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NBA Will Not Randomly Test Players for Cannabis During 2021-22 Season

10/08/2021

The National Basketball Association (NBA) has agreed to not randomly test players for cannabis during the upcoming season, continuing the policy which started during the “restart bubble” and was continued last season, the Associated Press reports. The league will still test for performance-enhancing drugs and drugs of abuse, such as methamphetamine, cocaine, and opiates.

“We have agreed with the [National Basketball Player’s Association] to extend the suspension of random testing for marijuana for the 2021-22 season and focus our random testing program on performance-enhancing products and drugs of abuse.” — NBA spokesman Mike Bass via the AP

Cannabis remains prohibited under the league’s collective bargaining agreement, but negotiations between the league and players’ association loosened restrictions.

Last year, NBA Commissioner Adam Silver said that “it’s possible” the league’s decision to stop randomly drug testing for cannabis could be permanent, but the policy has only been extended each season rather than implemented long-term.

“It doesn’t mean that we’re not going to be talking to players who maybe aren’t using marijuana casually, but feel more of a dependency on it, because of the stress this year,” Silver said in December 2020. “And I’d say the same thing about alcohol or any other substance.”

Silver added that “given all the things that were happening in society, given all the pressures and stress that players were under” in 2020 he didn’t think the league needed to “act as Big Brother right now.”

“I think society’s views around marijuana has changed to a certain extent,” he said.

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Oklahoma Advocates Campaign to Put Cannabis Reforms on 2022 Ballots

10/08/2021

Cannabis advocates in Oklahoma have filed ballot initiatives for 2022 to legalize adult-use cannabis and replace the current medical cannabis oversight agency, the Tulsa World reports. Jed Green, co-founder for Oklahomans for Responsible Cannabis Action, said the petitions are necessary because he doesn’t see the reforms making it through the legislative process “any time soon.”

Green said a new oversight agency for the state’s medical cannabis program would ensure independent supervision of the program which would “increase transparency and create a structure that could be functional.” Currently, the state Health Department oversees medical cannabis in Oklahoma.

“When decisions are being made about how funds are being spent, … you have to go to either the commissioner of health or the governor to understand the decisions that are being made,” You can try to have conversations and be productive with [Oklahoma Medical Marijuana Authority] directors, but at the end of the day they’re having talks that you’re not in the room for. And they’re making decisions that are not in line with the industry, and it’s tough. We have all the reason to believe the governor is not going to sign off on a new state agency if it makes it through the Senate.” — Green to the World

The petition, called the Oklahoma Medical Marijuana Enforcement and Anti-Corruption Act, would amend the state constitution to create the Oklahoma State Cannabis Commission within a year. The Health Department would, at the discretion of the newly created agency’s board, retain its oversight power on food permits and safety issues with cannabis products, the report says.

The adult-use petition would allow cannabis possession and use by adults 21-and-older and legalize sales in the state. Individuals would be allowed to possess up to 8 ounces of cannabis purchased from retailers and grow up to 12 plants in their homes, which would not count toward the 8-ounce limit, according to the World. The proposal also includes expungement and judicial reviews of cannabis-related convictions. The measure would tax retail cannabis sales at 15% while reducing the tax on medical cannabis sales to 0% within a year.

Under the proposal, extra funds from both the medical and retail programs would go toward cannabis research, water resources, and eight hours of training for law enforcement officers on the legal status of cannabis.

The campaign needs to collect about 178,000 valid signatures to put the issue to voters next year.

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Connecticut Social Equity Council Seeking to Charter New Banks

10/08/2021

Members of Connecticut’s Social Equity Council are asking regulators to charter new banks to back the state’s cannabis industry, specifically, to help provide better opportunities for potential social equity applicants, WSHU Public Radio reports. The social equity council is responsible for ensuring the sale of adult-use cannabis in the state provides business opportunities for low-income and communities of color that are disproportionately impacted by the war on drugs.

Councilmember Joseph Williams, who is with the Connecticut Small Business Development Center at the University of Connecticut, said he was concerned that the state’s cannabis market will be oversaturated with cannabis producers and vendors and also wants regulators to control the number of industry permits.

“They need to source capital. One of the biggest things around social equity that has eluded us is the lack of capital and I find we really need to address that as quickly as possible.” — Williams via WSHU

The council plans give individuals with a previous cannabis arrest or conviction priority for an industry license regardless of their wealth as long as they came from certain neighborhoods affected by the over-policing. The plan covers 35 Connecticut cities and towns, the report says.

The state could help finance industry licensing fees, which are set at $1,000 broadly and at $500 for social equity applicants. The state estimates cannabis-derived taxes and fees could reach as much as $40 million per year. Under state law, sales tax revenues generated from sales could be reinvested by the council.

Sales are not expected to roll out in the state until late 2022.

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Colin Wells: Veterans Healing Together Through Plant Medicine

10/08/2021

In this episode of Fresh Cut, host Cara Wietstock meets with Colin Wells, a US Army Infantry veteran and founder of Veterans Walk and Talk. Cara and Colin explore how he overcame his own addiction after experiencing homelessness, the veteran experience, and how the combination of cannabis, psychedelics, nature, and community can improve veterans’ lives.

To learn more about Veterans Walk and Talk: https://veteranswalkandtalk.com/vwat

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Danielle Schumacher: Recruiting Talent for a Diverse Cannabis Industry

10/07/2021

There are more new jobs and employment opportunities in the cannabis industry now than ever before. But for many stakeholders, the paramount concern is building a more fair and inclusive industry — THC Staffing was founded to address the disproportionate opportunities for women and BIPOC entrepreneurs and employees in the cannabis space.

