Wyoming Gov. Signs Bill to Ban Delta-8 THC

3/18/2024

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Wyoming Gov. Mark Gordon (R) has signed into law the state’s ban on delta-8 THC products, putting the state’s burgeoning hemp-derived cannabinoid industry into jeopardy, MJBizDaily reports.

According to Senate File 32, which lawmakers crafted to restrict the sale of intoxicating cannabinoids:

No person or licensee shall:
– Produce, process or sell hemp or hemp products containing more than three‑tenths of one percent (0.3%) THC on a dry weight basis when using post‑decarboxylation or another similarly reliable testing method;
– Add, alter, insert or otherwise include any synthetic substance into hemp or hemp products produced, processed or sold in accordance with this chapter.

Under the new rules, which take effect on July 1, officials will conduct chemical analysis inspections of hemp product retailers’ offerings to ensure they are legal.

Wyoming hemp retailers say the changes will put many companies out of business. Some are even worried that the law could jeopardize the sale of some CBD products in the state, which are non-intoxicating and utilized by millions for therapeutic purposes.

The market for hemp-derived delta-8 THC products has ballooned under the 2018 Farm Bill, which legalized industrial hemp and its byproducts nationwide. Delta-8 products are typically made by converting hemp-derived CBD and other cannabinoids into delta-8 THC.

Wyoming’s ban comes just days after the Arizona attorney general ruled that delta-8 sales are illegal, the report said.

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Kamala Harris Calls Current Federal Cannabis Policy ‘Absurd’

3/17/2024

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Vice President Kamala Harris (D) said on Friday that it’s “absurd” and “patently unfair” to rank cannabis above fentanyl and alongside heroin at Schedule I under the Controlled Substances Act (CSA), according to a CNN report.

The vice president made the statement during a roundtable discussion covering the Biden Administration’s latest cannabis reform efforts. Moderated by musician and philanthropist Fat Joe, the discussion included Kentucky Gov. Andy Beshear (D) — who last year announced the pardoning of low-level cannabis possession charges — and a group of individuals who have received cannabis pardons.

“Marijuana is considered as dangerous as heroin and more dangerous than fentanyl, which is absurd, not to mention patently unfair. I’m sure DEA is working as quickly as possible and will continue to do so and we look forward to the product of their work.” — Harris, during the roundtable discussion

Harris, who started in politics as a prosecutor in California, also said that the criminal justice system has “failed” on its promise of “equal justice under the law.”

“And I say that with full knowledge of how this system has worked, including my experience as a prosecutor,” she said in the report.

The Department of Health and Human Services (HHS) last year recommended the federal government move cannabis from Schedule I to Schedule III. The federal Drug Enforcement Administration (DEA) has since claimed to have the final say on any scheduling action, and some insiders have reported pushback against the rescheduling plan from the federal enforcement agency.

In the meantime, President Joe Biden (D) has pardoned federal cannabis possession charges but those are just a drop in the bucket of overall cannabis convictions in the U.S. The president, however, did call on state governors to issue sweeping cannabis pardons.

Massachusetts Gov. Maura Healey (D) said last week she would pardon all of the state’s misdemeanor cannabis possession convictions.

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Hawaii House Lawmakers Advance Cannabis Sales Bill

3/15/2024

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Hawaii House lawmakers in two key committees this week voted to advance the Senate-passed cannabis legalization bill, Marijuana Moment reports.

The proposal passed the Judiciary and Hawaiian Affairs Committee 7-3 and the Agriculture and Food Systems Committee 5-1. The bill seeks to legalize adult-use cannabis possession starting January 1, 2026, and would regulate the cultivation, manufacturing, and distribution of cannabis products.

The House amendments so far include reducing the penalty for selling cannabis to a minor from a felony to a misdemeanor, loosening the “open container” language for possessing cannabis products in vehicles, and other changes addressing some of the concerns expressed about the proposal, the report said.

According to comments offered by the ACLU of Hawaii, the legalization proposal “includes provisions that will likely increase criminal convictions and incarceration for conduct that does not jeopardize public safety.” The advocates also noted that the draft “falls short” in terms of social equity and reparative justice.

Sponsored by Rep. David Tarnas (D) in the House, the bill closely resembles a legalization proposal put forward last year by state Attorney General Anne Lopez (D).

“I am really trying to follow the lead of the attorney general to come up with a balanced, reasonable and moderate bill that protects public safety and public health, and basically sets up a regulatory framework so that we can have an adult-use cannabis industry that will function well and is fair and reasonable.” — Tarnas (D), via Marijuana Moment

Senate lawmakers already voted 19-6 in favor of the proposal.

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Connecticut House Committee Approves Bill to Allow Broader Cannabis Industry Enforcement

3/15/2024

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The Connecticut General Law Committee on Tuesday approved a bill that would allow the state attorney general and local law enforcement to penalize and close shops that illegally sell THC products, CT Insider reports. The measure would also require mold and yeast exposure in cannabis products and limit the sale of THC-infused beverages to package stores, which sell beer and liquor in the state.  

