Celebrity Advocates Highlight America’s Common Ground on Cannabis Reform

A new cannabis legalization advocacy initiative, Cannabis in Common, launched on Tuesday backed in part by Head Count’s Cannabis Voter Project and the U.S. Cannabis Council. The launch includes videos including Houseplant CEO and comedian Seth Rogen and actress and comedian Sarah Silverman.

“…Despite what you may have heard, Americans can actually agree on something – and that something is weed. Recent polls show more than two-thirds of us now want to legalize cannabis. You know who can not agree on anything though? Politicians. So, despite the fact that 69% of us want cannabis legal, less than half of Senators have come out in favor. In fact, some won’t even say where they stand on the issue at all.” Rogen, “Tell Congress We Have Cannabis in Common”

In the video, Rogen calls on the public to fill their representatives’ “inboxes” and “phone lines” with emails and calls supporting cannabis reform bills that have not been considered for a vote.

“We have a real shot at getting federal legalization now if we speak up,” Silverman says in the narration to a separate, animated, video. “If we don’t make a change soon, we are settling for laws that disproportionately land people of color in prison. We’re leaving hundreds of thousands of jobs on the table and giving up tax revenue that can go toward education and other community investments.”

The organization’s website makes it easier for supporters to email or call their congressional representatives in support of cannabis legalization. Nearly 50 companies and organizations, including Rogen’s Houseplant, Last Prisoner Project, Weedmaps, Marijuana Policy Project, High Times, Curaleaf Holdings, and Canopy Growth have signed on as partners to the campaign.

The launch comes as Republican Rep. Nancy Mace (SC) is circulating a bill to enact federal cannabis reforms. The bill is expected to be filed later this month.

Image sources: https://youtu.be/FXrJNExqIvs, https://youtu.be/hhQZsnV09YM

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Delta-8 Temporarily Made Legal in Texas

A Travis County, Texas judge has temporarily blocked the state from listing delta-8 THC as a Schedule I narcotic, legalizing the synthetic cannabinoid for the time being, the Texas Tribune reports. The decision by state district court Judge Jan Soifer sided with Hometown Hero, an Austin-based dispensary that had filed for an injunction against the state.

Hometown Hero said the Texas Department of State Health Services (DSHS) did not alert retailers prior to the October 15 ban. In its counterargument, the state claimed that a notice in the Texas Register, a hearing with no attendees, and a DSHS official’s testimony to the Legislature in May were ample notice to CBD and hemp retailers.

In her ruling, Soifer sided with Hometown Hero, saying the state did not follow their own rule-making procedure when they issued the ban.

“This is a strong first step in reaffirming the fact that delta-8 is a legal cannabinoid in Texas,” Ben Meggs, CEO of Bayou City Hemp, a financial backer of the Hometown Hero’s lawsuit, said in a written statement.

DSHS has not responded to the ruling but in a lawsuit said the 2018 Farm Bill and a Texas hemp bill passed in 2019 did not legalize the sale of delta-8 THC as the synthetic cannabinoid was not explicitly mentioned in either document.

In a short YouTube video, Hometown Hero CEO Lukas Gilkey said advocates “are expecting the state to appeal this immediately. But it shouldn’t change anything, and we should be able to keep proceeding going forward.”

CBD and hemp stores in Texas started selling delta-8 under the assumption the 2018 Farm bill and the state’s hemp law had legalized the practice. This ruling returns the state to a cannabinoid regulatory landscape present before the DSHS’ October 15 ban.

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Mississippi Gov. Will Not Call Special Session for Medical Cannabis

Mississippi Gov. Tate Reeves (R) does not plan to call lawmakers back for a special session, meaning the medical cannabis legalization bill will not be considered in the Legislature until the regular session begins in January, Mississippi Today reports. Lawmakers had expected Reeves would heed their call for the special session to consider the medical cannabis bill and another for an incentive program for nurses and health care workers.

Earlier this month, Reeves indicated that he wanted tighter limits on the quantity of medical cannabis that patients could purchase and to limit the amount of THC allowed in medical cannabis products sold in the state. During a November 1 press conference, Reeves said that getting the medical cannabis program “done right is more important than getting it done quick.”

Mississippi voters approved a medical cannabis initiative during the 2020 election, but the state Supreme Court overturned the proposal in May, ruling that Mississippi’s initiative process is outdated and unworkable. In response, lawmakers introduced legislation to enact the reforms and called on the governor to call a special session to bring up the bill for a vote. Reeves had said he would call the session if lawmakers could agree on a plan, but that no longer appears to be the case.

The plan by lawmakers will also likely face pushback from state Agriculture Commissioner Andy Gipson, who has said that he has a legal challenge ready if the Legislature approves any medical cannabis reforms. In an August letter to state Attorney General Lynn Fitch, Gipson said that “elected officials took an oath of office to ‘faithfully support the Constitution of the United States … and obey the laws thereof’” and that cannabis legalization of any kind runs afoul of federal law.

In October, medical cannabis advocates held a protest demanding Tate call the session to enact the reforms.

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Nevada Suspends License of Cannabis Edibles Brand

The license of Nevada edibles manufacturer Kindibles was suspended after the Nevada Cannabis Compliance Board (CCB) found the company had added thousands of additional products to an already tested batch of goods, thereby skirting the state’s lab reporting requirements, according to a CCB news release. Upon visiting Kindibles’ production facility, state inspectors found additional violations, including products in the company vault not in the Nevada seed-to-sale tracking system.

The board voted unanimously to enact the suspension.

In order to begin operations again, Kindibles must submit a “plan of correction” within 10 days that addresses how the company will fix the issues cited in the complaint, the press release says.

