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Are Utah Medical Cannabis Regulations Just a Mirage?

Utah’s medical cannabis program is regarded as one of the finest in the country. State lawmakers and designated regulators have worked together to craft a system that seems to perfectly blend patient needs with government interests. But is it all just a mirage?

We don’t like to think that our state governments do things that run contrary to our best interests. But a new report out of Utah’s Office of the Legislative Auditor General suggests that this is exactly what is going on in the Beehive State. The report suggests that the oversight provided by the state’s cannabis advisory board is little more than a rubber stamp program.

Slowly Building a Reputable Program

The operators of BeehiveFarmacy.com, a medical cannabis pharmacy with locations in Salt Lake City and Brigham City, say voters originally approved medical cannabis back in 2018. The state program officially launched in 2020. In the five years since, lawmakers have slowly built a reputable program that appears to work well.

As part of that program, lawmakers created the Cannabis Production Establishment and Pharmacy Licensing Advisory Board, also known generically as the ‘cannabis advisory board’. Until now, there hasn’t been a genuine need to second-guess what the board does.

Unfortunately, the recent audit has changed things. According to auditors, the board has “unanimously approved 99% of the actions brought before it.” This led auditors to accuse the 7-member board of rubber-stamp decision-making.

As just one example, the board did not deny a single license request from 2021 through 2025. Given how strict Utah’s licensing rules are, four straight years with no denials is pretty surprising.

A Formal Decision-Making Framework

As part of their recommendations moving forward, auditors have suggested that the state establish a formal decision-making process – especially where licensing decisions are concerned. The fact that there is no such formal framework already in place is alarming.

How can the cannabis review board guarantee unbiased decisions without a formal process for doing what they do? How can they guarantee they are not showing favoritism or rubber-stamping applications rather than giving each one a serious review?

A Black Eye for Regulation

Unfortunately, the recent audit is a black eye for cannabis regulation in Utah. But it is hardly surprising. The goings-on with Utah’s cannabis review board are hardly isolated. Regulation at nearly every level is fraught with poor decisions, a lack of accountability, rubber stamping, and so forth. Such is the nature of government.

It is unfortunate in Utah’s case because its medical cannabis program seems to work so well. Other states with far more lenient programs do not seem to be having the same success. Nonetheless, there is no place for rubber-stamping licensing applications.

Licensing medical cannabis growers, processors, and retail sellers is supposed to have a purpose behind it. But if applications are being rubber-stamped, the chances of any such purpose being fully met are low.

Watch Next Year’s Legislative Session

If you are involved in the Utah medical cannabis market in any way, keep an eye on the 2026 legislative session. It is quite likely lawmakers will take up a bill or two designed to rein in the cannabis advisory board and ensure it is doing its job as intended.

In the meantime, patients can rest easy in knowing that their supply of medical cannabis will not be interrupted. Despite problems with the board, Utah’s medical cannabis pharmacies continued to stock their shelves with legal cannabis medicines that can be purchased by anyone with an active medical cannabis card. That won’t change even with a new decision-making process for the cannabis advisory board.

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