We recently interviewed THC Staffing’s founder and CEO Danielle Schumacher about her company’s founding mission, the benefits cannabis companies can expect from working with a professional recruiter, and reactions and success stories from her many years in the industry. This interview also covers the many first-of-their-kind projects that THC Staffing helps manage, including the Women of Color in Cannabis CannaCareers project and the Second Chance Hiring Initiative, which is the first national cannabis job pipeline for people with previous convictions.

Read the full interview below!

Ganjapreneur: Why did you found THC Staffing in 2014?

Danielle Schumacher: Despite BI&POC communities being disproportionately impacted by the drug war – including thousands still incarcerated and millions disenfranchised by felony convictions – the vast majority of cannabis businesses are owned by white men, and there is also a glaring lack of diversity in the workforce.

THC Staffing was the first staffing firm to center diversity, equity, and inclusion in recruiting for the cannabis industry. Building a diverse and inclusive company culture is not only proven to be better for a company’s bottom line; it’s the right thing to do. We offer advisory services to cannabis companies seeking to adopt more inclusive recruitment efforts.

What sectors of the cannabis industry do you serve?

All; however we have ample experience recruiting and matching specialized managers in cultivation, extraction, manufacturing, lab testing, and dispensaries. My hands-on work experience in cultivation, dispensary, and nonprofit operations is very helpful when matchmaking for these sectors.

What is the mission at THC Staffing, and what initiatives are you working on to fulfill this mission?

Our mission is to build a diverse and inclusive cannabis industry by prioritizing employment and ownership for communities most impacted by the War on Drugs – particularly women, people of color, LGBTQI, formerly incarcerated individuals, people with disabilities, across all ages, regardless of citizenship or primary language.

We prioritize diverse candidates throughout every step of our recruiting process — from helping companies navigate fair hiring processes and job description messaging, to identifying the most qualified applicants. We also help companies craft and implement social impact plans, community engagement initiatives, and inclusive HR practices.

Also, we donate 10% of our income to nonprofits who share our values.

We are a founding partner of WOCC CannaCareers, a free career services program of Women of Color in Cannabis; we are the staffing partner for Supernova Women’s EquityWorks! Incubator; and we are working with Illinois Equity Staffing on their Second Chance Hiring Initiative.

What are the benefits of hiring a recruitment firm to fill open positions?

Recruiters who understand the industry and the company’s needs make the hiring process more efficient and less stressful. Recruiters specialize in how to craft and promote job listings to draw the best candidate pool. When candidates feel supported in the process, the interviews are more meaningful and productive. Especially in an emerging and highly regulated field like cannabis, many of the most qualified candidates prefer to work with a third party recruiter who can help them navigate the options and negotiations. Good recruiters will also stay in close contact with the people they place, which helps with retention and conflict resolution.

What results have some clients seen after consulting with you and your team?

Companies often remark that they don’t know how we found such a diverse and qualified candidate pool. They also notice that our candidates are more prepared for interviews and easier to onboard and train. I am very proud that most of the people we place stay with the company for years and make a noticeable contribution to the team. Many of our candidates are social justice advocates and can work respectfully with all kinds of people, which are major benefits for cannabis companies.

Companies who work with us on building inclusive HR policies and procedures can see and feel the culture change and overall growth and retention. In some cases, working with us has made the difference in whether a company is compliant with regulations that require successful implementation of diversity hiring, community engagement, and social impact plans.

Do you look for anything specific (either on a resume or in person) when recruiting someone?

Integrity, attention to detail, and willingness to learn – 3 of the most important qualities for all sectors of the industry – can be demonstrated through a resume and in person. Resumes should be engaging, easy to read, and in an organized and consistent format. I also pay close attention to how candidates communicate throughout the process i.e. email responses are prompt and thorough and all communication is respectful.

When did you partner with Oakland, California social equity incubator Supernova Women, and what services do you provide them?

In late 2020, I began assisting Supernova Women with recruitment for the workforce development cohort of their social equity incubator. I promoted the opportunity for paid training to my network, and processed all applications. I led the interview process, and was also liaison to the City of Oakland. I also advise on retention and job placement.

What is the Illinois Equity Staffing? How do you contribute to this initiative?

Illinois Equity Staffing provides recruiting, HR, and training for cannabis companies. They invited me to assist with their Second Chance Initiative, which is the first national cannabis job pipeline for people with past offenses, charges, or backgrounds. This includes people who have previously been incarcerated and people who have had their record expunged. I build relationships with re-entry groups and other community groups who work with justice-impacted individuals, and assist advocates and candidates throughout the hiring process. I also help Illinois Equity Staffing and participating employers navigate the legal and cultural context of recruiting and hiring second chance candidates for cannabis jobs.

What is your role as a founding partner in the Women of Color in Cannabis CannaCareers platform?

During the early months of the pandemic, I began researching virtual events and came across WOCC’s monthly sessions. I was really impressed with their mission and programming and reached out to offer support. We began meeting and quickly realized that I was uniquely qualified to help them realize one of their long-term goals of providing cannabis career services tailored for women of color. After several months of planning, we officially partnered with Ashley Boucher of Quality Control Analytics (a Massachusetts certified trainer), and Ann Brum of Joint Venture Co. As a team, we have developed a vetted job board and a webinar series that walks through the job descriptions and qualifications of each sector of the industry. Each webinar also includes resume and cover letter advice and how to find job openings and prepare for interviews. Myself and Amber McDonald offer free resume reviews.

Why did you launch the mentoring program, and how many mentor & mentee partnerships are in the first cycle?

Our first-of-its-kind mentoring program provides an opportunity for experienced cannabis professionals to guide job seekers and entrepreneurs in developing practical skills and a community-based network. The Program’s mission is not only to help a diverse range of individuals access industry knowledge but also to provide a fair chance to underserved communities and those who are negatively affected by the war on drugs and have not had pathways to employment and ownership in the cannabis economy. We encourage women, POC, LGBTQ+, formerly incarcerated individuals, and people with disabilities to participate. The Program is free to participate in and includes individual and team mentoring. Through a culmination of decades of networking and relationship-building with diverse industry professionals from across the nation, our pilot program connected 50 mentees with a mentor and monthly group sessions.

