MjLink Cannabis Business News and Press
September 21st is World Alzheimer’s Day, a date recognized by the Alzheimer’s Society globally. This important date marks the need to defend and raise awareness in society about the importance of prevention, early diagnosis and care offered, as well as support and assistance to family members and caregivers of people living with Alzheimer’s disease. According Read the full article...
Marlborough-based Puro received a license Sept. 17 to grow New Zealand’s largest medical cannabis crop to date, according to a Radio New Zealand report.
The license, granted by the Ministry of Health, allows Puro to grow up to 90,000 low-THC cannabis plants, which will be exported internationally, the news outlet reported.
“It's essentially just a hemp crop,” Puro Director Sank Macfarlane told Radio New Zealand.
Puro has additional cultivation applications under review, according to the news outlet, including one for a recently completed indoor research facility in the Waihopai Valley.
The Vermont House approved a deal Sept. 17 on a bill to tax and regulate cannabis sales in the state, according to an AP News report.
The House and Senate agreed on a compromise proposal Sept. 15 to create a legal cannabis market, and the House approved the legislative conference committee report in a 92-56 vote, sending it to the Senate for a final vote, AP News reported.
Gov. Phil Scott said at a press conference Sept. 18 that lawmakers have addressed many of his concerns about a legal cannabis marketplace and have “come a long ways” in creating a bill to allow legal sales, VTDigger reported.
“They’ve come a long ways and we’ll see what happens,” Scott said at the press conference, although he did not say whether he plans veto the measure or sign it into law, according to the news outlet.
Scott has indicated in the past that he would support legislation to tax and regulate cannabis sales if the measure supported education and drug use prevention programs, included a requirement for municipalities to opt in to allowing sales within their jurisdictions, and allowed law enforcement to use saliva tests to screen drivers for impairment without a warrant, VTDigger reported.
Introducing the Higher Ground Ballot Box To celebrate National Voter Registration Week (Sept. 22nd – 28th), Higher Ground and Saints Joints has created The Ballot Box. The elegant voter pack contains a QR code that immediately registers voters, a mini version of the Bill of Rights, non-partisan information about voting and elections. It also includes Read the full article...
This week, cannabis operators in Oregon and Washington continued to work to save their businesses and homes amid wildfires as the ongoing crisis stymies the industry. Elsewhere, the U.S. House postponed its floor vote on the MORE Act, scrapping plans for a vote sometime next week.
Here, we’ve rounded up the 10 headlines you need to know before this week is over.
Federal: Plaintiffs in the Washington v. Barr case, which seeks to declare the federal law that criminalizes marijuana unconstitutional, have received impressive support in the form of several amicus briefs from cannabis industry organizations, researchers and current federal lawmakers. Eight industry organizations and seven members of Congress all wrote in support of Marvin Washington’s appeal to the Supreme Court. Read moreWildfires on the west coast continue to threaten and destroy some cannabis businesses, forcing evacuations and causing growers to work to save their operations and homes as the ongoing crisis stymies the industry. This week, Cannabis Business Times checked in with Okanogan Gold and East Fork Cultivars to see how they were faring in the wake of the fires. Read moreIndustry stakeholders by and large support the House Committee on Energy and Commerce passing on a voice vote a modified version of the Medical Marijuana Research Act of 2019. While there is no scheduled vote on the bill in the full House as of now, the fact that the bill made it out of committee on a bipartisan vote signals a political tide change for cannabis research. Read moreThe cannabis industry has been awaiting a U.S. House vote on the Marijuana Opportunity, Reinvestment and Expungement (MORE) Act, legislation that would federally decriminalize cannabis by removing it from the Controlled Substances Act, but the floor vote, which had been slated for the week of Sept. 21, has been indefinitely postponed by House Democratic leaders. The delay comes after some lawmakers indicated reluctance to take up the legislation before tackling a COVID-19 relief package, which they view as must-pass legislation. Read moreVermont: The Vermont House has voted to approve S. 234, legislation that would automatically expunge low-level