Last verified: March 2026
2025 Legislative Session: A Transformative Year
Montana's 2025 legislative session produced the most significant cannabis legislation since HB 701 (2021). Seven bills were signed into law, one was vetoed, and two failed. The session's dominant theme was market consolidation: the license moratorium (SB 27) effectively locked the current market structure in place through mid-2027.
Bills That Passed
SB 27 — License Moratorium
Signed May 2025. Effective immediately through June 30, 2027.
The most consequential bill of the session. SB 27 freezes new cannabis location openings through June 30, 2027. Existing licensees can transfer or modify premises through the TransAction Portal (TAP), but no new entrants are accepted. This effectively:
- Blocks out-of-state corporations from entering the Montana market
- Protects existing operators from new competition
- Locks in the current ~1,000 licensed premises
- May increase the value of existing licenses (since supply is frozen)
SB 74 — Tax After Discounts
Signed 2025. Effective for future tax periods.
Clarifies that the 20% recreational excise tax (and 4% medical) is calculated after discounts and promotions rather than on the pre-discount price. This provides a modest consumer benefit and ensures tax fairness when dispensaries run promotional pricing.
HB 49 — Synthetic Cannabinoid Ban
Signed 2025.
Bans synthetic cannabinoids from the licensed cannabis market. This targets products containing lab-synthesized THC analogs and ensures that all products sold through licensed dispensaries are derived from natural cannabis plants. The bill responds to national concerns about unregulated synthetic cannabinoids appearing in hemp-derived products.
SB 375 — Hemp Edibles Ban
Signed 2025.
Prohibits the sale of hemp-derived THC edibles outside the licensed cannabis system. This closes a loophole where hemp products containing delta-8 THC or converted THC were being sold in convenience stores and gas stations without age verification or potency testing. All THC edibles must now go through licensed dispensaries.
HB 636 — 5mg Edible Serving Size
Signed 2025. Effective July 1, 2026.
Reduces the recreational edible per-serving THC limit from 10mg to 5mg. The 100mg per-package limit and 800mg per-transaction limit remain unchanged. This means packages will contain more servings at a lower dose per serving. Medical patients are exempt from the serving size restriction.
The 5mg serving size takes effect July 1, 2026. Until then, the current 10mg per serving limit applies. Plan accordingly if you visit before or after the transition date.
HB 792 — Labeling and Education
Signed 2025.
Enhances cannabis product labeling requirements and directs CARD to develop consumer education materials. The bill aims to improve consumer understanding of potency, dosing, and product differences through standardized labeling and public education campaigns.
SB 11 — Local Ballot Process
Signed 2025.
Modifies the local ballot process by which red counties and municipalities can hold elections to opt in to recreational cannabis sales. The bill adjusts signature requirements and election timing, making it somewhat easier for communities to put the question to voters. This is relevant for red counties considering whether to allow recreational dispensaries.
Bills That Were Vetoed
HB 952 — Tribal Compacts (VETOED)
Passed legislature. Vetoed by Governor Gianforte.
HB 952 would have created a framework for tribal cannabis compacts between Montana and its 8 federally recognized tribes, modeled on Washington State's successful tribal compact system. The bill had bipartisan support and would have allowed tribes to regulate cannabis on their own land under a government-to-government agreement. Governor Gianforte vetoed the bill, leaving the restrictive Combined-Use License as the only tribal cannabis pathway. See our Tribal Sovereignty page for details.
Bills That Failed
SB 255 — $200 Consumer ID Card (Died in Committee)
Would have required recreational cannabis consumers to purchase a $200 annual ID card to buy cannabis. The bill was widely seen as an attempt to create barriers to legal access and died without a floor vote.
SB 443 — 15% THC Cap (Failed)
Would have lowered the recreational flower THC cap from 35% to 15%. The bill failed after opposition from the cannabis industry, consumers, and CARD. The current 35% cap remains in effect.
Looking Ahead: Post-Moratorium (July 2027)
The license moratorium expires on June 30, 2027. Key questions for the next legislative session and beyond include:
- Will the moratorium be extended?
- Will new licensing open to out-of-state operators?
- Will social equity provisions be added?
- Will consumption lounges be considered?
- Will tribal compacts be revisited?
The 2027 legislative session will likely be the most significant for Montana cannabis policy since 2021.
Official Sources
For in-depth cannabis education, dosing guides, safety information, and research summaries, visit our partner site TryCannabis.org