How do you pair mentors and mentees to best support positive growth? Are there any qualifying factors to take part on either side of the program?

Matches are based on a mentor’s relevant professional experience to meet the mentee’s career goals, and also shared identity and interests. Mentors and mentees accept or decline the match. Participants attend a group orientation before meeting 1-on-1. We require everyone agree to a robust Code of Conduct, and we provide a workbook and ongoing support for mentors and mentees.

What is your best piece of advice for someone hoping to start a career in the cannabis space?

All experience is transferable. However, if you feel overwhelmed or don’t know where to start, I recommend figuring out what you don’t want to do. If you don’t want to do customer service, don’t apply for budtending or sales jobs. If you don’t want to or can’t do physical labor, don’t apply for cultivation or manufacturing jobs. If you don’t want to work for corporations, research and network with ancillary and small businesses. It’s important to know your limits and restrict your search accordingly.

Thanks so much, Danielle, for taking the time to answer our questions. To learn more, visit THCStaffingGroup.com.

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Cannabis Collective Receives $5M in Nation’s First Industry Antitrust Case

10/07/2021

A California jury has awarded $5 million in damages in what is believed to be the first cannabis industry antitrust case in the nation, according to a National Law Review report. The case, Richmond Compassionate Care Collective v. Koziol, et al., involved a dispute between medical cannabis collectives in Richmond, California.

The plaintiff, Richmond Compassionate Care Collective (RCCC), contended that the defendants, directors of the collective Richmond Patient’s Group (RPG), conspired to prevent them from opening a dispensary by blocking their access to the limited inventory of commercial properties where medical cannabis dispensaries were permitted to operate under a local ordinance.

The RCCC claimed that RPG’s plan included fake leases, letters of intent to lease or purchase, and purchase agreements to landlords with available commercial properties in an effort to “tie [the landlords] up with paper” so as to prevent RCCC from securing a property before its pending permit expired, the report says. RCCC also said the defendants went door-to-door to landlords, attempting to convince them not to lease or rent their properties to RCCC, and demanded non-compete clauses in their own leases to contractually prevent landlords from leasing or renting their properties to the plaintiffs.

RCCC’s lawsuit argued that RPG’s actions constituted an unlawful group boycott in violation of California’s Cartwright Act and caused RCCC to suffer millions of dollars in damages.

The case went to trial in August, naming as defendants the three owners and directors of RPG: William Koziol, Darrin Parle, and Alexis Parle. On September 23, the jury returned a verdict against Koziol and Parle, awarding $5,000,000 in damages, which will be automatically trebled to $15,000,000, the report says. Parle, the remaining defendant, was found not liable.

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Half of Oregon Hemp Farms Out of Compliance

10/07/2021

An Oregon Liquor and Cannabis Commission (OLCC) report found that 54% of hemp farms inspected in southern Oregon to be growing THC-rich cannabis, Jefferson Public Radio (JPR) reports. The state set a limit of 5% THC as the out-of-compliance threshold for these inspections, although under federal rules hemp cannot contain more than 0.3% THC.

According to the report, OLCC, local law enforcement, and Department of Agriculture inspectors sampled cannabis plants from 212 out of 335 licensed hemp farms in Jackson and Josephine counties. An additional 76 farms prevented inspectors from collecting samples and another 23 were not available for contact.

“I believe from my experience down there, there are more illegal grows than there are registered grows.” — OLCC Senior Director of Licensing and Compliance Richard Evans, via JPR

Additionally, the OLCC said some farms were diverting water and had no bathrooms for workers. Inspectors found that farms were housing laborers in tents in greenhouses, the report says.

“Whether they have armed guards out in front of the marijuana grow in front of their house, water rights, the [cannabis] smell, the human trafficking issues — the folks working in the field — this is a human atrocity in my mind,” Evans said to JPR.

The mass inspections were initiated by House Bill 300, passed by Oregon lawmakers in July. The bill gave the Oregon Department of Agriculture authority to work with OLCC and local law enforcement to access farms to test their hemp crops for compliance.

In an interview with Cannabis Business Times, Mason Walker — CEO of Oregon’s East Fork Cultivars, a licensed hemp and cannabis producer — said, “If you drive around southern Oregon near our farm, it is full of illicit cannabis — just everywhere. It always has been, but it’s always been family-scale. … What’s different this year over any year is it is very clearly not family-scale illicit cannabis. It is commercial-scale, organized illicit cannabis.”

Walker also said that some of the high-testing crops may be caused by bad hemp seeds and not malicious intentions — crops that are testing over 5% THC, however, may be suspect.

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Cannabis Execs Charged with Defrauding Investors of $4M

10/07/2021

In a federal indictment unsealed Tuesday, a pair of executives for New Jersey cannabis company CanaFarma Corp. are accused of defrauding investors out of at least $4 million. Vitaly Fargesen, CanaFarma senior vice president of strategic planning, and Igor Palatnik, the company’s senior vice president of product acquisition, are facing multiple counts of securities fraud and wire fraud.

In a statement, Manhattan U.S. Attorney Audrey Strauss said the pair “presented themselves as entrepreneurs developing a new business for an emerging industry.”

“But, as alleged, Fargesen and Palatnik were just using the trappings of a start-up to run an old-time scam: lying to investors to take money for themselves.”—Strauss in a press release

The charges are based on the duo allegedly soliciting funds based upon false and misleading representations, failing to invest investor’s funds as promised, manipulating the public stock price of CanaFarma, and secretly misappropriating millions of dollars of company funds, investigators said in a statement. The government alleges the defendants solicited at least $14 million in funds and misappropriated at least $4 million for their own benefit.

