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Cannabis regulator builds reference lab, warns of hemp loopholes and licensing strain as industry expands
Summary
The Cannabis Regulatory Agency told a House subcommittee it is building a state reference laboratory and requested rule changes to restore summary-suspension authority after legal challenges, while flagging novel intoxicating hemp-derived products created under the 2018 Farm Bill as an emerging public-health risk.
At a meeting of the Michigan House Operations subcommittee on Licensing and Regulatory Affairs, Cannabis Regulatory Agency (CRA) Executive Director Brian Hanna described rapid growth in Michigan’s regulated cannabis market, new enforcement and oversight work and the agency’s plan to open a state reference laboratory to support testing, investigations and public-safety work.
Hanna said the CRA now oversees more than 4,000 business licenses and added nine FTEs in fiscal 2025 to handle inspection, disciplinary and customer-service demands following an August 2023 Office of the Attorney General audit that flagged timeliness concerns. The CRA’s operating expenses are paid from restricted funds — application, license and renewal fees tied to statutory programs — not the general fund.
“We have now over 4,000 business licenses in the state of Michigan,” Hanna said, describing exponential license growth since 2021. He said more licenses have produced more…
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