Missouri Cannabis Laws

The Missouri Department of Health and Senior Services (DHSS) is in charge of reviewing applications and approving patient and dispensary licenses.

There are specific medical and comprehensive cannabis licenses available in Missouri for cultivation, dispensary, manufacturing, testing, and transportation. As of April 12th, applications for only Transportation and Seed to Sale licenses applications are the only facility applications that are currently open.

Missouri has also introduced two types of Microbusiness Licenses: Wholesale Facility and Dispensary Facility, to help individuals and small businesses enter the cannabis market. The MSDH will issue 48 microbusiness licenses in 2024 and another 48 in 2025.

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Missouri offers certifications and licenses as either Medical or Comprehensive in nature. Comprehensive facility licenses allow businesses to deal in both medical and adult-use (recreational) cannabis.

The Missouri State Department of Health (MSDH) is currently not accepting any new dispensary licenses. DHSS has not announced when the next round of applications will be accepted but is expected to publish any new application timelines at least 6 months in advance of the next window.

Applications for microbusiness facilities will open on April 15, 2024.

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Applicants for commercial licenses must be Missouri residents with proof of residency for at least 1 year. Entities must be majority-owned by natural persons who have been citizens of Missouri for at least 1 year and do not claim resident privileges in another state or county.

No facility can be owned in any part by or employ anyone with a disqualifying felony offense. Applications must include a statement confirming all owners, principal officers, and managers have submitted fingerprints and undergone a criminal background check by the Missouri State Highway Patrol within the past 6 months.

Section 19 CSR 100-1.060 of the Division of Cannabis Regulation lists all the documents required in the application process.

With the number of applicants generally more than the number of licenses available, the DHSS uses a scoring and ranking system to determine the most suitable candidates. Here are some of the criteria they use:

• The character and qualifications of the principal officers or managers
• The business plan, including safety, security, supply, low-income patient solutions, and black market diversion measures
• Dispensary site security
• Previous experience in a legal cannabis market
• Potential for positive economic impact in the community
• Capacity or experience with health care, and the suitability and accessibility of the location for patients
• A plan to maintain competitiveness in the medical marijuana market

As of April 2024, the cost of a Comprehensive License for a Dispensary Facility is $7,420.00 for new applicants. Renewal and annual fees are between $7,420 to $10,600.

There is a $6,000 non-refundable application fee and a $10, 000 annual fee for your dispensary license.

Up to 5 dispensary licenses, or 3 cultivation licenses, or 3 manufacturing licenses may be issued to “any entity under substantially common control, ownership, or management.”

Microbusiness licenses are limited to just one per individual or entity.

Each owner, officer, manager, contractor, employee or support staff must obtain an Agent Identification Card with a unique identifying number. This must be granted before any individual can begin employment. You can apply for this ID card through the DHSS for a fee of $75, and it is valid for 3 years.

Adults over the age of 21, medical patients over the age of 18, and Primary Caregivers with a valid DHSS-issued ID card can purchase from a dispensary in Missouri.

Missouri regulations state that your facility must be at least 1,000 feet from an elementary or secondary school, daycare, or church. This is measured by a straight line (shortest distance) from the closest external wall of the dispensary to the closest property line point of the school, daycare, or church. Individual districts can increase these boundaries.

Cannabis dispensaries in Missouri can sell mature plants, seedlings, concentrates, flower, and edibles.

A dispensary cannot sell more than four (4) ounces of dried, unprocessed cannabis, or its equivalent, to any qualifying patient within a 30-day period, in accordance with possession limits for individuals.

Labeling and packaging requirements for cannabis products in Missouri are laid out in the Missouri Code of Regulations Section 19 CSR 100-1.120. Key highlights from the section include:

• All marijuana products must be produced, packaged, and labeled in a manner that protects public health and is not attractive to children.
• Guidelines on product and packaging design, prohibition of false or misleading labeling, and requirements for resealable, opaque, and child-resistant packaging.
• Labels must prominently display the word "Marijuana" and a universal symbol indicating THC content.
• Labeling must include information such as active ingredients, servings per package, best if used by date, license number, testing results, and usage instructions.
• Packaging designs, labels, and product designs must be submitted to the department for approval before use.
• Violations of these requirements may result in department sanctions or penalties.

