The Massachusetts House of Representatives has advanced a sweeping bill titled “An Act Modernizing the Commonwealth’s Cannabis Laws”, securing unanimous approval on June 5. This legislation, now awaiting Senate review, aims to comprehensively reform cannabis regulation across several key fronts — including governance, licensing, equity, hemp oversight, and medical access.
Governance Overhaul
A primary focus of the bill is a restructure of the Cannabis Control Commission (CCC). It would replace the current five-member board, jointly appointed and led by the treasurer-selected chair, with a streamlined body comprised of a full-time chair and two part-time associate commissioners, all appointed by the governor. Legislators assert this change will enhance accountability and resolve longstanding issues of dysfunction. An Inspector General review had previously called the CCC “rudderless” amid internal strife and leadership turnover; it also highlighted the removal of then‑chair Shannon O’Brien following allegations of gross misconduct.
Retail & Licensing Expansion
The license cap for cannabis retailers would increase from three to six per operator over a three-year period, drawing criticism that it may favor corporate players. Proponents, however, argue that it will improve financial viability and exit strategy options—such as transitioning businesses to employee ownership. Additionally, the legislation would double the daily purchase limit for recreational consumers from one ounce to two ounces of cannabis flower.
Decoupling Medical Cannabis
Under current state law, medical cannabis dispensaries must be vertically integrated—growing, processing, and selling under one license. The proposed bill would allow retail-only medical dispensaries, removing that requirement. Supporters believe this change will lower entry barriers and enhance patient access.
Investment, Equity, and Small-Business Concerns
The bill would raise the cap on outside investment in cannabis businesses from 9% to 35%, with some advocating for even higher thresholds to maintain founder control. Yet social‑equity advocates argue the measures could disproportionately favor larger industry players. As Shanel Lindsay of Equitable Opportunities Now warns, “This bill is a gift to corporate cannabis and a death sentence for local and social equity businesses.”
Hemp Regulation & Public Health
Addressing regulatory loopholes in hemp-derived products, the bill would instagate new oversight on hemp-based beverages—imposing a 5.35% sales tax and limiting sales to licensed cannabis retailers, effectively removing them from convenience stores. Officials cite rising concerns around product consistency, safety testing, and youth accessibility .
Responding to Industry Pressures
Despite setting a new record with over $1.64 billion in cannabis sales last year, Massachusetts faces significant challenges—chief among them oversupply and regional competition. Proponents insist that without legislative updates, these market stresses will intensify.
What Comes Next
Following the House’s approval, the bill proceeds to the Senate, where a timetable for action has not yet been established. With stakeholders from regulators to small business owners calling for immediate reform, momentum appears to favor rapid resolution .
Bottom line: Massachusetts lawmakers are attempting a bold recalibration of the cannabis sector—shifting regulatory structures, expanding market opportunities, and tightening oversight on hemp products. The outcome in the Senate will determine whether these measures solidify into law.
Dabbin-Dad Newsroom