>> MINNESOTA'S LAW LEGALIZING MARCH WAYNE TURNED ONE YEAR OLD DAY, AFTER THEY RELEASED THE RULES FOR BUSINESS HE IS.

THE RULES LATE OW LICENSE DISQUALIFICATION, POTENCY LEVELS, PROPER LABELING AND STORAGE OF PRODUCTS AND A WHOLE LOT MORE, ALL OF IT OPEN TO PUBLIC FEEDBACK ON THEIR WEBSITE THROUGH THE END OF AUGUST.

THE CLOCK IS TICKING AND OPENING UP THE LEGAL MARKET NEXT YEAR INCLUDING FINDING A REPLACEMENT FOR INTERIM DIRECTOR, SHARLINE BRIANER.

THANKS FOR SEEING YOU AGAIN.

>> THANKS FOR ASKING ME, PERPETUALLY.

>> Cathy: WE'LL HAVE TO ASK YOU ABOUT THAT LATER ON.

SAY, WE'VE BEEN IN THIS SITUATION FOR ONE YEAR SINCE THE LAW PASSED, HOW FAR AWAY ARE WE FROM RETAIL OUTLETS BEYOND THE DISPENSE EARS?

>> THAT'S ALWAYS THE 100 MILLION-DOLLAR -- THAT'S ALWAYS THE QUESTION THAT I GET FROM THE INDUSTRY AND WHAT I ALWAYS SAY IS THAT IS AN INDIVIDUAL BUSINESS DECISION.

ONCE SOMEBODY HAS A LICENSE IN THEIR HAND, WHAT IT TAKES FOR THEM TO OPEN THAYER DOORS, HIRE THEIR STAFF, GET HAVING IN PLACE IS REALLY AN INDIVIDUAL BUSINESS DECISION.

I EXPECT WE WILL SEE IT AT SOME POINT IN THE FIRST HALF OF 2025 BUT IT'S NOT GOING TO BE A LIGHT SWITCH WHERE ALL OF A SUDDEN WE HAVE DISPENSION RES OPEN.

>> Eric: HOW DO THE ULES INTERACT WITH WHAT YOU THINK SOCIAL SECURITY A SOCIAL EQUITY PIECE, FAIR TO SAY TO CALL IT THAT?

>> I THINK THAT THE WHOLE FOUNDATION OF THE CANNABIS LAW THAT WAS PASSED LAST YEAR REALLY CENTERED EQUITY IN A WAY THAT OTHER STATES HAVE NOT DONE, SO EVERYTHING FROM THE WAY THAT WE THINK ABOUT OFFERING OPPORTUNITIES FOR LICENSES TO THE WAY WE WANT TO MAKE THE RULES ACCESSIBLE TO THE REALLY SIGNIFICANT ENGAGEMENT WE AVE DONE WITH COMMUNITY AND WITH POTENTIAL OPERATORS, THAT'S UNIQUE AMONG STATES THAT HAVE LEGALIZED SO WE REALLY ARE DOING IT IN A WAY THAT IS REALLY COMMUNITY I SENSED AND REALLY FOCUSED ON BOTH HARM REPAIR ASPECTS OF THE BILL AND THE REALLY SIGNIFICANT OPPORTUNITIES FOR PEOPLE TO ENTER THIS BUSINESS SPACE.

>> Cathy: ANY IDEA AT THIS POINT AS TO HOW MANY SOCIAL EQUITY APPLICANTS MIGHT BE READY TO GO?

>> THAT'S A BIG QUESTION, THAT'S A GOOD QUESTION.

SO WHAT WE KNOW IS THAT THERE WAS A TON OF INTEREST.

WE HAD MORE THAN 3,000 PEOPLE WHO APPLIED FOR SOCIAL EQUITY VERIFICATION, AND OF THAT 3,000, WE'RE STILL IN THE VERIFICATION PROCESS, AND THEN WE OPENED UP THE LICENSING WINDOW.

IT COULD BE THAT SOME OF THOSE INDIVIDUALS PLAY JUST WANT TO BE VERIFIED AND MAY WAIT FOR SUBSEQUENT -- FOR FUTURE ROUNDS OF LICENSING, SOME OF THEM MAY BE PARTNERSHIPS SO WE MIGHT SEE FOUR OR FIVE PEOPLE THAT BAND TOGETHER TO OPEN A BUSINESS SO WE WON'T KNOW UNTIL THAT WINDOW CLOSES HOW MANY ACTUAL LICENSE APPLICATIONS WE HAVE TO REVIEW.

