The Long Road to Marijuana Legalization in Alabama

Seventy years after it was first banned, marijuana for medical use became legal in Alabama. The Cotton state became the 38^th state to legalize medical marijuana when Gov. Kay Ivey signed SB 46, the Darren Wesley Ato Hall Compassion Act into law in May 2021.

The road to any type of legalization in Alabama has been a slow moving one. In 2014, then Gov. Robert Bentley signed Carly’s Law, which enabled researchers at the University of Alabama Birmingham to use non-psychoactive CBD oil on children as part of a clinical study. In 2016, Leni’s Law amended the previous law to allow possession and use of CBD oil by those diagnosed with a debilitating medical condition.

Fast-forward and SB 225 was signed into law in 2019 to redefine and reschedule CBD aligning with the federal Farm Bill definition from the previous year. This move made it possible for pharmacies to sell CBD products.

In 2020, it seemed like medical marijuana was going to become law when the Alabama senate passed SB 165, the Compassion Act, but due to the pandemic, the bill never made it to the House.

Finally, in 2021, The Darren Wesley Ato Hall Compassion Act legalized cannabis, despite a lengthy filibuster, which came close to killing the bill. The law legalizes medical marijuana in the case of just 16 conditions, providing other treatments have failed, or if cannabis is the standard of care for the disease. The law as passed does make it difficult and costly for doctors to recommend marijuana in lieu of other treatments. And the marijuana tax revenue that was to be directed to research on the plant was cut in half. There is a residency requirement for both patients and businesses involved in cannabis.

Once dispensaries open in Alabama, patients can purchase up to a 60-day supply of medical marijuana. The daily dose can’t exceed 50mg, unless the patient doesn’t respond in three months, or has a terminal condition, in which case a doctor can prescribe up to 75 mg.

A 14-member Alabama Medical Cannabis Commission will license and regulate the state’s medical marijuana industry, while The Department of Agriculture and Industries will be heavily involved with the cultivation of cannabis. The commission will charge non-refundable application fees of $2,500. The commission will set licensing fees between $10,000 and $50,000. A 9% gross proceeds tax will be levied on medical cannabis retail sales.

It’s expected to take at least a year before medical marijuana sales in Alabama begin.

We have successfully secured licenses for clients in over 20 markets across the United States. If you are interested in applying for a dispensary license, contact us by phone at (602)-290-9424‬ or email (info@thecannabisbusinessadvisors.com) for more information.