Rep. Mike D’Agostino (D) told CT Insider that the bill’s THC restrictions will likely change before it’s brought up for debate on the House floor.

“Right now the bill says up to two-and-a-half percent THC per container. Only sold at liquor stores, not sold at restaurants, not sold at convenience stores, not sold anywhere else.” — D’Agostino, during the committee session, via CT Insider 

The measure would also allow licensed cultivators to step down to smaller micro-cultivation projects and partner with existing hemp farmers, in an effort to address the flower undersupply issue that has emerged in the 15-month-old program.

State Sen. Christine Cohen (D) told CT Insider that hemp farmers have struggled in the state, particularly since the broad legalization of cannabis. Under the measure, hemp products that contain very low amounts of THC would also be subjected to new age restrictions and testing requirements. Last session, a bill to allow hemp farmers to join the adult-use market failed in the Legislature.  

The bill moves next to the House floor. 

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Cleveland School of Cannabis First Cannabis College in the Country to Receive Accreditation

3/15/2024

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The Cleveland School of Cannabis has been recognized by the U.S. Department of Education, becoming the first cannabis-focused school in the U.S. to receive accreditation from the Middle States Association-Commissions on Elementary and Secondary Schools (MSA-CESS).  

The decision was made in December but the college made the official announcement last week. 

In a press release, the college said it has already graduated more than 1,100 students. 

“This formal recognition could pave the way for further advancements in cannabis research, education, and professional development, bridging the gap between the burgeoning cannabis market and academic legitimacy.” — Cleveland School of Cannabis in a press release 

The college notes that the accreditation comes amidst an expansion, having recently moved into a new building with a hands-on cultivation laboratory, processing lab, kitchen, mock dispensary, and virtual reality lab. The VR lab is meant to bring all of the college’s experiences to its online student population through VR and gaming engines, the college said.  

A spokesperson for the U.S. Department of Education told The Repository that the agency recognizes accrediting agencies as part of the criteria for financial aid, it does not mean the college is eligible to participate in such programs and “is not approved by the Department to participate in Title IV or other programs under the Higher Education Act.” 

Cleveland School of Cannabis President Tyrone Russell said he hopes the accreditation will lead to financial aid availability for students in the future.      

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Biden Budget Includes Rider Blocking D.C. Cannabis Sales, Again

3/14/2024

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The Biden Administration has again included a rider in the president’s budget released this week that will prevent Washington D.C. from dedicating funds toward implementing its voter-approved adult-use cannabis marketplace.

The rider was first proposed by U.S. Rep. Andy Harris (R-MD) in 2014 following the District’s overwhelming approval of Initiative 71, which legalized cannabis possession and cultivation for adults. The proposal also calls for local officials to license and regulate an adult-use cannabis industry — but Congress, which has the final say on the Washington D.C. budget, agreed to the rider blocking the initiative’s sales provision and has continued to do so throughout the nearly ten years since voters passed the local cannabis legalization policy.

Democratic lawmakers have previously sought to remove the rider the but provision has always returned following bipartisan and bicameral discussion.

D.C. officials have stated they would move swiftly to enact a regulated cannabis marketplace if allowed. In the meantime, the city’s unregulated cannabis market has thrived.

In aiming to increase access to regulated cannabis products, officials recently adjusted the local medical cannabis regulations so that any D.C. resident aged 21+ can self-certify for the program and immediately shop at licensed retailers.

Adults in Washington D.C. are allowed to possess up to two ounces of cannabis flower and can grow up to six cannabis plants in their private residences.

A recent Gallup poll found that 70% of Americans support legalizing cannabis.

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Oregon Lawmakers Pass Bill to Cap Cannabis Licenses

3/14/2024

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The Oregon Legislature last week passed a bill to cap the number of cannabis licenses in the state – an attempt to mitigate oversaturation in the state’s industry. According to the staff member summary, the bill would cap production and retail licenses at one each per 7,500 residents 21-and-older, and at 12,500 per resident 21-and-older for processor and wholesale licenses.    

The legislation comes as Oregon’s legal cannabis market experienced a decline last year to $955 million in sales. The market had peaked in 2021 with $1.2 billion in sales. Retail cannabis prices in 2023 fell to $4 per gram.   

The measure would also allow inter-agency cooperation for inspections and enforcement of industrial hemp operations, including allowing for National Guard assistance to support the Oregon Department of Agriculture (ODA) and law enforcement in inspections and enforcement of industrial hemp laws.  

Additionally, the bill directs the Oregon Liquor and Cannabis Commission OLCC, in consultation with ODA, to create a map of locations of premises licensed to produce cannabis or industrial hemp and Allows law enforcement agencies to accompany the department to industrial hemp operations throughout the state. It also directs the commission to establish a registration system for industrial hemp products that contain cannabinoids and are intended for human or animal consumption or use and establishes a civil penalty up to $10,000 for each registration violation. 