“The defendants, as alleged, lured investors to CanaFarma by falsely representing the company’s financials, manipulating their stock price, and misappropriating millions for their personal benefit,” Federal Bureau of Investigation Director-in-Charge Michael J. Driscoll said in a statement. “Just as a reminder to anyone who thinks they can manipulate people’s investments in this way—that’s simply not the case.”

Fargesen and Palatnik are each charged with one count of conspiracy to commit securities fraud, which carries a maximum sentence of five years in prison, one count of securities fraud, which carries a maximum sentence of 20 years in prison, one count of conspiracy to commit wire fraud, which carries a maximum sentence of 20 years in prison, and one count of wire fraud, which carries a maximum sentence of 20 years in prison. The case is being overseen by the Securities and Commodities Fraud Task Force.

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Missouri Cannabis Companies Can No Longer Advertise Strain Names

10/07/2021

Missouri medical cannabis companies can no longer advertise strain names — or employ any other type of advertising outside of listing prices on their websites — under a new directive from the compliance director for the program, Greenway Magazine reports. The letter from Andrea Balkenbush, the facility license and compliance director for the Medical Marijuana Regulatory Program at the Missouri Department of Health and Senior Services, also prohibits cannabis companies from accepting online payments through third-party sites.

“The Department views a promotional event as any activity, advertisement, or publicity designed to increase interest in purchasing medical marijuana or a particular product or brand of medical marijuana. For example, facilities are not allowed to advertise price discounts on a particular product because that would result in disbursing medical marijuana as part of a promotional event.” — Balkenbush, in the letter, via Greenway Magazine

Chris McHugh, CEO, and president of Vertical Cannabis, told News-Press Now that he believes the guidance regarding third-party payments in an attempt to prevent cannabis delivery services and that regulators are trying to prevent adult-use-like marketing in the medical cannabis program.

Dan Viets, an attorney, and chairman of the group that led the effort to legalize medical cannabis in the state, said that the regulations will stamp out competition in the industry.

“For the welfare of patients, there has to be competition,” Viets told News-Press Now.

According to Greenway Magazine, which tracks the Missouri cannabis industry and first posted the letter, medical cannabis sales in the state passed $100 million last month for both cumulative and year-to-date sales and posted a record high of $21.73 million in revenues in August.

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California Releases Guidelines for $100M Cannabis Industry Grants

10/06/2021

The California Department of Cannabis Control (DCC) released guidelines and application requirements last week for a $100 million local jurisdiction grant program, according to an agency press release. The program was proposed by Gov. Gavin Newsom in his 2021-2022 budget which was approved by the legislature.

The purpose of the grants is to help local jurisdictions transition the high number of provisional licenses into the more permanent annual license type. Specifically, the grants are meant to streamline the license transition process for local governments and help to meet California Environmental Quality Act (CEQA) requirements. There is additional funding for localities with social equity programs to help transition social equity licensees who hold provisional licenses to annual licenses.

“The local jurisdictions eligible to receive grant funding represent areas with large numbers of small, equity and legacy cannabis businesses, including small cultivators that often have unique regulatory needs.” — DCC Director Nicole Elliott in a statement

There are 17 cities and counties eligible for grant funding, including some of California’s largest cannabis markets like Los Angeles, San Francisco, San Diego, Oakland, and Long Beach. The grants could range from $400,000 to $22 million, according to the press release. DCC said the grants could go out as early as the end of 2021. DCC also said that officials had worked with local jurisdictions to develop the best program to meet each region’s specific needs, and they took feedback on proposed program guidelines and adjusted the program in response.

“Each jurisdiction is unique. The development of this program acknowledges this fact and was informed by the conversations we had with eligible jurisdictions about their specific needs,” said Elliott. “The way we have structured this program encourages jurisdictions to propose novel, innovative ways to support their local businesses in making the transition into annual licensure.”

The provisional licensing program was created to help cannabis operators transition into the legal cannabis market. The program was due to sunset on Jan. 1, 2021, but was extended to allow a large number of provisional license holders — many of whom would have had to close their doors in California’s legal cannabis market if the program was not extended — to continue to work on license approval and complete CEQA requirements.

The extension included rolling sunset dates, based on license types, and set specific benchmarks for provisional license renewal in hopes that the backlog of provisional-to-annual license transitions would be resolved.

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Colorado Cultivators Grew 24% More Cannabis in 2020

10/06/2021

Colorado cultivators grew 1.8 million pounds of cannabis last year, a 24% increase from 2019, according to Colorado Department of Revenue (CDOR) data outlined by Center Square. More than 72% of the total cannabis produced in the state went to the adult-use market.

Total cannabis sales in Colorado reached $2.19 billion last year—up from $1.79 billion in 2019, the report says.

The average seed-to-sale time for Colorado producers was 126 days, a decrease of six total days since 2017, according to CDOR data. In all cultivators used more than 3.7 million plants to reach 1.8 million pounds.

In 2020, the total number of adult-use industry licenses increased by 1.7% to 2,727 total businesses, while the number of medical cannabis business licenses decreased from 1,141 in January to 1,113 by the end of the year, according to CDOR data. The adult-use market also accounted for more than 85% of concentrates sold, 87% of the non-edible infused products sold, and 89% of the edibles sold, state data showed.

In June, Gov. Jared Polis (D) signed a bill curtailing how much cannabis concentrates medical cannabis patients could purchase per day from 40 grams to eight. While that law was not in effect last year, it will likely lead to the adult-use sales accounting for even more of the share of concentrates sold through the adult-use market going forward.

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LIM College Launches Cannabis Industry Bachelor’s Degree Program

10/06/2021

New York’s LIM College on Tuesday announced the creation of its Bachelor of Business Administration degree program in cannabis which the college says is the first of its kind in the nation and set to launch during the fall 2022 semester.

