Three firms win preliminary licenses under Texas CBD program

(Note: This story has been updated from an earlier version.)

Three companies won preliminary approval from Texas regulators to receive licenses to dispense CBD-based medicine with a low THC content in the state.

Cansortium Texas, Compassionate Cultivation and Surterra Texas received the initial green light from the Texas Department of Public Safety after compiling the highest scores in the licensing process. There were 43 applicants.

Under the Texas Compassionate Use Act that went into effect June 1, 2015, the companies may grow, extract and distribute CBD-based medicine. Texas has a limited law that allows only CBD oils and stipulates just one qualifying condition – intractable epilepsy.

Texas’ Department of Public Safety will grant the three companies final authorization once inspections are completed by Sept. 1, and product may be available before the end of the year, the Atlanta Business Chronicle reported. License fees are $488,520 for a two-year period and $318,511 for the biennial renewal, according to the Department of Public Safety. There is a $530 fee for the original registration and subsequent renewals.

Surterra Texas is owned by Surterra Wellness, an Atlanta company that opened its first business, Surterra Therapeutics, in Tampa, Florida, last year.

Surterra Texas will offer patients statewide deliveries to their homes or doctors’ offices and “has facilities in place to operate primarily out of Austin,” the Atlanta Business Chronicle reported.

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4 comments on “Three firms win preliminary licenses under Texas CBD program
  1. Jeff on

    §12.14. Application and Licensing Fees and Method of Payment.
    (a) The application fee for a dispensing organization license is $7,356. The license fee for a dispensing
    organization is $488,520 for a two (2) year period.
    (b) The fee for the biennial renewal of the dispensing organization license is $318,511.
    (c) The registration fee is $530 for both the original registration and renewals.

  2. Kate on

    This is confusing. The Texas Farm Bill died in the house last year and will not be Revisited again unless Grassroots support calls the Texas led to vote on cannabis cultivation in Texas. So if cannabis cultivation in Texas is it illegal for agricultural purposes how is it possible these three companies from outside of Texas are doing business here. Why were no Texas Growers considered? Why does Knox Medical website refer to cannabis as medical marijuana. It is not the same thing. Why does nobody vet what is being said about marijuana in Texas? At this moment cultivation of cannabis certainly by Ordinary People is illegal cultivation of cannabis into marijuana is illegal and at the Southwest Cannabis Conference they were confiscating people’s CBD products. So I’m confused can someone clear this up

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