Ohio regulators will begin taking applications for the state’s 24 available cultivation licenses in June and review them in July.
According to the Cleveland Plain Dealer, winning applicants will have nine months to meet the program’s requirements. It’s not clear when regulators will choose the winning companies.
The state will issue two types of grower licenses:
- 12 for large grows of up to 25,000 square feet of cultivation area
- 12 for small grows of up to 3,000 square feet of cultivation area
While the growing area has been increased in response to concerns it was inadequate to meet patient needs, the total square footage of the cultivation facilities still appears relatively small considering the size of the potential market.
The state can decide in September 2018 whether to boost the number of licenses or expand the cultivation space for existing growers, the Plain-Dealer reported.
According to Marijuana Business Daily estimates, Ohio could generate between $200 million and $400 million in annual retail sales once the market develops.
Other concerns have been raised about high license fees: The state will charge a $20,000 nonrefundable application fee and $180,000 license fee for level large grows, and a $2,000 application fee and an $18,000 license fee for small grows.