Elizabeth S. Marcuse, president of LIM College, said that the college has monitored “the explosive job growth in the cannabis sector” and found “that employers are seeking skills and experience often possessed by fashion business professionals plus cannabis industry knowledge.”

Cannabis major courses will be taught by Chris Jones, the founder of Cannabis Xpress, and Marianne Cursetjee, CEO and co-founder of Alibi Cannabis. Development of the program included input from Penelope Nam-Stephen, chief commercial officer for Community Growth Partners, and Sarah Falvo, director of community for the Arcview Group, a financial and consulting services firm for the cannabis and hemp industry.

“This program is very timely because the rapidly-evolving cannabis industry currently needs entry-level executives who will view the industry through a professional and business-oriented lens. Having a well-qualified pipeline of talent in this heavily regulated and fragmented industry will help us progress more efficiently. It is also a wonderful opportunity for people to enter the cannabis space through a conventional academic path.” — Nam-Stephen in a press release

The college notes that last year the number of full-time jobs in the cannabis industry grew by 32% to 321,000, according to the Leafly Jobs Report.

The college, based in Manhattan, is currently accepting applications for the program.

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New York Medical Cannabis Program Removes Fees, Adds Whole Flower

10/06/2021

During their first meeting on Tuesday, the five-member board tasked with implementing cannabis legalization in New York permanently waived the $50 fee for medical cannabis patients and caregivers and made flower an approved form of medical cannabis in the state, LoHud reports. The board also approved allowing patients to obtain a 60-day supply of medical cannabis instead of just one month.

The medical cannabis reforms come as the board seeks to get the state’s nascent adult-use program back on track, which had stalled since the law was approved in March, due to the scandals of former Gov. Andrew Cuomo and a row between legislators and Cuomo over appointments to the Metropolitan Transportation Authority, the report says.

Patrik Jonsson, regional president of the Northeast at Curaleaf, said that the changes to the medical cannabis program “will empower patients to make choices that work best for their needs.”

“These changes will give New Yorkers access to whole flower that has undergone standardized procedures and testing protocols, ensuring quality and safety.” — Jonsson to LoHud

During the meeting, the board also approved Jason Starr as the chief equity officer for the adult-use program. Starr has worked previously as the director of the Long Island Chapter of the New York Civil Liberties Union and director of litigation for the Human Rights Campaign. In the role, Starr will be a key player in the development and implementation of the social equity plan included in the broad legalization law, which sets a goal that at least half of the adult-use cannabis licenses in the state are awarded to social and economic equity applicants.

Adult-use sales in the state are expected in the summer of 2022.

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Seattle Decriminalizes Psilocybin Possession & Cultivation

10/05/2021

The Seattle City Council voted unanimously yesterday to decriminalize psychedelics including psilocybin and similar substances, Bloomberg reports. Often colloquially called “magic mushrooms,” psilocybin is considered a Schedule 1 substance under federal law.

Officially, the change calls for local law enforcement (including police and prosecutors) to make naturally occurring psychedelic substances like psilocybin and ayahuasca their lowest priority.

“Our overall goal is to follow the lead of Oregon,” Seattle City Councilmember Andrew Lewis told Bloomberg ahead of the vote (Oregon was the first state to legalize the therapeutic use of psilocybin in 2020).

“There’s a huge demonstrated potential for these substances to provide cutting-edge treatments for substance abuse, recovery from brain injuries, [and other issues]. I want to make sure we’re following the science in our policies around regulating these substances.” — Lewis, via Bloomberg

Psychedelics reform is gathering steam across the U.S.:

Seattle is the ninth U.S. city to enact such reforms since Denver paved the way with a successful 2019 voter initiative.
Other major U.S. cities with the reforms include Oakland, Santa Cruz, Ann Arbor, and Washington D.C.
There are currently two efforts underway to decriminalize psychedelics in California: one as a planned voter initiative and the other would be through the Legislature.
A Maine proposal from earlier this year would legalize psilocybin therapy for anyone aged 21 or older.
Vermont considered psychedelics decriminalization last year.

Even the DEA signaled this year it was preparing for an influx of psychedelics-related developments after the federal agency called for a significant increase in psilocybin production for federal research and clinical trials.

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Corey Mangold: Consumer Safety-Focused Vape Hardware

10/05/2021

While cannabis vape products have never been more popular, the unfortunate reality is that most vape manufacturing processes are not closely audited or regulated for safety purposes. That puts much of the responsibility for consumer safety on vape brands themselves and some, like PurTec, are rising to the occasion with rigorous consumer safety tests.

For this written Q&A, we ask CEO Corey Mangold about why he founded the vape technology brand, the main risks faced by consumers in today’s cannabis vape market, the differences between tobacco vaporizers and cannabis vaporizers, his predictions for the ever-evolving vape industry, and more!

Check out the interview below!

Ganjapreneur: What was the inspiration behind your decision to create PurTec?

Corey Mangold: In 2017 I was using vaporizing products that all had a really awful user experience. My previous engineering experience led me to launch a great cannabis brand (Orchid Essentials) that utilized premium hardware.

What makes PurTec products different from commonly available alternatives on the market?

First and foremost, really the premium user experience is the best selling point. This is because we use eco-friendly materials and unrivaled component quality in our vape hardware. Our disposable options have long-lasting batteries to allow users to get more oil before the need to discard. The μKERA™ technology ensures your customers won’t experience a burnt taste, oil spit-back, harmful additives, or any heavy metal contamination. Instead, they get stronger vapor, unadulterated flavor, and above all, safety.

What are some of the main consumer safety risks that exist in the market today when it comes to vape hardware?

Unfortunately, there is very little transparency for consumers to understand what they are vaping with general products in the market currently. Much of this is due to the lack of regulations for this emerging industry. The risks that consumers face are numerous but include exposure to dangerous heavy metals.