cannabis convictions involving the possession of two ounces or less. The measure, which the House advanced in a preliminary vote of 113-10, would also decriminalize the possession of between one and two ounces of cannabis. Read moreThe Vermont House and Senate reached a deal this week on legislation to legalize cannabis sales and create a legal marketplace in the state. The bill, S.54, would allow dispensaries to open May 1, 2022, and would impose a 14% excise tax and a 6% sales tax on cannabis sales. Read moreIllinois: The Illinois Department of Financial and Professional Regulation announced plans this week to “review questions” raised about its licensing process before setting a date for its cannabis dispensary license lottery. Regulators announced Sept. 3 that 21 social equity applicants would be included in a lottery to win the 75 licenses, with the lottery to be held later this month, but the licensing process has drawn criticism from those denied access to the lottery. Read moreMissouri: Counsel for Missouri House Democrats have alleged in a new memo that the agency responsible for regulating the state’s medical cannabis industry obstructed an investigation into the program. The memo alleges conflicts of interest and other issues with a consultant the state hired to score medical cannabis license applications, and also claims that Gov. Mike Parson’s office was able to influence the state’s medical cannabis program, particularly with how applications were scored. Read moreOregon: The Oregon Liquor Control Commission has approved permanent rules allowing licensed recreational marijuana retailers to continue curbside delivery transactions, and increased the marijuana flower purchase amount for OMMP cardholders and caregivers. The commission also approved ten marijuana violation stipulated settlement agreements at its regular meeting. Read moreCalifornia: The state’s three cannabis licensing authorities—BCC, CDFA and CDPH—have announced the launch of a unified licensing search platform, the culmination of a collaboration between the California Department of Technology, the California Health and Human Services Agency Office of Innovation, the Governor’s Office of Business and Economic Development (GO-Biz), and the licensing authorities. The unified license search tool allows the public to search for cannabis license information from all three licensing authorities by using one search tool. Read moreThe cannabis industry has been awaiting a U.S. House vote on the Marijuana Opportunity, Reinvestment and Expungement (MORE) Act, legislation that would federally decriminalize cannabis by removing it from the Controlled Substances Act, but the floor vote, which had been slated for the week of Sept. 21, has been indefinitely postponed by House Democratic leaders.
“This delay by the House does not change the fact that the overwhelming majority of voters support ending the federal prohibition of cannabis, including majorities of Democrats, Independents and Republicans,” NORML Political Director Justin Strekal said in a public statement. “This delay does not change the fact that 33 states and the District of Columbia regulate the production and distribution of medical cannabis in a manner that is inconsistent with federal policy, and that one out of four Americans now reside in jurisdictions where adult-use is legal under state law. This delay does not change the fact that voters in several states, including key electoral battleground states for both control of the Presidency and the Senate, will be passing similar state-level marijuana measures on Election Day.”
The delay comes after some lawmakers indicated reluctance to take up the legislation before tackling a COVID-19 relief package, which they view as must-pass legislation, according to The Hill.
House Majority Leader Steny Hoyer (D-MD) did not include the MORE Act on the floor schedule for the week, and it is unclear when the vote may be rescheduled.
Hoyer told The Hill that Democratic leaders are “committed” to scheduling a vote on the bill before the end of the year, and House Judiciary Committee Chairman Jerry Nadler (D-NY), the primary sponsor of the MORE Act, said the vote may occur after the November elections.
Ohio set a new medical cannabis sales record in July with the state’s dispensaries selling roughly $21.4 million worth of products, according to a Crain’s Cleveland Business report.
Sales grew to about $5 million per week at the end of July and through mid-August, the news outlet reported, compared to weekly sales of $2 million to $3 million from January through March.
The state has seen $120.1 million in total medical cannabis sales to date in 2020, according to Crain’s Cleveland Business, compared to $56 million in total sales in 2019.