“The CCB is unable to verify that the production facility Kindibles, LLC created and tested the following edible products in accordance with the regulations. The CCB is advising consumers who have purchased the affected cannabis product to avoid or take caution when consuming the product.” Nevada Public Health and Safety Bulletin 2021-2

According to the Health Bulletin, the Kindibles products were sold at 10 Nevada cannabis retail locations between June 1, 2021, and November 3, 2021.

The CCB said they do not believe the dispensaries were aware of Kindibles’ violations and there have been no reports of illness related to the incident. This is the third summary suspension issued by the Nevada CCB this year, the news release notes.

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Idaho Begins Accepting Hemp Industry Applications

Idaho, the last state to enact a hemp cultivation and industry law, is now accepting applications for its hemp program, the Post-Register reports. Federal officials approved the state’s hemp industry plan on November 1 and the applications are for the 2022 growing season.

For farmers, the total application and program costs will run about $1,000 per year, including $100 for the application, $500 for a license, and $250 per lot for pre-harvest inspections. Lot sizes can run from two to 25 acres. It’s up to the farmer to determine how big each lot is.

Braden Jensen, deputy director of governmental affairs for Idaho Farm Bureau Federation (IFBF), told the Post-Register the organization is “happy the program has been approved and growers or processors who are interested in hemp production can begin exploring those opportunities now.”

The IFBF has had a policy supporting the legalization of hemp for more than 20 years.

Chanel Tewalt, deputy director of the Idaho State Department of Agriculture (ISDA), which is responsible for overseeing the hemp program, said that the agency received input on the program rules from about 40 stakeholders, including farmers and would-be processors.

“We’ve appreciated the incredible collaboration we’ve had,” Tewalt told the Post-Register. “We didn’t do this in a vacuum. We had a lot of feedback on this program.”

The Idaho plan does exclude anyone convicted of a felony drug violation in any state or federal court in the last 10 years from participating in the program.

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indacut: Scaling a Cannabis Delivery Service to MSO Retailer

At 23-years old, many adults are venturing into the workforce with their new degree or putting in their first few years learning a trade, but Drayten Howell isn’t most 23-year olds — he is the founder and CEO of indacut Enterprises, a California cannabis delivery service. He wrote the indacut business plan in his dorm room after basketball practice and now the brand is opening its first California storefront and a new Michigan operation.

According to Drayten, his athletic background helped him develop skills that he uses in business to this day, like staying focused on the long game rather than getting caught up in small problems. “I treat this delivery like a practice, kind of like it’s a warm-up,” he said. “I lean back to my athletics a lot. It set the foundation for what I’m doing now as far as keeping the discipline, having strategy, having a game plan.”

While athletics laid the foundation, Drayten credits his mother for instilling in him a drive to be his own boss. She was born in Jamaica and immigrated to the States when she was nine years old and has always insisted that Drayten get an education and only work for himself. One of his core goals is to get the business profitable enough to pay for her retirement. As he builds his enterprise’s foundation in his hometown of Lompoc, California, Drayten can’t help but reflect on how far he’s come.

They launched indacut delivery in the counties of San Luis Obispo and Santa Barbara on April 20, 2020, and most recently closed on a 15,000 square foot superstore which will house their first brick and mortar dispensary in 2022 — the new superstore is located just a few blocks from where the entrepreneur watched police arrest his father for cannabis possession. Before then, their Michigan flagship store will open in Big Rapids, offering delivery into Grand Rapids. Drayten is finding the Michigan market to be more supportive than his home state: the dispensary’s neighboring businesses welcome them to the block while lots of California business owners are afraid to see cannabis businesses entering their strip malls.

Drayten also believes that there is more space in the Michigan market for branding than in California. “California is the mecca,” he said. “If you can make it in California you have a great chance of being successful in other states just given the nature of the businesses that you have to compete with out here. And that’s not to say there’s not people doing it at a high level out there, because there is. But out here there’s more culture around it, there’s brands, there’s not a lot of branding going on in Michigan, per se. And I think that’s the gap that’s missing, the connection to the culture.”

Indacut is building relationships with companies that make consumer goods products to fill out their line until they can build micro-grows for their retail stores in each state. The indacut brand will include flower, concentrates, and pre-rolls. DOOBIEZ features a 1.5 gram 5-pack of triple-infused pre-rolls that include THCA powder and diamonds inside, which are then dipped in distillate and dusted with kief. There will also be TURPZ, covering flower and concentrates, and the concentrate line STONEZ, which will feature just live resin diamonds. All but the STONEZ brand are live now in California — STONEZ will be on shelves as soon as the COAs are complete. Once they can vertically integrate, Drayten plans to build out craft micro-grows to close the supply chain of his dispensaries, a process that will likely start in Michigan where the wholesale market still benefits the seller.

Currently, at their California delivery service, 98% of orders are fulfilled through e-commerce. The company’s success hinges on choosing the right software and they use a lot of different SaaS. They use Dutchie because it easily integrates into a vast spread of programs that they use day-to-day including but not limited to Slack, Onfleet, Leaflogix, Notion, Figma, Alpine IQ, and more. Choosing, testing, and solidifying relationships with software vendors has been essential as they scale. For example, using data provided by these services, the company has lowered their average delivery time from 62-55 minutes to 45-49 minutes since last year.

“I need a software that can take the thinking out of it for my drivers and provide them their own way to route-optimize themselves if necessary, to make changes along their routes if necessary. And they can claim their own task, kind of like Uber. It’s very streamlined as soon as the customer orders.” Drayten sees each SaaS as a brick in the foundation of their business, as they continue to build they have a solid SOP that grows along with them. When they are operating in multiple states he can use these services to fully tap into his stores around the country without having to hop on a plane.

