Every state with legal cannabis has different extraction licensing requirements. Different agencies, different fees, different facility standards, different timelines. This is the only guide that compiles them with the numbers that matter: application costs, annual license fees, facility classification requirements, allowed extraction methods, and the specific compliance details that determine whether your lab application gets approved or rejected. Updated monthly.
Summary Comparison: All 41 States
| State | License Type | Application Fee | Annual License Fee | Facility Requirements | Residency | Background Check | Accepting Apps? |
|---|---|---|---|---|---|---|---|
| Alaska | Concentrate/Product Manufacturer | $1,000 | $5,000–$7,000 | Closed-loop; C1D1 effective | Yes (PFD resident) | Yes | Yes (rolling) |
| Arizona | Marijuana Establishment (vertical) | $25,000 | $5,000/yr | C1D1 for volatile solvents | Yes (3-year) | Yes | Limited (social equity) |
| California | Type 6 (non-volatile) / Type 7 (volatile) | $1,000 | $2,000–$50,000 (tiered) | C1D1 for Type 7 (volatile) | No | Yes | Yes |
| Colorado | Marijuana Products Manufacturer | $460 | $1,840 | Local fire code + MED inspection | No | Yes | Yes (local approval first) |
| Connecticut | Product Manufacturer | $750 (lottery) | $25,000/yr | State + local fire/safety codes | No | Yes | Lottery-based (none active) |
| Delaware | Product Manufacturing Facility | $5,000 | $10,000/2yr | C1D1/C1D2 for volatile | Yes | Yes | Closed (lottery completed) |
| Florida | MMTC (vertical integration) | $146,000 | $665,000/yr | Full vertical operation required | Yes (5-year FL) | Yes | Limited |
| Hawaii | Dispensary License (vertical) | $5,000 | $75,000 initial; $50,000 renewal | Enclosed indoor; 24hr monitoring | Yes | Yes | Closed since 2016 |
| Illinois | Craft Grower (includes extraction) | $5,000 ($2,500 equity) | $40,000 ($20,000 equity) | State facility standards | Yes (IL resident) | Yes | Open periods only |
| Maine | Products Manufacturing Facility | $250 | Up to $2,500 | Engineer cert for hazardous | No (adult-use) | Yes | Yes |
| Maryland | Standard Processor | $5,000 | $50,000 | Local codes; C1D1 for volatile | Yes | Yes | Limited/social equity |
| Massachusetts | Marijuana Product Manufacturer | $1,000 | $15,000+ | GMP audit within 12 months | No | Yes | Yes |
| Michigan | Processor (+ hydrocarbon endorsement) | $3,000 | Regulatory assessment (varies) | State + local inspection | No | Yes | Yes |
| Minnesota | Cannabis Manufacturer | $10,000 | $10,000 | Enclosed, locked, exclusive-use | No | Yes | Yes (opened 2025) |
| Missouri | Comprehensive Manufacturing | $3,000–$7,879 | $11,255/yr | Air handling for volatile; C1D1 | Yes (1-year) | Yes | Yes (reopened Dec 2025) |
| Montana | Manufacturer License (tiered) | 20% of annual fee | $5,000–$20,000 (tiered) | Chemical hood; hazardous electric | Yes | Yes | Moratorium until 7/2027 |
| Nevada | Production Facility | $5,000 + costs | $10,000 | C1D1/C1D2 for volatile; 24/7 video | No | Yes | Yes |
| New Hampshire | ATC Registration (vertical) | $3,000 | Variable (assessed) | Enclosed, locked; security systems | Yes | Yes | Closed (4 ATC cap) |
| New Jersey | Class 2 Manufacturer | $2,000 | $20,000–$30,000/yr | Enclosed, secure; sq ft reported | Yes (2-year) | Yes | Yes (rolling) |
| New Mexico | Cannabis Manufacturer (tiered) | $1,000 | $2,500/yr | C1D1/C1D2 for volatile | No | Yes | Yes (open licensing) |
| New York | Adult-Use Processor | $1,000 | $3,500 (2-year) | GMP audit + PE cert for volatile | No | Yes | Yes |
| Ohio | Processor | $10,000 | $90,000 | C1D1 for volatile; 500ft buffer | Yes (2-year) | Yes | Limited rounds |
| Oklahoma | Processor (hazardous/non-hazardous) | $2,500 | Tiered by volume | Hazardous: additional safety reqs | Yes (75% OK ownership) | Yes | Moratorium until Aug 2026 |
| Oregon | Processor | $4,750 | $3,500–$5,750 | Engineer cert for hydrocarbon | No | Yes | Yes |
| Pennsylvania | Grower/Processor Permit | $10,000 | $200,000 initial; $10,000 renewal | Indoor; C1D1; surveillance | Yes | Yes | Limited (25 cap) |
| Rhode Island | Cannabis Product Manufacturer | $7,500 | $4,500/yr | Fire Marshal approval; 500ft buffer | Yes (51% RI) | Yes | Limited (moratorium) |
| Vermont | Manufacturer License (tiered) | $50/employee | $750–$15,000 (tiered) | Sanitary/safety standards | No | Yes | Yes |
| Virginia | Processor (adult-use TBD) | $18,000 (medical) | $165,000 (medical) | Pharmaceutical-grade separation | No | Yes | Medical only (expanding) |
| Washington | Processor | Varies | Varies | LCB + Fire Marshal for volatile | No | Yes | Social Equity only |
| West Virginia | Grower/Processor Permit | $5,000 | $50,000 initial; $5,000 renewal | Indoor, enclosed, secure | Yes | Yes | Closed since 2020 |
| Alabama | Processor License | Varies | $40,000 | State standards | No | Yes | No (4 issued, legal challenges ongoing) |
| Arkansas | Processor License | $5,000 | $100K bond + fees | State standards | No | Yes | Check with DFA |
| District of Columbia | Type 2 Manufacturing | $4,000 | $8,000 | State standards | No (preferred for equity) | Yes | No current window |
| Kentucky | Processor License | $5,000 | $25,000 initial | State standards | No strict req | Yes | Check KOMC |
| Louisiana | Manufacturer (vertical) | N/A | Set by LDH | State standards | Yes | Yes | No (only 2 exist) |
| Mississippi | Processor (tiered) | $2,000-$15,000 | $3,500-$20,000 | State standards | Yes (2yr) | Yes | Yes |
| Nebraska | Product Manufacturer | None | TBD | State standards | TBD | Yes | Not yet open |
| North Dakota | Manufacturing Facility | $5,000 | $75,000 | State standards | Yes | Yes | No (2 cap reached) |
| South Dakota | Manufacturing Facility | $5,000 | $5,000 | State standards | Yes (1 officer) | Yes | Yes |
| Texas | Dispensing Org (TCUP) | Included | $488,520/2yr | State standards | Yes | Yes | Limited (15 cap) |
| Utah | Tier 1/Tier 2 Processor | Included | $100K (T1)/$35K (T2) | State standards | No | Yes | Check Board schedule |
The fee gap between states is staggering. Colorado’s $460 application and $1,840 annual license versus Florida’s $146,000 application and $665,000 annual renewal versus Pennsylvania’s $200,000 initial permit. The state you choose determines whether you need $5,000 or $5,000,000 before you process a single gram.
Table of Contents
Alabama
| Category | Details |
|---|---|
| Governing Agency | Alabama Medical Cannabis Commission (AMCC) |
| License Type | Processor License |
| Application Fee | Varies (set by AMCC) |
| Annual License Fee | $40,000 (processor licensing fee) |
| Facility Requirements | State facility standards. All operations subject to unannounced inspections. Seed-to-sale tracking required. |
| Background Check | Yes. Extensive background investigation required for all principal officers. |
| Residency Requirement | No explicit residency requirement, but local presence strongly preferred. |
| Allowed Extraction Methods | Extraction methods permitted under AMCC regulations. Specific method restrictions set by commission rules. |
| Processing Timeline | Program severely delayed since 2021 passage. 4 processor licenses issued as of early 2026. No new application windows announced. |
| Notable Restrictions | Only 4 processor licenses issued (1819 Labs, Enchanted Green, Jasper Development Group, Organic Harvest Lab). Integrated facility licenses (up to 5) still in administrative hearings. Program has faced years of legal challenges and licensing delays. Limited product forms. |
What most applicants get wrong: Alabama’s program has been stuck in legal limbo since 2021. Four processors have licenses, but the program keeps getting tied up in court challenges over the licensing process itself. If you are waiting for a new application window, do not hold your breath. The commission has restarted the licensing process multiple times.
Alaska
| Category | Details |
|---|---|
| Governing Agency | Alcohol and Marijuana Control Office (AMCO), Department of Commerce — commerce.alaska.gov/web/amco |
| License Type | Standard Marijuana Product Manufacturing Facility (all products) OR Marijuana Concentrate Manufacturing Facility (concentrates only) |
| Application Fee | $1,000 (non-refundable) + $48.25 fingerprinting per applicant |
| Annual License Fee | Standard Manufacturing: $5,000 initial / $7,000 renewal. Concentrate Manufacturing: $1,000 initial / $2,000 renewal. |
| Facility Requirements | Closed-loop extraction systems mandatory for volatile solvents. Ventilation and ignition control per NFPA standards (effectively C1D1). 500-foot buffer from schools, churches, youth centers. Restricted-access areas with secure separation. |
| Background Check | Yes. Fingerprints submitted to AK Department of Public Safety. Required for all persons with direct or indirect financial interest. |
| Residency Requirement | Yes, strict. Every owner must qualify for the Alaska Permanent Fund Dividend (1+ year residency with intent to remain). All persons with financial interest must be AK residents. |
| Allowed Extraction Methods | BHO (N-butane, isobutane, propane, heptane at 99%+ purity, closed-loop only), CO2, ethanol, solventless (water, heat, ice water, steam). Board may approve additional solvents. 76% THC potency cap on all concentrates. |
| Processing Timeline | 4-6 months. Board must approve/deny within 90 days of complete application. 60-day municipal protest period + 30-day public comment. Rolling applications accepted year-round. |
| Notable Restrictions | No state-level license cap (local jurisdictions may impose limits). 76% THC potency ceiling. Manufacturers cannot sell directly to consumers. ~57 active manufacturing licenses statewide. Local municipalities can opt out entirely. |
What most applicants get wrong: The Permanent Fund Dividend residency requirement is strict and verified. You cannot use a shell entity with a nominal Alaska resident as the operator. AMCO coordinates directly with the PFD Division to verify every owner. If you are out-of-state capital looking to enter Alaska, you need genuine Alaska-resident partners, not paper ones.
