Essential Compliance Requirements for Cannabis Distributors in Nevada

Cannabis distribution companies in Nevada operate under a tightly regulated framework overseen by the Cannabis Compliance Board (CCB), as authorized by the Nevada Legislature (NRS chapters 678A–D). These regulations aim to ensure public safety, product integrity, and strict compliance across the state’s adult use and medical cannabis industries.

Licensing and Oversight

To legally transport cannabis, distributors must possess a current CCB-issued distribution license. This license permits movement of products solely between licensed cannabis establishments—cultivators, manufacturers, testing labs, or retail outlets. Transportation to consumers is expressly prohibited. Licensed distributors are subject to rigorous background checks and ongoing oversight; violations may result in civil penalties, license suspension, or revocation by the CCB.

Seed‐to‐Sale Tracking via METRC

Since November 2017, all cannabis businesses in Nevada, including distributors, must use METRC, the state’s seed-to-sale monitoring system. Distributors must generate a transportation manifest within METRC, capturing detailed inventory movement data from origin to destination.

Transportation Protocols

NCCR 13.010–13.035 lays out strict requirements for transport operations:

  • Secure Storage: Products must be kept in locked, opaque lockboxes or vehicle compartments, inaccessible to the public and free of any cannabis-related markings.
  • Packaging Requirements: Containers must be sealed, untampered, and properly tagged with METRC identifiers.
  • Documentation: Each trip must include a METRC manifest detailing pickup and destination addresses, license numbers, vehicle and agent information, and inventory specifics.
  • Vehicle and Personnel Standards: Vehicles require CCB approval, alarms, ICE-cool units (when transporting perishable items), and absence of cannabis signage. Drivers must hold valid state licenses, agent credentials, insurance, and may need two-person teams for loads over $25,000.
  • Incident Reporting: Crashes, breakdowns, unauthorized stops, or product loss/theft must be reported immediately—within two hours for crashes, in real time for other incidents—and documented thoroughly.

Storage and Inventory Controls

Distributors must maintain secure, locked, temperature-controlled storage facilities meeting food-grade standards (below 41°F for perishable items). Any storage beyond 48 hours requires prior notification to the CCB; longer storage must be authorized. Distributors are subject to unannounced inspections of premises, vehicles, and METRC data.

Packaging, Labeling, and Product Integrity

Adult-use products must comply with NRS 678D.420–.430, which mandates child-resistant, tamper-evident packaging; clear labeling with strain identity, potency, testing results, warnings, and batch/lot information.

Quality Assurance and Safety

Distributors may not handle or transport contaminated or recalled products; any damaged or refused items must be returned to the sender. All products must pass lab testing and comply with safety and pesticide standards defined in CCB guidance.

Regulatory Consequences

Violations of distribution rules can trigger civil fines (up to $50,000 per offense), administrative action, or criminal charges, particularly for illicit distribution. Additionally, federal law continues to classify cannabis as a Schedule I substance, leading to legal complexity despite state legalization.

In Summary

Nevada’s cannabis distribution licensees function within a comprehensive regulatory ecosystem—spanning licensing, seed-to-sale tracking, secure transport, storage conditions, packaging and labeling, and robust oversight. This regulatory apparatus protects consumers, ensures product integrity, and supports the state’s commitment to a safe and transparent cannabis market.