The tech integration is also helpful when uninformed local law enforcement hassles drivers. Indacut stores all of their compliance information and manifests in a Slack channel in the event that their drivers are pulled over and, unfortunately, this happens more than it should for a compliant, licensed cannabis business. In some cases, drivers are detained even with all of their compliance information because the officers don’t know what Metrc is or how cannabis is regulated.

This creates fear for the drivers and the business incurs unnecessary costs on top of already gouging tax payments. “There needs to be integrity on both sides. For us, them knowing we’re doing everything in our power to operate compliantly. And for them, to be willing to learn and understanding what we go through in the industry. If you’re enforcement, you should know what’s going on to the extent of Metrc or a POS that carries all of our sales and we can print it out for them.”

These negative experiences haven’t taken the wind out of Drayten Howell’s sails, though: he continues to push forward with big plans as they approach the opening day of their Michigan storefront & delivery hub in December 2021. Like their other ventures, the storefront design was dreamed up by Drayten and executed with precision by the Temeka Group. Each element is based on their logo, so it’s all symmetrical with stars featured on the fixtures and blue marble throughout. They also recently launched their new website with 3D graphics and animation.

“I do plan on being in this space when it does come time for federal legalization, hence our move to Michigan,” Drayten said. “I want to be ready when interstate commerce comes, I don’t want to be passed up. I’m doing everything in my power so that I can build up a small enterprise.”

Learn where indacut Enterprises delivers and keep up with the latest at indacutca.com.

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BIOS Lighting: NASA-Inspired LED Lighting Solutions

BIOS Lighting is an LED lighting solutions firm that uses research-backed technology to optimize plant growth and stimulate photosynthesis. Before co-founding the company, Robert Soler, BIOS Lighting’s Vice President of Human Biological Technologies and Research, was studying LED lighting solutions at the Kennedy Space Center’s Space Life Sciences Lab. There, Soler worked on a proposal that won a contract to design and build new LED-based lighting modules for the International Space Station — he specifically studied human biological cycles and photosynthesis, which led to the innovative application of LED technology that later became the foundation for BIOS Lighting.

“I am very passionate about human and plant applications of LED light spectrums,” Soler said. “I was first introduced to this idea at Kennedy Space Center, where I was a lighting engineer at the Space Life Sciences Lab. There we would change spectrum of light to manipulate plant growth and human health.”

Astronauts can get thrown off by experiencing 16 sunrises and sunsets every 24 hours. The fundamental research that led to BIOS was to see if light spectrums could regulate the circadian rhythms of astronauts. This research ascertained that earth-dwellers could benefit from specially designed lighting systems in their homes. Circadian lighting is the concept that electric light can support human health by tuning intensity, color, and stimulus. Cells in the body respond to light and dark, and circadian lighting attempts to mimic the light spectrum and tonal changes of the sun to regulate the natural rhythms of sleep and wakefulness. BIOS develops and sells light bulbs and a state-of-the-art wellness light to support bringing the internal clock back in sync with the body’s natural circadian rhythm. In addition to regulating circadian rhythms, NASA wanted to cultivate plants on the ISS as a food source and to help with filtration and air purification.

BIOS uses these same core principles, where LED lighting fixtures simulate the light spectrums of the sun, when developing grow lights for plants. At BIOS, the team takes biological mechanisms, photobiology, and biochemistry into account and develops LED technology based on those markers. For years, High-Pressure Sodium (HPS) lighting was the go-to technology for indoor cultivation but LEDs are replacing these systems as the technology advances. Large-scale cultivators and home growers found that switching to LEDs lowered the cost of utilities due to temperature regulation and electric output. This benefit reflects the benefits of applying new technologies to an existing operation, and BIOS is committed to exploring new boundaries for LED lighting applications.

A few years into their operation, BIOS made the conscious decision to enter the cannabis space. Now they are designing products specifically for the cannabis plant. “Our Li2 is specifically designed to maximize yield of cannabis and is designed to easily mount in cannabis indoor facilities. Our LLi is designed for the vegetative phase of cannabis growth, and our Ti2 and Ti3 are designed for indoor and greenhouse cannabis application,” Soler said. “We feel cannabis operators deserve a higher quality lighting solution that is built for production and meets the rugged demands of commercial cultivation facilities now and in the future.”

BIOS fixtures are industrial grade and designed to withstand harsh environments. The difference in build and design quality is clear when comparing the fixtures to companies who chase gimmicks and hype. That difference comes from staying focused on providing a scientifically superior product that is never rushed to market. Whenever the cannabis lighting sector catches on to a new trend, BIOS steadily researches and validates the science before releasing a product. Their solutions have always been biologically-backed, reliable, easy to use, and energy-efficient.

LED lighting systems allow for finite automation, which is why they’re used to maximize yields and even promote the production of secondary compounds like terpenes. The BIOS team helps customers achieve these goals and also collects the data revealed in the process. Each experience gives the development team more ideas for future products. Soler described the R&D process at the company, “We are mostly interested in applied research. Taking some of the findings from the research and applying it to cannabis in a real-world scenario. If something in the research looks promising, we’ll explore it. But we won’t put any technology into a product until we have proven that it will provide a benefit to the grower.”

With their research-forward approach to LED lighting, BIOS is positioned to continue innovating in the cannabis lighting space. The US-based brand currently has almost ten lighting fixtures available for indoor cultivation and they’re always collecting data to continue expanding and evolving their line.

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GOP-Led Federal Legalization Bill Signals Congressional Shift

A federal cannabis legalization bill is being circulated by Republican members of Congress in preparation for its official filing, expected later this month, Marijuana Moment reports.

