Findings conclude program is effective, transparent and fair to all licensure applicants
FRANKFORT, Ky. (May 7, 2026) – Today, the Kentucky Finance and Administration Cabinet’s Office of the Inspector General (FAC OIG) published findings from an independent review of the Office of Medical Cannabis (OMC). The report showed OMC has created an “effective program that was transparent and fair to all licensure applicants.”
Report Overview
OIG reported that the OMC issued medical cannabis licensing and application regulations in a transparent manner that went through a public comment process during which OMC responded to each comment. As part of the regulatory process, multiple legislative committees reviewed and approved OMC’s regulations. Each hearing was open for public comment. OMC reviewed each application to ensure requirements in the regulations were met and provided applicants with an opportunity to fix any issue identified. Those applications that met the requirements of the regulation were entered into a random drawing conducted by the Kentucky Lottery Corporation, an independent third-party, live on youtube.com/@KYMedicalCannabisfor public viewing.
On April 17, 2025, the state auditor requested a preliminary assessment of OMC’s licensing and application process. OMC quickly responded and provided all materials relevant to applications and licensing. On May 6, 2025, to ensure a fair and independent review, OMC proactively requested the OIG conduct an investigation. The OIG’s independent review of OMC’s licensing process included the review of statutes and regulations, numerous reports, system data, policies and processes, videos, licensure applications, legislative testimony and in-person interviews of personnel directly involved with the licensing process.
The auditor’s report is still pending.
View the full report from the OIG website.
OMC Response to Report:
“At OMC our goal is to ensure Kentuckians suffering with serious medical conditions have access to safe, tested medical cannabis products. As a regulatory agency, we do this by following both the letter and spirit of the law. We designed our regulations and our medical cannabis licensing process with two guideposts in mind: fairness and transparency. We are pleased that the OIG’s report recognizes that we have followed the law and designed and operated a fair and transparent medical cannabis program.”
Medical Cannabis Program
On June 14, 2022, Gov. Andy Beshear issued an executive order creating the Team Kentucky Medical Cannabis Advisory Committee, which hosted multiple town hall forums to hear from Kentuckians on medical cannabis. The findings were released to the public in August 2022 along with a report summarizing that Kentuckians overwhelming supported medical cannabis.
Following the actions of the Advisory Committee, on March 31, 2023, Gov. Beshear signed Senate Bill 47, legalizing medical cannabis for Kentuckians beginning Jan. 1, 2025.
On April 17, 2024, Gov. Beshear signed House Bill 829 into law, which moved up the timeline for medical cannabis licensing in Kentucky by six months. The Kentucky Office of Medical Cannabis began accepting applications from prospective businesses on July 1, 2024.
To date, Kentucky has 24 businesses up and running and has registered 457 medical cannabis practitioners. More than 20,700 Kentuckians have been approved for medical cannabis cards.
Under KRS Chapter 218B, OMC is responsible for implementing and administering the Kentucky Medical Cannabis Program. The program has conducted a first round of approvals for licenses and will continue to conduct additional rounds and the program grows.
For more on Kentucky’s Medical Cannabis Program, visit kymedcan.ky.gov.
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For official news and updates from the Beshear/Coleman administration, visit governor.ky.gov/news.