Municipalities that permit cannabis businesses in Maine will receive reimbursement for qualifying expenses after the Governor signed a new bill last week.
On Friday, April 22, Maine Governor Janet Mills (D) signed LD 1195, which authorizes payments of up to $20,000 to municipalities for expenses incurred while permitting licensed adult-use cannabis businesses.
The bill’s sponsor, Representative Tiffany Roberts (D-South Berwick), is currently serving her second term in the House.
Roberts also serves as the House Chair of the Legislature’s Innovation, Development, Economic Advancement, and Business Committee.
“In the development of Maine’s adult-use marijuana industry, the state has asked municipalities to help balance the newly sanctioned use of this commodity, however, they are not yet seeing a return on their investment,” says Roberts. “This bill will allow municipal governments to recover expenses from their regulation of the adult use industry and encourage partnerships with local businesses.”
Municipalities may use reimbursement funds to cover legal fees and costs related to drafting and amending ordinances and holding elections and town meetings.
According to a Maine House Democrats press release, funding will come from the Adult Use Marijuana Public Health and Safety and Municipal Opt-In Fund.
The Fund receives money from adult-use cannabis sales and excise taxes.
The new law will take effect 90 days after the Legislature adjourns its current session.
