Cannabis Reduced Fee Program

Who Qualifies?

Qualifying businesses will receive benefits based on their number of up to three (3) qualifying factors:

1) Small Businesses (Less than $750,000 annual total income in the preceding calendar year, and no more than two other cannabis businesses)

Less than $750,000 annual total income in the preceding calendar year

• Combined total income in the previous calendar year of the business entity applying, and all business entities (including any parent companies, associate companies, subsidiaries, or affiliates) with ownership interests of 10% or greater.

• Combined total income must match the sum of the “Total Income” line reported on all Internal Revenue Service (IRS) tax return forms for each entity (Form 1120 for corporations; Form 1120S for S corporations; Form 1120, Form 1065, or Form 1040 for LLCs; Form 1065 for partnerships; Form 1040 for other sole proprietorships).

AND

The business entity and its owners have no more than a total of two other state recreational or medical cannabis licenses pending or obtained.

• Total includes ALL recreational or medical cannabis licenses from all states.

• This Includes the total number of licenses of the business entity seeking the license and all individuals and entities with 10% or greater ownership interest, including any parent companies, associate companies, subsidiaries, or affiliates of business entity owners.

• Does NOT include individuals’ medical cards issued for personal medical purposes.

2) Small Business with MWESB-Certified Ancillary Industry Vendors - BOTH of the following must be true for this Qualifying Factor:

Meets the Small Business qualifications above

AND

Contracts with an ancillary industry vendor(s) MWESB-certified by the State of Oregon and listed on the State’s Certified Vendor Directory as an Emerging Small Business, Minority Business Enterprise, Service-Disabled Veteran Business Enterprise, or Women Business Enterprise.

• If the application is for a new license, the entity seeking the license must have paid the vendor(s) a total of at least $30,000 during the 24 months immediately preceding license issuance, for expenses directly related to the marijuana business seeking the license.

• If the application is for a renewal license, the entity seeking the license must have paid the vendor(s) a total of at least $30,000 during the most recent licensing period, for expenses directly related to the marijuana business seeking the license.

• The marijuana business, or any owners, including any parent companies, associate companies, subsidiaries, or affiliates, must not have any shared ownership with the ancillary industry vendor(s) or its parent companies, associate companies, subsidiaries, or affiliates.

3) Owners or Staff with Prior Cannabis Conviction(s)

25% or greater of ownership or 20% or greater of staff hours are represented by individuals with a federal or state conviction for a criminal offense committed prior to July 1, 2015, in which possession, delivery or manufacture of marijuana or marijuana items is an element, whether misdemeanor or felony.

Fee Reduction Amount

Qualifying businesses will receive benefits based on their number of up to three (3) qualifying factors.

• All license types can qualify for a City of Portland Marijuana Regulatory License (MRL) fee reduction applied at the time they are licensed.
• Processors and Producers can also qualify for reimbursements for costs incurred at the Bureau of Development Services related to Early Assistance or Preliminary Life Safety meetings. This reimbursement will be applied to their MRL fee.

Application

If you qualify for the Reduced Fee Program, please login to your Civic Portal account and complete a Reduced Fee Program application HERE.