Retail marijuana store license - rules - definitions.

Checkout our iOS App for a better way to browser and research.

(1) (a) A retail marijuana store license may be issued only to a person selling retail marijuana or retail marijuana products pursuant to the terms and conditions of this article 10.

  1. A retail marijuana store may cultivate its own retail marijuana if it obtains a retailmarijuana cultivation facility license, or it may purchase retail marijuana from a licensed retail marijuana cultivation facility.

  2. A retail marijuana store shall not accept any retail marijuana purchased from a retailmarijuana cultivation facility unless the retail marijuana store is provided with evidence that any applicable excise tax due, pursuant to article 28.8 of title 39, was paid.

  3. The retail marijuana store shall track all of its retail marijuana and retail marijuanaproducts from the point that they are transferred from a retail marijuana cultivation facility or retail marijuana products manufacturer to the point of sale.

(2) (a) Notwithstanding the provisions of this section, a retail marijuana store licensee may also sell retail marijuana products that are prepackaged and labeled as required by rules of the state licensing authority pursuant to section 44-10-203 (2)(f) and (3)(b).

  1. A retail marijuana store licensee may transact with a retail marijuana products manufacturer licensee for the purchase of retail marijuana products upon a retail marijuana products manufacturer licensee's licensed premises or a retail marijuana store's licensed premises.

  2. A retail marijuana store may sell retail marijuana and retail marijuana products to aretail marijuana hospitality and sales business licensee.

(3) (a) (I) A retail marijuana store may not sell more than one ounce of retail marijuana or its equivalent in retail marijuana products, including retail marijuana concentrate, except for nonedible, nonpsychoactive retail marijuana products, including ointments, lotions, balms, and other nontransdermal topical products, during a single transaction to a person.

(II) As used in this subsection (3)(a), "equivalent in retail marijuana products" has the same meaning as established by the state licensing authority by rule pursuant to section 44-10203 (4).

(b) (I) Prior to initiating a sale, the employee of the retail marijuana store making the sale shall verify that the purchaser has a valid identification card showing the purchaser is twenty-one years of age or older. If a person under twenty-one years of age presents a fraudulent proof of age, any action relying on the fraudulent proof of age shall not be grounds for the revocation or suspension of any license issued under this article 10.

(II) (A) If a retail marijuana store licensee or employee has reasonable cause to believe that a person is under twenty-one years of age and is exhibiting fraudulent proof of age in an attempt to obtain any retail marijuana or marijuana product, the licensee or employee is authorized to confiscate such fraudulent proof of age, if possible, and shall, within seventy-two hours after the confiscation, remit to a state or local law enforcement agency. The failure to confiscate such fraudulent proof of age or to remit to a state or local law enforcement agency within seventy-two hours after the confiscation does not constitute a criminal offense.

(B) If a retail marijuana store licensee or employee believes that a person is under twenty-one years of age and is exhibiting fraudulent proof of age in an attempt to obtain any retail marijuana or retail marijuana product, the licensee or employee or any peace or police officer, acting in good faith and upon probable cause based upon reasonable grounds therefor, may detain and question such person in a reasonable manner for the purpose of ascertaining whether the person is guilty of any unlawful act regarding the purchase of retail marijuana. The questioning of a person by an employee or a peace or police officer does not render the licensee, the employee, or the peace or police officer civilly or criminally liable for slander, false arrest, false imprisonment, malicious prosecution, or unlawful detention.

(c) (I) A retail marijuana store that sells an industrial hemp product shall ensure that the industrial hemp product has passed all testing required by rules promulgated by the state licensing authority pursuant to section 44-10-203 (2)(d). Prior to taking possession of the industrial hemp product, a retail marijuana store shall verify the industrial hemp product passed all testing required for retail marijuana products at a licensed retail marijuana testing facility and that the person transferring the industrial hemp product has received a registration from the department of public health and environment pursuant to section 25-5-426.

(II) Absent sampling and testing standards established by the department of public health and environment for the sampling and testing of an industrial hemp product, a person transferring an industrial hemp product to a retail marijuana store pursuant to this section shall comply with sampling and testing standards consistent with those established by the state licensing authority pursuant to this article 10. The state licensing authority shall report to the department of public health and environment any investigations or findings of violations of this section by a person registered pursuant to section 25-5-426.

  1. A retail marijuana store may provide, except as required by section 44-10-203 (2)(d),a sample of its products to a facility that has a marijuana testing facility license from the state licensing authority for testing and research purposes. A retail marijuana store shall maintain a record of what was provided to the testing facility, the identity of the testing facility, and the results of the testing.

  2. All retail marijuana and retail marijuana products sold at a licensed retail marijuanastore shall be packaged and labeled as required by rules of the state licensing authority pursuant to section 44-10-203 (2)(f) and (3)(b).

  3. A licensed retail marijuana store shall comply with all provisions of article 34 of title24, as the provisions relate to persons with disabilities.