The 116-page States Reform Act, led by Rep. Nancy Mace (R-SC), reportedly seeks to deschedule cannabis at the federal level and allot regulatory powers across multiple federal agencies. Under the proposal, the U.S. Treasury Department’s Alcohol and Tobacco Tax and Trade Bureau (TTB) would be tasked with regulating interstate cannabis commerce while raw cannabis materials would be regulated by the U.S. Department of Agriculture (USDA). The FDA’s authority, meanwhile, would be limited to determining serving sizes and designating state medical cannabis products — the FDA would also still be in charge of regulating cannabis-based pharmaceuticals.

The proposal carries a federal 3.75% excise tax on cannabis sales, revenue from which would be dedicated to supporting community reentry, law enforcement, and financial aid through the federal Small Business Administration. The bill also includes expungement provisions for certain federal nonviolent cannabis crimes but does not appear to carry further justice reforms like social equity considerations, which puts it at odds with other congressional legalization proposals like the Marijuana Opportunity, Reinvestment, and Expungement Act or the Cannabis Administration and Opportunity Act, which is led by Senate Majority Leader Chuck Schumer (D-NY).

It is not yet clear whether the bill will manage to draw bipartisan support but Rep. Mace’s proposal does carry specific protections for existing cannabis businesses, which might go a long way toward getting industry stakeholders on board with the Republican-led legalization effort, according to the report.

The draft bill is still being circulated and the details above are subject to possible changes.

A Gallup poll released last week found that support for federal cannabis legalization among U.S. adults is at an all-time high of 68%.

 

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Curaleaf Set to Acquire Western Operator Tryke for $286M

Massachusetts-based cannabis multi-state operator Curaleaf on Monday agreed to acquire Tryke Companies, which operates in Arizona, Nevada, and Utah, for $286 million. The cash and stock deal is expected to close in the second half of next year, following regulatory approvals.

In a statement, Curaleaf Founder and Chairman Boris Johnson said the deal would expand the company’s U.S. presence into the three western states where Tryke operates “while yielding meaningful benefits” to Curaleaf stakeholders. Tryke owns and operates two retail dispensaries in Arizona and four in Nevada under the Reef brand. The company’s brands are sold in over 50 locations throughout the company’s operating footprint.

Under the terms of the agreement, Curaleaf will pay $40 million in cash at closing, with the remaining $75 million in cash paid in equal installments on the first, second, and third anniversaries of the closing. The stock portion of the transaction consists of 17 million subordinate voting shares of Curaleaf and will also be paid in three equal installments on the three anniversaries of the closing. An incremental earnout of up to 1 million Curaleaf shares may be paid in 2023 based on the business exceeding certain EBITDA targets for the previous year.

In a press release, the companies note that Tryke has “compelling” EBITDA margins in excess of 35% and is expected to record nearly $110 million in full-year 2021 revenue.

Last month, Curaleaf completed its acquisition of Los Sueños Farms, the largest outdoor cultivation operation in Colorado, in a $67 million deal.

Last March, Curaleaf announced it would acquire EMMAC Life Sciences Ltd., Europe’s largest vertically integrated cannabis company, for approximately $286 million.

The Tryke deal still requires the approval of the Nevada Cannabis Compliance Board.

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Black People Still Majority of Cannabis Cases in Dallas County As Referrals Decline

The number of first-offense, misdemeanor cannabis cases referred to the Dallas County, Texas district attorney’s office from 2018 to 2019 dropped 31% once District Attorney John Creuzot was elected and followed through on his promise to stop prosecuting such cases, according to a Deason Center report. In 2019, the number of low-level cannabis cases fell to a monthly average of 384, from a monthly average of 554 the year prior; however Black people still comprised the majority of referrals sent to the DA.

In Dallas County, Black people comprise 23% of the population but made up 54% of cannabis-related referrals in 2018. In 2019, Black people represented 56% of the referrals sent to the DA, despite fewer overall referrals sent. The relative likelihood of cannabis referral in Dallas County in 2019 for Black people also increased from 4 times as likely the prior year to 4.4 times as likely.

“Racial disparity in marijuana referrals was worse in 2019 than in 2018. Black people were even more likely than non-Black people to be referred for marijuana prosecution.” Deason Center, “Fewer, Not Fairer”

Pamela Metzger, director of the Deason Center, told D Magazine that “it’s really hard to understand these as cases that are anything less than the police kind of imposing their own set of punishments.”

“Now, that may not be what they intend,” she said in the interview. “But if you’re the person sitting in jail, on a case that the DA’s office has been saying for two solid years actually, almost three now will be declined, [it’s] very hard to understand how this isn’t punishment without process.”

The report also points out that in 2019, the racial disparity in cannabis cases referred to the DA’s office improved in Mesquite (7% better), the city of Dallas (5% better), and Grand Prairie (3% better), the disparity got worse in Richardson (5% worse), Garland (16% worse), and Irving (23% worse).

In April, Dallas Police announced they would stop charging individuals who are caught with small amounts of cannabis for personal use. According to the D Magazine report covering the reforms, Chief Eddie Garcia wrote in a memo that the changes were being implemented “to lessen the impact of arresting individuals for low-level amounts of marijuana.”

City police officers now only charge for possession if the person has two ounces or more or evidence of sales.

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Michigan Expands Access to Medical Cannabis Licenses

Michigan Gov. Gretchen Whitmer (D) has signed legislation expanding the number of people eligible for medical cannabis licenses, including those previously barred due to a cannabis-related misdemeanor or felony. The bill includes an exception for individuals convicted of selling cannabis to a minor.

The bill also allows spouses of elected or state-employed individuals to obtain a medical cannabis industry license. The law automatically excludes from license eligibility an applicant who holds certain elective offices (state, local, or federal), is a member of or employed by a governmental regulatory body, employed by the state of Michigan, and spouses of individuals that work for any cannabis regulatory agency.

