An Update on Kentucky’s Medical Marijuana Licensing Investigation

Kentucky’s medical marijuana program officially launched in January, marking a major milestone for patients across the state. The rollout was met with widespread public support, as thousands of Kentuckians began applying for and receiving their medical marijuana cards. While the infrastructure is still being developed, including dispensaries, testing labs, and product suppliers, the patient side of the system is well underway, with more than 10,000 cards already issued so far this year.

Even as the program begins to take shape, controversy has surfaced around how the state awarded business licenses to operate within the new market. Specifically, Kentucky’s use of a lottery to award licenses for cultivators, processors, and dispensaries is now facing growing criticism and concern.

In April 2025, State Auditor Allison Ball announced her office had opened an investigation into the licensing process after receiving numerous complaints. The investigation focuses on whether the lottery was conducted fairly, whether certain applicants received preferential treatment, and whether large, out-of-state companies were able to “stack” applications to increase their odds of winning.

Why the Lottery?

The Office of Medical Cannabis (OMC), which oversees the program, chose a lottery system to streamline the process and avoid the legal delays that have plagued other states. The idea was to promote fairness by giving all qualified applicants an equal opportunity to receive one of the limited number of licenses. The process was livestreamed, and the state claims it was both transparent and legally sound.

However, watchdogs and local advocates have raised concerns that the system may have unintentionally favored applicants with more resources. Some companies reportedly submitted multiple applications under various business names or subsidiaries, effectively stacking the deck in their favor.

What the State Auditor Is Investigating

Auditor Ball’s investigation is focused on reviewing how the OMC conducted the lottery and approved applications. While she has not disclosed specific complaints or detailed allegations, her office confirmed that the audit will examine application records, internal processes, and whether the rules were applied consistently across all submissions.

At this point, there have been no legal challenges filed against the state, and Governor Andy Beshear’s administration has stood by the process. Officials maintain that the lottery was necessary to get the program off the ground quickly and fairly and have emphasized that any issues found during the audit will be addressed in due course.

What This Means for Patients

For patients, the good news is that the investigation into licensing has not disrupted the medical marijuana program’s implementation. Dispensary locations are already mapped out, and the first safety compliance facility in Mayfield is starting to take shape. Governor Beshear also issued an executive order waiving the $25 state renewal fee for medical marijuana cards in 2026 to support early adopters.

If you're a patient in Kentucky looking to get your card, the process remains straightforward.

You must receive a certification from a qualified medical provider and submit your application to the state. Once approved, your card is valid for use at any licensed dispensary once they open. Our clinics in Louisville and Lexington continue to assist patients at every step of this process, from helping you determine if you qualify to walking you through the online application and documentation requirements. We would love to help you get the relief you deserve. Schedule now!

What’s Next?

As the state auditor’s office continues its investigation, the findings could lead to reforms in how licenses are distributed in future rounds. Some lawmakers have already hinted that they’d like to see changes that better support local applicants and prevent excessive stacking of entries. Others are watching closely to ensure that the state maintains its timeline and doesn't let procedural disputes delay patient access.

In the meantime, the most important thing for patients is that the program is moving forward. Licenses have been awarded, patient cards are being issued, and the first dispensaries are expected to open soon. Whether you’re exploring medical marijuana for chronic pain, PTSD, or another qualifying condition, now is the time to take action. With support from our knowledgeable providers and streamlined application services, Kentuckians can focus on what matters most: feeling better.

Get Access to Medical Marijuana in Kentucky

Medical marijuana is here, Kentucky, and we’re booking appointments now!

You can schedule your appointment to see our doctor at our Louisville or Lexington office. Schedule your appointment today to get your marijuana card and be the first to access dispensaries as soon as they open!

Don’t wait—secure your spot and start your journey toward relief. Subscribe to our newsletter for more updates on the program and dispensaries!

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Doctors Who Care.

Relief You Can Trust.

At Kentucky Marijuana Card, we’re here to make the process easy and stress-free. Our team is dedicated to helping you unlock the full benefits of Kentucky’s medical marijuana program while improving your overall quality of life.

Don’t wait to start feeling better. Call us at (833) 781-6360 or schedule your evaluation today, and take advantage of the many benefits a medical card has to offer!