Local News

By Beth Treffeisen

March 31, 2025 | 1:22 PM

2 minutes to read

The state Office of the Inspector General found an “egregious operational breakdown” at the Cannabis Control Commission when it determined that the CCC failed to collect almost $2 million in fees.

In a letter to the CCC on Thursday to Executive Director Travis Ahern and Acting Chair Bruce Stebbins, the inspector general noted that the CCC failed to collect about $550,000 in prorated fees for license extensions from August 2022 to August 2024 and did not collect provisional license fees during this period, totaling $1.2 million.

“I recognize that neither of you held leadership positions at the CCC during that two-year period, but as the CCC’s current leaders, you must definitively act on the recommendations in this letter,” Inspector General Jeffrey Shapiro wrote.

“The failure to have collected fees is a significant problem, whatever its underlying causes, and should be a call for action.”

In response, Ahern clarified that the fees the OIG claims were not collected could not have been because those applications were still ongoing. Ahern stated that the $1.2 million in uncollected provisional fees is only due if those applicants proceed to final licensure.

In addition, Ahern said the commission is “well on its way” to collecting the $550,000 in prorated fees, with just $170,000 outstanding as of this week. However, some fees may not be collectible as some businesses have ceased to operate. 

“The Commission takes its responsibility to collect licensing fees and fines seriously,” Ahern wrote in a statement. 

From fiscal year 2023 to 2024, the commission collected nearly $34.5 million in licensing and application fees, which provides funding to support public health and safety and equity in the regulated cannabis industry. 

Ahern says the commission will continue to meet with the OIG, and a more robust response will come. 

The OIG received a hotline complaint in July 2024 alleging that the CCC failed to collect fees and started an investigation. 

The OIG did not find fraud during the investigation, but the letter said it “does suggest poor business practices and oversight.” 

The inspector general recommended that the commission take “immediate steps to ensure greater staff accountability” and conduct an audit to confirm the licensees have paid the fees. 

Other recommendations include ensuring that the CCC’s software has proper controls to operate effectively and efficiently while accurately tracking license extensions and collecting fees; conducting an IT systems audit; and clarifying the roles and responsibilities of the CCC chair, commissioners, executive director, and directors. 

Regarding the commission’s outdated IT infrastructure, Ahern noted that the commission asked for $1.4 million in its fiscal year 2026 budget request, part of which would address the software that tracks and accounts for license and application fee payments. 

As for the allegations of supervision and accountability, the commission does not comment on personal matters.