MjLink Cannabis Business News and Press

Editor's note: Election results reported are projected, and subject to change. CBT/CD will update its election coverage as necessary to accommodate changing election results.

Preliminary results from Mississippi show that medical cannabis legalization passed with approximately 67% of the vote, according to the New York Times. Initiative 65, the measure from Mississippians for Compassionate Care’s Medical Marijuana 2020 campaign, received about 48% more votes than a competing measure put on the ballot by the state legislature, Alternative 65A. Roughly 33% of voters were against both measures.

Mississippians for Compassionate Care announced its win on social media.

A fiscal analysis by Mississippi’s Legislative Budget Office estimates the first year of the medical program will cost the state roughly $11.1 million, according to the Medical Marijuana 2020 site. In the following years, the program will bring in around $10.7 million in overall annual revenue, which will need to go back into the program.

Residents must have one of 22 serious qualifying conditions, such as cancer, chronic pain, or epilepsy, to qualify as a medical cannabis patient.

Mississippians for Compassionate Care nor the state representatives behind Alternative 65A could not be reached for comment by Cannabis Business Times and Cannabis Dispensary about election results.

Editor's note: Election results reported are projected, and subject to change. CBT/CD will update its election coverage as necessary to accommodate changing election results.

Access to medical cannabis in the U.S. expanded on the night of Nov. 3, as voters in South Dakota approved a ballot measure that paves the way for a program that would allow individuals with debilitating medical conditions access to the plant’s therapeutic benefits.

Measure 26, originally filed by Melissa Mentele, executive director of New Approach South Dakota, passed with 68.8% support with 84% of precincts reporting, according to the Associated Press (AP).

Among other items, Measure 26 would cap licensing fees for medical cannabis establishments at $5,000 (adjusted annually for inflation), would implement a sliding scale for patient application and renewal fees based on household income, and would require the state’s Department of Health (DoH) to issue rules within 120 days of the effective date of the act. Once the program is established, patients will be able to home grow at least three plants and possess up to three ounces of dried cannabis (with limits on cannabis products to be set by the DoH).

Additionally, the ballot’s language prevents counties from banning medical facilities. Patient access was a priority for the Measure 26 campaign, as South Dakota ranks in the bottom 10th percentile in state population density rankings.

The Marijuana Policy Project's (MPP) deputy director, Matthew Schweich, said in a statement: “By approving Measure 26, South Dakotans have made it clear that they believe individuals with debilitating medical conditions should have the right to use medical marijuana without fear of criminalization.”

Editor’s Note: Election results reported are projected, and subject to change. CBT/CD will update its election coverage as necessary to accommodate changing election results.

Despite legal battles and opposition from the state’s governor, Arizona voters approved adult-use cannabis legalization on Election Day by a 60-40 margin, according to unofficial election results reported by the New York Times at 11:19 p.m. ET.

“Voters took Arizona one step forward today,” said Jared Keenan, senior staff attorney for the ACLU of Arizona. “As the state with the fifth highest incarceration rate in the country, the legalization and decriminalization of marijuana use will help Arizona reduce its bloated prison population while allowing those convicted of a past marijuana offense to have their record cleared. We will work to ensure that prosecutors across the state uphold the will of Arizona voters and end the practice of saddling people with a felony conviction for simple marijuana possession.”

The statutory measure, Prop. 207, allows adults 21 and older to purchase and possess up to one ounce of cannabis, as well as grow up to six plants at home for personal use.

The Arizona Department of Health, which already regulates the state’s medical cannabis program, is now responsible for overseeing the adult-use industry, which must launch by June 1, 2021, under the initiative. The department will grant vertically integrated licenses to businesses to cultivate, process and sell adult-use cannabis, as well as license adult-use testing facilities. Arizona’s existing medical cannabis businesses will be considered “early applicants,” as will applicants seeking to locate their business in a county with fewer than two existing medical cannabis operators.