Arizona
| Category | Details |
|---|---|
| Governing Agency | Arizona Department of Health Services (ADHS), Bureau of Marijuana Licensing azdhs.gov/licensing/marijuana |
| License Type Covering Extraction | Marijuana Establishment License — vertically integrated license that bundles cultivation, manufacturing (extraction/processing), and retail dispensary operations. There is no standalone extraction license. |
| Application Fee | $25,000 (non-refundable) |
| Annual/Renewal License Fee | $5,000 per year |
| Facility Requirements | C1D1 enclosure required when using volatile/flammable solvents (butane, propane); C1D2 acceptable for ethanol. Must comply with local fire code, IFC standards. Proper ventilation, spark-free environments, gas monitoring, alarm systems, and fire suppression systems required. Floor plans, security features, and site plans required in application. One off-site manufacturing location permitted per license. |
| Background Check | Yes. All principal officers, board members, and facility agents must register with ADHS and pass a background check. Disqualifying excluded felony offenses apply. Minimum age 21. |
| Residency Requirement | Yes — 3-year Arizona residency required prior to application. Social equity licenses have additional qualifying ZIP code residency criteria. |
| Allowed Extraction Methods | CO2, ethanol, hydrocarbon (BHO/propane — Arizona removed the combustible solvent prohibition), and solventless (rosin, ice water hash). Volatile solvents require C1D1-compliant rooms. Residual solvent testing required for 17 solvents per ADHS rules. |
| Processing Timeline | ~60 business days for license application (30 admin + 30 substantive review); ~90 business days for Approval to Operate (30 admin + 60 substantive). |
| Notable Restrictions / Recent Changes | License cap of ~143 establishment licenses (1 per 10 registered pharmacies). 26 additional Social Equity licenses were issued. $500,000 liquid assets required. Rules updated November 1, 2024 (9 A.A.C. 18). No new general license applications currently open beyond social equity rounds. |
Arkansas
| Category | Details |
|---|---|
| Governing Agency | Arkansas Department of Finance and Administration (DFA), Medical Marijuana Commission |
| License Type | Processor License |
| Application Fee | $5,000 (non-refundable) |
| Annual License Fee | Set by commission (plus $100,000 performance bond required) |
| Facility Requirements | Must meet DFA facility standards. Subject to unannounced inspections. Seed-to-sale tracking required via state system. |
| Background Check | Yes. All principal officers and board members. |
| Residency Requirement | No explicit residency requirement for processors. |
| Allowed Extraction Methods | All extraction methods permitted. Processors authorized to manufacture concentrates, edibles, topicals, and pre-packaged products. |
| Processing Timeline | Applications accepted on rolling basis when commission opens windows. Processing time varies. |
| Notable Restrictions | No cap on processor licenses. $100,000 performance bond is a significant capital barrier. Processors may only sell to licensed dispensaries and cultivation facilities. Medical only program. |
What most applicants get wrong: The $100,000 performance bond catches people off guard. That is not the license fee. It is a surety bond you maintain the entire time you hold the license. Your actual out-of-pocket to get operational is $5K application plus the bond premium (typically 1-10% of the bond amount annually depending on credit), plus buildout costs. Budget accordingly.
California
Governing body: Department of Cannabis Control (DCC)
License types for extraction: Type 6 (non-volatile extraction: ethanol, CO2, cooking oils) and Type 7 (volatile extraction: butane, propane, hexane, heptane, plus all non-volatile methods). Type 7 also permits mechanical methods and infusion.
Fees: Application: $1,000 (state level). Annual license: $2,000 to $50,000, tiered by gross annual revenue ($100K to $5M+). Local jurisdictions add their own fees: $2,500 to $50,000 for application, $5,000 to $75,000 annual permit in high-demand markets like Los Angeles and San Francisco.
Facility requirements: Type 7 (volatile) requires C1D1 classified extraction rooms with explosion-proof electrical, emergency ventilation, gas detection systems, and compliance with California Fire Code Chapter 38. Non-volatile Type 6 operations have standard commercial requirements but still need dedicated extraction rooms with proper ventilation. All facilities require a premises diagram submitted with the application.
Allowed extraction methods: Type 6: ethanol, CO2, lipid-based (butter, cooking oils), mechanical (ice water, dry sift, rosin). Type 7: all Type 6 methods plus butane, propane, hexane, heptane, and other volatile solvents. Using volatile solvents without a Type 7 license is a criminal offense.
Key compliance requirements: Standard operating procedures for each product type. Residual solvent testing per BPC Section 26100. Cannabis manufacturers cannot grow their own cannabis and must source from licensed cultivators. Track-and-trace through METRC.
Application process: Submit online through the DCC licensing portal. Includes owner background checks (LiveScan fingerprinting), premises diagram, operating plan, and financial documentation. No residency requirement. Processing time varies: 30-90 days for provisional, longer for annual.
What most applicants get wrong: They budget for the state license and forget the local permit. In Los Angeles, the local cannabis business permit alone can cost $30,000+ annually. The total cost of operating in California is the state license fee plus local permit fees plus annual compliance costs. Operators who plan for $10,000 in licensing and discover they need $80,000+ in year one are the ones who fold before they process their first batch.
Last updated: May 13, 2026
Colorado
Governing body: Marijuana Enforcement Division (MED)
License types for extraction: Marijuana Products Manufacturer (medical and retail are separate licenses but both cover extraction and product manufacturing). Accelerator Manufacturer license available for social equity applicants.
Fees: Application: $460. Annual license: $1,840. Accelerator Manufacturer: $300 application, $1,830 license. These are among the lowest extraction licensing fees in the country.
Facility requirements: Must comply with local building, fire, and zoning codes. MED conducts facility inspections before license issuance. Volatile extraction (hydrocarbon) requires compliance with Colorado Fire Prevention Code and local fire marshal approval. Closed-loop systems required for hydrocarbon extraction.
Allowed extraction methods: All standard methods permitted: hydrocarbon (butane, propane), CO2, ethanol, mechanical (rosin, ice water hash). Volatile extraction requires closed-loop systems with third-party certification.
Key compliance requirements: Local jurisdiction must allow marijuana businesses and advise the MED before applications are accepted. Seed-to-sale tracking through METRC. Packaging, labeling, and potency testing per MED rules (1 CCR 212-3). Universal THC symbol required on all products.
Application process: Confirm local approval first. Submit application to MED with background check, financial disclosures, and business plan. Paper or online submission. No cash payments. No residency requirement. Processing time: 45-90 days typical.
What most applicants get wrong: They apply to the state before confirming local approval. The MED will reject any application if the local authority has not confirmed they accept cannabis businesses. Some Colorado municipalities still prohibit cannabis operations entirely. Confirm your city or county allows manufacturing before spending a dollar on the state application.
Last updated: May 13, 2026
Connecticut
| Category | Details |
|---|---|
| Governing Agency | Connecticut Department of Consumer Protection (DCP) portal.ct.gov/cannabis |
| License Type Covering Extraction | Product Manufacturer License — authorizes extraction, infusion, packaging, labeling, and sale of cannabis products to other licensees. |
| Application Fee | General: $750 lottery entry Social Equity: $375 lottery entry |
| Annual/Renewal License Fee | Provisional license: $5,000 ($2,500 social equity) Final/Annual license: $25,000 ($12,500 social equity) |
| Facility Requirements | Must comply with all state and local fire, safety, and building codes. Extraction with volatile solvents requires appropriate engineering controls. Manufacturing activities must be conducted within Disproportionately Impacted Areas (DIAs) unless specific exemptions apply. DCP inspections required. |
| Background Check | Yes. Criminal history records checks required for all licensees, backers, and key employees. Third-party background checks for backer/key employee applications. |
| Residency Requirement | No general residency requirement for standard applicants. Social equity applicants must have resided in a Disproportionately Impacted Area (DIA) for at least 5 of the 10 years preceding application, or at least 9 years before turning 18. |
| Allowed Extraction Methods | Extraction with Class 3 residual solvents per US Pharmacopeia, GRAS solvents under FFDCA, or DCP-approved solvents. CO2, ethanol permitted. DCP has published a table of allowable solvents with action limits. Hydrocarbon extraction subject to C1D1 compliance. Solventless permitted. |
| Processing Timeline | Lottery-based; no fixed processing timeline. Round 1 (March–June 2022) allocated 6 product manufacturer licenses (3 general + 3 social equity). Future lottery rounds have not been announced as of May 2026. |
| Notable Restrictions / Recent Changes | No active lottery rounds for product manufacturers as of May 2026. Cannot hold two or more licenses of the same type. Backers cannot have managerial control of multiple licensees in the same category. 2025 legislation (SB 970) introduced “naturally manufactured hemp cannabinoid” rules; hemp processors may sell Intermediate Hemp Derivative to product manufacturers. |
Delaware
| Category | Details |
|---|---|
| Governing Agency | Office of the Marijuana Commissioner (OMC) — omc.delaware.gov |
| License Type | Marijuana Product Manufacturing Facility License (covers extraction, production, packaging, labeling) |
| Application Fee | Open: $5,000. Social Equity: $1,000. Microbusiness: $3,000. All non-refundable. |
| Biennial License Fee | Open: $10,000/2yr. Social Equity: $4,000/2yr. Microbusiness: $4,000/2yr. |
| Facility Requirements | C1D1/C1D2 rooms required for volatile solvent extraction. Hazardous exhaust systems and gas detection mandatory. Food-grade workflows where applicable. Advanced security: surveillance, restricted access, comprehensive security plan. Buffer distances from schools. |
| Background Check | Yes. Federal criminal background check + financial investigation + FBI fingerprinting for all applicants and key personnel. |
| Residency Requirement | Open License: No. Social Equity: 51%+ ownership by individuals from disproportionately impacted areas (5 of 15 years). Microbusiness: 5 of last 10 years DE residency. |
| Allowed Extraction Methods | Solventless, water, glycerin, propylene glycol, vegetable oil, food-grade ethanol allowed without special permitting. Volatile solvents (BHO, hydrocarbons) allowed only in C1D1/C1D2 compliant facilities. Ethanol extraction prohibited near open flame. CO2 permitted under general solvent extraction rules. |
| Processing Timeline | 12-24 months estimated from application to operational. Initial application window closed September 2024. Licensing lottery conducted. Conditional licensees have 18 months to become operational. Significant FBI fingerprint backlog causing delays. |
| Notable Restrictions | Hard cap: 30 manufacturing licenses total (10 open, 10 social equity, 10 microbusiness). Applications currently CLOSED. Home cultivation prohibited. Delivery and internet sales banned. Labor peace agreement required. |
What most applicants get wrong: Delaware ran a lottery system, not first-come-first-served or merit-based. The initial window is closed. If you missed it, your only path is buying a conditional license from a lottery winner. The FBI fingerprint backlog is adding months to the timeline, so budget 18-24 months from lottery win to first product.