>> Eric: ARE RECREATIONAL AND MEDICAL USERS AND THE SAME UMBRELLA OF RULES, ARE THEY DIFFERENT OR -- >> WE HAVE ALL THINGS CANNABIS SO EVERYTHING FROM ADULTS USE TO THE MEDICAL PROGRAM TO THE LOW POTENCY HEMP DERIVED PRODUCTS THAT YOU SEE ALREADY ON SHELVES ACROSS THE STATE SO EVERYTHING CANNABIS RELATED IS UNDER -- >> Eric: YOU WERE WORKING OUT AFTER A BROOM CLOSE HE WOULD AT THE DEPARTMENT OF AG OR SOMETHING?

WHAT'S YOUR WORKFORCE NOW?

>> WE'VE UP TO ALMOST 80 PEOPLE AND THAT INCLUDES LICENSING SPECIALISTS, REGULATORS, ATTORNEYS, CUSTOMER SERVES AND ENGAGEMENT, SOCIAL EQUITY DIRECTOR, OUR RESEARCH TEAM.

WE ALSO BROUGHT OVER THE TEAM FROM THE OFFICE OF MEDICAL CANNABIS AND THE HEMP-DERIVED INSPECTORS OF THE FIRST SO WE'RE GRATEFUL TO HAVE THAT EXPERTISE AND ADDITIONAL CAPACITY AND WE'RE ADDING STAFF AT AN AVERAGE OF THREE PER WEEK RIGHT NOW, EVENTUALLY ON OUR WAY TO 150 STAFF PEOPLE.

>> Cathy: THAT'S A LOT.

>> IT IS.

>> Cathy: GOING BACK HERE, I MENTIONED THE TRAVEL DISPENSARIES AND I WAS TALKING TO THE HEAD OF THE WHITE EARTH OPERATION, JUST THE OTHER DAY, AND I ASKED ABOUT, CAN YOU -- CAN WHITE EARTH, CAN HE OTHER TRIBAL NATIONS AND THEIR DISPENSARIES, CAN THEY EXPAND INTO, SAY, THE TWIN CITIES OR DOES THAT NEED TO BE PART OF A COMPACT?

>> IT IS PART OF COMPACTING.

SO THE RULES THEMSELVES ARE REALLY IMPORTANT AS WE CONTINUE TO ENGAGE IN THE COMPACTING CONVERSATIONS WITH TRIBES WHO HAVE EXPRESSED INTEREST AND THE TERMS OF HOW THEY WILL ENTER THAT LARGER COMMERCIAL MARKET OUTSIDE OF TRIBALLY REGULATED LANDS WILL REALLY BE DEFINED IN THE COMPACTS BUT ALSO ALIGNED CLOSELY WITH OUR RULES IN TERMS OF THE SAFETY STANDARDS AND THE REGULATORY STANDARDS AND THE PRODUCT INFORMATION, SO -- >> Eric: ARE YOU GOING TO HAVE A REGULATORY LINEFIELD OF STATE, FEDERAL AND LOCAL RULES?

I MEAN, I THINK IT'S STILL A CONTROLLED SUBSTANCE AT THE FEDERAL LEVEL.

>> IT IS, SO THERE IS DISCUSSION AT THE FEDERAL LEVEL ABOUT RESCHEDULING CANNABIS BUT FOR RIGHT NOW THERE ARE NO FEDERAL RULES, OTHER THAN FOR HEMP PRODUCTS, RIGHT?

HEMP IS UNDERSTAND THE DEPARTMENT OF AGRICULTURE BUT THAT'S THE INTERESTING PART OF THIS, EVERY STATE HAS TAKEN A DIFFERENT APPROACH SO MINNESOTA AND EVEN WHEN IT COMES TO THE RULES, WE HAVE SORT OF THE THIRD -- WE'RE THE FIRST OF THE THIRD WAIVE OF LEGALIZATION BECAUSE WE HAVE A CHANCE TO LOOK AT OTHER STATES, HOW THEY'VE APPROACHED REGULATION AND REALLY BRING IT INTO LINE WITH THINGS LIKE TOBACCO AND ALCOHOL RATHER THAN THIS SORT OF ILLICIT SUBSTANCE THAT HAS A STIGMA STILL ATTACHED TO IT SO WE THINK WE'RE TREADING NEW GROUNDS HERE THAT'S EXCITING.

>> Cathy: WE KEEP HAVING YOU BACK ON AS THE INTERIM DIRECTOR.

DO YOU HAVE ANY IDEA WHEN YOU MIGHT AKE THE PERMANENT JOB OR GO TO SOMETHING ELSE?

>> I CAN TELL YOU, I'M NOT GOING TO TAKE THE PERMANENT JOB.

I'M GOING TO SERVE UNTIL THE GOVERNOR MAKES A DECISION ABOUT WHO IS THE RIGHT PERSON TO TAKE THE REIGNS.

IN THE MEANTIME, AS I'VE SAID, THIS IS OT ABOUT ONE PERSON, THE TEAM IS GROWING AND DOING REALLY GOOD WORK.

>> Eric: YOU'RE CURSED WITH THE GOD GIFT OF SERVICE.