Are vape products required to undergo testing before they can be sold to the consumer? If so, what kinds of tests do they undergo?

Because cannabis has not been federally legalized, the FDA is unable to put in place the necessary regulations to ensure consumer safety. Since this is the case, virtually no testing is done in order to protect the consumer and regulations vary by state.

Do cannabis brands use different technology than FDA regulated tobacco vapes?

Vape products in tobacco are wildly different from those used in cannabis and CBD applications. The primary reason is the thickness or viscosity of the oil. Ceramic is heavily used as the wicking platform for cannabis and CBD where cotton is primarily used for Nicotine because it’s a much thinner liquid. Nicotine products are also much more heavily regulated as the FDA and other international health agencies govern that industry. AFNOR standards for example are the EU standards for aerosol or emissions testing nicotine products. Cannabis doesn’t have such testing but will someday in the near future, hopefully.

How does PurTec read the pulse of the evolving vape consumer market to inform product innovation?

The best way to know what the future holds is to follow the consumer trends in tobacco vape as in the last 5 years we’ve seen the cannabis vape market closely follow nicotine but about 2-3 years behind. For example, disposables and pod’s are the primary products in nicotine where 510 threads are the leader in cannabis. 510 threads were the leader in nicotine until about 5 years ago, and in the last 1 year, disposables have become the leader in nicotine, and we are seeing that trend begin to take place in cannabis.

What kind of testing does PurTec hardware undergo?

Every single material we use gets lab-tested to ensure nothing is harmful for the customers. Once the vape hardware is put together, we emission test our products to help ensure customers use the safest products available to them!

How much of the manufacturing workflow do you oversee, and where are products manufactured?

Our manufacturing facilities are in China, however we have intimate details and oversee production through constant communication to be fully ingrained in the process.

What does the integration process look like for a brand to start developing products using PurTec hardware?

This really depends on the Brand. We believe in making the process as easy for them as possible. So, pending the need from our partners, we can truly tailor our services accordingly.

What are PurTec’s capabilities when it comes to helping brands create custom-branded and custom-designed products?

If you dream it, we can make it. PurTec offers help with design services for full wraps, aluminum metallic finishes, soft touch painted surfaces, and so much more.

How many brands are currently using PurTec pods, disposables, and 510 cartridges — and what markets are they available in?

We would rather not mention the amount of clients we have at this moment but we are happy to service anyone from US, Canada, Central America, and Europe!

Thank you, Cory, for answering our questions! Learn more about Cory Mangold and PurTec at PurTecDesigns.com.

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Cannabis Mergers & Acquisitions Heat Up With Three $60M+ Deals in One Week

10/05/2021

Cannabis firms Ayr Wellness Inc., Curaleaf Holdings Inc., and The Parent Company each announced acquisition deals on Monday for $80 million, $67 million, and $65.2 million, respectively.

Miami-based multistate operator Ayr announced the close of its purchase of PA Natural Medicine, LLC, which operates three dispensaries in Bloomsburg, State College, and Selinsgrove, Pennsylvania. Those dispensaries will be rebranded to “Ayr” by the end of the year, the company said.

The terms of the deal include upfront consideration of $80 million, including $35 million in cash $25 million in seller notes, and $20 million in stock. An earn-out based on 2021 Adjusted EBITDA, is payable in the first quarter of next year.

Ayr now operates in Arizona, Florida, Massachusetts, Nevada, and Pennsylvania.

Massachusetts’ Curaleaf also on Monday said it had completed its acquisition of Los Sueños Farms, which at 66 acres is the largest outdoor grow in Colorado. In a statement, Boris Jordan, executive chairman of Curaleaf, said the “deal provides Curaleaf with a high-quality, efficient, and low-cost supply of biomass to support our wholesale and retail customers in Colorado.”

“And, once interstate commerce is allowed, on a regional scale. Overall, our newly expanded cultivation capacity will allow us to better serve Colorado’s $2.2 billion annual cannabis market opportunity.”—Jordan in a statement

The $67 million deal includes land, equipment, a 1,800 plant indoor grow, and two retail cannabis dispensaries.

The $62.5 million deal announced also on Monday by California-based The Parent Company (TPCO Holding Corp) is for 100% equity of the retail dispensary and delivery operator Coastal Holding Company, LLC, for $16.2 million in cash with considerations of up to $40 million in equity of The Parent Company upon the completion of milestone events, the company said in a press release. The deal also includes a $9 million option to acquire the remaining equity of a dispensary that Coastal currently holds a minority interest in.

Once finalized, the acquisition will increase The Parent Company’s current California retail store and delivery depot footprints to 11 and six, respectively. The company said it will position it with the second-largest operating retail dispensary and delivery hub in the Golden State with an expanded reach to more than 80% of the state’s population.

The deal still requires approval from state regulators and the NEO Exchange which is expected next year.

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Boundless Technology Teams Up with Keep A Breast Foundation

10/05/2021

In honor of Breast Cancer Awareness Month, Boundless Technology is releasing two limited-edition Terp Pen wax vapes and donating $5 from every unit sold directly to the Keep A Breast Foundation. This is the second annual release of the KAB X Terp Pen collaboration, with over $10,000 donated last year. The KAB Foundation, established in 2000, has a mission to reduce breast cancer risk and its impact globally through art, education, prevention, and action. The Keep A Breast Foundation Terp Pen is available in pink or navy blue for $34.99 on https://bndlstech.com/.

“We choose to support the Keep A Breast Foundation because their mission to reducing the risk of breast cancer is an important cause, especially to everyone here at Boundless,” said Mathias Nastos, Direct of Marketing. “And the Foundation’s vision to empower the younger generation through education closely aligns with our own core values. We will continue to support them in their tireless efforts as best we can.”