District of Columbia
| Category | Details |
|---|---|
| Governing Agency | Alcoholic Beverage and Cannabis Administration (ABCA) |
| License Type | Type 2 Manufacturing and Extraction License |
| Application Fee | $4,000 |
| Annual License Fee | $8,000 |
| Facility Requirements | Operational permit from DC Fire and EMS required for extraction using hazardous materials, compressed gases, flammable/combustible liquids, or cryogenic fluids. Cannot be in residential zone. Must be 300+ feet from preschools, schools, and recreation centers. |
| Background Check | Yes. Must be free of felony convictions for tax evasion, violence, fraud, gun offenses, or credit card fraud in past 3 years. Must have ‘clean hands’ (current on all DC tax filings). |
| Residency Requirement | DC residency preferred for social equity applicants. No strict residency requirement for standard applicants. |
| Allowed Extraction Methods | Type 2 license specifically covers extraction using hazardous materials, compressed gases, flammable liquids, cryogenic fluids, and equipment requiring fire permits. Non-solvent methods may fall under Type 1. |
| Processing Timeline | Application windows announced periodically. No current window open as of mid-2025. |
| Notable Restrictions | 300-foot buffer from schools and recreation centers. DC’s cannabis market is unusual: recreational possession is legal (Initiative 71, 2014), but commercial recreational sales remain in legal gray area. Manufacturing licenses are medical program licenses. Political dynamics between DC Council and Congress affect regulatory certainty. |
What most applicants get wrong: DC’s cannabis situation is unlike any state. Recreational possession has been legal since 2014, but Congress has repeatedly blocked DC from implementing commercial recreational sales through budget riders. The manufacturing license is technically for the medical program. The ‘gifting’ economy operates in a parallel legal gray zone. If you are building an extraction lab in DC, make sure your business plan accounts for the possibility that the regulatory landscape changes with every Congressional budget cycle.
Florida
Governing body: Florida Department of Health, Office of Medical Marijuana Use (OMMU)
License types for extraction: Medical Marijuana Treatment Center (MMTC) license. Florida does not issue standalone extraction or processing licenses. The MMTC license is a vertically integrated license that requires the holder to cultivate, manufacture, transport, and dispense. You cannot operate extraction without also operating cultivation and retail.
Fees: Application: $146,000 (non-refundable). Performance bond: $5,000,000 (due within 10 days of licensure). Biennial renewal: $1,330,000. This is by far the most expensive cannabis licensing structure in the United States.
Facility requirements: Full vertical operation: cultivation, extraction, manufacturing, and dispensing under one entity. No “processing only” option exists. Facilities must demonstrate technical and technological capability to cultivate and manufacture cannabis, secure premises and personnel, and show financial capacity for the 2-year approval cycle.
Allowed extraction methods: All methods permitted within the MMTC structure. Medical-only program means all products must meet medical-grade standards.
Key compliance requirements: 5-year Florida residency requirement for applicants. Complete vertical integration: must own and operate the entire supply chain from seed to sale. Medical-only program (adult-use legalization failed in 2024 ballot). MMTC must operate at least one dispensary. Strict physician certification requirements for patients.
Application process: Applications accepted during limited windows (22 new licenses issued in 2024). Extremely competitive and capital-intensive. Requires detailed demonstration of cultivation capability, manufacturing competence, distribution infrastructure, and dispensary operations. Background checks and financial audits on all applicants.
What most applicants get wrong: They think of Florida as just another state to get licensed in. It is not. The $146,000 application fee is the opening ante. The $5 million performance bond is due 10 days after approval. Total first-year capital requirement is $8-15 million minimum when you include facility buildout, inventory, staffing, and compliance. Florida’s cannabis market is designed for well-capitalized multi-state operators, not independent extraction labs.
Last updated: May 13, 2026
Hawaii
| Category | Details |
|---|---|
| Governing Agency | Hawaii Department of Health, Office of Medical Cannabis Control and Regulation (OMCCR) — health.hawaii.gov/medicalcannabis |
| License Type | Medical Cannabis Dispensary License (vertically integrated: cultivation, extraction, manufacturing, dispensing). No standalone extraction license. |
| Application Fee | $5,000 (non-refundable) |
| License Fee | Initial: $75,000. Renewal: $50,000. Must demonstrate $1,000,000+ in financial capacity. |
| Facility Requirements | Enclosed indoor facilities only. 24-hour alarm, video monitoring (50-day retention), exterior lighting, perimeter fencing to prevent viewing from outside. Up to 2 production centers + 2 retail locations per licensee. |
| Background Check | Yes. Required for all applicants, licensees, employees, subcontractors, and their employees. Felony conviction is automatic disqualification. |
| Residency Requirement | Yes, strict. Individuals must be Hawaii residents for 5+ years. Entity must be majority-owned by HI legal residents with 5+ years residency. |
| Allowed Extraction Methods | Butane (BHO) is PROHIBITED. Violation is a Class C felony. CO2 and ethanol likely permitted. Solventless explicitly allowed without additional licensing. Hazardous extraction (beyond butane) requires additional department approval. |
| Processing Timeline | Applications NOT accepted. The last application window was January 2016. All 8 existing licenses were issued from that original round. Market is fully closed to new entrants. |
| Notable Restrictions | Hard cap: 8 licenses total (2 per county across 4 counties). Medical only, no adult-use. No new applications accepted since 2016. 3,000-plant maximum per production center. No home cultivation. 38 operational facilities statewide. |
What most applicants get wrong: There is no path to enter the Hawaii market as a new extraction operator. The 8 licenses were issued in 2016 and the window has never reopened. Your only option is acquiring an existing licensee. The 5-year residency requirement applies to the acquirer, so out-of-state MSOs cannot simply buy in without Hawaii-resident majority ownership. The butane ban is also a felony, not just a regulatory violation.
Illinois
Governing body: Illinois Department of Agriculture (IDOA) for craft growers and infusers; IDFPR for cultivation centers
License types for extraction: Illinois does not issue a standalone extraction license. Extraction is only permitted under Craft Grower licenses (5,000-14,000 sq ft canopy) and Cultivation Center licenses. Infuser licenses explicitly prohibit extraction from raw cannabis material. Infusers can only incorporate pre-made concentrates into finished products.
Fees: Craft Grower: $5,000 application + $40,000 annual license. Social equity applicants: $2,500 application + $20,000 license. Cultivation Center fees are higher and vary.
Facility requirements: State facility standards apply. Craft growers are limited to 5,000-14,000 square feet of flowering canopy. Extraction must occur within the licensed premises.
Allowed extraction methods: Methods permitted under craft grower and cultivation center licenses. Specific method restrictions depend on facility classification and local fire code compliance.
Key compliance requirements: Illinois residency required. BioTrack seed-to-sale tracking. All products must be tested by state-licensed labs. Strict packaging and labeling requirements.
Application process: Applications are only accepted during designated open periods. No open application periods are currently active. When open, applications require detailed business plans, security plans, diversity plans, and financial documentation. Background checks on all applicants.
What most applicants get wrong: They assume they can get a standalone extraction license. You cannot. If your business model is extraction-only without cultivation, Illinois is not your market. The only path to extraction is through a Craft Grower license, which requires cultivation as the primary activity. This is a fundamental structural difference from states like California, Colorado, or Michigan.
Last updated: May 13, 2026
Louisiana
| Category | Details |
|---|---|
| Governing Agency | Louisiana Department of Health (LDH) |
| License Type | Medical Cannabis Manufacturer License (vertical integration required) |
| Application Fee | N/A (limited license program) |
| Annual License Fee | Set by LDH regulations |
| Facility Requirements | Must comply with LDH operational, financial, and reporting requirements. Seed-to-sale tracking via state system mandatory. Point-of-sale system must interface with Louisiana Medical Marijuana Tracking System. |
| Background Check | Yes. Extensive background check for all principals. |
| Residency Requirement | Yes. Louisiana residency requirements apply. |
| Allowed Extraction Methods | Extraction permitted under LDH-approved methods. Product forms include oils, tinctures, topicals, edibles (metered-dose), and inhalable products. |
| Processing Timeline | N/A. Only 2 manufacturer licenses exist. No new licenses being issued. |
| Notable Restrictions | Only 2 licensed manufacturers in the entire state: Advanced Biomedics LLC (dba Ilera Holistic Healthcare) and Good Day Farm Louisiana LLC. Originally tied to LSU and Southern University agricultural centers. This is one of the most restricted cannabis markets in the country. No independent processor licenses available. Vertical integration required. |
What most applicants get wrong: Louisiana is not a market you enter through a license application. There are exactly two licensed manufacturers, and those licenses were originally tied to university agricultural programs. The only path into Louisiana cannabis manufacturing is acquiring or partnering with one of the two existing licensees. If someone tells you they can get you a processing license in Louisiana, they are either misinformed or selling you something.
Kentucky
| Category | Details |
|---|---|
| Governing Agency | Kentucky Office of Medical Cannabis (KOMC) |
| License Type | Processor License |
| Application Fee | $5,000 (non-refundable) |
| Annual License Fee | $25,000 initial, $15,000 renewal |
| Facility Requirements | Must demonstrate $150,000 minimum capital. Facility cannot be within 1,000 feet of an elementary school, secondary school, or daycare center. Must meet state safety and operational standards. |
| Background Check | Yes. All principal officers and significant financial interest holders. |
| Residency Requirement | No strict residency requirement, but local ownership provisions may apply. |
| Allowed Extraction Methods | All extraction methods permitted. Kentucky does not differentiate processor licenses by extraction method. Processors may use various solvents and non-solvent methods. |
| Processing Timeline | Initial licensing window was July-August 2024. Program launched January 2025. Check KOMC for additional application windows in 2026. |
| Notable Restrictions | $150,000 capital requirement is a firm barrier. Products limited to oils, tinctures, vaporization products, topicals, dermal patches, raw plant material, and nebulization. Edibles and smokable flower restrictions may apply. Program is new (SB 47, signed 2023). Regulatory framework still maturing. |
What most applicants get wrong: Kentucky is brand new to medical cannabis. The $150,000 capital requirement is just the proof-of-funds threshold to qualify. Your actual buildout for an extraction lab will cost significantly more. The program launched in 2025, so the regulatory framework is still being refined. Expect rule changes in the first 2-3 years as the commission learns what works.