Editor's note: Election results reported are projected, and subject to change. CBT/CD will update its election coverage as necessary to accommodate changing election results.

New Jerseyans have voted to approve Public Question No. 1, which amends the state constitution to legalize cannabis for adults aged 21 and over, as well as the cultivation, processing and sale of recreational cannabis products, by a 67-33 margin, according to unofficial election results reported by the New York Times at 9:48 p.m. ET. 

The ballot initiative does not spell out a regulatory framework of any kind.

The Public Question No. 1 referendum comes after years of failed attempts to legalize adult-use cannabis in the state legislature.

This year’s referendum effort raised more than $2 million in campaign contributions, most of which were given to cannabis-legalization campaign NJ CAN 20 and political advocacy group Building Stronger Communities Action Fund.

NJ CAN 2020’s coalition included the American Civil Liberties Union (ACLU) of New Jersey, Minorities for Medical Marijuana (M4MM), the National Organization for the Reform of Marijuana Laws (NORML), the National Association for the Advancement of Colored People (NAACP), Law Enforcement Action Partnership, Progressive Democrats of New Jersey, and other industry members and stakeholders.

SMITHS FALLS, ON, Nov. 3, 2020 /CNW/ - PRESS RELEASE - Canopy Growth Corporation has announced it will be transferring its U.S. stock exchange listing from the New York Stock Exchange to the Nasdaq Global Select Market effective Nov. 13, 2020 after market close. Common shares of Canopy Growth are expected to begin trading as a Nasdaq-listed security on Nov. 16, 2020, with the shares continuing to trade under the symbol "CGC."

"By making the move over to Nasdaq, we are joining some of the world's leading companies that share our passion and focus for innovation," said David Klein, Canopy Growth CEO. "Making the transition to Nasdaq also provides us with greater cost-effectiveness and access to a suite of tools and services that will help us connect more efficiently with our current and future investors."

Current retail and institutional investor shares will automatically be transferred over to Nasdaq and current shareholders are not required to take any action. The last day of trading of the company's common stock on NYSE is expected to be Friday, Nov. 13, 2020.

This is part two of a two-part interview. Read part one here.

Education and awareness can take many forms. Through various work with criminal justice reform advocates and cannabis businesses, Last Prisoner Project (LPP) aims to shift the paradigm around cannabis incarceration and its effects.

Below, Cannabis Business Times and Cannabis Dispensary continues its conversation with Sarah Gersten, LPP’s executive director and general counsel, about these issues.

 

Patrick Williams: LPP is working with Rudi Gammo and Michael Thompson in trying to get them released and their criminal records expunged. Could you talk about the Michigan Cannabis Prisoner Release Campaign partnership with the Cannabis Caucus of the Michigan Democratic Party and the Redemption Foundation? Could that work expand upon or accentuate Gov. Gretchen Whitmer's signage of clean slate bills in October?

Sarah Gersten: This is a campaign that was established after Last Prisoner Project had been working in Michigan for months on Michael Thompson's case. Michael Thompson is a 69-year-old currently incarcerated in [a] Michigan prison. We had submitted his clemency application in January. We're just now nearing the finish line with that case, and it took us longer than anticipated, but … we were able to get so much momentum around Michael's case and really get it into the public [consciousness]. It's a case that, I think, shocks the conscience, especially when you look at Michigan, a state that is now fully legalized, [and] key lawmakers in that state, like Gov. Whitmer [and] Attorney General Dana Nessel, have come out in support of not just legalization but these kinds of criminal-justice efforts that go in tandem with legalization, like clean slate. But what has not occurred in Michigan, despite movement on things like the clean slate package, which is an amazing first step, [is anything] to provide retroactive release for currently incarcerated cannabis prisoners like Michael Thompson.

A large fire engulfed Canopy Growth’s former greenhouse facility in Delta, B.C., the morning of Nov. 1, with the blaze under control by the afternoon, according to the Vancouver Sun.

