---
title: 6 Things to Know About Iowa’s Recreational Marijuana Legalization Bill
description: The Iowa Legislature introduced a bill that legalizes recreational marijuana, and establishes a regulatory framework for the licensing and oversight of marijuana establishments by the alcoholic beverages division of the department of commerce. Below are 6 things that you should know about Iowa’s recreational marijuana bill. An owner of marijuana establishments who is a natural […]
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---

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Iowa

# 6 Things to Know About Iowa’s Recreational Marijuana Legalization Bill

![Susan Ameel](https://7528315.fs1.hubspotusercontent-na1.net/hub/7528315/hubfs/raw_assets/public/mV0_d-cms-elevate-theme_hubspot/elevate/images/avatar-placeholder.jpg?width=48&height=48&name=avatar-placeholder.jpg)

 Susan Ameel

March 11, 2019

The Iowa Legislature introduced a[bill](https://www.legis.iowa.gov/legislation/BillBook?ga=88&ba=SF469) that legalizes recreational marijuana, and establishes a regulatory framework for the licensing and oversight of marijuana establishments by the alcoholic beverages division of the department of commerce.

Below are 6 things that you should know about Iowa’s recreational marijuana bill.

- An owner of marijuana establishments who is a natural person must be a resident of Iowa for a year prior to submitting an application or a U.S. citizen.
- Marijuana retail shops may be owned by an unlimited number persons who have been residents of Iowa for at least a year prior to the submission of the application.
- The bill caps the number of cultivator and manufacturing licenses to 20 of each.
- The application fee is $5,000 with $2,500 being transmitted to the local jurisdiction where the marijuana establishment is located. The local jurisdiction may also adopt and impose operating fees on retail marijuana businesses.
- Cultivators are charged a $25 excise tax per immature plant; $50 an ounce of retail flower; and $15 an ounce for other parts of the retail plant. Retail stores may not purchase retail flower from a cultivator until it verifies payment of the excise tax.
- The bill establishes a retail marijuana trust fund that distributes revenues across drug prevention programs, drug courts, and early childhood development programs. The bill also disbursed money to county supervisors where at least one retail dispensary is located.

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