Maine
| Category | Details |
|---|---|
| Governing Agency | Maine Office of Cannabis Policy (OCP), Dept. of Administrative & Financial Services maine.gov/dafs/ocp |
| License Type Covering Extraction | Products Manufacturing Facility License — covers extraction, infusion, and finished product manufacturing. A cultivation licensee cannot perform extraction without a separate manufacturing license. |
| Application Fee | $250 |
| Annual/Renewal License Fee | Up to $2,500 |
| Facility Requirements | Inherently hazardous extraction requires certification from a Maine-licensed industrial hygienist or professional engineer covering storage, preparation, electrical systems, gas monitoring, fire suppression, and exhaust systems. Must meet Maine commercial kitchen standards for edibles. Local municipal license/permit required. Must comply with local zoning, building, and fire codes. |
| Background Check | Yes. Each principal must complete an Individual Identification Card Application and submit to a criminal history records check. Disqualifying drug offenses (state or federal convictions punishable by 1+ years) bar licensure. |
| Residency Requirement | Adult-Use: No state residency requirement at state level (municipalities may impose their own). Medical: Yes — individual applicants must be Maine residents; business entities must be incorporated in Maine with all directors/officers as Maine residents and majority shares held by Maine residents. |
| Allowed Extraction Methods | Mechanical extraction, infusion, potentially hazardous extraction, and inherently hazardous extraction (hydrocarbon/BHO, ethanol, CO2). Inherently hazardous substances require pre-approval from OCP plus industrial hygienist/PE certification. Solventless methods permitted. |
| Processing Timeline | ~30 days by statute for application approval/denial after receipt of complete application. Average actual approval time is less than 2 weeks. Three-step process: Conditional License, Local Authorization, Active License. |
| Notable Restrictions / Recent Changes | No caps on manufacturing licenses. Municipalities can opt out of allowing cannabis businesses. Local authorization required before state active licensure. No moratorium on new applications as of 2026. |
Maryland
| Category | Details |
|---|---|
| Governing Agency | Maryland Cannabis Administration (MCA, formerly MMCC) cannabis.maryland.gov |
| License Type Covering Extraction | Standard Processor License — covers extraction, concentration, infusion, and manufacture of cannabis products. Also: Micro Processor License for smaller operations. |
| Application Fee | Standard Processor: $5,000 Micro Processor: $1,000 (Social equity licenses receive 50%+ fee reduction) |
| Annual/Renewal License Fee | Standard: $50,000 initial issuance fee; renewal is lesser of $50,000 or 10% of annual gross revenue License valid for 5 years; renewal fees may be paid in annual installments. Social equity and micro licenses: 50%+ reduction. |
| Facility Requirements | Must comply with local zoning, fire, and building codes. Solvent-based extraction requires 99%+ purity solvents, professional-grade closed-loop systems, spark-free environments, proper ventilation, and OSHA compliance. CO2 extraction vessels rated minimum 900 PSI with 99%+ purity CO2. $250,000 surety bond required. Separate means of ingress/egress if co-located with grower or dispensary. |
| Background Check | Yes. Extensive background investigations in Stage Two of licensing. Agent registration fee: $200 per registration. 2026 guidance tightened criminal history requirements for agent registration. |
| Residency Requirement | Yes. Maryland residency must be demonstrated via tax returns, property tax bills, utility bills (within 4 months), or valid MD driver’s license. Business entities must show Maryland incorporation and operations (articles of incorporation, certificate of good standing, resident agent). |
| Allowed Extraction Methods | CO2 (closed-loop, 900 PSI rating, 99% purity), ethanol, hydrocarbon solvents (all minimum 99% purity), solventless (heat, screens, presses, steam distillation, ice water). All solvent extraction must use professional-grade closed-loop systems in spark-free, ventilated environments. |
| Processing Timeline | Multi-stage process; total timeline varies significantly. MCA extended conditional license regulatory timeline from 18 to 24 months. Approximately 60 more final licenses expected by October 2026. Pipeline constrained by capital and zoning issues. |
| Notable Restrictions / Recent Changes | Adult-use sales launched July 1, 2023. License transfer moratorium in place (expected to expire ~2028). $1.17 billion in 2025 sales reported. Limited license market — 15 processors pre-approved, working through Stage Two. Social equity applicants prioritized. All products must be tested by Maryland-licensed independent laboratory. Cannot transport cannabis outside Maryland. |
Massachusetts
Governing body: Cannabis Control Commission (CCC)
License types for extraction: Marijuana Product Manufacturer license. One license type covers all manufacturing methods without distinction between extraction types.
Fees: Application: $1,000. License: $15,000+ (varies by operation size). Renewal fees comparable to initial license.
Facility requirements: GMP audit required within 12 months of commencing operations. Host Community Agreement (HCA) required with the municipality. Facilities must meet local building, fire, and zoning codes.
Allowed extraction methods: All standard methods. No method-specific restrictions at the state level. Local fire codes may impose additional requirements for volatile extraction.
Key compliance requirements: Diversity Plan required (promoting equity for people of color, women, veterans, individuals with disabilities, and LGBTQ+ individuals). Proof that investment funds were legally acquired. Host Community Agreement with the local municipality. METRC seed-to-sale tracking.
Application process: Submit application to CCC with $1,000 fee, diversity plan, business plan, HCA, and financial documentation. Temporary license consideration within 90 days. Background checks on all applicants. No residency requirement.
What most applicants get wrong: The Host Community Agreement. Massachusetts requires a signed agreement with your municipality before you can even apply. Some municipalities charge community impact fees of 3% of gross revenue. Others refuse to sign HCAs at all. If your target municipality will not sign an HCA, you need a different location, and you need to know that before signing a lease.
Last updated: May 13, 2026
Michigan
Governing body: Cannabis Regulatory Agency (CRA)
License types for extraction: Processor license covers extraction, infusion, edibles manufacturing, and product creation. Separate endorsement required for hydrocarbon extraction.
Fees: Application: $3,000 (non-refundable). Annual regulatory assessment varies by license type and number of licenses issued. Check CRA for current assessment rates.
Facility requirements: State and local facility inspections required. Hydrocarbon extraction endorsement requires additional safety documentation. C1D1 classification for volatile solvent rooms per local fire code.
Allowed extraction methods: All methods permitted under the processor license. Hydrocarbon extraction requires a separate endorsement. CO2, ethanol, mechanical methods available under the base license.
Key compliance requirements: METRC seed-to-sale tracking. Product testing through state-licensed labs. Two-step licensing process: prequalification (background checks, financial review) followed by facility inspection.
Application process: Two-step process. Step 1: Prequalification verifies applicants and business partners are eligible (background checks, criminal history review). Step 2: Facility inspection and operational readiness. No residency requirement. Timeline: 3-6 months from prequalification to license issuance.
What most applicants get wrong: They try to build out the facility before prequalification is approved. Michigan’s two-step process means you can be denied at prequalification based on background or financial issues after you have already invested in buildout. Complete prequalification first, then invest in the facility. The $3,000 application fee is cheap insurance compared to a $500,000 buildout on a license that gets denied.
Last updated: May 13, 2026
Minnesota
| Category | Details |
|---|---|
| Governing Agency | Minnesota Office of Cannabis Management (OCM) mn.gov/ocm |
| License Type Covering Extraction | Cannabis Manufacturer License — with required endorsements for: (1) Extraction and Concentration, (2) Production of Consumer Products, and (3) Edible Cannabinoid Product Handler. Also: Medical Cannabis Combination Business License (vertically integrated, includes extraction endorsements for adult-use). |
| Application Fee | Cannabis Manufacturer: $10,000 Medical Cannabis Combination Business: $10,000 |
| Annual/Renewal License Fee | Cannabis Manufacturer: $10,000 initial license / $20,000 renewal Medical Cannabis Combination Business: $20,000 initial / $70,000 renewal |
| Facility Requirements | Must be enclosed, locked facility used exclusively for cannabis manufacturing (shared office/bathroom/entryway allowed if also holding cultivator license). Sanitary facility surfaces required. Chemical control program required. All extraction equipment, infusion systems, and packaging machines subject to OCM review. Must disclose all solvents and foreign materials per Minn. Stat. 342.61. |
| Background Check | Yes. Fingerprint-based criminal history checks required (FBI and Minnesota) per Minn. Stat. 342.151. Required for all qualified applicants, true parties of interest, and cannabis workers. Must be completed by a third-party consumer reporting agency in compliance with the federal Fair Credit Reporting Act, submitted to OCM no more than 60 days before application. |
| Residency Requirement | No. No state or municipal residency requirement for business owners. Business need not be located in owner’s city/county of residence. |
| Allowed Extraction Methods | All extraction methods require pre-approval by OCM. Must disclose all methods and volatile chemicals. Volatile solvents require a cannabis manufacturer license and OCM extraction endorsement. CO2, ethanol, hydrocarbon, and solventless (rosin) methods recognized. Residual solvents testing required for all concentrates. ISO 17025-accredited labs required for testing. |
| Processing Timeline | First general cannabis licensing window opened February 18, 2025. Not currently accepting manufacturer applications as of May 2026 (future windows to be announced). OCM taking a deliberate approach to market rollout. LPHE manufacturers will not receive final approvals before March 31, 2026. |
| Notable Restrictions / Recent Changes | Minnesota is a new adult-use market (legalized 2023; licensing began 2025). Manufacturer applications not currently open — OCM is phasing license types. Social equity applicants verified and prioritized. Extraction/concentration endorsement required on top of base manufacturer license. Retail sales expected to ramp up through 2026. OCM has been deliberate with rollout pace. |
Mississippi
| Category | Details |
|---|---|
| Governing Agency | Mississippi Department of Health (MDOH) |
| License Type | Processor License (Micro-Processor Tier 1/2 and Standard Processor) |
| Application Fee | $2,000 (Micro Tier 1), $2,500 (Micro Tier 2), $15,000 (Standard) |
| Annual License Fee | $3,500 (Micro Tier 1), $5,000 (Micro Tier 2), $20,000 (Standard) |
| Facility Requirements | Must meet MDOH facility standards. Seed-to-sale tracking required. Subject to regular inspections and reporting requirements. |
| Background Check | Yes. All applicants must pass criminal background checks. |
| Residency Requirement | Yes. At least 2 years Mississippi residency required. |
| Allowed Extraction Methods | All extraction methods permitted. Processing includes concentrates, tinctures, topicals, and edibles from cannabis supplied by licensed cultivation facilities. |
| Processing Timeline | Applications processed by MDOH. Processing times vary. |
| Notable Restrictions | Tiered system based on annual throughput: Micro Tier 1 (<2,000 lbs dried biomass), Micro Tier 2 (2,000-3,000 lbs), Standard (>3,000 lbs). 2-year residency requirement is strict. Medical only program (SB 2095, passed 2022). Program is still relatively new. |
What most applicants get wrong: The tiered system sounds straightforward, but your tier selection locks you into a throughput cap. If you start as Micro Tier 1 and demand exceeds 2,000 pounds, you need to upgrade your license tier, which means higher fees and potentially new facility requirements. Size your operation for where you expect to be in year 2, not year 1. Also, the 2-year residency requirement means you cannot just move to Mississippi and apply. Plan ahead.