West Virginia is preparing to announce the winners of the state’s 10 medical cannabis cultivation licenses, according to a MetroNews report.
Jason Frame, director of the West Virginia Office of Medical Cannabis, said Sept. 17 that regulators plan to issue the licenses within the next week, the news outlet reported.
Thirty-nine applicants are vying for the 10 licenses, and once they are awarded, licensees will have six months to develop their operations, according to MetroNews.
Once the state issues its cultivation licenses, it will begin scoring dispensary applications, the news outlet reported.
The Office of Medical Cannabis continues to register physicians for the program, and 29 physicians have been registered to date, according to MetroNews.
Industry stakeholders by and large support the House Committee on Energy and Commerce passing on a voice vote a modified version of the Medical Marijuana Research Act of 2019. While there is no scheduled vote on the bill in the full House as of press time, the fact that the bill made it out of committee on a bipartisan vote signals a political tide change for cannabis research.
“Whatever our views on marijuana legalization as legislators, we all ought to support the collection of scientific data to guide our decisions,” tweeted Rep. Morgan Griffith (R-VA), a cosponsor of the bill, following the Sept. 9 committee vote. “This bipartisan legislation would make long-overdue improvements to the Fed Govt’s policies on marijuana research. It would advance the work of scientists and provide more reliable information about any benefits and harmful consequences that result from medicinal marijuana use.”
The Medical Marijuana Research Act would amend the Controlled Substances Act to establish a new, separate registration process to facilitate research with cannabis for medical purposes; direct the Food and Drug Administration (FDA) to issue guidelines on the production of cannabis from authorized researchers and manufacturers; ensure all medical cannabis researchers are in compliance with FDA drug development standards; and make available cannabis from state-authorized cannabis programs, under certain conditions.
According to the amended bill, the Secretary of Health and Human Services “shall offer to qualified marijuana researchers marijuana products available through State authorized marijuana programs that are consistent with the guidance issued under subsection (c).” That guidance shall be issued no later than 180 days after the enactment of the bill, according to the proposed law.
“There is a strong need to better understand the medicinal benefits of marijuana, but researchers don’t have the tools necessary to conduct proper, science-driven research,” said rep. Debbie Dingell (D-MI) in a statement. Dingell is another cosponsor of the bill. “That research [r]equires us to remove outdated barriers that prevent research. Doing so will improve our understanding of medical marijuana and provide additional treatment options for millions of patients.”
In a press release, NORML Deputy Director Paul Armentano said that granting researchers access to cannabis products produced in state-sanctioned markets “will not only facilitate and expedite clinical cannabis research in the United States and provide important data regarding the safety and efficacy of real-world products, but it will also bring about a long overdue end to decades of DEA stonewalling and interference with respect to the advancement of our scientific understanding of the cannabis plant.”
WASHINGTON: The WSLCB Board met yesterday, September 16, 2020. During the meeting, the following actions were taken: Emergency Rules (WAC 314-55-1055) – Marijuana Vapor Product Disclosure Form September 16, 2020 by WSR 20-19-083) Notice to Stakeholders Memorandum Rules – WSR 20-19-083 Emergency Rules (WAC 314-55-077) – Marijuana Processor License – Privileges, Requirements and Fees (Updated September 16, Read the full article...
OLCC Recreational Marijuana Licensee Wildfire Impact Survey Survey designed to pinpoint problems, help create collaborative solutions OREGON: Wildfires around the state have had a devastating impact on Oregonians. Authorities still don’t know how widespread the impact is. For evacuees and business owners who lived or worked in the fire zone there are plenty of challenges Read the full article...
On Aug. 31, a judge dismissed all claims in a lawsuit brought by plaintiff Charles Wilcoxen against Canna Brand Solutions for allegedly causing a vaping-related lung illness in a case that shows the implications from last summer’s vape crisis are still plaguing the industry.