The Canadian LP shuttered the facility in March as part of a “production optimization plan,” which also resulted in the closure of another greenhouse in Aldergrove, B.C., and the elimination of roughly 500 employees.

“The site hasn’t been operational in months, so thankfully there wasn’t anyone on site, nor were there any plants on site,” Jordan Sinclair, Canopy Growth’s vice president of communications, told Cannabis Business Times in a prepared statement. “We’d like to thank the Delta Fire and Emergency Services for their brave work containing the fire.”

Firefighters were called to the scene around 7:30 a.m. on Sunday morning, the Vancouver Sun reported, and it took 30 firefighters across seven crews to manage the fire, which was contained to the shipping and receiving section of the facility.

No one was inside the facility when the fire broke out, and no injuries were reported, according to CBC News.

Shanghai, China – PRESS RELEASE – Pozeen has announced its commercial-grade GLPC series LED grow light.

“The Pozeen GLPC is UL, cUL (UL8800 category), and DLC listed and designed for indoor hydroponic cannabis growth,” the Pozeen team explains. “The GLPC comes with optimized spectra for clone stage, vegetative stage and flowering stage. The fixture is available in 100W, 200W, 320W and 630W, which can dim to off (0%) and boost to 110% through the integrated dimmer switch. The fixture can also activate worker-parent process by daisy-chaining all fixtures through provided RJ45 data cord; all fixtures can be synchronized from any of the fixtures in the loop.

“The GLPC comes all-in-one with all the power, data and mounting accessories necessary for open-bed crop production; and can be easily mounted with grow racks for vertical farming with support mounting kits.

"Through the past 3-year engineering and 200+ times field testing, the GLPC is proven to maximize photosynthesis, growth and yield with 2.4 times more yield and 55% less energy consumption,” the team concludes.

VANCOUVER, BC, Nov. 2, 2020 /PRNewswire/ - PRESS RELEASE - Village Farms International, Inc. has announced it has completed the acquisition from Emerald Health Therapeutics, Inc. of 36,958,500 common shares of Pure Sunfarms Corp. owned by Emerald, representing approximately 41.3% of the issued and outstanding common shares of Pure Sunfarms. With the completion of the Pure Sunfarms Transaction, Village Farms now owns 100% of the common shares of Pure Sunfarms. The acquisition of the Pure Sunfarms shares will be immediately accretive to Village Farms' net income.

"Village Farms conceived of a joint venture to launch its Canadian cannabis business, and the result, Pure Sunfarms, is now one of the leading Canadian cannabis companies. With this transaction our shareholders will now fully benefit from our initiative," said Michael DeGiglio, CEO of Village Farms. "Pure Sunfarms is well positioned for long-term growth as one of what we believe will be just a small number of major suppliers to the Canadian cannabis market. Importantly, as part of the Village Farms organization Pure Sunfarms can now pursue additional opportunities to further leverage its success to date and increase its earnings potential. I am pleased to welcome the outstanding management team and employees of Pure Sunfarms to our organization, and welcome back so many Village Farms' personnel who transitioned to our cannabis venture in the early days to ensure that Pure Sunfarms would benefit fully from Village Farms' decades of experience and site-specific operational expertise. Pure Sunfarms' CEO, Mandesh Dosanjh, and his entire team have done exceptional work in bringing Village Farms' vision to reality, and we look forward to their continued contribution to its success as part of Village Farms going forward.

"The acquisition of the entirety of Pure Sunfarms is a defining moment for Village Farms, furthering our transformation to a vertically integrated, plant-based consumer packaged goods company. It allows us to fully leverage the invaluable cannabis expertise Village Farms has gained in combination with the organizational strength underlying the Village Farms produce business to pursue high-growth opportunities in emerging legal cannabis and CBD markets in the United States and targeted markets internationally. We will do so with the same thoughtfulness, prudence, strategic decision making and focus on near-term profitability and long-term return on invested capital that has been fundamental to the success of our investment in Pure Sunfarms.