Missouri
| Category | Details |
|---|---|
| Governing Agency | Missouri Department of Health & Senior Services (DHSS), Division of Cannabis Regulation health.mo.gov/safety/cannabis |
| License Type Covering Extraction | Comprehensive Manufacturing Facility License (Cannabis-Infused Products Manufacturing) — covers extraction, infusion, packaging, and labeling. Also: Microbusiness License for smaller operations. |
| Application Fee | Comprehensive Manufacturing: $7,878.66 (July 1–Dec 7, 2025) or $3,000 (Dec 8, 2025–June 30, 2026) Microbusiness: $1,592.72 |
| Annual/Renewal License Fee | Comprehensive Manufacturing Annual Fee: $11,255.23 Renewal: $7,878.66 (or $3,000 reduced) Fees adjust annually by CPI (2.69% increase for FY 2026). Licenses valid 3 years. |
| Facility Requirements | Manufacturing facilities using volatile solvents must install air handling systems and explosion/fire minimization controls per 19 CSR 100-1.170(2)(D). Must implement a Quality Management System (QMS) using published standards within one year of DHSS approval. Sanitary facility conditions per 19 CSR 100-1.080. Local zoning and fire code compliance required. |
| Background Check | Yes. All facility owners must undergo fingerprint-based criminal background checks through the Missouri Highway Patrol and FBI. DCR resumed fingerprint submission requirement December 2, 2024. All employees also require background checks for agent ID cards. |
| Residency Requirement | Yes. Majority of the entity must be owned by natural persons who have been Missouri residents for at least 1 year. Applicants must provide documentation (residential leases for 3 of past 5 years, mortgage, or property tax records). |
| Allowed Extraction Methods | CO2 (beverage-grade, 99.5% purity), ethanol (food-grade, non-denatured), BHO/hydrocarbon, cold press, and solventless methods. Residual solvent limits must meet whichever is stricter: Missouri rule or internal specification. Volatile solvents require enhanced ventilation/safety controls. |
| Processing Timeline | 150 days from submission for application processing per state rules. Fingerprinting/background check delays possible for out-of-state or complex histories. |
| Notable Restrictions / Recent Changes | Applications for comprehensive manufacturing licenses reopened December 8, 2025 with reduced fees. Amendment 3 (passed Nov 2022) legalized adult-use. FY 2026 fee schedule reflects 2.69% CPI adjustment. DHSS revoked at least one manufacturing license for compliance violations in 2025. Microbusiness pathway available as lower-cost alternative. |
Montana
| Category | Details |
|---|---|
| Governing Agency | Montana Department of Revenue, Cannabis Control Division — revenue.mt.gov/card/cannabis |
| License Type | Manufacturer License (tiered): Tier 1 (up to 10 lbs concentrate/month), Tier 2 (10-15 lbs), Tier 3 (15+ lbs) |
| Application Fee | 20% of annual fee collected at application: Tier 1: $1,000, Tier 2: $2,000, Tier 3: $4,000 (non-refundable) |
| Annual License Fee | Tier 1: $5,000. Tier 2: $10,000. Tier 3: $20,000. |
| Facility Requirements | Chemical hood required over extraction equipment. Hazardous-rated electrical components in extraction areas (C1D1/C1D2 per NEC). Gas/liquid volumes limited per building code. MT Department of Labor and Industry Building Codes Bureau oversees facility compliance. |
| Background Check | Yes. Fingerprint-based background check required for all individuals with 5%+ financial interest. Must clear before license issuance. |
| Residency Requirement | Yes. Day-to-day operations manager must be a Montana resident. All applicants must show 1+ year of MT residency. |
| Allowed Extraction Methods | Solvent and non-solvent methods allowed. Product labels must identify extraction method (mechanical vs. chemical) and specific solvent used. No outright ban on specific solvents. All concentrates must pass residual solvent testing panel. |
| Processing Timeline | NEW APPLICATIONS FROZEN until July 1, 2027. Senate Bill 27 (effective July 2025) imposed a moratorium on new manufacturer licenses. |
| Notable Restrictions | Moratorium on new manufacturer licenses until 7/1/2027. Adult-use sales only in “green” counties (voted in favor of I-190). Medical tax: 4%, recreational tax: 20%. 1-year residency requirement among the strictest nationally. |
What most applicants get wrong: The moratorium is real and has no workaround. SB 27 froze all new manufacturer license applications until July 2027. You cannot apply, you cannot get in line. If you want to operate in Montana before then, you need to acquire an existing licensee. Also, Montana’s county opt-out system means your facility location matters: “red” counties have no legal recreational market, so your customer base shrinks to medical only.
Nebraska
| Category | Details |
|---|---|
| Governing Agency | Nebraska Liquor Control Commission (NLCC), Medical Cannabis Commission |
| License Type | Product Manufacturer Permit |
| Application Fee | No application fee currently |
| Annual License Fee | To be determined (regulations still being finalized) |
| Facility Requirements | Must demonstrate facility design, quality assurance, and compliant SOPs for cannabis extraction and product manufacturing. Specific facility standards being established by commission. |
| Background Check | Yes. Background checks required for all applicants. |
| Residency Requirement | Residency requirements expected but regulations still being finalized. |
| Allowed Extraction Methods | To be determined. Processor applicants must document extraction methods and quality assurance protocols. |
| Processing Timeline | Cultivation licenses issued October 2025. Product manufacturer application windows not yet announced as of mid-2026. Program expected to be operational by late 2026. |
| Notable Restrictions | Only 4 product manufacturer permits available statewide. Program established by 2024 ballot measure. Regulations still being developed. 12 dispensary licenses and 4 processor permits total. This is one of the newest medical cannabis programs in the country. |
What most applicants get wrong: Nebraska passed medical cannabis by ballot measure in November 2024, and the regulatory framework is still being built. If you are looking at Nebraska, you are early. The commission has issued cultivation licenses but product manufacturer applications have not opened yet. Only 4 permits will be available. The competitive dynamics will be intense for a very small number of licenses. Get your SOPs, facility plans, and capital documentation ready before the window opens.
Nevada
| Category | Details |
|---|---|
| Governing Agency | Nevada Cannabis Compliance Board (CCB) ccb.nv.gov |
| License Type Covering Extraction | Production Facility License (both Medical and Adult-Use) — covers manufacturing, extraction, and infusion of cannabis products. Separate from cultivation and retail. |
| Application Fee | $5,000 (non-refundable, one-time) + actual costs of background check processing |
| Annual/Renewal License Fee | Medical Production Facility: $3,000 initial / $1,000 renewal Adult-Use Production Facility: $10,000 initial / $3,300 renewal |
| Facility Requirements | C1D1/C1D2 rooms required when volatile solvents are used. 24/7 video surveillance, alarm systems, restricted access areas, vault storage. Must comply with local fire codes. SB 25 (2025 session) added new fire safety requirements. |
| Background Check | Yes. FBI and state background checks required for all owners, officers, and board members with 5%+ ownership. Fingerprinting at DPS-approved Livescan facility (in-state) or mailed to Nevada DPS (out-of-state). |
| Residency Requirement | No general residency requirement for ownership. Agent card holders must obtain a valid Nevada ID within 30 days of moving to NV. |
| Allowed Extraction Methods | CO2 (closed-loop, vessels rated min. 900 PSI, 99%+ purity), ethanol, propylene glycol, food-grade glycerin. Solventless methods: heat, screens, presses, steam distillation, ice water. BHO (butane) is not explicitly authorized in Nevada’s production regulations. All solvent-based extraction must use professional-grade, closed-loop systems. |
| Processing Timeline | 6–12 months total. Includes 2–3 months initial review, 4–6 weeks background checks, 2–4 weeks site inspection, 2–6 months evaluation/decision. |
| Notable Restrictions / Recent Changes | 83rd Legislative Session (2025) enacted seven cannabis bills: AB 76 (CCB omnibus), SB 168 (packaging), SB 25 (fire safety), SB 41 (tax permits). Social equity applicants receive 75% reduction in processing fees. Agent registration card: $150/category, valid 2 years. |
New Hampshire
| Category | Details |
|---|---|
| Governing Agency | NH Department of Health and Human Services (DHHS), Therapeutic Cannabis Program — dhhs.nh.gov |
| License Type | Alternative Treatment Center (ATC) Registration Certificate (vertically integrated: cultivation, extraction, manufacturing, dispensing). No standalone extraction license. |
| Application Fee | $3,000 (non-refundable) + $20,000 selection fee if awarded |
| Annual License Fee | Variable: assessed based on ATC’s percentage of total statewide sales (formula set by department rule) |
| Facility Requirements | Enclosed, locked facility. Interior/exterior lighting and security systems. Floor plans, health permits, building permits, zoning certificates, and fire compliance documentation all required. |
| Background Check | Yes. Criminal background checks via NH Department of Safety mandatory for all board members, executive employees, and corporate officers. |
| Residency Requirement | Partial. Majority of ATC board members must be NH residents. No strict ownership residency requirement beyond board composition. |
| Allowed Extraction Methods | Not publicly specified. Governed by department rules. ATCs must be not-for-profit entities. |
| Processing Timeline | Not accepting applications. DHHS has not opened new ATC applications in years. The existing 4 licenses (3 operational) are the only pathway. |
| Notable Restrictions | Medical only. No adult-use program. Hard cap: 4 ATCs (3 operational with 7 dispensing locations). ATCs must be not-for-profit. $2M liability insurance + $1M financial capacity required. NH is the last state in New England without legal recreational sales. HB 186 passed the House in 2026 but died in the Senate. |
What most applicants get wrong: There is nothing to apply for. New Hampshire is medical-only with 3-4 vertically integrated ATCs and zero mechanism for new entrants. The not-for-profit requirement means these are not traditional cannabis businesses. If you are planning extraction operations in New England, look at every other New England state first. NH will be the last to open, if it ever does.
New Jersey
| Category | Details |
|---|---|
| Governing Agency | New Jersey Cannabis Regulatory Commission (CRC) nj.gov/cannabis |
| License Type Covering Extraction | Class 2: Cannabis Manufacturer License — authorizes production of cannabis products including extraction and infusion. Separate from Class 1 (Cultivator) and Class 5 (Retailer). |
| Application Fee | Conditional: $200 submission + $400 approval = $600 Annual: $400 submission + $1,600 approval = $2,000 |
| Annual/Renewal License Fee | Standard (up to 10,000 sq ft): $20,000/year Standard (over 10,000 sq ft): $30,000/year Microbusiness: $1,000/year (First-year fees reduced by application amounts already paid) |
| Facility Requirements | Enclosed, secure premises required. Square footage of the entire cannabis business premises counted toward tier limits. Microbusinesses capped at 2,500 sq ft. Volatile solvent extraction requires C1D1-compliant rooms. Closed-loop systems required for hydrocarbon extraction. Must comply with local fire and building codes. |
| Background Check | Yes. $250 per owner/principal for background investigation. Conditional applicants and Social Equity Businesses are exempt from background investigation fees. |
| Residency Requirement | Yes. At least one owner must have resided in NJ for 2+ years as of application date. Owners with 5+ years NJ residency receive application bonus points. Microbusinesses: 100% of ownership must be NJ residents (2+ years consecutive); 51% of all personnel must be municipal or bordering-municipality residents. |
| Allowed Extraction Methods | Hydrocarbon (butane, propane, hexane), CO2 (with high heat/pressure), ethanol, solventless. All allowed under NJAC 17:30. Residual solvent testing required for all extracted products. Closed-loop systems required for volatile solvents. |
| Processing Timeline | Conditional applications: 4–5 weeks Annual license / conditional-to-annual conversion: 12–26 weeks Rolling basis — no lottery or fixed application windows. |
| Notable Restrictions / Recent Changes | No moratorium on applications; rolling acceptance. Cannot hold multiple Class 2 licenses. Vertical integration allowed (Class 1 + 2 + 5 + 6 combined). Labor peace agreement required for 10+ employees. Municipal approval required. Social equity and diversely owned business certifications available for priority review. |
New Mexico
| Category | Details |
|---|---|
| Governing Agency | NM Regulation and Licensing Department (RLD), Cannabis Control Division (CCD) — rld.nm.gov/cannabis |
| License Type | Cannabis Manufacturer License (tiered): Class III (mechanical/nonvolatile solvent), Class IV (volatile solvent/supercritical CO2) |
| Application Fee | $1,000 (non-refundable) |
| Annual License Fee | $2,500/year per license + $1,000/year per additional premises |
| Facility Requirements | C1D1/C1D2 required for volatile solvent extraction areas. Sprinklers, proper egress, alarms, hazardous exhaust ventilation. All employees handling cannabis must complete ANSI-accredited food handler course. BioTrack seed-to-sale tracking. |
| Background Check | Yes. Criminal history screening for all controlling persons (officers, board members, individuals with financial/voting interest). Must be 21+. |
| Residency Requirement | No hard residency requirement. Non-residents can apply. Some documentation of in-state presence may be requested. |
| Allowed Extraction Methods | Class III: Mechanical methods, nonvolatile solvents (ethanol), solventless (rosin, ice water hash). Class IV: All Class III methods + volatile solvents (BHO/butane, propane) + supercritical CO2. |
| Processing Timeline | 90 days from complete application. Applications via NM-PLUS online system. No license cap. Rolling applications accepted. |
| Notable Restrictions | No cap on number of licenses (open licensing). Unified medical/adult-use framework. Integrated microbusiness license available (cultivate up to 200 plants + manufacture + retail under one license with reduced fees). Adult-use sales began April 2022. |
What most applicants get wrong: New Mexico is one of the most accessible markets in the country. No license cap, no residency requirement, $1,000 application fee, 90-day processing. The catch is the tiered manufacturing classes. If you want to run BHO, you need a Class IV license. Ethanol and solventless operators can start at Class III. Most applicants submit Class IV applications but build Class III facilities, then discover they cannot use the volatile solvents their business plan was built around without facility upgrades.
