The Alabama Department of Examiners of Public Accounts found in a recent audit of the state’s medical cannabis program that the Alabama Medical Cannabis has failed to follow state law on multiple occasions.
The audit investigated a multi-year period from May 17, 2021, through September 30, 2025.
Officials noted at least five instances of noncompliance by Alabama cannabis regulators, including:
Failure to comply with state record-keeping policies. Failure to comply with the Alabama Open Meetings Act. Overpayment on a legal services contract by over $200,000. Failed to fully establish a licensing and fee structure for the industry, as required under the state’s medical cannabis law. The Commission established an administrative rule for lost or stolen medical cannabis ID cards that conflicts with state law.
For the overpayment, the receiving vendor had to file a claim with the Alabama Board of Adjustments to get its payment.
“The total contract amount was $400,000.00 and the vendor received $604,197.55, resulting in an overpayment of $204,197.55. The overpayment occurred due to the Commission’s failure to properly monitor payments on the contract to ensure payments were made within the contract terms.” — Excerpt from the audit
According to the audit, the