Adult-use cannabis dispensaries in Missouri are required to collect a 6% sales tax on the retail sale of marijuana.

For medical dispensaries, the sales tax is set at 4%, with the revenue to be distributed to healthcare services, job training, housing assistance, and other services for veterans.

Advertising and marketing for cannabis products have certain limitations that businesses must abide by. These are covered in the Missouri Code of Regulations Section 19 CSR 100-1.100. Key highlights from the section include:

• Compliance with all applicable municipal ordinances, state laws, and rules regulating signs and advertising.
• Prohibition of false or misleading representations regarding the curative or therapeutic effects of marijuana, unless approved by the FDA.
• Restriction on content that may be attractive to children, such as animal or fruit shapes, realistic, artistic, caricature, or cartoon renderings.
• Ensuring consistency between statements in advertisements and labeling.
• Compliance with local ordinances for outdoor and visible interior signage.
• Use of accurate licensee names in exterior signage or advertising.

All dispensaries must appoint, in writing, a facility agent who is generally responsible for inventory control systems and procedures. All medical marijuana weighed or measured must be done so using a National Type Evaluation Program approved scale, which must be calibrated at least once a year. Each dispensary must use a DHSS-certified seed-to-sale tracking system.

Physical inventory counts are to be conducted quarterly and reconciled to perpetual inventory records. Any significant variances must be documented, investigated by a manager, and reported to DHSS within 24 hours.

Inventory control, reporting requirements, and Seed-to-Sale tracking guidelines are spelled out in Section 19 CSR 100-1.130 of the Missouri Code of Regulations. The main takeaways for dispensaries are as follows:

Editor’s Note: Missouri has chosen Metrc as its track and trace system. Cova software is fully compatible with Metrc and will integrate directly to reduce time and errors in the reporting process, making compliance easier for dispensaries.

• Dispensaries must record daily inventory, sales, acquisitions, and other prescribed data in the statewide track and trace system, ensuring all fields are completed accurately.
• Discrepancies in inventory must be documented, investigated, and reported to the department within 24 hours, preventing unexplained adjustments in inventory records.
• Monthly physical inventory reports, including adjustments and reasons, must be reconciled with the track and trace system, ensuring accuracy and transparency in inventory management.
• Suspected criminal activity by facility agents must be reported to the department and law enforcement within 24 hours, maintaining compliance and addressing potential illegal activities promptly.
• All sales or disbursements of marijuana products to consumers or patients must be immediately recorded in the track and trace system, specifying amounts in grams for various product types.
• In case of system failure or loss of connection with the track and trace system, dispensaries must cease tracked activities and report the issue to the department within three hours, ensuring accurate data recording and system integrity.
• Licensees shall maintain all records required by Section 19 CSR 100-1.130 for at least 5 years

Also Read: Top 4 Reasons Why Your Cannabis POS Must Support Offline Mode

The Missouri Department of Health and Senior Services will have oversight and auditing powers over all of Missouri’s commercial medical marijuana operations.

TA failure to comply with seed-to-sale tracking requirements by any facility or employee can result in the facility’s license being revoked.

Yes, Cova’s Cannabis Dispensary POS Software was one of the first seed-to-sale compliant POS systems to be certified by Missouri's DHSS.

Dispensaries in Missouri (and the rest of the United States) rely on Cova’s Cannabis Dispensary POS Software and inventory management system to always stay ahead of compliance with advanced features, including:

• ID scanner for age and card verification
• Integrated inventory and sales tracking and reporting
• Built-in product equivalency conversions and purchase limit enforcement.
• Cova will be integrated with Metrc, the statewide track-and-trace system, to provide all required information for inventory control and tracking.
• Allows DHSS access to all system database information.
• Maintains confidentiality of all patient data and records by restricting access to only the department and other entities authorized by law.
• Produces reports to DHSS that include all required sales and inventory analytics.