  4. (a) A licensed retail marijuana store may only sell retail marijuana, retail marijuana products, marijuana accessories, nonconsumable products such as apparel, and marijuana related products such as childproof packaging containers, but is prohibited from selling or giving away any consumable product, including but not limited to cigarettes or alcohol, or edible product that does not contain marijuana, including but not limited to sodas, candies, or baked goods; except that a retail marijuana store may sell industrial hemp products.

  1. A licensed retail marijuana store may not sell any retail marijuana or retail marijuanaproducts that contain nicotine or alcohol, if the sale of the alcohol would require a license pursuant to article 3 or 4 of this title 44.

  2. A licensed retail marijuana store shall not sell retail marijuana or retail marijuanaproducts over the internet nor deliver retail marijuana or retail marijuana products to a person not physically present in the retail marijuana store's licensed premises.

  1. The premises of a licensed retail marijuana store is the only place where an automatic dispensing machine that contains retail marijuana or retail marijuana products may be located. If a licensed retail marijuana store uses an automatic dispensing machine that contains retail marijuana and retail marijuana products, it must comply with the regulations promulgated by the state licensing authority for its use.

  2. Retail marijuana or retail marijuana products may not be consumed on the premisesof a retail marijuana store.

  3. Notwithstanding any other provision of state law, sales of retail marijuana and retailmarijuana products are not exempt from state or local sales tax.

  4. A display case containing marijuana concentrate must include the potency of themarijuana concentrate next to the name of the product.

  5. Notwithstanding any other provision of law to the contrary, a licensed retail marijuana store may compensate its employees using performance-based incentives, including sales-based performance-based incentives.

  6. (a) (I) There is authorized a retail marijuana delivery permit to a retail marijuana store license authorizing the permit holder to deliver retail marijuana and retail marijuana products.

  1. A retail marijuana delivery permit is valid for one year and may be renewed annually upon renewal of the retail marijuana store license or retail marijuana transporter license.

  2. A retail marijuana delivery permit issued pursuant to this section applies to only oneretail marijuana store; except that a single retail marijuana delivery permit may apply to multiple retail marijuana stores if the retail marijuana stores are in the same local jurisdiction and are identically owned, as defined by the state licensing authority for purposes of this section.

  3. The state licensing authority may issue a retail marijuana delivery permit to a qualified applicant, as determined by the state licensing authority, that holds a retail marijuana store license issued pursuant to this article 10. A permit applicant is prohibited from delivering retail marijuana and retail marijuana products without state and local jurisdiction approval. If the applicant does not receive local jurisdiction approval within one year from the date of the state licensing authority approval, the state permit expires and may not be renewed. If an application is denied by the local licensing authority, the state licensing authority shall revoke the stateissued permit. The state licensing authority has discretion in determining whether an applicant is qualified to receive a retail marijuana delivery permit. A retail marijuana delivery permit issued by the state licensing authority is deemed a revocable privilege of a licensed retail marijuana store or retail marijuana transporter licensee. A violation related to a retail marijuana delivery permit is grounds for a fine or suspension or revocation of the delivery permit or retail marijuana store license.

  1. A retail marijuana store licensee shall not make deliveries of retail marijuana or retailmarijuana products to individuals while also transporting retail marijuana or retail marijuana products between licensed premises in the same vehicle.

  2. The licensed retail marijuana store shall charge a one-dollar surcharge on each delivery. The licensed retail marijuana store shall remit the surcharges collected on a monthly basis to the municipality where the licensed retail marijuana store is located, or to the county if the licensed retail marijuana store is in an unincorporated area, for local law enforcement costs related to marijuana enforcement. Failure to comply with this subsection (13)(c) may result in nonrenewal of the retail marijuana delivery permit.

  3. A licensed retail marijuana store with a retail marijuana delivery permit may deliverretail marijuana and retail marijuana products only to the individual who placed the order and who:

  1. Is twenty-one years of age or older;

  2. Receives the delivery of retail marijuana or retail marijuana products pursuant torules; and

  3. Possesses an acceptable form of identification.

  1. Any person delivering retail marijuana or retail marijuana products must possess avalid occupational license and be a current employee of the licensed retail marijuana store or retail marijuana transporter licensee with a valid retail marijuana delivery permit; must have undergone training regarding proof-of-age identification and verification, including all forms of identification that are deemed acceptable by the state licensing authority; and must have any other training required by the state licensing authority.

  2. In accordance with this subsection (13) and rules adopted to implement this subsection (13), a licensed retail marijuana store with a valid retail marijuana delivery permit may:

  1. Receive an order through electronic or other means for the purchase and delivery ofretail marijuana or retail marijuana products. When using an online platform for marijuana delivery, the platform must require the individual to choose a retail marijuana store before viewing the price.

  2. Deliver retail marijuana or retail marijuana products not in excess of the amountsestablished by the state licensing authority;

  3. Deliver only to an individual at the address provided in the order;(IV) Deliver no more than once per day to the same individual or residence; (V) (A) Deliver only to private residences.

