Nevada Cannabis Compliance Board grants conditional license to Sunflower Compassionate, approves ownership transfers and authorizes disciplinary complaint

CARSON CITY, Nev. — The Nevada Cannabis Compliance Board on Aug. 21 voted to grant a conditional independent consumption-lounge license to Sunflower Compassionate Company LLC, approved related and separate transfers of ownership, and authorized the executive director to serve a disciplinary complaint in an anonymized enforcement matter.

Sunflower, a social-equity applicant led by Rachel Lee, received board approval for conditional licensure for a consumption lounge in Clark County after staff said the application met requirements to move to that status. Chief of Investigations David Staley told the board the applicants still must obtain any necessary local approvals and pass a final inspection by the CCB before opening. "Sunflower has submitted all information required to move to a conditional license status," Staley said.

Why it matters: The approved lounge is a social-equity project that board members and the applicants framed as emphasizing medicinal uses and community education in an area affected by opioid and stimulant overdose. The board also approved three transfers of interest and limited regulatory waivers tied to those transfers, a routine but consequential step for ownership and operational oversight in Nevada’s regulated market.

Sunflower presentation and board discussion

Owner Rachel Lee told the board she entered the cannabis industry initially to explore CBD for her mother. "My mother is in her fourteenth year with Alzheimer's disease because she used the cannabis plant along with her medications," Lee said, describing her experience as a motivation for a wellness-focused lounge. Lee described a plan for separate smoking and non-smoking spaces and community education on alternatives to harder drugs.

Investor Celeste Rodriguez, who Lee said will acquire part of Sunflower through affiliated companies, described herself as a 13-year industry participant and a "social equity advocate" focused on empowering owners and building "generational wealth and knowledge." Rodriguez told the board she and other partners intend to be financial investors and not to perform day-to-day operational roles.

Board member discussion included a public-health and research angle. Board member General Berry asked whether Sunflower planned any research or educational program to demonstrate medicinal impacts and how the lounge would educate the community. Lee and Rodriguez said they plan to include educational material in the lounge and on their website and to partner with community groups and nonprofits to distribute information about alternatives to fentanyl and methamphetamine use.

Board action and related transfers

The board voted to approve the conditional license for Sunflower Compassionate Company LLC (application ACON-A22-0046). Member Maserana moved the approval; Member Merritt seconded. The motion carried on an affirmative voice vote.

Separately under the meeting’s transfer-of-interest agenda (item 5), the board approved three transfer applications: - Sunflower Compassionate Company LLC requested approval to sell a combined 49% ownership to Greenhouse Group Inc. and Greenhouse Management Group LLC (TOI numbers 25001 and 25002). Staff reported the incoming parties described their involvement as exclusively financial. The board also approved a limited waiver of NCCR 5.11 pursuant to 5.112 for transfers of less than 5%, conditioned to expire on Sunflower’s next TOI agenda date. - Urban Hills LLC’s Sparks cultivation license transfer to Calyxt Inc. (TOI number 2400044) was approved; staff reported no areas of concern and recommended a similarly time-limited waiver of NCCR 5.11 for transfers under 5%. - CPCM Holdings LLC requested an internal restructuring for estate-planning purposes (TOI number 2500023); the board approved the internal transfer of an owner’s interest into a trust and a co-trustee addition, and approved a time-limited NCCR 5.11 waiver.

Chief Staley and staff told the board they had vetted the applicants and recommended approval on the three TOI items. Each transfer was approved on separate motions; each motion carried without recorded opposition.

Enforcement action authorized

On agenda item 3 the board considered a proposed complaint prepared by the Office of the Attorney General under NRS 678A.510. Staley summarized that the proposed complaint (which did not name the respondent in the board packet) alleged three Category 3 violations and three Category 5 violations against an entity listed as Respondent A. He said the attorney general had reviewed the violations and recommended proceeding. The board may decline to proceed, authorize settlement negotiations, or proceed with disciplinary action; the board voted to authorize the executive director to serve the complaint and proceed with disciplinary action. Staley said the complaint will be served within a reasonable time and, once served, will be posted on the CCB website. The board’s vote to proceed also preserves the respondent’s ability to negotiate a settlement at any time.

Other business and next steps

The board approved a unanimous consent agenda at the start of the meeting covering July minutes and deadline extensions for inspections and document submissions. Chair Guzman Fralick thanked the legislature for the meeting space and noted board member reappointments; director and staff briefings emphasized ongoing regulatory work and upcoming workshops. The CCB’s next regular meeting date was set for Sept. 18, 2025.

Votes at a glance

- Consent agenda (July minutes; inspection and document-deadline extensions): approved (voice vote). 4 yes, 0 no, 1 absent. - Agenda item 3 — authorize executive director to serve disciplinary complaint (NRS 678A.510 matters): approved (voice vote). 4 yes, 0 no, 1 absent. - Agenda item 4 — conditional independent consumption lounge license for Sunflower Compassionate Company LLC (ACON-A22-0046): approved (motion by Member Maserana; second by Member Merritt). 4 yes, 0 no, 1 absent. - Agenda item 5a — Sunflower TOI (TOI 25001, 25002) and limited waiver of NCCR 5.11/5.112 (waiver to expire on next TOI agenda date): approved. 4 yes, 0 no, 1 absent. - Agenda item 5b — Urban Hills LLC TOI (TOI 2400044) transferring Sparks cultivation license to Calyxt/Calyxt-related entity; limited waiver approved: approved. 4 yes, 0 no, 1 absent. - Agenda item 5c — CPCM Holdings internal restructuring (TOI 2500023) for estate-planning, limited waiver approved: approved. 4 yes, 0 no, 1 absent.

The board recorded no roll-call vote breakdown beyond voice approvals; votes were recorded as "aye" with no opposition noted in the meeting transcript. The board directed staff to issue written orders or notices memorializing the approvals and waivers.

A copy of the Sunflower presentation was requested by a board member; Sunflower representatives invited the board to a future grand-opening event when final local approvals and inspections are complete.