"We especially look forward to the potential for U.S. regulatory changes that would permit us to pursue our U.S. cannabis aspirations. With one of the largest greenhouse footprints in the U.S., located in one of the best regions for growing in the country, alongside our cannabis success in Canada, we believe there is no company better positioned for long-term success in the U.S. cannabis industry. We are ready to move quickly and aggressively as soon as the regulatory environment permits."

Upon closing of the Pure Sunfarms transaction, Pure Sunfarms will be fully consolidated in Village Farms' financial results. Village Farms will report its third quarter financial results and the third quarter financial results of Pure Sunfarms on Nov. 13, 2020. Village Farms' financial results for the three and nine months ended Sept. 30, 2020 will continue to reflect Village Farms' 58.7% ownership of Pure Sunfarms as an investment in a joint venture.

Wellness Connection of Maine filed a motion Oct. 29 to fight a lawsuit against the state that was brought by two small cannabis businesses over adult-use licenses awarded to out-of-state companies, according to a Bangor Daily News report.

Wellness Connection, which is controlled by Delaware-based investor High Street Capital Partners and operates four medical cannabis dispensaries in Maine, filed the motion on behalf of its adult-use business, NPG, to ask a judge to dismiss the lawsuit, which was brought by two medical cannabis caregivers who claim that the state cannot refuse to enforce a law restricting out-of-state business owners from participating in Maine’s adult-use market.

Maine eliminated a residency requirement in May that would have required every officer, director and manager of an adult-use cannabis business, as well as a majority of its ownership, to live and file taxes in Maine for at least four years. The rule was set to expire in June 2021, but the state repealed it early as part of an agreement with Wellness Connection, which filed a separate lawsuit in March to challenge the constitutionality of the requirement.

The new lawsuit now puts Wellness Connection on the same side as the state as a defendant, Bangor Daily News reported.

Maine’s first adult-use cannabis sales launched Oct. 9, and NPG currently holds one active manufacturing license, one active cultivation license, and five conditional approvals for another manufacturing facility and four dispensaries, according to Bangor Daily News.

Ohio is now accepting petitions to add new qualifying conditions to the state’s medical cannabis program, according to a local WDTN report.

The State Medical Board of Ohio will accept petitions for the Ohio Medical Marijuana Control Program through Dec. 31, the news outlet reported, and may then designate new conditions or diseases as eligible to be treated with medical cannabis.

Petitions will not be considered if they are received after the deadline, or if they seek to add a broad category of conditions or diseases, according to WDTN.

Those petitioning for a condition that was previously considered and rejected by the board may not resubmit documents that have already been reviewed, the news outlet reported, but may present new scientific research for consideration.

Ohio’s current list of qualifying conditions include AIDS; amyotrophic lateral sclerosis (ALS); Alzheimer’s disease; cachexia; cancer; chronic traumatic encephalopathy; Crohn’s disease; epilepsy or other seizure disorder; fibromyalgia; glaucoma; hepatitis C; inflammatory bowel disease; multiple sclerosis (MS); chronic, severe or intractable pain; Parkinson’s disease; HIV; post-traumatic stress disorder (PTSD); sickle cell anemia; spinal cord disease or injury; Tourette syndrome; traumatic brain injury and ulcerative colitis.

This week, Detroit officials proposed an ordinance to allow adult-use cannabis sales in the city, after initially opting out of the state’s recreational market. Elsewhere, cannabis legalization polls show promising results ahead of Election Day, when four states—Arizona, New Jersey, Montana and South Dakota—are set to vote on adult-use ballot measures.

Here, we’ve rounded up the 10 headlines you need to know before this week is over.

