Kentucky marijuana growers on Tuesday joined Kentucky Gov. Andy Beshear in Winchester to unveil plans for one of the state’s largest cannabis cultivation facilities.
A ribbon-cutting at a Cresco Labs facility, at 1805 Fortune Drive, provided one of the first public glimpses of the state’s burgeoning medical marijuana industry.
The $15.4 million facility aims to have products on the market by the end of the year. It’s housed in a former firearms and ammunition factory, and Cresco officials said they aim to employ about 100 workers at the facility when full-scale operations begin.
“We’re very excited to launch the initiative and go forward here,” Cresco Labs CEO Charlie Bachtell told a crowd of attendees at the ribbon-cutting Tuesday afternoon. “For those that aren’t familiar with Cresco Labs, we have a lot of experience in the regulated cannabis industry in states around the country, and we look forward to bringing that expertise, along with our local partnership, to make sure this Kentucky program is as successful as it should be.”
Kentucky is the ninth state where Cresco has launched operations, joining Illinois, Florida, New York, Pennsylvania, Ohio and others.
Kentucky legalized medical marijuana this year, and as of Jan. 1, residents can apply for a medical card.
Bachtell said he expects phase one of construction on the facility to be complete this fall, with a 5,000-foot plant canopy.
Products are expected to be marketed by December.
Beshear said the launch of the site was a reason to celebrate — as it will be one step closer to providing a “safe, regulated and effective” product to Kentuckians suffering from addiction, and veterans with PTSD.
“I am happy to see progress made in such a short amount of time,” Beshear lauded.
Cresco Labs’ launch comes less than a week after the state’s auditor, Allison Ball, announced an investigation into Kentucky’s Office of Medical Cannabis and its “execution of the Kentucky Medical Cannabis Program.”
The launch of the state’s medical marijuana program included several lotteries held last fall for licenses to open growing operations, dispensaries and other lucrative marijuana businesses. A lottery for cultivators and processors was held in late October.
Ball’s office received complaints about how the lottery process was conducted and licenses were awarded, she said in a news release.
“She’s welcome to audit whatever she wants,” Beshear said in a news conference.
No businesses that were issued licenses in Kentucky’s lottery system were named in Ball’s inquiry.
Beshear said he supported the lottery system for its transparency, but understood the business owners’ disappointment for not receiving a license in the first round of the lottery system.
He said the incremental implementation of Kentucky’s medical marijuana programs is key to avoid a similar situation that was seen with hemp farmers, who received too many licenses, resulting in bankruptcy claims.
An investigation by Louisville Public Media revealed that out-of-state residents dominated the lotteries for Kentucky’s medical marijuana business licenses.
Kentuckians 18 and older with a physician’s recommendation and a qualifying medical condition can apply for a medical cannabis card.
As of Tuesday, more than 13,000 Kentuckians have certification for a medical license, Beshear said. Nearly 9,000 medical cannabis cards have been approved and issued.
Caregivers can also apply for medical cards too, but that requires additional application documentation.
Qualifying conditions include cancer, chronic pain, epilepsy, multiple sclerosis, chronic nausea, PTSD, and others as determined by the Kentucky Center for Cannabis.
Signed into law in March 2023, Senate Bill 47 allows cannabis edibles, oils, tinctures, vapes, and raw plant material, but prohibits smoking cannabis and home cultivation.
Even as a cardholder, it will be a while before medical marijuana is available for purchase in the commonwealth. All cannabis in Kentucky has to be grown, processed and tested before it hits retail shelves.
Only registered cardholders over 21 can purchase vapes. Use is tightly regulated, with restrictions on where and how cannabis can be consumed, and dispensaries must be located away from schools and daycare centers.