The bill was introduced by Republican state Rep. Julie Alexander, who said after the Senate passed the bill that previous medical cannabis industry licensing rules unfairly restricted “small-business owners married to government employees, regardless of whether an actual conflict [of interest] exists.”

“Our laws have unfairly and arbitrarily kept the spouses of state employees out of a business market. Although well-intentioned, the restriction roped in many families that had no actual conflict of interest. The old system didn’t make sense; this new change will help small-business owners while maintaining important, but fair, ethical protections.” Alexander in a November 5 statement

Steve Linder, executive director of the Michigan Cannabis Manufacturers Association, told Interlochen Public Radio in October that, while the organization did not take an official position on the bill, it does support allowing people with cannabis-related criminal charges the ability to obtain an industry license.

“There’s been an attitude in the shaping in all of these laws that now that it is legal, unless you are convicted of other types of crimes, and you had served your time on behalf of society, that there really should be no future barrier to you participating,” he told IPR.

Under the state’s 2016 Medical Marihuana Facilities Licensing Act, anyone convicted of a felony within the previous 10 years or a misdemeanor within the last 5 years was prohibited from obtaining a state license.

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Indiana U.S. Senate Candidate Says He ‘Smoked Weed’ at Recent Illinois Concert

A candidate for an Indiana U.S. Senate seat revealed he consumed cannabis at two recent “Grateful Dead” concerts, the Associated Press reports. Thomas McDermott Jr., who is currently the mayor of Hammond and running to unseat Republican Todd Young in the 2022 Senate race, made the comments on his “Left of Center” podcast. He described the experience at the September shows at Wrigley Field in Chicago, Illinois as “a lovely two days.”

“Yeah, I went to a Grateful Dead show at Wrigley Field and I smoked weed. And, by the way, I was driven there and I was driven home, I wasn’t intoxicated. It was just a social thing.” McDermott via the AP

McDermott is referring to Dead and Company, who are currently on tour. The Grateful Dead disbanded following the death of Jerry Garcia in 1996.

McDermott believes the pro-cannabis comments will not harm his campaign for the Democratic U.S. Senate nomination, pointing out Indiana is missing out on the revenue and economic growth legalizing adult-use cannabis brought to neighboring Michigan and Illinois, and other legal states.

“Indiana is woefully behind on this. If I’m elected Indiana’s U.S. senator, I’m a vote to decriminalize, I’m a vote to legalize marijuana and I will,” he said on the podcast. “And I can tell you, as a former public defender, the only people that are truly penalized with these marijuana laws are the poor that can’t hire lawyers and get out of this.”

Senator Young’s campaign has not commented on the mayor’s revelations. McDermott has been mayor of Lake County’s largest city, Hammond, since 2004, but is not very well known outside of Northwest Indiana.

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Doctor Suspended for Issuing 22k Medical Cannabis Certifications in One Year 

A Michigan appeals court has upheld a two-year suspension for a physician who approved almost 22,000 medical cannabis certificates in just one year, the Associated Press reports. During the hearing, Dr. Vernon Proctor refuted the claim that he had approved 22,000 certificates, saying it was closer to 1,000.

During the hearing, an expert said it would have been impossible for Vernon to take the necessary steps to conduct a proper exam for that many patients – about 60 patients a day for seven days a week.

In all, the Board of Medicine said Proctor issued 21,708 medical cannabis certifications between June 9, 2015, and June 8, 2016. According to court documents, the former manager of the Michigan Bureau of Professional Licensing Medical Marijuana section testified that her office had the responsibility to verify medical cannabis certifications for patient applications, but when her office called Proctor’s office to verify the certifications using the patients’ names and dates of birth, neither he nor his staff was unable to provide such information. The Board of Medicine Disciplinary Subcommittee first requested an administrative hearing in September 2018.

According to the decision, the court found Proctor’s claims that he went to five clinics a day, that each had 20 to 50 patients and that he worked “12 to 14 hours a day seven days a week” unconvincing.

“The judge found that respondent lacked good moral character for issuing a high volume of certificates, which demonstrated a lack of openness, fairness, and honesty to his patients,” the decision says.

The court ultimately found no reason to overturn the suspension ordered by the Bureau of Professional Licensing.

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Promotion Events Allowed Under Proposed Missouri Medical Cannabis Rules

Missouri officials have proposed new medical cannabis industry rules that would allow them to hold promotional events and publicize price discounts, backtracking on a previous directive prohibiting promotional activities, the Springfield News-Leader reports. Under the proposal, any promotional activities would be required to include a disclaimer that reads: “Medical decisions should not be made based on advertising. Consult a physician on the benefits and risks of particular medical marijuana products.”

In a statement last week, the Missouri Medical Cannabis Trade Association, or MoCannTrade, said medical cannabis patients “were harmed by the former rule.” Andrew Mullins, the organization’s executive director, told the News-Leader that “it is absolutely essential that patients have accurate, timely information and education that allows them to make good health decisions, and that’s exactly what this rule rewrite will allow them to do.”

“Robust patient education is crucial to the program’s continued success, and we are thankful DHSS recognized and acted on patients’ behalf. The program is stronger today for that responsiveness.” Mullins to the News-Leader

The proposal also includes a ban on hemp-derived Delta-8 THC, stating that “Dispensary facilities may not sell any product that contains cannabinoids created through chemical conversion of other compounds.”

The rules update also include guidance on drive-thru windows for medical cannabis dispensaries, a ban on dispensaries hosting telehealth clinics on-site for patients to obtain program ID cards, and requirements that all dispensary workers be at least 18-years-old.