Federal: Fifteen percent of seniors report having used cannabis products within the past three years, primarily for therapeutic purposes, according to data published in the Journal of the American Geriatric Society. Investigators affiliated with the University of California at San Diego surveyed 568 respondents at a geriatric clinic in southern California. All of the study’s participants were at least 65 years of age, and 73% of respondents were older than 75. Read morePolling numbers vary, but the most recent results indicate that voters in the four states with recreational legalization on the ballot—Arizona, New Jersey, Montana and South Dakota—will vote in favor of legalization. A shift in public perception and potential tax revenue are two key reasons the measures are likely to succeed, according to Fox Rothschild attorney Melissa T. Sanders. Read moreA recent study by the Resource Innovation Institute (RII) found that indoor cannabis cultivation facilities that utilize LED lighting systems were, on average, more energy-efficient and more productive than facilities using non-LED lights. The non-profit organization analyzed data from 84 indoor cultivators who submitted energy use and production data to the group’s Cannabis PowerScore tool, a benchmarking platform that gathers confidential facility information about energy use, production output and cultivation methods, and provides operators with ranking relative to other respondents. Read moreMichigan: Detroit Councilman James Tate and Mayor Mike Duggan shared details of a proposed ordinance this week that would allow adult-use cannabis sales in the city. Detroit initially opted out of Michigan’s adult-use cannabis market, instead placing a moratorium on sales to buy the city time to draft an ordinance to regulate the industry. Now, city officials plan to propose their ordinance as an amendment to the Detroit City Code, which will be considered at upcoming public hearings led by the city council. Read moreNew Jersey: The New Jersey Assembly Appropriations Committee approved legislation Oct. 26 that would require workers’ compensation and personal injury protection (PIP) auto insurance benefits to cover medical cannabis in certain situations. A1708 was approved by the Assembly Committee on Financial Institutions earlier this year, and advanced out of the Appropriations Committee Monday in a 7-4 vote. Read moreMissouri: Lyndall Fraker, the director of Missouri’s medical cannabis program, believes voters could legalize adult-use cannabis in the state as early as 2022. Fraker told FOX 2 Now that he believes medical cannabis legalization was a step toward adult-use in the state. “Absolutely, I think that was the intent of the drafters,” he said. “We’ve already heard that they are going to try and work and get it on the ballot, but I don’t think the legislature will do it; I think it will have to be a petition. It’s going to be on the ballot in 2022, I’m very confident in that, but I don’t know what that language will look like.” Read moreMississippi: Madison Mayor Mary Hawkins Butler is challenging one of Mississippi’s two medical cannabis ballot measures with the state supreme court. Butler filed the complaint Oct. 27, just one week before Election Day, alleging that the number of signatures gathered to put the issue before voters does not meet standards set in the state’s constitution. Read moreIllinois: Curaleaf announced this week that the multi-state operator is expanding its line of Select Oil brand products to Illinois, the 15th state to carry Select Oil products. Select Elite Live cannabis oil cartridges will be the first offered in the state. Read moreA judge has ordered Illinois officials not to rescore cannabis dispensary applications in an ongoing licensing dispute over the state’s plan to issue 75 new retail licenses. The move comes after three finalists included in the licensing lottery filed a lawsuit over Gov. J.B. Pritzker’s plan to offer unsuccessful retail applicants a second chance to qualify for the controversial lottery. Read moreInternational: Although full election results are expected to be published Nov. 6, preliminary election results show that New Zealand is set to reject adult-use cannabis legalization. The country’s Electoral Commission has reported that 53.1% of voters opposed the cannabis referendum, but also said there are nearly half a million mostly overseas special votes that have not yet been counted and that might be enough to get legalization across the finish line. Read more

Canóvanas, Puerto Rico - PRESS RELEASE - After months of planning, Tropizen announced the start of the production of Puerto Rico’s first cannabis-infused fruit chewables, as part of its ongoing partnership with U.S. multi-state cannabis and hemp operator MariMed. The company will also manufacture new cannabis-infused chewable tablets.

“We have seen Puerto Rico’s medical cannabis market evolve and grow exponentially. Patients are looking for higher quality and natural options made with real ingredients,” said Tropizen co-founder Marni Meistrell. “We believe that these new products are a great fit, both with changing patient preferences and Tropizen’s corporate philosophy. As our partnership with MariMed advances, we are pleased to be able to continue to offer innovative, world-class products.”