New York
Governing body: Office of Cannabis Management (OCM)
License types for extraction: Adult-Use Processor license for cannabis. Cannabinoid Hemp Processor license (Extracting and Manufacturing) for hemp-derived products. The adult-use processor license covers extraction, manufacturing, and product creation.
Fees: Adult-Use Processor: application fee $1,000, license fee $3,500 (2-year term). Hemp Processor (Extracting and Manufacturing): $1,000 application, $3,500 license (2-year). These are among the most affordable processor fees nationally.
Facility requirements: GMP audit by a qualified third party required within 12 months of commencing operations. Volatile or hydrocarbon extraction requires a final certification letter from a licensed Professional Engineer (PE) or Registered Architect confirming the extraction system installation meets state and local fire, safety, and building codes. This PE certification must be completed before operations begin.
Allowed extraction methods: All methods permitted. Volatile/hydrocarbon extraction has additional PE certification requirement. CO2, ethanol, and mechanical methods have standard commercial requirements.
Key compliance requirements: GMP compliance and third-party audit. PE certification for volatile extraction. Seed-to-sale tracking. Product testing through licensed labs. Social equity priority in licensing.
Application process: Submit through OCM portal. Background checks, business plan, facility documentation. GMP audit deadline is 12 months post-commencement, not pre-licensing. No residency requirement. Processing time varies as OCM continues building its regulatory infrastructure.
What most applicants get wrong: New York requires a Professional Engineer to certify your extraction system before you can start processing with volatile solvents. This is not a standard building inspection. It is a specific engineering certification that your extraction equipment installation meets code. Finding a PE who understands closed-loop BHO systems or hydrocarbon extraction equipment is not easy. Start that search before you order equipment, not after.
Last updated: May 13, 2026
North Dakota
| Category | Details |
|---|---|
| Governing Agency | North Dakota Health and Human Services (HHS) |
| License Type | Manufacturing Facility Registration |
| Application Fee | $5,000 (non-refundable) |
| Annual License Fee | $75,000 (license fee), plus $5,000 per 500 plants over 1,000 |
| Facility Requirements | Vertically integrated model: manufacturing facilities handle cultivation, processing, and distribution. 1,000 plant cap (plus 50 for R&D). Must comply with state inventory tracking and regular compliance inspections. |
| Background Check | Yes. Detailed background checks for all applicants and principal officers. |
| Residency Requirement | Yes. North Dakota residency required. |
| Allowed Extraction Methods | All extraction methods permitted within the vertically integrated manufacturing facility. |
| Processing Timeline | Applications processed by HHS. Very limited program. |
| Notable Restrictions | Maximum 2 manufacturing facilities in the entire state. $75,000 annual license fee is among the highest per-facility costs in the country. 1,000 plant cap severely limits production scale. Vertically integrated model means no standalone processor licenses. Compassionate Care Act program (medical only). |
What most applicants get wrong: North Dakota caps the entire state at 2 manufacturing facilities. That is not a typo. Two facilities serve the entire state’s medical cannabis needs. The $75,000 annual fee plus the per-plant surcharge for exceeding 1,000 plants makes this one of the most expensive licenses relative to the market size. Unless you are already one of the two licensees, this is not a market you can enter through standard application.
Ohio
| Category | Details |
|---|---|
| Governing Agency | Ohio Division of Cannabis Control (DCC), Department of Commerce com.ohio.gov/cannabis-control |
| License Type Covering Extraction | Processor License — authorizes acquisition of cannabis from licensed cultivators, processing into approved product forms (extracts, edibles, tinctures, patches, oils), and sale to licensed dispensaries. |
| Application Fee | $10,000 (non-refundable) |
| Annual/Renewal License Fee | Certificate of Operation: $90,000 (non-refundable) Biennial Renewal: $100,000 (non-refundable) Employee ID card: $100 per employee (valid 2 years) |
| Facility Requirements | Must not be within 500 feet of schools, public libraries, daycare centers, or public parks. Local zoning ordinance compliance and county building department approval required. C1D1 rooms for volatile solvents. Must comply with NFPA fire codes. |
| Background Check | Yes. FBI and Ohio Bureau of Criminal Investigation (BCI) background checks required for all applicants and controlling individuals. Disqualifying offenses per DCC regulations. |
| Residency Requirement | Yes. 2-year Ohio residency required for majority owner of each proposed production facility. |
| Allowed Extraction Methods | Hydrocarbon-based (BHO/butane, propane), CO2, ethanol — all recognized in the regulatory framework. Residual solvents testing required for all processed/extracted products. Solventless methods permitted. Products intended for smoking are prohibited; vaporizable forms allowed. |
| Processing Timeline | Multi-stage: provisional license issued after initial approval, then compliance inspections, then final license. No published fixed timeline; varies by application complexity. Dual-use licensing opened May 2026. |
| Notable Restrictions / Recent Changes | Senate Bill 56 (signed December 19, 2025; effective March 20, 2026) merged adult-use and medical frameworks under the DCC. Initially limited to 40 processor provisional licenses. $250,000 liquid assets required ($100,000 if also holding cultivator license). Smoking products prohibited — no combustible cannabis. Dual-use conversion required no additional fee for existing licensees. Products require petition to the Board for approval of new forms beyond those already authorized. |
Oklahoma
Governing body: Oklahoma Medical Marijuana Authority (OMMA)
License types for extraction: Processor license, issued as either hazardous (uses chemicals classified as hazardous by OSHA Hazard Communication Standard, including butane, propane, hexane) or non-hazardous (ethanol, CO2, mechanical methods). The distinction determines facility safety requirements.
Fees: Application: $2,500 (non-refundable). License fees are tiered by production volume, calculated by biomass or concentrate output (nonliquid concentrates: 1 liter per 1,000 grams).
Facility requirements: Hazardous processor licenses require additional safety infrastructure per OSHA standards. All facilities subject to OMMA inspection. Local zoning compliance required.
Allowed extraction methods: All methods permitted. License classification (hazardous vs non-hazardous) determined by extraction chemicals used. Switching from non-hazardous to hazardous methods requires a license modification.
Key compliance requirements: 75% Oklahoma residency ownership requirement. Applicants must be 25 years or older. Background checks: nonviolent felony conviction in the last 2 years or any felony conviction in the last 5 years disqualifies. METRC seed-to-sale tracking. Medical-only program.
Application process: Online through OMMA portal. 90 business days processing time. However, a moratorium on new commercial licenses is in effect through August 1, 2026 (HB 2095, extended from original date). Current licensees can renew. No new processor applications accepted until the moratorium lifts.
What most applicants get wrong: Oklahoma had the lowest barrier to entry in the country, which led to market oversaturation. Over 7,000 grower licenses were issued, crashing wholesale prices below $500/lb. The moratorium exists because the market cannot absorb more operators. Even when it lifts, the 75% Oklahoma ownership requirement means out-of-state operators cannot simply enter the market. And the economics of sub-$500 wholesale flower make extraction margins razor thin unless you are processing at scale.
Last updated: May 13, 2026
Oregon
Governing body: Oregon Liquor and Cannabis Commission (OLCC)
License types for extraction: Processor license covers all extraction, processing, and product manufacturing. One license type for all methods.
Fees: Application: $4,750 (non-refundable). License: $3,500 to $5,750 depending on operation size. Annual renewal at the same rate.
Facility requirements: Hydrocarbon extraction requires certification from a licensed electrical or mechanical engineer that equipment has been inspected and meets safety standards. Facilities must meet local zoning, building, and fire code requirements. Security plans including surveillance systems and restricted access protocols required.
Allowed extraction methods: All methods permitted under the processor license. Hydrocarbon extraction requires additional engineering certification. CO2 and ethanol extraction have standard commercial requirements.
Key compliance requirements: Security plan with surveillance and restricted access. Detailed operating procedures. Cannabis Tracking System (CTS/METRC) compliance. All products must be tested by ORELAP-accredited laboratories.
Application process: Complete application with non-refundable fee, business plans, security plans, operating procedures, and financial information. Background checks on all applicants. After preliminary approval, OLCC conducts on-site inspection. License issued after successful inspection.
What most applicants get wrong: The $4,750 application fee is non-refundable even if you are denied. Oregon also has zoning restrictions requiring cannabis businesses to be certain distances from schools and other protected areas. Applicants who sign a lease before confirming zoning compliance lose the deposit and the application fee when they discover their location is ineligible.
Last updated: May 13, 2026
Pennsylvania
| Category | Details |
|---|---|
| Governing Agency | Pennsylvania Department of Health (DOH), Office of Medical Marijuana — pa.gov/agencies/health |
| License Type | Grower/Processor Permit (combined cultivation + processing/extraction) |
| Application Fee | $10,000 (non-refundable) |
| Permit Fee | $200,000 initial permit fee. $10,000 annual renewal. |
| Facility Requirements | Indoor-only, enclosed and secured. Electronic locking and surveillance. C1D1-compliant extraction rooms for volatile solvents (live gas monitoring, zero ignition points, ventilation rated to purge gas at machine output levels, fire-suppressing materials). NFPA 70 (NEC) compliance for hazardous area classification. |
| Background Check | Yes. Fingerprint-based: PA State Police + FBI. Required for all principals, financial backers, operators, and employees. |
| Residency Requirement | Yes. 51%+ of owners/partners must be Pennsylvania residents. |
| Allowed Extraction Methods | CO2, ethanol, hydrocarbon (butane, propane) with closed-loop systems and industrial-grade equipment. Solventless/mechanical methods permitted. Full residual solvent testing panel required. DOH approves methods on a case-by-case basis. |
| Processing Timeline | ~90 days application review (when rounds are open). New permit rounds are extremely rare. Most market entry is through M&A (acquiring existing permits). ~30 operational grower/processors. |
| Notable Restrictions | Medical only. Hard cap: 25 grower/processor permits. Must demonstrate $2M capital ($500K on deposit). Adult-use bills (HB 1200, SB 120) pending but not passed as of 2026. Most entry is through acquisition, not new applications. |
What most applicants get wrong: Pennsylvania is effectively a closed market. The 25-permit cap and $200,000 initial fee create a massive barrier, but the real wall is that new permit rounds almost never open. If you want to process in PA, you are buying an existing permit at acquisition prices ($10M+, depending on region). The $2M capital requirement is table stakes. When adult-use legalization eventually passes, expect existing medical operators to convert, not a fresh licensing round.