The guidance includes provisions to allow dispensaries to sell cannabis seeds and immature plants less than 8 inches tall to patients as long as they are obtained from licensed cultivators. Under the rule, dispensaries would be prohibited from caring for the plants aside from watering them.

A Department of Health and Human Services (DHSS) spokesperson told the News-Leader said the agency will accept public feedback on the new proposal until November 18.

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Reginald Stanfield: Building for the Future As a Commercial Cultivator

In this episode of Fresh Cut, host Cara Wietstock meets with Reginald Stanfield, CEO & Head Horticulturist at JustinCredible Cultivation. Cara and Reginald dive deeper into Reginald’s entrepreneurial spirit, the challenges that the team faced while building out the farm, and how community involvement is a core principle for the brand.

With the personal motto of “People Over Profit” and a mission to focus on organic derivative ingredients and high-quality growth, Reginald shares his thoughts on how he became a successful entrepreneur in a highly regulated state, developed relationships with some of the industry’s preferred brands, and his plans for nationwide expansion.


Check out JustinCredible Cultivation!

Listen to Reginald featured on Ganjapreneur’s Podcast!

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NORML Seeking to Put Cannabis Legalization on Arkansas Ballots in 2022

A second group has filed a ballot initiative to legalize adult-use cannabis in Arkansas, KNWA/KFTA reports. The campaign by the state chapter of the National Organization for the Reform of Marijuana Laws (NORML) is a proposed constitutional amendment which, if approved, would legalize cannabis use for those over 21-years-old, allow home cultivation of six mature and six immature plants, and allow one cultivation facility per 300,000 residents.

Another group, Arkansas True Grass, already has a legalization campaign underway also a constitutional amendment and both groups would need to collect 89,151 verified signatures by July 8 to put the issue on November 2022 ballots.

The NORML-backed Arkansas Adult Use and Expungement Marijuana Amendment would also expunge criminal convictions for the possession, cultivation, manufacture, distribution, or sale of fewer than 16 ounces of cannabis, six or fewer plants, or cannabis-related paraphernalia.

Melissa Fults, treasurer for the Arkansas NORML chapter, said the criminal reforms included in the proposal will give those offenders “their life back” and “let them be able to get a decent job, let them be able to better serve their state, or town, or their own families.”

The Arkansas True Grass proposal the Arkansas Recreational Marijuana Amendment of 2022 would also expunge convictions for some cannabis offenses. Under the amendment, anyone incarcerated or serving parole or probation for violations of the state’s cannabis law would be released from state custody.

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DEA Letter Appears to Suggest Hemp-Derived Delta-8 THC Is Legal

A recently surfaced September 15, 2021, letter by a high-ranking official within the federal Drug Enforcement Administration (DEA) appears to suggest that hemp-derived delta-8 tetrahydrocannabinol (THC) is federally legal. Interpretations of the letter are varied, however, and the document itself remains many steps removed from an actual description or declaration of the law.

The letter is written by Dr. Terrence L. Boos — the Section Chief of the Drug & Chemical Evaluation Section, Office of Diversion Control, DEA — in response to the Executive Secretary of Alabama’s Board of Pharmacy, who had requested a “control status update” from the agency regarding delta-8 THC.

The following is an abridged excerpt from the letter:

“[Delta-8 THC] is a tetrahydrocannabinol substance contained in the plant Cannabis sativa L. and also can be produced synthetically from non-cannabis materials. The [Controlled Substances Act] CSA classifies tetrahydrocannabinols as controlled in schedule I. … Subject to limited exceptions, for the purposes of the CSA, the term ‘tetrahydrocannabinols’ means those ‘naturally contained in a plant of the genus Cannabis (cannabis plant), as well as synthetic equivalents of the substances contained in the cannabis plant and/or synthetic substances, derivatives, and their isomers with similar chemical structure and pharmacological activity to those substances contained in the plant.’ … Thus, 8-THC synthetically produced from non-cannabis materials is controlled under the CSA as a ‘tetrahydrocannabinol.’

“The CSA, however, excludes from control ‘tetrahydrocannabinols in hemp…’ Hemp, in turn, is defined as ‘the plant Cannabis sativa L. and any part of that plant, including the seeds thereof and all derivatives, extracts, cannabinoids, isomers, acids, salts, and salts of isomers, whether growing or not, with a delta-9 tetrahydrocannabinol (9-THC) concentration of not more than 0.3 percent on a dry weight basis.’ … Accordingly, cannabinoids extracted from the cannabis plant that have a 9-THC concentration of not more than 0.3 percent on a dry weight basis meet the definition of ‘hemp’ and thus are not controlled under the CSA.”

The letter appears to suggest that DEA recognizes there to be three types of delta-8 THC:

  • Delta-8 THC that occurs naturally in Cannabis sativa L. plants.
  • Delta-8 THC that was synthetically created from hemp-derived cannabinoids, like CBD.
  • Delta-8 THC that was synthetically created from non-cannabis plant materials.

The letter also may contain an important clarification: DEA stated last year that “synthetic” cannabinoids were illegal under the CSA, but what’s not clear is what exactly — at least in the eyes of federal officials — constitutes a synthetic cannabinoid. Currently, virtually all of the commercially available delta-8 products are made by synthetically converting hemp-derived cannabinoids, like CBD, into delta-8 THC. Considering that hemp and all of its derivatives are federally legal, the letter may be hinting that DEA recognizes the validity of delta-8 THC products so long as they were synthesized from legal, hemp-derived cannabinoids, and it could be a sign that DEA is preparing to make regulatory allowances for the newly booming cannabinoid.

