Medical marijuana: Medical pot cultivation facility approved in county
The Arkansas Medical Marijuana Commission on Tuesday announced the first five facilities that will be licensed to legally cultivate medical cannabis in the state, and a Carroll County applicant was among the group.
Osage Creek Cultivation in Carroll County scored the fourth-highest total on a points system used by the commission to grade the applicants, with a score of 432.5.
Records with the Arkansas Secretary of State’s Office list Osage Creek Cultivation LLC with a principal address in Springdale — the same address as the company’s registered agent, attorney David Nixon. It is common practice for an attorney to handle incorporation filings and to be listed as the registered agent for a corporation.
Jay Trulove is listed as the company’s incorporator/organizer. Voter registration records list Trulove with an address in Berryville.
Trulove could not be reached for comment. Nixon did not return a message left with his office.
According to the commission’s Advisory Memorandum for cultivation facility and dispensary applicants, the scoring criteria included the following:
• Applicants must demonstrate that 60 percent of the ownership interest in the medical marijuana facility is held by residents of the state of Arkansas who have been residents for at least seven consecutive years.
• Credit worthiness, which can be demonstrated by providing a current credit report and scores from the three major credit reporting bureaus.
• Good standing with the DFA on all tax accounts
• Proof of assets required of the license
• A distance of at least 3,000 feet from a public or private school, church or daycare center, according to Act 1100 of the 91st General Assembly
The other winning bidders were Natural State Medicinals Cultivation of Jefferson County, Bold Team LLC of Woodruff County, Natural State Wellness Enterprises of Jefferson and Jackson counties and Delta Medical Cannabis Company Inc. of Jackson County.
Arkansas voters approved the Arkansas Medical Marijuana Amendment in the November 2016 general election, with 53 percent of voters casting their ballots in favor of the amendment.
The commission established rules to grant licenses to dispensaries and cultivation facilities based on the merit of their applications. The commission divided the state into eight zones, and four dispensaries are allowed in each. The five cultivation facilities are not required to be spread among the zones.
Applications for cultivation facilities cost $15,000, and unsuccessful applicants will get $7,500 back.
Applicants must provide proof of assets or a surety bond of $1 million and proof of at least $500,000 in liquid assets. Successful applicants will have to pay an annual $100,000 licensing fee and submit an initial $500,000 performance bond.