Governor Launches Funding for Cannabis Social Equity Trust Fund
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BOSTON — The Executive Office of Economic Development (EOED) launched the "Immediate Needs Grant Program," the inaugural program that will provide financial assistance from the state's Cannabis Social Equity Trust Fund.
The first of its kind in Massachusetts, this new grant program will make financial assistance available for cannabis entrepreneurs from communities that have been disproportionately harmed by marijuana prohibition and enforcement. The program aims to increase equity and opportunity within state's regulated marijuana industry.
This funding round will make $2.3 million available to support qualified cannabis business license holders with urgent financial needs. It will be the first of several programs, which will launch as additional resources become available in the Trust Fund.
"The Cannabis Social Equity Fund was created to ensure that communities that have been disproportionately harmed by marijuana regulations have an equal opportunity to engage in this new industry," said Governor Maura Healey. "The programs enabled by this fund highlights our commitment to supporting Social Equity businesses and will help strengthen the industry and our economy."
The Legislature enacted the enabling law for this program in August 2022. As part of the FY23 closeout supplemental budget enacted in November 2023, the Healey-Driscoll Administration partnered with the Legislature to resolve technical issues affecting the funding mechanism.
EOED is charged with administering the Fund, in consultation with the Cannabis Social Equity Advisory Board. The Cannabis Social Equity Advisory Board met five times in 2023 to help inform trust fund regulations and program development.
"For the past year, I've had the honor of working alongside my fellow board members to educate, advise and discuss the important, strategic, and beneficial topics and areas that we believed should be captured in regulating the fund and application process," said Cannabis Social Equity Advisory Board Chair Keisha Brice. "The Social Equity Trust Fund will play a crucial role in upholding the Commonwealth of Massachusetts promise to support people and communities that have been disproportionately impacted by the war on drugs. In partnership with the EOED I believe what we have drafted is a reflection of a fair process that is equitable, commits to our fiduciary responsibilities and still allows room for growth as the industry evolves and we learn from this initial process. I look forward to our ongoing commitment to making an impact on what social equity in cannabis looks like in the Commonwealth of Massachusetts and I encourage everyone to continue advocating for change as there's more work to be done."
The Cannabis Social Equity Trust Fund was established by MGL Chapter 94G: Section 14A to encourage the full participation in the state's regulated marijuana industry of entrepreneurs from communities that have been disproportionately harmed by marijuana prohibition and enforcement.
The Immediate Needs Grant Program will distribute grants from the Cannabis Social Equity Trust Fund to Massachusetts social equity entrepreneurs and businesses. EOED plans to launch additional programs later in 2024 to further support social equity in the cannabis industry.