The lawsuit, brought in September 2019, centered on CCELL products.
Canna Brand Solutions was founded in 2015, and operates as a custom packaging supplier and an authorized distributor of CCELL vaporization technologies for licensed cannabis cultivators, extractors and retailers.
“What sets us apart is our expertise in the cannabis and manufacturing industry,” Canna Brand Solutions Founder and President Daniel Allen told Cannabis Business Times and Cannabis Dispensary. “The majority of our employees have had an extensive work history, working for extraction facilities, cannabis retailers [and] managing cannabis retailers, so we speak the language and really connect to our customers and understand their needs very well.”
Last year’s outbreak of vaping-related lung illness impacted the company’s sales, and those of its partners, heavily, Allen added, but Canna Brand Solutions stayed afloat due to CCELL’s reputation as a manufacturer of safe, high-performing products.
SPRINGFIELD, IL – The Illinois Department of Agriculture (IDOA) named David Lakeman as division manager for the Department’s cannabis division.
Lakeman comes to IDOA from Massachusetts, where he assisted the launching of the state’s cannabis industry. Lakeman represented the Massachusetts Municipal Association during the state’s cannabis legislation negotiations. He then joined the Massachusetts Cannabis Control Commission and worked on the initial set of cannabis regulations as well as the state’s social equity program.
“We are excited to welcome David to the IDOA team,” said Jerry Costello II, IDOA acting director. “His work on all facets of legalization in Massachusetts, including the growing process will be invaluable as we continue to build out our cannabis department at IDOA.”
Lakeman will oversee medicinal and adult-use cannabis, as well as the Department’s hemp program. To reach David Lakeman regarding IDOA’s cannabis and hemp programs, email him at [email protected] or call 217-524-2267.
]]>On a dire Labor Day in the Okanogan Valley of Washington state, Terry Taylor and four family members fought the Cold Springs Fire away from Okanogan Gold. Taylor, the cannabis farm’s CEO, and the group diverted the fire away from his fenced-in crops Sept. 7.
Plaintiffs in the Washington v. Barr case, which seeks to declare the federal law that criminalizes marijuana unconstitutional, have received impressive support in the form of several amicus briefs from cannabis industry organizations, researchers and current federal lawmakers.
The case, brought by former NFL player and current cannabis business owner Marvin Washington, along with other petitioners, is currently waiting for consideration at the U.S. Supreme Court. The complaint claims that the Controlled Substances Act (CSA) is unconstitutional by blocking patient access to the medication and sits in contradiction with the U.S. government’s own statements.
In total, nine amicus briefs have been filed as of Sept. 16. NORML; the American Journal of Endocannabinoid Medicine, a publication led by Dr. Ethan Russo; the International Cannabis Bar Association; Athletes for Care; the National Cannabis Industry Association (NCIA) (with The Arcview Group); The Last Prisoner Project; Americans for Safe Access; and the Minority Cannabis Business Association all submitted briefs with the Supreme Court.
Additionally, U.S. Reps. Earl Blumenauer (D-OR), Tulsi Gabbard (D-HI), Jared Huffman (D-CA), Barbara Lee (D-CA), Alan Lowenthal (D-CA), Mark Pocan (D-WI) and Jamie Raskin (D-MD) filed a joint amicus brief in support of Washington.
The seven representatives’ amicus brief notes that “Congress’s ability to act in this arena is made nearly impossible by various political and logistical causes. And the DEA, the only empowered federal agency, is simply ill-suited to address these constitutional claims; and, in any event, grievances would have to be part of yet another rescheduling petition, which average nine years [original emphasis] for resolution.” This is especially notable as the Second Circuit Court argued in its rejection of the case that the plaintiffs failed to try to convince the DEA to reclassify cannabis, a necessary step before judicial remedy.
