Marijuana dispensaries in Michigan now subject to surprise inspections

Biden administration plans to reclassify marijuana

The Biden administration took a step to reclassify marijuana at the federal level. If the proposal passes, it would take pot from a Schedule I drug to a Schedule III drug.

(FOX 2) - Dispensaries that sell marijuana in Michigan will now be subject to surprise inspections by the regulatory agency that oversees cannabis businesses in the state.

Beginning Oct. 1, the Cannabis Regulatory Agency will no longer schedule semi-annual inspections at businesses in the marijuana sector, opting instead to show up unannounced.

The reasoning for the change includes allowing more flexibility for the agency, providing better education to the licensees for day-to-day operations, and making sure they are operating compliantly at all times.

"These are for all facilities. Every semi-annual inspection will be unannounced," said Kevin Cook, who works in the enforcement division at the CRA.

The agency expects the transition to take some time to work out the kinks. During appearances that included a manager or staff member familiar with the rules, it made a night and day difference.

"Because we're moving to unannounced inspections, we fully expect that that difference will be amplified come Oct. 1, 2024," said Cook during a virtual meeting Friday when the changes were announced. "We don't expect this change to be flawless for your business."

The agency overseeing inspections, which is housed within the Department of Licensing and Regulatory Affairs, is encouraging businesses to make sure employees are trained to track down necessary information on certifications, product tracking data, and other data logs.

They should also be trained to access surveillance recordings at the business, officials said.

In a statement from LARA, David Harns wrote unannounced inspections "will help increase efficiency and flexibility with scheduling."

"This transition will instill a need for businesses to further educate employees at all levels – not just their job functions as they do now, but also in compliance and understanding of the business requirements. The goal of unannounced inspections is that licensees are compliant at all times and employees have a solid understanding of the regulations surrounding their place of work."

Inspections will still be scheduled for other reasons, including pre-licensure, 30-day post-licensure, and follow-up meetings stemming from reporting forms.