The fight against breast cancer is something the Boundless team cares deeply about and they consider the cannabis industry a growing platform to drive awareness. With many patients still learning about cannabis for the potential benefits, Boundless hopes their work with the Keep A Breast Foundation will offer more mainstream information. There is ongoing research needed toward finding a cure and the money raised from this partnership will help fund scientific advancements. As this limited release grows in popularity each year, it has a wider reach to provide a greater impact.

Considered the flagship product at Boundless Technology, the Terp Pen is a leading electronic nectar collector or honey straw. It’s a compact dab pen with a stainless-steel coil wrapped around ceramic that heats instantly for use with concentrates. A 300 mAh (3.7V) battery powers the Terp Pen for up to 50 10-second inhales per charge. Take direct dabs into a concentrate container or preload the coil for discreet wax hits on the go. And the stainless-steel body remains durable even after extended use.

Keep A Breast Foundation Terp Pen Features:

Limited Edition Color Options
Keep A Breast Heart Logo Design
Compatible with Concentrates
Instant Heat-Up
Buttonless Functionality
100% Medical Grade Stainless Steel

Different from many concentrate pens, the Terp Pen features a unique exposed ceramic coil that can be used as a nectar collector for dabbing directly into concentrates. It also uses buttonless technology, relying on your breath to power the heating coil. The long battery life allows for many frequent sips of vapor between charges. A magnetic cap keeps the exposed coil protected when not in use and can be used to hold concentrates. Take the Terp Pen on the go or dab in the comfort of your own home.

About Boundless Technology

Boundless Technology is a leader in the vaporizing industry, continually seeking ways to expand beyond what’s currently available on the market, and striving to create innovative technology that keeps portability, subtlety, and effectiveness at the forefront. Offering an affordable, efficient, and elevated experience is the focal point when it comes to Boundless.

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Minnesota Hemp Law Only Applies to ‘Leafy Plant Material’

10/05/2021

The Minnesota Court of Appeals last month issued a decision to uphold a drug conviction of an individual arrested for vape cartridges containing less than .3% THC. The court ruled that “as a matter of law … the 0.3[%] threshold does not apply to a liquid mixture containing [THC].”

The ruling comes despite Minnesota lawmakers changing the definition of “marijuana” in the state’s Schedule I definition of the substance. The new definition included hemp only in the form of plant material, not in the form of a liquid, the report says.

“In light of the statutory amendments, we conclude as a matter of law that the 0.3[%] threshold in the amended statute applies to cannabis in the form of leafy plant material. We further conclude that the state’s evidence is insufficient to prove that the leafy plant material possessed by Loveless contains delta-9 [THC] in a concentration greater then 0.3[%]. But we conclude as a matter of law that the 0.3[%] threshold does not [sic] apply to a liquid mixture containing [THC], and we further conclude that the state’s evidence is sufficient to prove Loveless possessed a liquid mixture that contains [THC].” — Minnesota vs Loveless, Sept. 13, 2021

The ruling could have an impact on the hemp products currently sold throughout the state, including flower extracts and those derived from other cannabinoids like CBD and CBN that contain THC in amounts below the 0.3% threshold.

In a September 22 statement, Elliot Ginsburg, an attorney for the Minnesota Cannabis Association, said if the Court of Appeals ruling is upheld, “it has the possibility of destroying the industry as we know it.”

“It would allow the sale and possession of hemp flower only,” he said, “and would criminalize the sale and possession of extracts.”

Steven Brown, a board member of the trade group, said that criminalization “wasn’t the intent of the 2018 Farm Bill.”

“This could destroy many businesses in Minnesota,” Brown said in a statement. “Not just THC businesses but tobacco shops and even grocery stores. According to the way this trial went, all of them are doing something completely illegal, but it shouldn’t be.”

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Kansas Advocates Form Cannabis Chamber of Commerce

10/05/2021

Cannabis industry advocates have formed the Kansas Cannabis Chamber of Commerce despite broad medical cannabis reforms failing in the state Legislature earlier this year, the Kansas Reflector reports. Kansas is bordered by Colorado, which has legalized cannabis for adults, and Oklahoma and Missouri, which have legalized medical cannabis access.

Kansas Gov. Laura Kelly (R) in May signed a bill legalizing cannabis-derived oils with less than 5% THC for a limited number of patients. A more comprehensive medical cannabis bill was approved last session by the House but was not taken up by the Senate.

Heather Steppy, president of the new chamber of commerce and co-owner of the CBD business KC Hemp Co., noted in an interview with the Reflector Podcast that the cannabis industry “comes with a lot of nuances” and that the organization would advocate for industry reforms.

“We’re not inventing the wheel. We’re just trying to, you know, grease it up and get it working for Kansas. … I mean, banking is a problem. Marketing is a problem. Choosing the name is a problem. So, we really just want to be able to provide guidance and consultation to those who want to get into this industry and really help lay the groundwork for when medical cannabis does become a thing in Kansas.”—Steppy via the Reformer Podcast

According to an October 2020 Kansas Speaks poll cited by Marijuana Moment, 66.9% of Kansans support legalizing medical cannabis, with 22.2% opposed, and 10.9% undecided.

The bill approved by the House would cover patients suffering from Alzheimer’s disease, cancer, epilepsy, glaucoma, multiple sclerosis, Parkinson’s disease, traumatic brain injury, and other debilitating conditions. It would also allow cultivation and sales by private businesses and allow universities to conduct cannabis research. Under the law, patients would be allowed to neither smoke nor vape cannabis nor grow their own.

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Oklahoma Cannabis Agency Announces Major Changes

10/05/2021

The director of the Oklahoma Medical Marijuana Authority (OMMA) said the agency is going through a “hard reset,” News On 6 reports.

Adria Berry, the agency’s fourth director in three years, told News On 6 that compliance checks and public safety will be the priority going forward.

