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Liquor Wholesalers Pass On Marijuana Distribution Licenses

LAS VEGAS (AP) — According to the state Department of Taxation, liquor wholesalers have been slow to sign on to Nevada's new legal marijuana market, meaning the state must look elsewhere for marijuana middle-men with recreational cannabis sales slated to start July 1.

The Las Vegas Review-Journal reports that according to a notice from the Department of Taxation, because of the lack of interest from liquor wholesalers, the department will accept marijuana distribution applications from medical marijuana license holders.

The ballot initiative that legalized marijuana in Nevada gave liquor distributors first dibs on marijuana distribution licenses, meaning they would have acted as wholesalers between cultivators, production companies, and retail shops. But tax department spokeswoman Stephanie Klapstein says the distributors have not jumped at the opportunity.

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The department expects to begin accepting applications in May or June.