Kentucky Statutes 218B.090 – Cabinet action on business license application — Denial — Procedures upon approval — Administrative hearing and judicial review. (Effective January 1, 2025)
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(1) The cabinet shall:
(a) Acknowledge receipt of an application for a cannabis business license within fifteen (15) days of receipt; and
(b) Provide notification to the cannabis business license applicant as to whether the application for a cannabis business license has been approved or denied within forty-five (45) days of receiving a completed application.
(2) The cabinet may deny an application for a cannabis business license for any reason that the cabinet, in the exercise of sound discretion, deems sufficient, including but not limited to:
(a) The applicant failed to submit the materials required by KRS § 218B.085, including if the applicant’s plans do not satisfy the security, oversight, or recordkeeping administrative regulations promulgated by the cabinet;
(b) The applicant falsifies information on the licensure application;
(c) The applicant would not be in compliance with local cannabis business prohibitions enacted pursuant to KRS § 218B.130;
(d) One (1) or more of the prospective principal officers or board members:
1. Has been convicted of a disqualifying felony offense, the provisions of
KRS § 335B.020 and KRS § 335B.030 notwithstanding;
2. Has served as a principal officer or board member for a cannabis business that has had its license revoked;
3. Is younger than twenty-one (21) years of age; or
4. Is a medicinal cannabis practitioner; or
(e) 1. For a safety compliance facility, one (1) or more of the prospective principal officers or board members is a principal officer or board member of a cultivator, processor, producer, or dispensary licensed to operate in Kentucky.
2. For a cultivator, processor, producer, or dispensary, one (1) or more of the prospective principal officers or board members is a principal officer or board member of a safety compliance facility licensed to operate in Kentucky.
(3) If a cannabis business license application is approved:
(a) The cannabis business shall, before it begins operations, submit its complete physical address and the global positioning system coordinates for any cultivation activities if a physical address or the global positioning system coordinates for any cultivation activities had not been finalized when it applied; and
(b) The cabinet shall:
1. Issue a copy of the license that includes the business’s identification
number to the approved cannabis business;
2. Provide a licensed dispensary with contact and access information for the electronic monitoring system established pursuant to KRS
218A.202; and
3. Provide notice of licensure approval and issuance to the city and county in which the cannabis business intends to operate.
(4) If a cannabis business license application is denied, the cabinet shall notify the applicant in writing of a license denial and reasons by registered or certified mail at the address given in the application or supplement. The applicant may, within thirty (30) days after the mailing of the cabinet’s notice, file a written request for an administrative hearing on the application. The hearing shall be conducted on the application in compliance with the requirements of KRS Chapter 13B. Final orders of the cabinet after administrative hearings shall be subject to judicial review as provided in KRS § 13B.140. Jurisdiction and venue for judicial review are vested in the Circuit Court of the county in which the applicant’s business would be located.
Effective: January 1, 2025
History: Created 2023 Ky. Acts ch. 146, sec. 17, effective January 1, 2025.
(a) Acknowledge receipt of an application for a cannabis business license within fifteen (15) days of receipt; and
Terms Used In Kentucky Statutes 218B.090
- Cabinet: means the Cabinet for Health and Family Services. See Kentucky Statutes 218B.010
- Cannabis business: means an entity licensed under this chapter as a cultivator, dispensary, processor, producer, or safety compliance facility. See Kentucky Statutes 218B.010
- Certified mail: means any method of governmental, commercial, or electronic delivery that allows a document or package to have proof of:
(a) Sending the document or package. See Kentucky Statutes 446.010 - City: includes town. See Kentucky Statutes 446.010
- Cultivator: means an entity licensed as such under KRS §. See Kentucky Statutes 218B.010
- Dispensary: means an entity licensed as such under KRS §. See Kentucky Statutes 218B.010
- Disqualifying felony offense: means :
(a) A felony offense that would classify the person as a violent offender under
KRS §. See Kentucky Statutes 218B.010 - Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
- Medicinal cannabis practitioner: means a physician or an advanced practice registered nurse who is authorized to prescribe controlled substances under KRS
314. See Kentucky Statutes 218B.010 - Oversight: Committee review of the activities of a Federal agency or program.
- Processor: means an entity licensed as such under KRS §. See Kentucky Statutes 218B.010
- Producer: means an entity licensed as such under KRS §. See Kentucky Statutes 218B.010
- Safety compliance facility: means an entity licensed as such under KRS §. See Kentucky Statutes 218B.010
- Venue: The geographical location in which a case is tried.
(b) Provide notification to the cannabis business license applicant as to whether the application for a cannabis business license has been approved or denied within forty-five (45) days of receiving a completed application.
(2) The cabinet may deny an application for a cannabis business license for any reason that the cabinet, in the exercise of sound discretion, deems sufficient, including but not limited to:
(a) The applicant failed to submit the materials required by KRS § 218B.085, including if the applicant’s plans do not satisfy the security, oversight, or recordkeeping administrative regulations promulgated by the cabinet;
(b) The applicant falsifies information on the licensure application;
(c) The applicant would not be in compliance with local cannabis business prohibitions enacted pursuant to KRS § 218B.130;
(d) One (1) or more of the prospective principal officers or board members:
1. Has been convicted of a disqualifying felony offense, the provisions of
KRS § 335B.020 and KRS § 335B.030 notwithstanding;
2. Has served as a principal officer or board member for a cannabis business that has had its license revoked;
3. Is younger than twenty-one (21) years of age; or
4. Is a medicinal cannabis practitioner; or
(e) 1. For a safety compliance facility, one (1) or more of the prospective principal officers or board members is a principal officer or board member of a cultivator, processor, producer, or dispensary licensed to operate in Kentucky.
2. For a cultivator, processor, producer, or dispensary, one (1) or more of the prospective principal officers or board members is a principal officer or board member of a safety compliance facility licensed to operate in Kentucky.
(3) If a cannabis business license application is approved:
(a) The cannabis business shall, before it begins operations, submit its complete physical address and the global positioning system coordinates for any cultivation activities if a physical address or the global positioning system coordinates for any cultivation activities had not been finalized when it applied; and
(b) The cabinet shall:
1. Issue a copy of the license that includes the business’s identification
number to the approved cannabis business;
2. Provide a licensed dispensary with contact and access information for the electronic monitoring system established pursuant to KRS
218A.202; and
3. Provide notice of licensure approval and issuance to the city and county in which the cannabis business intends to operate.
(4) If a cannabis business license application is denied, the cabinet shall notify the applicant in writing of a license denial and reasons by registered or certified mail at the address given in the application or supplement. The applicant may, within thirty (30) days after the mailing of the cabinet’s notice, file a written request for an administrative hearing on the application. The hearing shall be conducted on the application in compliance with the requirements of KRS Chapter 13B. Final orders of the cabinet after administrative hearings shall be subject to judicial review as provided in KRS § 13B.140. Jurisdiction and venue for judicial review are vested in the Circuit Court of the county in which the applicant’s business would be located.
Effective: January 1, 2025
History: Created 2023 Ky. Acts ch. 146, sec. 17, effective January 1, 2025.