In a press release, Michael Hiller, lead pro bono counsel for the plaintiffs, said:
CHICAGO – September 17, 2020 — PRESS RELEASE — Cresco Labs, one of the largest vertically integrated multistate cannabis operators in the United States, has announced it has expanded its leadership team with the promotions of David Gacom, Melissa Wagamon and Sean McAlister to regionally focused president positions. These dynamic individuals, who bring a depth of experience in operations, marketing and sales through previous leadership roles at top CPG companies like MillerCoors, PepsiCo and The Kraft Heinz Company, will be focused on accelerating growth across the company’s geographic footprint. As the organization continues to scale, they will be accountable for driving the company’s strategic agenda across its nine states, delivering top-line growth and finding new ways to drive cost synergies in regional operations. In addition, these individuals will serve as the face of Cresco Labs amongst key state and local community leaders to ensure the company is investing in what matters most to its stakeholders.
“Coming off of a record-setting second quarter of growth and seeing the massive growth potential across all of our markets, we are excited to have these exceptionally talented individuals help lead our efforts at a regional level and identify opportunities to further accelerate and diversify our growth,” said Charlie Bachtell, CEO and co-founder of Cresco Labs. “In continuation of our stated organizational redesign developed to drive growth and scalable operations across the platform, we continue to enhance and strengthen our leadership team and put the right people, with the right experience, in the right roles to drive results and long-term value for our stakeholders. David, Melissa and Sean have the knowledge, skills and expertise to be our leaders on the ground in markets, constantly focusing on operational execution, creating efficiencies, solving the needs of our customers and launching our brands in markets the right way.”
David Gacom has been appointed Regional President, West Region (California and Arizona). His leadership of the California market to date resulted in 41% sequential growth in Q2 and Cresco Labs taking market share in the largest, most competitive cannabis market in the world. Gacom brings more than 20 years of experience in leadership roles across B2B and B2C channels to the company, serving most recently as the Chief Commercial & Optimization Officer of Grecian Delight Foods after 13 years in various management positions at The Kraft Heinz Company.Melissa Wagamon has been promoted from VP of Brand Marketing to Regional President, Great Lakes (Illinois and Michigan). Wagamon previously managed the development of Cresco Labs’ wholesale brands, including Cresco, Remedi, Mindy’s, High Supply, Reserve and Good News. She joined Cresco Labs from MillerCoors where she oversaw the retail and recruitment strategy for the Coors Light brand and communications strategy as Director for the Miller Lite brand. She also worked in various marketing roles at The Kraft Heinz Company and PepsiCo and started her career in territory sales with Pfizer Inc.Sean McAlister has been promoted from EVP Sales to Regional President of Sales, Emerging Markets (Massachusetts, New York, Pennsylvania, Ohio and Maryland) and National Accounts. With the company for over four years, McAlister has led the wholesale sales organization with a proven track record of success, getting Cresco Labs’ House of Brands into over 800 dispensaries across nine states and overseeing $55M in wholesale revenue in Q2—making Cresco Labs the largest wholesaler of branded products in the cannabis industry. McAlister previously led sales for global gaming technology producer and operator, Novomatic Americas.Greg Butler, Chief Commercial Officer at Cresco Labs, added, “These individuals were added to our leadership team based on their knowledge of the cannabis industry, their ability to bring a best-in-class CPG experience to our P&L management and proven ability to develop and lead teams. Looking ahead at our industry, we see many opportunities emerging from both a wholesale and retail perspective. Having regional leaders will not only help us ensure that we create a scalable foundation from which to capture every opportunity within our markets, but also help us drive a superior capital agenda across our footprint. They all have a history of success—both in terms of building brands, developing strategic plans and providing leadership to our teams—and they are people you generally enjoy working with.”
Effective immediately, Wagamon and McAlister will be based in Illinois and Gacom will reside in California.
The Vermont House and Senate reached a deal Sept. 15 on legislation to legalize cannabis sales and create a legal marketplace in the state, according to a VTDigger report.