Rhode Island
| Category | Details |
|---|---|
| Governing Agency | Rhode Island Cannabis Control Commission (CCC) — ccc.ri.gov |
| License Type | Cannabis Product Manufacturer License (extraction, infusion, processing, packaging) |
| Application Fee | $7,500 (waived for social equity applicants) |
| Annual License Fee | $4,500/year |
| Facility Requirements | 500-foot buffer from school property lines. State Fire Marshal approval required for operations using heat sources or flammable solvents. Volatile solvent operations must meet specific departmental requirements (560-RICR-10-10-2.20). Security and Safety Plan + Operations Manual required. |
| Background Check | Yes. Criminal record check for all owners and key personnel. Tax filing compliance verified. Disqualifying convictions apply. |
| Residency Requirement | Yes. 51%+ of entity must be owned by a Rhode Island resident. Individual applicants must be RI residents and 21+. |
| Allowed Extraction Methods | Volatile solvents allowed: butane, propane, ethanol, or other volatile hydrocarbon preapproved by the Office of Cannabis Regulation. All solvents must have COA showing 99%+ purity. CO2 allowed. Solventless allowed. Volatile solvent operations require state approval + fire marshal sign-off. |
| Processing Timeline | Uncertain. Program in slow rollout phase. CCC has been operating with diminished leadership since October 2025 (chair resigned, only 2 commissioners remain). |
| Notable Restrictions | Manufacturing licenses not subject to a specific cap, but market constrained by retail cap (33 total) and cultivation moratorium (frozen until April 2027 due to oversupply). 51% RI residency ownership requirement is a significant barrier. CCC leadership vacuum slowing regulatory progress. Adult-use retail began December 2023. |
What most applicants get wrong: Manufacturing licenses are technically uncapped, but the market is throttled by a cultivation moratorium (no new grow licenses until 2027) and a 33-location retail cap. If you get a manufacturing license but cannot source enough input material or find enough retail outlets, the license has limited value. The 51% residency requirement also blocks the standard MSO playbook of out-of-state capital with local figureheads.
Utah
| Category | Details |
|---|---|
| Governing Agency | Utah Department of Health and Human Services (DHHS), Cannabis Production Establishment Licensing Board |
| License Type | Tier 1 Processing License (full extraction) or Tier 2 Processing License (packaging/labeling only) |
| Application Fee | Included in license fee |
| Annual License Fee | $100,000 (Tier 1, full processing/extraction), $35,000 (Tier 2, packaging/labeling only) |
| Facility Requirements | Must appear before the Cannabis Production Establishment Licensing Board. Application through AIMS platform (agbusiness.utah.gov). Board meeting dates and documentation deadlines published annually. |
| Background Check | Yes. Background checks for all principal officers. |
| Residency Requirement | No strict residency requirement. |
| Allowed Extraction Methods | Both solvent and non-solvent extraction methods allowed under Tier 1 license. |
| Processing Timeline | Board meetings held periodically throughout the year. Check Utah Center for Medical Cannabis for 2026 meeting dates. |
| Notable Restrictions | 18 Tier 1 processor licenses maximum by statute. Tier 2 is packaging/labeling only (no extraction). The $100,000 annual fee for Tier 1 is steep for a medical-only market. All products subject to state testing requirements. Utah’s patient population is relatively small compared to the license cost. |
What most applicants get wrong: Utah’s Tier 1 vs Tier 2 distinction matters more than it sounds. Tier 2 at $35,000 covers packaging and labeling only. If you need to extract, you need Tier 1 at $100,000 per year. With only 18 Tier 1 licenses available statewide and a relatively small patient base, the per-patient cost of maintaining that license is among the highest in the country. Run the unit economics before applying.
Texas
| Category | Details |
|---|---|
| Governing Agency | Texas Department of Public Safety (DPS), Compassionate Use Program (TCUP) |
| License Type | Dispensing Organization License (vertical integration required) |
| Application Fee | Included in license fee |
| Annual License Fee | $488,520 per 2-year license period (~$244,260/year) |
| Facility Requirements | Cultivation and production permitted only at primary facility. Satellite dispensing locations limited by public health regions. All premises must be 1,000+ feet from schools and daycare centers that existed before application date. Strict labeling, packaging, and THC limits. |
| Background Check | Yes. Extensive background investigation by DPS. |
| Residency Requirement | Texas residency required for significant ownership interest. |
| Allowed Extraction Methods | Extraction permitted, but only naturally occurring phytocannabinoids allowed. Synthetic or chemically altered cannabinoids are prohibited. Low-THC products only (1% THC cap). |
| Processing Timeline | TCUP expansion to 15 licensees expected by April 2026. Application windows announced by DPS. |
| Notable Restrictions | This is NOT a standard cannabis processing license. TCUP is a low-THC medical program with severe restrictions. $488,520 for a 2-year license is the highest in the country. Maximum 15 dispensing organizations statewide. Vertical integration required (you grow, extract, and dispense). Products limited to low-THC cannabis (1% THC cap). Only patients with qualifying conditions through registered physicians can purchase. No recreational program exists. |
What most applicants get wrong: Texas is the most expensive and most restrictive extraction licensing environment in the country. The $488,520 license fee is just the beginning. You must vertically integrate (cultivation + extraction + dispensing at minimum), your products are capped at 1% THC, and the total market is limited to patients with specific qualifying conditions. The economics only work at scale, and the scale is capped by a small patient population relative to the state’s size. Most operators report years to profitability.
South Dakota
| Category | Details |
|---|---|
| Governing Agency | South Dakota Department of Health (DOH) |
| License Type | Cannabis Product Manufacturing Facility Registration |
| Application Fee | $5,000 |
| Annual License Fee | $5,000 (renewal) |
| Facility Requirements | Must submit detailed operating procedures for extraction methods, product formulation, packaging/labeling, quality control, and waste management. Solvent extraction requires documentation of specific solvents and compliance with residual solvent testing. Location must be 1,000+ feet from any school. |
| Background Check | Yes. All applicants must undergo background checks. |
| Residency Requirement | Yes. At least one principal officer must be a South Dakota resident. |
| Allowed Extraction Methods | All extraction methods permitted. Solvent-based methods require specific documentation of solvents used and residual solvent testing compliance. |
| Processing Timeline | Applications processed through DOH Medical Cannabis Program portal. |
| Notable Restrictions | Must be 21+. Must obtain all local permits. 1,000-foot school buffer zone. Detailed operating plans required before licensure. Manufacturing facilities produce concentrates, tinctures, topicals, and edibles from cannabis supplied by licensed cultivators. |
What most applicants get wrong: South Dakota’s $5,000 fee looks reasonable compared to most states, but do not confuse low fees with easy entry. The detailed operating procedure requirement means you need extraction SOPs, quality control protocols, and waste management plans documented before you apply. The DOH reviews these for technical adequacy. If your SOPs read like they were copied from a template, expect rejection or extensive revision requests.
Vermont
| Category | Details |
|---|---|
| Governing Agency | Vermont Cannabis Control Board (CCB) — ccb.vermont.gov |
| License Type | Manufacturer License: Tier 1 ($750, home-based, water/food/heat only, $50K revenue cap), Tier 2 ($2,500, same methods, no revenue cap), Tier 3 ($15,000, all methods including solvent-based) |
| Application Fee | $50 per employee cannabis ID card + $100 local licensing fee + $475 background check per principal (paid to Creative Services Inc.) |
| Annual License Fee | Tier 1: $750. Tier 2: $2,500. Tier 3: $15,000. |
| Facility Requirements | Must meet sanitary and safety standards per Agency of Agriculture, Food and Markets. Security plan required. Tier 3 (solvent-based) must comply with fire/safety codes for solvent handling per NEC/NFPA. Full testing: residual solvents, pesticides, potency, heavy metals. |
| Background Check | Yes. $475 per principal through Creative Services Inc. (CSI). Typically within 30 calendar days. |
| Residency Requirement | No general residency requirement. Non-residents can apply. Social Equity Program requires current VT residency. |
| Allowed Extraction Methods | Tier 1/2: Water, food-based (cooking fats, glycerin, propylene glycol, alcohol), heat/pressure (rosin). Tier 3: All above + solvent-based with CO2, ethanol, and approved solvents. Butane and hexane are BANNED even at Tier 3. |
| Processing Timeline | Several weeks to a few months. Background check ~30 days, CCB review ~14 days. No cap on manufacturing licenses. Check with CCB for current application status (cultivation/retail temporarily paused). |
| Notable Restrictions | Butane and hexane explicitly banned. Tier 1 capped at $50K revenue and must be home-based. Cultivation/retail applications temporarily paused (oversupply). No cap on manufacturing licenses. Adult-use sales began October 2022. |
What most applicants get wrong: The butane ban catches BHO operators by surprise. If your business plan involves hydrocarbon extraction, Vermont is not your market. CO2 and ethanol are your only solvent options at Tier 3. The tiered system is otherwise extremely accessible: Tier 1 lets you start a home-based rosin operation for $750/year. That is the lowest barrier to entry for cannabis manufacturing in the country.
Virginia
| Category | Details |
|---|---|
| Governing Agency | Virginia Cannabis Control Authority (CCA) cca.virginia.gov |
| License Type Covering Extraction | Medical: Pharmaceutical Processor Permit (vertically integrated — cultivation, extraction, dispensing) Adult-Use (launching 2026): Marijuana Processing Facility License — standalone processing/extraction license under HB 642. |
| Application Fee | Medical Pharmaceutical Processor: $18,000 Adult-Use Processor: Not yet finalized — CCA rulemaking pending (expected by September 2026) |
| Annual/Renewal License Fee | Medical Pharmaceutical Processor: $165,000 initial permit / $132,000 annual renewal Adult-Use Processor: Not yet finalized Pharmaceutical Processor dual-use conversion: $5,000,000 one-time fee (per HB 642) |
| Facility Requirements | Physical separation required between extraction, distillation, production, QC, packaging, and storage zones. Solvent-based operations must comply with NFPA fire codes. C1D1 rooms for volatile solvents. CCA will publish detailed facility standards in regulations by September 2026. |
| Background Check | Yes. Full background checks and fingerprinting required. Conducted after conditional approval. Felony convictions within past 5 years disqualify individuals from employment/agency at facilities. |
| Residency Requirement | No general residency requirement for standard adult-use processor applicants. Social equity (Impact License) applicants: preference for Virginia HBCU graduates and residents of economically distressed areas. |
| Allowed Extraction Methods | CO2, ethanol, volatile solvents (butane/propane) — all authorized for pharmaceutical processors. Solventless methods permitted. Specific adult-use extraction rules to be finalized in CCA regulations. |
| Processing Timeline | Adult-use applications open July 1, 2026. Retail sales targeted for January 1, 2027. Pharmaceutical processor dual-use applications: July 1–November 1, 2026. CCA detailed operational standards expected by September 2026. |
| Notable Restrictions / Recent Changes | HB 642 signed into law March 2026, establishing adult-use market. Up to 60 processing licenses statewide (no cap on processor count, but other license types capped). Processors cannot hold more than 5 total licenses. Cannot hold both processor and testing lab licenses. 10 mg THC serving cap. License transfers exceeding 49% interest prohibited for 5 years. This is a brand-new market — regulations still being drafted. |
Washington
Governing body: Washington State Liquor and Cannabis Board (LCB)
License types for extraction: Processor license covers drying, curing, processing, labeling, and packaging of cannabis, cannabis-infused products, and cannabis concentrates.
