Distribution companies and services adhere to both Nevada state law and City of Las Vegas ordinances. Licensed under the Nevada Cannabis Compliance Board (CCB), distributors occupy a crucial role in transporting cannabis from cultivators and manufacturers to dispensaries, without ever engaging in sales directly to consumers.
Licensing and Preconditions
Distributors require an adult‑use (and, if applicable, medical) cannabis distributor license from the Nevada CCB. License applicants must control at least $250,000 in liquid assets, undergo criminal background checks (felony convictions for controlled substances may disqualify), and meet strict zoning and land-use requirements—such as staying 1,000 ft from schools and 300 ft from community facilities. Additionally, the City of Las Vegas imposes local licensing rules. Distributors must secure a city business license and special use permit following municipal code 6.95.
Seed‑to‑Sale Tracking
Since November 1, 2017, all cannabis establishments—including distributors—must utilize METRC, Nevada’s mandatory seed‑to‑sale tracking system. METRC must generate transportation manifests that detail product identity, weight, quantities, origin, destination, vehicle and driver credentials, and timestamps. All transfers must be logged, unalterable, and reconciled by both sender and receiver.
Transportation Procedures
Distributors may only transport cannabis between licensed establishments. Using unmarked vehicles, with secure locked compartments or lockboxes, they must ensure products are not visible externally. Vehicles must have board‑approved temperature control if carrying perishable items below 41°F. RFID tagging via METRC is mandatory throughout transport. Vehicles require board approval and must carry alarm systems; drivers must present valid insurance, licensing, METRC manifests, and their agent registration credentials.
Security and Staffing
If shipments exceed $25,000 in wholesale value, at least two registered agents must accompany the vehicle. Agents must document any vehicle crash, breakdown, unauthorized stop or product loss/theft, and report these incidents to both law enforcement and CCB within designated timeframes. Surveillance must record loading and unloading activities.
Storage Requirements
Distributors must maintain secure, locked, and temperature‑controlled storage areas separate from non‑cannabis items. Temporary storage exceeding 48 hours requires prior approval, and locations must be reported in advance.
Operational Limits and Statewide Compliance
Transport is restricted to Nevada’s borders, and only cannabis-related items may be carried—aside from paraphernalia or packaging. METRC trip plans must outline reasonable routes, restricted to fuel stops, with no unauthorized detours. Distributors must make their premises, vehicles, and records available for unannounced inspection during business hours.
Local Ordinance Adherence
City of Las Vegas mandates that distributors meet municipal standards—obtain CCB approval, special use permits, and follow construction and environmental plans, employee vetting, and waste disposal protocols. Violating local code 6.95 results in penalties or license revocation.
In Summary
Distributors in Las Vegas must navigate dual compliance: Nevada’s statewide regulations via the CCB, and city-specific licensing and zoning under Las Vegas municipal code. Critical requirements include robust METRC tracking, secure, unmarked transportation, staff oversight, controlled storage, full reporting, and transparency through inspections. Failure to comply can result in severe civil and criminal penalties.
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