RELATED: Tropizen Finds Success in Puerto Rico’s Cannabis Market

The company's expanded product portfolio will now include Betty's Eddies taffy style infused fruit chews and Kalm Fusion chewable tablets. Both will be available through authorized dispensaries in Puerto Rico.

Meistrell explained that the vegan, gluten-free fruit chews are manufactured using traditional taffy machines and made using real fruits and vegetables. Containing full-spectrum cannabis oil, they will be available in a variety of flavors, including berry, orange, lemon, lime, grape, peach mango, and an insomnia formula with lemon and melatonin. The product has been recognized in the United States as one of the top-performing cannabis brands.

Preliminary election results show that New Zealand is set to reject adult-use cannabis legalization, according to U.S. News & World Report.

RELATED: Young Voters Key for New Zealand’s Cannabis Legalization Referendum, According to New Poll

The country’s Electoral Commission has reported that 53.1% of voters opposed the cannabis referendum, according to the news outlet, but also said there are nearly half a million mostly overseas special votes that have not yet been counted and that might be enough to get legalization across the finish line.

Full results are expected to be published Nov. 6, according to U.S. News & World Report.

If successful, the referendum would make New Zealand the third country to legalize the adult use and sale of cannabis, following Canada and Uruguay.

A judge has ordered Illinois officials not to rescore cannabis dispensary applications in an ongoing licensing dispute over the state’s plan to issue 75 new retail licenses, according to the Chicago Tribune.

The move comes after three finalists included in the licensing lottery filed a lawsuit over Gov. J.B. Pritzker’s plan to offer unsuccessful retail applicants a second chance to qualify for the controversial lottery.

Illinois regulators announced in September that 21 social equity applicants would be included in a lottery to win the 75 available dispensary licenses.

After a group of companies behind some of the unsuccessful bids filed a federal lawsuit claiming that there was political motivation behind the number of businesses included in the lottery, Pritzker announced that unsuccessful applicants who did not receive perfect scores on their initial applications could amend and resubmit them, or ask the state to re-score them if they believed a mistake was made during the initial scoring process.

SB IL, Vertical Management and GRI Holdings IL, which all received perfect scores on their initial applications and qualified for the licensing lottery, then asked the Illinois Supreme Court to award the licenses without the changes to the process.

In September, Christopher Melillo—who spent the past two years as senior vice president of retail at the multi-state, vertically integrated cannabis operator Curaleaf—made the leap to join Ascend Wellness Holdings, a multi-state operator with cultivation, processing and retail licenses and multiple brands on the East Coast and in the Midwest, as the company’s chief revenue officer.

Melillo, who has a 25-plus year track record in retail, including leadership positions at Nike, VILLA, Home Depot and PetSmart, shared with Cannabis Business Times and Cannabis Dispensary the impetus behind the recent move, as well as what he looks for in building great teams, the potential outlook of New Jersey adult-use legalization, and more.

Editor’s note: This interview has been edited for length, style and clarity. 

Cassie Neiden: You were a top retail executive at Curaleaf, helping build that company into one of the biggest in the country in terms of footprint in the cannabis industry. So what enticed you to bring your talents to Ascend Wellness?

Christopher Melillo: First and foremost, the time at Curaleaf was an amazing opportunity for me. And we really did get to build an impressive team as well as an impressive footprint across the cannabis space in the United States. [I’m] proud of the work we were able to accomplish at Curaleaf, but with that came some opportunities. As I talked to Ascend, [an opportunity] for a chief revenue officer came open. They continue to go down their path for expansion, and being able to take a higher role and run multiple divisions within the organization was a very attractive opportunity to me. Running retail, wholesale, marketing as well as design/construction, new store expansion. It’s just a more well-rounded view. Most of which I was doing at Curaleaf anyway, just at a higher title in the C suite. I have a proven track record and I think we’ll see a lot of success.

