MMA opposes cannabis bills that would usurp local contract authority

The Joint Committee on Cannabis Policy held a hearing on May 11 on a number of bills related to host community agreements for adult-use marijuana businesses and community impact fees.

Some of the bills before the committee during the hearing would authorize the Cannabis Control Commission to review, regulate and enforce all host community agreements.

In testimony to the committee, the MMA said the bills “are overreaches that would usurp local authority.” Roughly 1,100 fully executed host community agreements could be on the line if the Legislature decides to move forward with the bills.

“Retroactively invalidating or altering 1,100 existing contracts, which were negotiated in good faith on behalf of the public, would certainly invite challenges that these bills violate the Contracts Clause of the U.S. Constitution,” the MMA wrote.

Several other bills before the committee would address the community impact portion of the host community agreement, a portion of state law that has proven controversial.

In its testimony, the MMA offered to “work with members of this committee on alternatives to the bills before you today to find a framework that all stakeholders can support. We believe there is a solution that would create a much more predictable process for everyone, while allowing communities to continue to serve the public interest.”