The bill, S.54, would allow dispensaries to open May 1, 2022, according to VTDigger, and would impose a 14% excise tax and a 6% sales tax on cannabis sales.
Lawmakers finalized the compromise proposal after reaching an agreement on how the state would establish advertising regulations for the industry, the news outlet reported.
Under the bill, the Cannabis Control Board, which is responsible for regulating the industry, will collaborate with the Vermont Health Department and the Attorney General’s office to recommend advertising restrictions that would have to be approved by the legislature next year before becoming law, according to VTDigger.
The legislature also reached an agreement on how cannabis revenue will be granted to municipalities, the news outlet reported, ultimately deciding to give towns funds from cannabis licensing fees.
It will be quite some time before we understand the full impact of the COVID-19 pandemic. But history tells us one important thing: during times of crisis, how an industry is regulated often affects its ability to adapt and survive or even gain advantage.
Take payments and banking. While most brick-and-mortar retailers have been instituting contactless transactions to meet changing customer expectations and prevent the spread of the virus, cannabis dispensaries in the U.S. are still largely operating with cash only. They cannot accept major credit cards because marijuana is illegal under federal law. And now they’re facing a nationwide coin shortage.
With the coronavirus crippling economic activity in the U.S., the circulation of coins has dropped off significantly. Hardest hit has been restaurants, laundromats, convenience stores, arcades, and supermarket chains—businesses that rely on the flow of paper currency and need to make change. Yet unlike dispensaries, these businesses can more easily accept alternative forms of payments.
“We still can’t operate like other businesses, unfortunately,” says Jerry Millen, owner of the Greenhouse of Walled Lake, a fully licensed medical and recreational cannabis dispensary in Michigan.
“First we ran out of pennies,” Millen says of the coin shortage. “We didn’t want to gouge the patient or the customer, so we rounded [transactions] down, which didn’t cost us a whole lot. But then we started running out of quarters, and suddenly we started to feel an impact.”
Seeing the coin shortage affect his bottom line, Millen took note of how other local businesses were responding to the crisis. Some were simply encouraging customers to pay with exact change or with credit cards or debit cards, he says, while others were turning the crisis into a marketing opportunity. Why not Greenhouse of Walled Lake, too?
WASHINGTON: The Washington State Liquor and Cannabis Board (WSLCB) is hosting two Listen and Learn forums to consider establishing new and amending existing sections of rule concerning marijuana definitions and marijuana vapor products. This is the second of two planned sessions. The full text of the draft conceptual rules are provided here. For this session, Read the full article...
SACRAMENTO, CALIF. – PRESS RELEASE – California’s three cannabis licensing authorities – BCC, CDFA and CDPH announced today the launch of a unified licensing search platform, the culmination of a collaboration between the California Department of Technology, the California Health and Human Services Agency Office of Innovation, the Governor’s Office of Business and Economic Development (GO-Biz), and the licensing authorities.
The unified license search tool allows the public to search for cannabis license information from all three licensing authorities by using one search tool. The need for a unified search was identified through conversations with, and surveys of, licensed businesses, local governments, and law enforcement conducted in late 2019 and early 2020.
“This unified license data search tool will make it easier for the public to access cannabis license information without having to inquire with each licensing authority separately,” Bureau Chief Lori Ajax said. “This will also help consumers identify licensed cannabis retailers near them.”
Some features of the new license search include an interactive map and geolocation tools. There is also a survey where users can submit usability feedback to the licensing authorities as they continue to refine the search tool. The unified license search tool can be accessed at https://search.cannabis.ca.gov/.
The unified license search will be updated every 24 hours; however, the most recent data will still be available through each licensing authority’s existing search tool on its website.
In January 2020, Gov. Newsom announced plans to consolidate the three cannabis licensing authorities into a single Department of Cannabis Control, in an effort to improve access to licensing and simplify regulatory oversight of commercial cannabis activity. Today’s announcement is part of that overall plan.
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