“We can’t change where we came from, but we can definitely change where we’re going. So, from this point on, it is a hard reset.” — Berry, via News On 6

Less than 40% of Oklahoma’s 8,857 growers and 2,415 processors have been inspected since Oklahoma passed Question 788 in 2018.

“We absolutely do not have enough compliance inspectors on staff to keep up with the growth of the license numbers we’ve seen,” Berry said. “We’ve had a 25% increase in industry license applications in the last year.”

The agency is looking to hire an additional 40 inspectors to add to the roughly two dozen currently on staff. Additionally, agricultural groups are proposing increased licensing fees to slow down medical cannabis growth in rural Oklahoma. However, OMMA Deputy Director Barrett Brown indicated that officials do not necessarily want to make it harder for cannabis start-ups.

“We are a very business-friendly state, always have been, and will continue to be,” he said. “What we do want to ensure is that those businesses who do start are doing it the right way and are following the right regulations, and that’s what we’re staffing up to ensure.”

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Justin Bieber Reveals ‘Peaches’ Cannabis Pre-Rolls

10/04/2021

Canadian singer and former teen idol Justin Bieber has partnered with Los Angeles-based cannabis company Palms to release “Peaches,” a product line of cannabis pre-rolls named after a song on his latest album, according to a Forbes report.

Palms, or Tres Palmas Inc, specializes in cannabis pre-rolls with its flagship product line currently available in the California and Nevada marketplaces.

The Peaches pre-rolls are available starting today in three adult-use markets — California, Nevada, and Massachusetts — as well as Florida. The packages cost between $50 and $60 per pack and contain seven half-gram joints featuring fruity and citrus flavors (note: Florida-based Peaches products will only contain five pre-rolls as per the state’s restrictive medical cannabis rules).

While the financial details behind Palms’ and Bieber’s partnership were not disclosed, a portion of Peaches profits will reportedly be donated to cannabis support groups including Veterans Walk and Talk and the Last Prisoner Project.

“I’m a fan of Palms and what they are doing by making cannabis approachable and helping to destigmatize it — especially for the many people who find it helpful for their mental health. I wanted to make sure that I was doing something with them that felt genuine and Peaches felt like a good place to start.” — Bieber, in a statement

Bieber has previously been candid about using cannabis to manage his own mental health.

Tres Palmas Inc. co-founder Noah Annes told Forbes that Bieber’s “vulnerability and openness about his mental health struggles” had impressed the company. “With Justin’s help shining the spotlight on these important topics, we hope to inspire others to talk more freely about both mental health and cannabis consumption,” he said in the report.

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Clint Eastwood Wins $6.1M in CBD Lawsuit

10/04/2021

Actor Clint Eastwood and Garrapata, the company that owns the right to his likeness, on Friday won about $6.1 million in a lawsuit against a Lithuanian company that had used Eastwood’s image and likeness to promote its CBD products without permission, the New York Times reports.

The lawsuit was one of 20 filed last year by the actor and Garrapata last year. The companies had used Eastwood’s likeness, false quotes, and manipulated metatags to make it appear the actor had endorsed the products when he had not.

U.S. District Court Judge R. Gary Klausner entered a default judgment against Mediatonas UAB, which had published a completely made-up article that included an interview with Eastwood with an outlet meant to resemble the “Today” show, which included a photo of Eastwood from an actual appearance on the morning show, along with links to purchase the CBD products. The firm failed to respond to a summons in March, leading to the $6 million judgment for unauthorized use of Eastwood’s name and likeness and about $95,000 in attorney fees. The judgment includes a permanent injunction that prohibits future use of his name and likeness, the report says.

Klausner, however, declined to rule in favor of Eastwood’s defamation claims, determining that the language used in the ad “was not libelous on its face.”

“It requires additional context to understand what CBD products are and why a person like Clint Eastwood would not endorse a marijuana-based product.”—Klausner in the ruling via the Times

Jordan Susman, a lawyer for Eastwood, said that in bringing the case and obtaining the judgment, the actor “demonstrated a willingness to confront wrongdoing and hold accountable those who try to illegally profit off his name, likeness, and goodwill.”

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MedMen Co-Founders Suing New Cannabis Company Partners

10/04/2021

The co-founders of MedMen Enterprises, Adam Bierman and Andrew Modlin, are suing the co-owners of Coastal Holding Company claiming the retail dispensary chain conspired to dump the company in a “liquidation sale,” News Primer reports. Bierman and Modlin were ousted from MedMen in June 2020, they joined Coastal as investors and part owners about 13 months ago through their LMAJ firm, the report says.

In the lawsuit, which was first reported by Law360, Bierman and Modlin claim they have the right to approve the $56.2 million sale, while co-owners of Coastal say the former MedMen executives arranged the sale and Bierman “has repeatedly expressed concern that Coastal will not survive without an immediate capital injection.”

The duo maintains partial ownership in the company, which owns eight industry licenses in California, after a $3.7 million investment. In the court filing, the five defendants claim that Coastal’s proposed sale and a disputed $1 million bridge loan were necessary to keep the business afloat and pay an Internal Revenue Service debt of $640,000.

“The defendants have abused their power and treat Coastal as their possession to do as they please without regard to Coastal’s operating agreement or their fiduciary duties to the other Coastal shareholders.” — Court documents via News Primer

The sale was unanimously approved by the Coastal board but the defendants claim that Bierman fielded a “backup offer” that he preferred over the $56.2 million deal, which the Coastal co-founders described as “far inferior to the current offer and not in the interest of the company.”

“Since defendants (and therefore Coastal) rejected Mr. Bierman’s ‘offer of support,’ plaintiff has taken every practice and maneuver he can think of to prevent the current offer from reaching a successful conclusion,” the co-founders said in their defense.

Bierman and Modlin are seeking a temporary restraining order and preliminary injunction to stop both the Coastal sale and the proposed $1 million bridge loan.

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