However, while some industry stakeholders have sprung to celebrate the possible admission, DEA may have been purposely vague in the letter’s wording — additionally, a leaked letter correspondence does not carry the same weight as an official ruling or legal action.

It’s also possible that delta-8 THC could be considered an analogue to a Schedule 1 controlled substance and therefore illegal under the federal Analogue Act, which dictates that any substance meant for human consumption that is substantially similar to a controlled substance could be subject to the same prohibition laws. Although that is further complicated because while delta-8 THC is substantially similar to the delta-9 THC in cannabis, it is likewise substantially similar to the delta-9 THC in hemp, which is technically legal (so long as the plant’s total THC content is below the 0.3% threshold).

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Gallup Poll: Support for U.S. Cannabis Legalization Remains at Record High Levels

Support for cannabis legalization in the U.S. has maintained the record high 68% reached last year in the latest Gallup poll released on Thursday. The pollsters found the majority of both Democrats and independents supported the reforms, 83%, and 71%, respectively, with Republicans split 50% to 49%.

Gallup also found the majority of individuals (52%) who attend church weekly support cannabis legalization, along with 52% of those who attend church “nearly weekly” or monthly. Among those who attend church less often, 78% approve broad cannabis legalization.

In a poll last year, Gallup found the same level of support for legalization, marking the highest level of support since the organization first started asking about the issue in 1969. That poll found lower support for the reforms among weekly church-goers at 48% but found high levels for support (59%) among those who attend church services nearly weekly or monthly.

Gallup found majority support for cannabis legalization for the first time in 2013 when support reached 58%. In 1969, the level of support was just 12% with 84% opposed. Americans polled by Gallup were first split on the issue in 2011 with 50% in support of legalization and 46% opposed.

The poll was conducted from October 1-19 and included 823 adults living in all 50 states and Washington, D.C.

A Gallup poll in August found nearly half of U.S. adults 49% had tried cannabis, the highest level the polling company had ever reported, with 12% identifying as regular consumers.

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NORML Releases Updated Version of Book Reviewing 450+ Cannabis-Related Studies

Cannabis advocacy organization NORML has released an updated and revised version of “Clinical Applications for Cannabis & Cannabinoids: A Review of the Recent Scientific Literature, 2000-2021,” which includes reviews of more than 450 peer-reviewed studies related to the safety and therapeutic efficacy of cannabis.

The previous version of the book was issued in 2017 and, since then, NORML says there have been “thousands of studies relevant to the medicinal properties of cannabis.”

“NORML has long advocated for the enactment of evidence-based marijuana policies. When it comes to addressing questions specific to the safety and therapeutic efficacy of cannabis, this publication provides the evidence that patients and their physicians as well as lawmakers need to know.” NORML Deputy Director Paul Armentano, the book’s chief author, in a statement

The book is currently listed as the top new release in the medical research category on Amazon, where it is available for the Kindle for $5.99. Proceeds from the book are used to fund NORML’s advocacy efforts directly.

In 2020, NORML notes, researchers worldwide published a record 3,500-plus scientific papers on cannabis, according to data compiled by the National Library of Medicine and PubMed.gov. So far this year, there have been over 3,600 papers published on the topic and, in all, PubMed now cites over 38,000 scientific papers on cannabis, the organization said in a press release.

A soft-cover version of the book is also available for pre-order on the NORML website for $12.00.

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Cannabis Sales in Canada 25% Higher Than Predicted Due to Pandemic

Since March 2020 – the first month of the coronavirus pandemic – cannabis sales in Canada rose 25% and revenues were $811 million higher than predicted, according to research published in JAMA outlined by CTV News. The sales figures were provided by Statistics Canada and include 16 months from March 2020 through June 2021.

The study, conducted by the Peter Boris Centre for Addictions Research (PBCAR) of McMaster University, St. Joseph’s Healthcare Hamilton, and the Homewood Research Institute, also found that since March 2020, monthly alcohol sales rose by an average of 5.5% or $1.86 billion over expected sales.

James MacKillop, director of the PBCAR and co-author of the study, said in a statement that the “results offer one of the first national perspectives on changes in alcohol and cannabis use during the pandemic.”

“These sales data give us an opportunity to quantify the pandemic’s impacts on two of the most commonly used substances for the country as a whole [and] give us clues into potential changes in behavioral patterns and can inform planning to address mental health impacts of the COVID-19 pandemic.” MacKillop, in a statement, via CTV News

The researchers found that pre-pandemic cannabis sales in Canada rose from $55.4 million in November 2018 to $150.75 million in February 2020 and suggest that Canadians spent $23.59 million stockpiling cannabis as the coronavirus began to take hold throughout the world.

Jean Costello, director of evaluation at the Homewood Research Institute and a co-author of the research, said that “it’s unclear whether similar patterns exist outside of Canada, but the findings indicate the value of sales data as a strategy to characterize the impacts of COVID-19 on substance use.”

“Although the changing landscape following cannabis legalization is a critical consideration,” she said in a statement, “the availability of cannabis sales data at all is a boon for researchers evaluating the pandemic’s impacts.”

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Cannabis Companies in Montana Cannot Sell Hemp-Based Products

Regulators and industry insiders in Montana were surprised to find under the state’s new adult-use cannabis framework that adult-use licensees are prohibited from growing or processing hemp, or selling any hemp-derived products, including CBD, the Montana Free Press reports. As a result, any products containing hemp-derived CBD will now only be available in gas stations or other non-adult use retail cannabis locations, according to the report.

“Frankly, I feel like we stumbled upon it. It wasn’t on our radar at all,” said Kristan Barbour, administrator of the Department of Revenue’s Cannabis Control Division.

