Chapter 16 Part 2 of the NMAC, licensed cannabis producers may grow marijuana in New Mexico. Cannabis producers are licensed to produce marijuana for medical or recreational markets. Per Title 8 Chapter 16 Part 2 of the NMAC, cannabis establishment employees must be at least 21 years of age. The administrative code also permits licensed integrated cannabis establishments and licensed vertically integrated cannabis establishments to produce cannabis. An integrated cannabis establishment may engage in up to five cannabis activities. These include production, manufacturing, operating a single cannabis retail outlet, sale, and transport of cannabis products made by the licensee. Similarly, a vertically integrated cannabis establishment can act as a marijuana courier, producer, retailer, and manufacturer.

The state also requires all cannabis farm employees and produce license holders to undergo a criminal history background check conducted by the New Mexico Department of Public Safety before employment or licensure. Failure to notify the NMRLD of a potentially disqualifying event that may have occurred within 70 days of such an event will result in administrative disciplinary action or license revocation.

In line with the Lynn and Erin Compassionate Use Act), the NMRLD permits registered medical marijuana patients or caregivers to grow up to 16 marijuana plants. However, they are only allowed to own four mature marijuana plants for medical use. Similarly, adults 21 years and older may grow up to 12 marijuana plants for recreational use without a permit.

How to Get a Marijuana Producer License in New Mexico

Per the NMAC 16.8.2, the New Mexico Regulation and Licensing Department (NMRLD) issues marijuana producer licenses in the state. The Marijuana Use Regulation Act stipulates that only adults 21 years and older may apply for a marijuana producer license in New Mexico. To obtain a marijuana producer license, applicants must provide the following information and documents:

• Information on the applicant and the proposed cannabis establishment such as:
  • Legal name
  • Date of birth
  • Mailing address
  • Contact telephone number
  • Contact email address
  • Business physical and mailing addresses
  • Business legal name
  • Business web address
  • Business hours of operation
  • Name and contact information for each controlling entity
  • Demographic data as prescribed in the Cannabis Regulation Act
• Proof of age the applicant and every controlling individual. The NMRLD accepts a state or a federally issued statement of identification showing the name, date of birth, and picture of the applicant and other controlling individuals as valid proof of age.
• Detailed and clear diagrams and descriptions of the facility to be used by the cannabis producer. Applicants must also provide details of their intended production method. These details and images should be in PDF format.
• Duly executed and dated documentation showing the applicant’s legal authority to use the proposed facility or proof of the applicant’s ownership of the land or property used for the application
• Approval to use the quantity of water required for cannabis production from the water provider. The use of water from the provider must comply with regulations. Applicants may also present evidence from the New Mexico Office of State Engineering stating that the applicant has an existing water right.
• Certification showing that water to be used by the proposed facility will not reduce opportunities for drip irrigation, water collection, natural lighting, and energy efficiency measures
• A copy of a current business permit, fire inspection report, and zoning approvals.
• Detailed criminal history screening records as laid out by the Marijuana Use Regulation Act. All stakeholders in the proposed business must be screened.
• A list of other marijuana businesses owned or co-owned by investors in the business. The criminal history report must describe the type of criminal activity or convictions and include conviction dates and dates of incarceration if any.
• Duly signed attestation as clearly stipulated in the General Operational Requirements for Cannabis Establishments

Applications and supporting documents should be submitted online to the New Mexico Regulation and Licensing Department. The applicant then pays the required fees as required by 16.8.11 NMAC.

How Much Do Marijuana Producer Licenses Cost in New Mexico?

Licensing fees for cannabis producers, cannabis producer microbusinesses, integrated cannabis microbusinesses, and vertically integrated cannabis establishments are paid annually. As stipulated in House Bill 2, an application fee for marijuana producer licenses cost $2,500. Licenses are renewed annually at a fee of $2,500 for the primary location. Additional locations are licensed annually at $1,000 per location. Marijuana producer license holders are also required to pay a fee of $5 per plant for recreational marijuana plants and $2.50 per plant for medical marijuana plants, up to a maximum of 8,000 plants.

For cannabis producer microbusiness, New Mexico charges a licensing fee of $1,000 for establishments growing 101 to 200 plants. Those growing up to 100 plants, pay an annual license fee of $500.

The license fee for an integrated cannabis microbusiness cultivating cannabis plants depends on the number of other cannabis business activities integrated under their license. The state charges annual license fees of $1,000, $1,500, $2,000, and $2,500 respectively for integrated microbusinesses involved in two, three, four, and five cannabis activities (cultivation, manufacturing, retailing, sale and transport, and couriering) at a single location.

Vertically integrated cannabis establishment licenses cost $7,500 per annum and a $1,000 fee per annum for each additional location. Licensees also have to pay a fee of $5 per plant for recreational marijuana plants and $2.50 per plant for medical marijuana plants, up to a maximum of 8,000 plants.