Fees: Contact LCB at cannabislicensing@lcb.wa.gov for current fee schedule. Fees are not published in a standard public format.
Facility requirements: LCB must approve processing methods and extraction chemicals before operations begin. Extraction methods using dangerous or combustible materials require LCB review of equipment certification and local Fire Marshal approval. All facilities subject to LCB inspection.
Allowed extraction methods: All methods available, but each must be individually approved by LCB. Volatile extraction requires additional equipment certification and Fire Marshal sign-off.
Key compliance requirements: Criminal background checks, financial source disclosure, and personal history evaluation for all applicants. Traceability through the state system. LCB reviews applications individually and may deny based on criminal history, false statements, or financial irregularities.
Application process: Currently not accepting new processor applications except through the Social Equity Program. Check LCB website for current application windows. When open, applications require background checks, business plans, and facility documentation.
What most applicants get wrong: Washington is functionally closed to new processor licenses outside social equity. Operators who plan to enter the Washington market through standard licensing are planning for a door that does not exist. The only current path is the Social Equity Program, which has its own eligibility criteria and limited slots.
Last updated: May 13, 2026
West Virginia
| Category | Details |
|---|---|
| Governing Agency | WV Department of Health, Bureau for Public Health, Office of Medical Cannabis (OMC) — omc.wv.gov |
| License Type | Grower/Processor Permit (combined cultivation + processing/extraction) |
| Application Fee | $5,000 (non-refundable) |
| Permit Fee | $50,000 initial (refundable if denied). $5,000 annual renewal per location. |
| Facility Requirements | Indoor, enclosed, secure facilities only. Cannot co-locate with a dispensary. 1,000-foot buffer from schools/daycare (waivers possible). Food-grade stainless steel surfaces. Environmental monitoring (temp, humidity, ventilation, lighting, water). Pest exclusion. Surveillance + restricted access. Excipients must be pharmaceutical grade and Bureau-approved. |
| Background Check | Yes. WV State Police + FBI. Fingerprints required for all principals, operators, financial backers, and employees. |
| Residency Requirement | No longer enforced. Originally 51% WV resident ownership, but following a US Supreme Court ruling on interstate commerce discrimination, the Bureau no longer enforces residency requirements. |
| Allowed Extraction Methods | Bureau approval required on a case-by-case basis. All excipients must be pharmaceutical grade. Allowed product forms: pills, oils, topical gels/creams, tinctures, liquids, dermal patches, dry leaf. Edibles are currently BANNED (HB 5260 pending in Senate to allow them). |
| Processing Timeline | Applications NOT accepted since February 2020. Market fully closed to new grower/processor entrants. Only lab testing applications continue. |
| Notable Restrictions | Medical only. Hard cap: 10 grower permits, 10 processor permits. Applications closed since Feb 2020. Edibles banned. 9 growers operational, ~66 dispensaries operational. Counties can ban cannabis businesses. No recreational use. |
What most applicants get wrong: West Virginia has been closed to new processor applicants since 2020 and shows no signs of reopening. The edible ban means your product line is limited to oils, tinctures, topicals, and patches. No gummies, no chocolates, no beverages. If HB 5260 passes, edibles open up, but the license cap means you still cannot enter without acquiring an existing permit. The pharmaceutical-grade excipient requirement also adds significant cost to extraction operations.
Quick Comparison Table: Fees At a Glance
| State | License Type | Application Fee | Annual License Fee | Residency | Accepting Apps? |
|---|---|---|---|---|---|
| Alaska | Concentrate/Product Manufacturer | $1,000 | $5,000–$7,000 | Yes (PFD resident) | Yes (rolling) |
| Arizona | Marijuana Establishment (vertical) | $25,000 | $5,000/yr | Yes (3-year) | Limited (social equity) |
| California | Type 6 (non-volatile) / Type 7 (volatile) | $1,000 | $2,000–$50,000 (tiered) | No | Yes |
| Colorado | Marijuana Products Manufacturer | $460 | $1,840 | No | Yes (local approval first) |
| Connecticut | Product Manufacturer | $750 (lottery) | $25,000/yr | No | Lottery-based (none active) |
| Delaware | Product Manufacturing Facility | $5,000 | $10,000/2yr | Yes | Closed (lottery completed) |
| Florida | MMTC (vertical integration) | $146,000 | $665,000/yr | Yes (5-year FL) | Limited |
| Hawaii | Dispensary License (vertical) | $5,000 | $75,000 initial; $50,000 renewal | Yes | Closed since 2016 |
| Illinois | Craft Grower (includes extraction) | $5,000 ($2,500 equity) | $40,000 ($20,000 equity) | Yes (IL resident) | Open periods only |
| Maine | Products Manufacturing Facility | $250 | Up to $2,500 | No (adult-use) | Yes |
| Maryland | Standard Processor | $5,000 | $50,000 | Yes | Limited/social equity |
| Massachusetts | Marijuana Product Manufacturer | $1,000 | $15,000+ | No | Yes |
| Michigan | Processor (+ hydrocarbon endorsement) | $3,000 | Regulatory assessment (varies) | No | Yes |
| Minnesota | Cannabis Manufacturer | $10,000 | $10,000 | No | Yes (opened 2025) |
| Missouri | Comprehensive Manufacturing | $3,000–$7,879 | $11,255/yr | Yes (1-year) | Yes (reopened Dec 2025) |
| Montana | Manufacturer License (tiered) | 20% of annual fee | $5,000–$20,000 (tiered) | Yes | Moratorium until 7/2027 |
| Nevada | Production Facility | $5,000 + costs | $10,000 | No | Yes |
| New Hampshire | ATC Registration (vertical) | $3,000 | Variable (assessed) | Yes | Closed (4 ATC cap) |
| New Jersey | Class 2 Manufacturer | $2,000 | $20,000–$30,000/yr | Yes (2-year) | Yes (rolling) |
| New Mexico | Cannabis Manufacturer (tiered) | $1,000 | $2,500/yr | No | Yes (open licensing) |
| New York | Adult-Use Processor | $1,000 | $3,500 (2-year) | No | Yes |
| Ohio | Processor | $10,000 | $90,000 | Yes (2-year) | Limited rounds |
| Oklahoma | Processor (hazardous/non-hazardous) | $2,500 | Tiered by volume | Yes (75% OK ownership) | Moratorium until Aug 2026 |
| Oregon | Processor | $4,750 | $3,500–$5,750 | No | Yes |
| Pennsylvania | Grower/Processor Permit | $10,000 | $200,000 initial; $10,000 renewal | Yes | Limited (25 cap) |
| Rhode Island | Cannabis Product Manufacturer | $7,500 | $4,500/yr | Yes (51% RI) | Limited (moratorium) |
| Vermont | Manufacturer License (tiered) | $50/employee | $750–$15,000 (tiered) | No | Yes |
| Virginia | Processor (adult-use TBD) | $18,000 (medical) | $165,000 (medical) | No | Medical only (expanding) |
| Washington | Processor | Varies | Varies | No | Social Equity only |
| West Virginia | Grower/Processor Permit | $5,000 | $50,000 initial; $5,000 renewal | Yes | Closed since 2020 |
Frequently Asked Questions
How much does a cannabis extraction license cost?
It depends entirely on the state. Colorado is the cheapest at $460 application and $1,840 annual license. Florida is the most expensive at $146,000 application, $5 million performance bond, and $1.33 million biennial renewal. Most states fall between $1,000 and $10,000 for the application and $2,000 to $50,000 for the annual license. Always budget for local jurisdiction fees on top of state fees, which can double or triple the total cost.
Can I get a standalone extraction license or do I need to grow too?
In California, Colorado, Oregon, Michigan, Massachusetts, New York, and Washington, standalone extraction/processor licenses exist. In Illinois, extraction is only permitted under Craft Grower or Cultivation Center licenses. In Florida, the MMTC license requires full vertical integration: cultivation, manufacturing, and dispensing. In Oklahoma, the processor license is standalone but the market is under moratorium until August 2026.
Do I need C1D1 classification for my extraction lab?
If you are using volatile solvents (butane, propane, hexane), every state requires some form of hazardous environment classification. California explicitly requires C1D1 for Type 7 operations. Other states reference NFPA 1, IFC, or local fire codes that effectively mandate the same standards. Non-volatile extraction (ethanol, CO2, mechanical) typically does not require C1D1 but still needs proper ventilation and safety systems. Budget $50,000 to $200,000+ for C1D1 buildout depending on room size and local requirements.
Which state is easiest to get an extraction license in?
Colorado has the lowest fees ($460 application) and a straightforward process if your local jurisdiction allows it. Michigan has a clear two-step process with no residency requirement. New York is affordable ($1,000 application, $3,500 license for 2 years) but the market is still developing. Oregon is open but the $4,750 non-refundable application makes it riskier if you are denied. The “easiest” state is the one where your target municipality explicitly allows cannabis manufacturing and has a clear permitting path.
What extraction methods require additional permits or certifications?
Hydrocarbon extraction (butane, propane) triggers additional requirements in every state: C1D1 classification (California), engineering certification (Oregon, New York), Fire Marshal approval (Washington, Colorado), or a separate endorsement (Michigan). CO2 extraction typically falls under standard commercial requirements. Ethanol extraction at scale may require additional ventilation and fire suppression depending on volumes and local codes. Mechanical methods (rosin, ice water hash) have the fewest additional requirements in all states.
How long does it take to get an extraction license?
Colorado: 45-90 days. Michigan: 3-6 months. Oregon: 60-120 days (on-site inspection after preliminary approval). California: 30-90 days for provisional, longer for annual. Massachusetts: 90 days for temporary license consideration. New York: varies as OCM builds infrastructure. Oklahoma: 90 business days (when moratorium lifts). Florida: 6-12+ months for MMTC. These timelines assume a complete application with no deficiencies. Incomplete applications can double or triple the timeline.
Ready to level up your extraction game? Contact WKU Consulting for personalized guidance on building your extraction lab.
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