Although CBD derived from hemp is prohibited, CBD itself is not banned as long as it is extracted from cannabis plants with THC concentrations greater than 0.3%. Cannabis plants with less than 0.3% THC are considered hemp under the Federal 2018 Farm Bill. Dispensaries have until January 1, 2022, to sell their CBD stash before the ban goes into effect, the report says.

“It’s idiotic. It’s denying consumers access to safe consumption.” Tessa Rose, an herbalist, via the Free Press

Montana legalized adult cannabis use last year and the Montana Legislature would pass the bill to set up a regulatory framework for the new industry earlier this year. The state has made progress setting up the system despite a lawsuit, later withdrawn, by an anti-cannabis activist to overturn the adult-use cannabis initiative.

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Leafly Report: Cannabis Fifth Largest U.S. Crop

Cannabis is the fifth most valuable crop in the U.S., according to Leafly’s first-ever Cannabis Harvest Report. The report looked at cannabis production numbers in the 11 states where both medical and adult-use cannabis are available to customers and found 13,042 cannabis farm licenses in those states grow 2,278 metric tons (5.02 million pounds) of cannabis annually.

That is the equivalent of 57 Olympic-size swimming pools or more than 11,000 dump trucks stretching 36 miles and over 2 billion joints the report says. The $6.175 billion worth of cannabis produced annually in the U.S. puts the crop ahead of cotton and peanuts.

The authors note despite these staggering numbers, cannabis sales are rarely tracked by state or federal officials.

“Our goal with the Leafy Harvest Report is to quantify annual cannabis production in operational adult-use states, just like the USDA’s Economic Research Service does for all non-cannabis crops. This is the first time anyone’s done this, as far as we know. Voters, lawmakers, and industry leaders need these basic facts to make informed decisions.” Leafly in a press release

The report found only corn, soybeans, hay, and wheat topped cannabis’s cash crop numbers. Although still federally illegal, cannabis ranked number one in value in Alaska, Colorado, Massachusetts, Nevada, and Oregon; and its crop value ranked no lower than fifth in the 11 states analyzed. Colorado sells the most cannabis annually, 657 metric tons, while California is close behind with 514 metric tons in yearly sales, the Leafly harvest tally found.

The paper highlights the inadequate banking and insurance options available to cannabis farmers and the enormous amount of money and time spent navigating regulatory roadblocks even before the plants are in the ground.

“America’s adult-use wholesale cannabis crop returned a mind-boggling $6.175 billion to farmers last year, ranking it as the 5th most valuable crop in the United States. Yet, due to federal prohibition, America does not treat cannabis farmers like farmers,” said David Downs, the report’s lead author, and Leafly’s California Bureau Chief. “They are subject to more state and federal taxes, regulations, and stigma than any other type of farmer. These barriers hurt small legacy farmers the most. This plant is helping generate wealth, employment, and community investment around the country, and our legislators need to recognize the opportunity cannabis presents for Americans today.”

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Mississippi Gov. Calls for Medical Cannabis Program THC Limits and Purchase Caps

Mississippi Gov. Tate Reeves (R) said on Monday that he wants tighter limits on the amounts of medical cannabis patients can purchase and limit the amount of THC allowed in medical cannabis products sold in the state, the Oxford Eagle reports. Reeves did not indicate what he thinks those caps should be but said the THC levels in the current draft of the bill “are higher” than he is “comfortable with.”

“If we’re going to have a medical marijuana program, we need to get it done right. I think getting it done right is more important than getting it done quick.” Reeves during a press conference via the Eagle

Mississippi voters approved the medical cannabis initiative during the 2020 election, but the state Supreme Court overturned the initiative in May, ruling that Mississippi’s initiative process is outdated and unworkable. Lawmakers have since introduced legislation to enact the reforms and have called on Reeves to call a special session to bring up the bill for a vote. Reeves has indicated he would call the session if lawmakers can agree on a plan, the report says. The state’s next regular session begins in January.

However, state Agriculture Commissioner Andy Gipson has said that he has a legal challenge ready were the Legislature to approve the reforms. In an August letter to state Attorney General Lynn Fitch, Gipson said that “elected officials took an oath of office to ‘faithfully support the Constitution of the United States … and obey the laws thereof’” and that cannabis legalization of any kind runs afoul of federal law.

“If the Mississippi Legislature were to enact and the governor were to sign into state law a medical marijuana program,” he wrote in the letter, “how would it be legal under the federal act to truck, ship, deliver, manufacture, distribute or dispense any part of the cannabis seed or plant as a Schedule 1 substance into the state of Mississippi?”

Last month, advocates held a protest demanding that Tate call the session to enact the reforms.

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Workers at Two Illinois Verilife Dispensaries Vote to Join Union

Workers at Verilife dispensaries in River North and Arlington Heights, Illinois have voted to join the Teamsters Local 777, the first locations at the company to do so. Earlier this year, dispensary workers at Modern Cannabis’ Logan Square and River North locations also voted to join the union.

Eunique Nyonly and William Morris, two of the cannabis sales consultants at the Verilife River North who voted to join the union, said they wanted to be Teamsters because they “want representation in the workplace.”

“With the cannabis industry becoming more established in Illinois, there is room for exploitation. By joining the Teamsters, we can combat this.” Nyonly and Morris in a press release

In addition to the cannabis sales consultants, dispensing inventory specialists at the River North and Arlington Heights also voted to join the union.

“These workers are on the frontlines of the grassroots movement to ensure that the billions of dollars in revenue being generated by the nascent cannabis industry goes not just to investors and shareholders, but to the people who are the backbone of these operations,” Jim Glimco, president of Local 777 said in a statement.

The Modern Cannabis employees held their vote to unionize in June, and more than 80% of those employees voted to join the union. Glimco called that overwhelming vote a “groundbreaking victory.”

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