Austin, December 2, 2025
The Texas Department of Public Safety has initiated Phase I of the Texas Compassionate Use Program expansion with the announcement of nine businesses selected for conditional licensing. This step is pivotal for local entrepreneurs in the medical cannabis sector, promising economic growth and innovation within Texas. The conditional licenses, however, do not permit operations until further evaluations are completed, ensuring compliance and integrity in the expanding market.
Texas Compassionate Use Program Expands in Austin
Nine Businesses Move Forward in Conditional Licensing
Austin, Texas – The Texas Department of Public Safety (DPS) has initiated Phase I of the Texas Compassionate Use Program (TCUP) expansion, announcing nine businesses that have been selected for conditional licensing. As Texas continues to navigate the complexities of cannabis regulation, this expansion represents a step forward for local entrepreneurs in the medical cannabis space, demonstrating determination within a growing industry. Encouraging innovation and entrepreneurship in Austin can potentially lead to economic growth and job creation, fitting a beneficial narrative for the state’s economy.
The identified organizations are now subject to further due diligence evaluations, which will include assessments of their financial suitability, disciplinary actions, litigation history, and other crucial information. This process is an essential step for ensuring that those entering the market maintain high standards of compliance and integrity.
Conditional Licenses and Regulatory Requirements
The businesses granted conditional licenses are:
- Verano Texas, LLC – Public Health Region 10
- Trulieve TX, Inc – Public Health Region 1
- Texas Patient Access, LLC – Public Health Region 3
- Lonestar Compassionate Care Group, LLC – Public Health Region 3
- Lone Star Bioscience, Inc – Public Health Region 8
- PC TX OPCO LLC dba PharmaCann – Public Health Region 6
- Texa OP, dba TexaRx – Public Health Region 11
- Story of Texas, LLC – Public Health Region 6
- Dilatso, LLC – Public Health Region 2
While these entities are now recognized for their potential in the medical cannabis landscape, it is crucial to note that conditional licenses do not allow for the cultivation, manufacturing, distribution, or sale of cannabis products until further approval is granted by DPS. The comprehensive evaluation process being implemented serves to weed out any unqualified applicants and uphold the integrity of the expanding market.
Understanding House Bill 46
Passed earlier this year, House Bill 46 paves the way for the DPS to issue a total of 12 new TCUP dispensing organization licenses. The selection process involves two phases, with the current announcement marking the beginning of Phase I. Following this phase, a total of three additional conditional licenses will be awarded by April 1, 2026. This addition highlights the focus of Texas lawmakers on promoting a regulated growth of the cannabis market, which encourages private investment and aligns with the state’s economic interests.
About TCUP and Its Importance
The Texas Compassionate Use Program, established in 2015 through Senate Bill 339, allows qualified physicians to prescribe low tetrahydrocannabinol (THC) cannabis to patients with specific medical conditions. This program underscores the state’s commitment to providing necessary medical resources to Texans while also facilitating an innovative business environment.
The Compassionate Use Registry of Texas (CURT) is actively managed by the DPS, ensuring a secure online platform for healthcare professionals involved in the program. As an industry that has shown resilience and growth, the expanded TCUP will now foster a more competitive landscape, encouraging entrepreneurs to seek opportunities in this burgeoning field.
Compliance and Future Steps
It is essential to understand that all conditional licensees must comply with statutory and regulatory requirements applicable to medicinal licenses under TCUP. The DPS will also conduct thorough inspections to ensure adherence to state statutes and administrative rules before granting final approval. This checks-and-balances approach ensures public safety while allowing the market to develop responsibly.
Conclusion
The expansion of the Texas Compassionate Use Program marks a significant milestone for local entrepreneurs and the community at large. By encouraging responsible innovation and supporting small businesses, Texas can boost its economy while ensuring patients have access to necessary medical cannabis treatments. Those interested in supporting the growth of this industry should remain informed and engaged in local economic initiatives that prioritize entrepreneurship and regulatory integrity.
Frequently Asked Questions (FAQ)
What is the Texas Compassionate Use Program (TCUP)?
TCUP is a program administered by the Texas Department of Public Safety that allows qualified physicians to prescribe low tetrahydrocannabinol (THC) cannabis to patients with specific medical conditions.
What does a conditional license mean for these businesses?
A conditional license allows these businesses to proceed with further evaluations but does not permit them to cultivate, manufacture, distribute, or sell cannabis products until final approval by the department.
How many new licenses will be issued under House Bill 46?
House Bill 46 authorizes the Texas Department of Public Safety to issue a total of 12 new TCUP dispensing organization licenses over a two-phased selection period.
When will the final TCUP licenses be issued?
The final TCUP licenses are expected to be issued after the completion of the due diligence evaluations for the conditional licensees, with Phase II licenses to be issued by April 1, 2026.
Where can I find more information about TCUP?
More information about TCUP is available on the Texas Department of Public Safety’s website.
Key Features of the Texas Compassionate Use Program Expansion
| Feature | Description |
|---|---|
| Number of New Licenses | 12 new TCUP dispensing organization licenses to be issued over two phases. |
| Phase I | 9 conditional licenses announced, subject to further due diligence evaluations. |
| Phase II | 3 additional conditional licenses to be issued by April 1, 2026. |
| Conditional Licensees | Businesses that have been identified to proceed for additional due diligence evaluation. |
| Final Approval | Conditional licenses do not grant permission to operate until final approval by the department. |
| Compliance | Licensees must comply with all statutory and regulatory requirements applicable to the medicinal license issued under TCUP. |
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