WAKEFIELD, Mass., Oct. 29, 2020 -- PRESS RELEASE -- Curaleaf Holdings, Inc., a vertically integrated cannabis operator in the United States, has announced that it has expanded its award-winning line of Select Oil brand products to its 15th state, Illinois--the nation's second-largest adult-use market after California--starting with its Select Elite Live cannabis oil cartridges.

Select is a lifestyle brand that was acquired by Curaleaf in February 2020. Select creates a variety of high-quality products that can be found in over a thousand dispensaries across 15 states, including Arizona, California, Colorado, Connecticut, Florida, Illinois, Maryland, Michigan, Nevada, New York, Ohio, Oklahoma, Oregon, Massachusetts and Maine. Select takes pride in having some of the most stringent and progressive testing practices in the industry and is committed to continuous innovation to ensure its customers get the best cannabis experience possible.

Select Elite Live combines high-quality, high-potency THC oil with live resin extract derived from fresh, frozen flower. Created with a proprietary formula, Elite Live is designed to capture the essence of the living plant with a higher terpene content when compared to a traditional distillate cartridge. The enhanced formula has quickly become a best-seller in every market where it has launched; in Florida alone, sales surpassed $1 million in less than one month. The oil is delivered by Select's unique cartridge technology, which helps to evenly distribute heat and deliver enhanced purity, flavor, and quality.

"The Select brand has worked diligently to earn its place as an industry leader and is rapidly becoming the first nationally-recognized cannabis brand," said Joe Bayern, president at Curaleaf. "Illinois is one of the largest adult-use cannabis markets in the country and one that has worked incredibly hard to address the need for reparation and normalization of our industry. We look forward to becoming part of the Illinois community, and serving the patients and consumers with the best in class cannabis consumer products available anywhere."

In July 2020, Curaleaf closed on its acquisition of Grassroots, giving the company the opportunity to continue developing innovative products and serving communities across the United States, including Grassroots' native state of Illinois. Select is slated to expand into Pennsylvania early next month. Both Illinois and Pennsylvania are among the largest and fastest-growing cannabis markets in the United States.

A Mississippi mayor is challenging one of the state’s two medical cannabis ballot measures with the state supreme court, according to an AP News report.

Madison Mayor Mary Hawkins Butler filed the complaint Oct. 27, just one week before Election Day, to challenge the petition process that qualified Initiative 65 for the ballot, the news outlet reported.

RELATED: Two Competing Measures to Appear on Ballot in Mississippi

Butler alleges that the number of signatures gathered does not meet standards set in the state’s constitution, according to AP News, but Mississippians for Compassionate Care, the supporters of Initiative 65, have said that their petition process met not only the requirements set by the constitution, but also those established by a 2009 attorney general’s opinion.

“The Secretary of State properly qualified Initiative 65 under the same constitutional procedures used for every other successful voter initiative,” Jamie Grantham, a spokeswoman for Mississippians for Compassionate Care, told the news outlet. “The lawsuit from the City of Madison is meritless.”

Polling numbers vary, but the most recent results indicate that voters in the four states with recreational legalization on the ballot—Arizona, New Jersey, Montana and South Dakota—will vote in favor of legalization. A shift in public perception and potential tax revenue are two key reasons the measures are likely to succeed.

ARIZONA

In Arizona, Proposition 207 would legalize the sale and use of adult-use cannabis for those 21 and over. Possession would be limited to 5 ounces of cannabis, 1 ounce of THC concentrate and six plants per household. The Department of Health Services would regulate commercial sales. A 16% excise tax would be imposed on sales. The initiative would also allow individuals with certain cannabis-related crimes on their records to apply for expungement.

Two polls conducted in September came back with differing results, but demonstrated that the majority of voters are in favor of the measure. A poll conducted by Smart and Safe Arizona—the group behind the initiative—showed 57% in support and 38% in opposition. A separate poll conducted by Monmouth University showed 51% of respondents are in favor of the measure, with 41% in opposition. The remainder of voters are either undecided or not planning to vote on the measure.

