Bill > HB1346

This bill aims to remove barriers to Washington's cannabis industry by making several key changes to existing cannabis licensing and investment regulations. The legislation eliminates the previous residency requirement for cannabis business owners, allowing non-Washington residents to invest in and own cannabis businesses. Specifically, the bill requires that only owners with more than 10 percent ownership must qualify for and be named on a license, with owners holding 10 percent or less ownership simply needing to be disclosed to the board. The bill also introduces provisions for additional licensing fees to cover investigation costs for non-resident owners. Additionally, the legislation addresses oversupply issues by implementing a suspension of inactive cannabis producer licenses between July 2023 and December 2024, with these licenses to be automatically reissued once federal law allows interstate cannabis transfer. The bill's underlying rationale is to create a more competitive and accessible cannabis market, bringing Washington's regulations more in line with other states that have legalized cannabis. The legislation aims to support smaller businesses by expanding access to investment capital while maintaining strict regulatory oversight and transparency requirements. The new rules will take effect on January 1, 2026, giving businesses and regulators time to prepare for the changes.

Business and Industry

https://app.leg.wa.gov/billsummary?BillNumber=1346&Year=2025&Initiative=false