Section 1335A - Conversion licenses(a) Conversion licenses may be issued to a currently licensed compassion center when the applicant meets the following criteria:(1) The applicant is eligible for renewal under § 4916A of Title 16.(2) The applicant has submitted documentation demonstrating how the applicant currently meets the demands of the medical market and a plan outlining how the applicant will continue to serve the medical market.(3) The applicant has submitted a plan detailing how the applicant will support the social equity program.(4) The applicant has submitted a signed labor peace agreement with a bona fide labor organization.(5) If seeking a conversion license for a cultivation facility, the applicant has submitted facility dimensions.(6) The applicant has paid a conversion license fee. a. Except as described in paragraphs (6)b. and c. of this subsection, the base conversion license fee is $100,000, which may be paid in quarterly installments over 12 months.b. If the conversion license sought is for a cultivation facility, the base conversion license fee is $200,000, which may be paid in quarterly installments over 12 months.c. The conversion license fee may be paid in quarterly installments over 18 months, in which case the base conversion license fee is increased by 10%.(7) If the conversion license sought is for a retail facility, the applicant has submitted a signed attestation that the applicant will serve medical cardholders in accordance with Chapter 49A of Title 16, including a commitment to doing the following: a. Selling tax-free marijuana to qualifying patients directly or through designated caregivers.b. Selling up to 3 ounces of marijuana in any 14-day period to qualifying patients directly or through designated caregivers and up to a total of 6 ounces per month.c. Providing home delivery to qualifying patients.(8) The applicant meets all other requirements set forth in this title or by regulation for each requested license.(b) If an existing registered compassion center or marijuana testing facility seeking a conversion license is located in a jurisdiction that prohibits the operation of an open license under this title, the registered compassion center or marijuana testing facility may request an open license in a new location. If the conversion license would be granted under this section but for the jurisdictional prohibition on the operation of an open license, the Commissioner must grant the request so long as the new location meets the requirements set forth in this title for the open license.(c) If an applicant seeks a conversion license for a cultivation facility, pays the conversion license fee, and otherwise qualifies for and is granted a conversion license, the applicant may upon receipt of a conversion license operate a facility with any grow canopy area allowed under this chapter or regulations established by the Commissioner under § 1334(h) of this title.Added by Laws 2023, ch. 303,s 1, eff. 7/17/2024.