MONTANA

In Montana, two initiatives are on the ballot. Initiative I-190 would legalize the sale and use of adult-use cannabis for adults who are 21 or older. Possession would be limited to 1 ounce of marijuana, provided that no more than 8 grams of that may be marijuana concentrate. In addition, residents would be allowed to have up to four cannabis plants and four cannabis seedlings per residence. The Department of Revenue would regulate commercial sales. A 20% tax would be imposed on sales. The initiative would also allow individuals serving prison sentences for cannabis-related crimes that are decriminalized under the new law to request expungement or resentencing. Initiative CI-118 would allow for the state to set a minimum age of 21 for the purchase of adult-use cannabis products. According to a Montana State University poll conducted between Sept. 15 and Oct. 2, 2020, 49% of respondents were in favor of the measure, with 39% opposing.

NEW JERSEY

In New Jersey, Public Measure No. 1 would legalize the sale and consumption of adult-use cannabis for those 21 and older. If the measure passes, limitations on the amount that may be possessed would be determined by regulators at a later date. Commercial sales would be regulated by the Cannabis Regulatory Commission. The former 6.625% statewide sales tax for medical cannabis would be imposed on adult-use sales (medical taxes were lowered to 4% on July 1 and will be further reduced until medical sales will not be taxed in July 2022). Localities will have the option to add on another 2% tax. The most recent poll results from law firm Brach Eichler LLC, which were released in late October, showed 65% of respondents in favor of the measure, with 29% opposing it.

While most Americans live in states where cannabis is legal in some form, marijuana is still listed as a Schedule 1 controlled substance and remains illegal under federal law. This federal prohibition, however, has not stopped states from legalizing adult use. The results of the 2020 election may tip several more states toward legalizing adult-use cannabis. Other than the states with adult-use on the ballot—Arizona, Montana, New Jersey and South Dakota—another key state to watch is Minnesota, where a Republican-controlled Senate is the only known roadblock to legalization.

Minnesota House Majority Leader Ryan Winkler introduced a bill calling for the legalization of recreational cannabis, HF 4632, to the Minnesota House of Representatives on May 5, 2020, and it has been stuck in the House’s Commerce Committee due to the Republican Senate’s refusal to hear the bill. Democrats need to flip two seats in the Senate to gain control of both chambers. No other barrier appears to stand in the way of Minnesota legalizing adult-use cannabis. Minnesota Gov. Tim Walz has repeatedly said he is ready to sign a legalization bill the moment it is approved by the legislature. He has also tasked his administration and agencies to create the necessary infrastructure to host an adult-use cannabis market, including taxation and public health. However, this agency work is likely on pause or substantially reduced after Minnesota’s government re-tasked certain resources to handle the COVID-19 pandemic.

Rep. Winkler consistently refers to the Minnesota bill as “the best legalization bill in the country” and has received support from several industry organizers. Given the regulatory structure in HF 4632, the bill is meant to take a holistic and expansive approach to regulating adult-use cannabis in comparison to other states’ regulatory regimes. The Minnesota bill creates a Cannabis Management Board with the power to regulate both medical cannabis and adult-use cannabis.

Minnesota legalized medical marijuana in 2014, and while the program continues to evolve, it is still considered one of the most restrictive programs in the country. However, Gov. Walz did institute an executive order to improve patient access as a result of the pandemic, including permitting curbside pickup, extending patient enrollment expiration dates, and allowing patients to use telehealth appointments to get approval from medical professionals for qualifying conditions.

Membership of the Cannabis Management Board would include stakeholders throughout industry, government and community, including people experienced in the oversight of the production of agriculture, industry management, public health and social equity. In addition to the Cannabis Management Board, a special advisory council with 25 members appointed by the governor or the municipalities and counties of Minnesota would be created with the task of reviewing policy and making recommendations to the board.