(B) For purposes of this section, "private residences" means private premises where a person lives, such as a private dwelling place or place of habitation, and specifically excludes any premises located at a school or on the campus of an institution of higher education, or any other public property.

  1. Deliver retail marijuana or retail marijuana products only by a motor vehicle thatcomplies with this section and the rules promulgated pursuant to this section and section 44-10203 (2)(dd); and

  2. Use an employee to conduct deliveries, or contract with a retail marijuana transporter that has a valid retail marijuana delivery permit to conduct deliveries on its behalf, from its retail marijuana store or its associated state licensing authority-authorized storage facility as defined by rule.

(g) (I) At the time of the order, the retail marijuana store shall require the individual to provide information necessary to verify the individual is at least twenty-one years of age. The provided information must, at a minimum, include the following:

  1. The individual's name and date of birth;

  2. The address of the residence where the order will be delivered; and(C) Any other information required by state licensing authority rule.

(II) Prior to transferring possession of the order to an individual, the person delivering the order shall inspect the individual's identification and verify that the information provided at the time of the order matches the name and age on the individual's identification.

(h) (I) Unless otherwise provided by the state licensing authority by rules promulgated pursuant to this article 10, all requirements applicable to other licenses issued pursuant to this article 10 apply to the delivery of retail marijuana and retail marijuana products, including but not limited to inventory tracking, transportation, and packaging and labeling requirements.

(II) The advertising regulations and prohibitions adopted pursuant to section 44-10-203 (3)(a) apply to retail marijuana delivery operations pursuant to this subsection (13).

  1. It is not a violation of any provision of state, civil, or criminal law for a licensed retailmarijuana store or retail marijuana transporter licensee with a valid retail marijuana delivery permit, or such person who has made timely and sufficient application for the renewal of the permit, or its licensees to possess, transport, and deliver retail marijuana or retail marijuana products pursuant to a retail marijuana delivery permit in amounts that do not exceed amounts established by the state licensing authority.

  2. A local law enforcement agency may request state licensing authority reports, including complaints, investigative action, and final agency action orders, related to criminal activity materially related to retail marijuana delivery in the law enforcement agency's jurisdiction, and the state licensing authority shall promptly provide any reports in its possession for the law enforcement agency's jurisdiction.

  3. (I) Notwithstanding any provisions of this section, delivery of retail marijuana orretail marijuana products is not permitted in any municipality, county, or city and county unless the municipality, county, or city and county, by either a majority of the registered electors of the municipality, county, or city and county voting at a regular election or special election called in accordance with the "Colorado Municipal Election Code of 1965", article 10 of title 31, or the "Uniform Election Code of 1992", articles 1 to 13 of title 1, as applicable, or a majority of the members of the governing board for the municipality, county, or city and county, vote to allow the delivery of retail marijuana or retail marijuana products pursuant to this section.

(II) An ordinance adopted pursuant to subsection (13)(k)(I) of this section may prohibit delivery of retail marijuana and retail marijuana products from a retail marijuana store that is outside a municipality's, county's, city's, or city and county's jurisdictional boundaries to an address within its jurisdictional boundaries.

  1. Notwithstanding any provisions of this section, delivery of retail marijuana or retailmarijuana products is not permitted at any school or on the campus of any institution of higher education.

  2. The state licensing authority shall begin issuing retail marijuana delivery permits toqualified retail marijuana store applicants on, but not earlier than, January 2, 2021.

  1. An accelerator store licensee may operate on the premises of a retail marijuana storelicensee if before each accelerator store licensee operates, the retail marijuana store licensee has its premises endorsed pursuant to rule and each accelerator store licensee is approved to operate on that premises.

  2. A retail marijuana store licensee that hosts an accelerator store licensee may, pursuant to rule, provide technical and compliance assistance to an accelerator store licensee operating on its premises. A retail marijuana store licensee that hosts an accelerator store licensee may, pursuant to rule, provide capital assistance to an accelerator store licensee operating on its premises.

  3. A retail marijuana store, pursuant to rule and the state licensing authority discretion,may be eligible for incentives available through the department of revenue or the office of economic development and international trade, including but not limited to a reduction in application or license fees.

Source: L. 2019: Entire article added with relocations, (SB 19-224), ch. 315, p. 2903, §

5, effective January 1, 2020 (see editor's note); (2)(c) added, (HB 19-1230), ch. 340, p. 3120, § 17, effective January 1, 2020. L. 2020: (14), (15), and (16) added, (HB 20-1424), ch. 184, p. 846, § 7, effective September 14.

Editor's note: (1) This section is similar to former § 44-12-402 as it existed prior to 2020.

(2) Section 38 of chapter 315 (SB 19-224), Session Laws of Colorado 2019, provides that the effective date of subsection (3)(c) is July 1, 2020.


Download our app to see the most-to-date content.