Gov. Andy Beshear‘s administration has refused to release the names of applicants for medical marijuana dispensary licenses in Kentucky's nine regions, despite announcing the winners last month.
The Cabinet for Health and Family Services and the Office of Medical Cannabis denied a public records request from Kentucky Public Radio, citing the records as “preliminary” and exempt from disclosure, as reported by Louisville Public Media.
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They stated that the list of applicants will remain confidential until after the final lottery for the last two regions on Dec. 16.
Concerns Over Fairness And Transparency
The decision follows concerns about out-of-state companies dominating Kentucky's marijuana licensing process.
One of the companies, Arkansas-based Dark Horse Cannabis, submitted over 100 applications in Kentucky and won multiple licenses in the October lottery, including four dispensary licenses in the November drawing.
While the state released the names of 36 dispensary license winners from the first nine regions, the full list of over 2,800 applicants remains concealed.
Critics worry that out-of-state companies are gaining a disproportionate share of licenses, which raises questions about fairness and transparency in the process.
Legal Challenge To Denial
Kentucky Public Radio's request for the full list of applicants was denied, and the station has now appealed the decision to the state's Office of the Attorney General.
Michael Abate, an attorney representing Kentucky Public Radio and the Kentucky Press Association, criticized the administration's actions, saying the denial "makes absolutely no sense."
He asked: "Why are they trying to delay disclosure until after all the lotteries are done? It suggests the cabinet just doesn’t want any scrutiny on its process. But obviously, this is an important process and the public has a right to know what’s going on."
Complaints From Local Farmers
Local hemp farmers, shut out of the October lottery for cultivator licenses, are frustrated with the process.
They argue that large out-of-state companies are gaining an unfair advantage and pushing in-state applicants aside. Gov. Beshear, however, has dismissed these concerns. He stated that the companies tied to Dark Horse Cannabis "named different unaffiliated people as owners in their applications."
The governor did not comment on the investor presentation uncovered by Kentucky Public Radio, which suggested Dark Horse Cannabis could become the parent company of a "vertical" business structure in Kentucky, controlling cultivation, processing and dispensary operations. This ownership model is prohibited under Kentucky's medical cannabis regulations.
Final Lottery And Ongoing Scrutiny
The final lottery for dispensary licenses will take place on Dec. 16 for regions 1 and 2, which include Louisville and Lexington.
About 1,200 applicants are competing for the remaining licenses and the results could shed more light on the role of out-of-state companies in Kentucky's cannabis industry.
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Photo courtesy Gov. Beshear’s office