The bill also directs the OLCC to establish uniform standards for minor decoy operations to investigate the sale of cannabis products to individuals under 21.  

If signed into law by Gov. Tina Kotek (D), most of the measure’s provisions take effect January 1, 2025, while the registration system to industrial hemp would take effect January 1, 2026.  

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Massachusetts Gov. Issues Sweeping Cannabis Possession Pardons

3/14/2024

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Massachusetts Gov. Maura Healey (D) announced Wednesday she is moving to pardon all misdemeanor cannabis possession convictions issued by the state; the pardon action first requires approval from the Governor’s Council, then will take immediate effect.

The pardons will cover all Massachusetts misdemeanor cannabis convictions before March 13, 2024.

Most people will not need to take any action for the pardons to take effect, the governor said.

“Massachusetts decriminalized possession for personal use back in 2008, legalized it in 2016, yet thousands of people are still living with a conviction on their records – a conviction that may be a barrier to jobs, getting housing, even getting an education.” — Healey, via the Associated Press

“Nobody should face barriers to getting a job, housing or an education because of an old misdemeanor marijuana conviction that they would not be charged for today,” Healey said in a press release. “We’re taking this nation-leading action as part of our commitment to using the clemency process to advance fairness and equity in our criminal justice system.”

President Biden (D) in 2022 pardoned all low-level federal cannabis possession convictions; notably, Biden’s presidential pardons did not lead to the release of anyone serving prison time for a cannabis conviction. The president also called on governors to take similar action at the state level, and he awarded additional pardons late last year.

“We’re grateful for President Biden’s leadership on this at the federal level and proud to answer his call to take action in the states,” Gov. Healey said.

Healey’s pardoning action is supported by Attorney General Andrea Joy Campbell, House Speaker Ronald J. Mariano (D), and Senate President Karen E. Spilka (D).

The Massachusetts state government hosts an FAQ for additional details.

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Minnesota Sets New Hemp Flower Regulations After Samples Test Over Limit

3/12/2024

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Minnesota cannabis regulators have unveiled new regulations on the sale of hemp flower products, MinnPost reports.

The rules were set on Thursday by the Office of Cannabis Management. The agency’s interim director Charlene Briner described the effort as an an “interagency agreement” that will include contracting a private testing lab.

The new rules come after products purchased from a Twin Cities hemp retailer tested at 29.99% total THC, including 1.1% delta-9 THC, which is more than three times the legal delta-9 THC limit, the report said.

“We are starting to contact retailers as we speak to talk about inspections,” Briner said.

“The Office of Cannabis Management has received complaints of retailers selling cannabis flower under the label of hemp flower. Under an agreement between The Minnesota Department of Health (MDH) and OCM, inspectors from MDH will begin to examine any flower products being sold during their regular inspections to determine whether they are indeed hemp flower or cannabis flower.” — Excerpt from memo sent to hemp retailers

Minnesota legalized adult-use cannabis possession and consumption in August 2023 but the state’s regulated cannabis marketplace has yet to launch. Lawmakers had previously legalized the sale of low-dose cannabis edibles and other products, and the hemp products described in the report were purchased under that limited market.

Officials said last year they expect the state’s regulated adult-use market to launch sometime in 2025 but Briner recently conceded that she wasn’t certain about the timeline.

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Ohio Bill Would Fund Replacing Drug Dogs After Legalization

3/12/2024

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Ohio lawmakers are considering legislation to provide funds for retiring hundreds of K9 officers in the state after voters passed a cannabis legalization initiative last year, the Associated Press reports.

The bill aims to address a common issue faced by states that decriminalize or legalize adult-use cannabis, as police dogs cannot be simply “un-trained” after being taught to detect and alert for a certain odor.

House Bill 396 is primarily sponsored by Reps. Sean P. Brennan (D) and Josh Williams (R) but also counts dozens of other lawmakers in the Ohio House of Representatives as co-sponsors. The bipartisan bill proposes offsetting the costs of replacing and retiring drug-detection K9s by using some of the state’s adult-use cannabis tax revenue; police departments would be able to apply for grants of up to $20,000 per K9 that needs replacing.

“The fact that we’re now going to need 300 canines, like overnight in Ohio, the demand for dogs and for training is going to be at a premium.” — Rep. Brennan, via the Associated Press

The cost of acquiring and training a new drug-detection dog can easily reach up to $20,000, former K9 handler for the North College Hill Police Jay Manning said in a WCPO report. With the state’s new legalization policy, some K9 officers will be able to retire but many will need to either be re-homed or moved to another state where they can continue working, the report said.

Ohio Gov. Mike DeWine (R) recently urged lawmakers to let the state’s medical cannabis dispensaries begin catering to adult-use customers after the voter-approved legalization policy took effect.

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Maryland to Hold Social Equity Lottery for Cannabis Licenses Despite Lawsuits

3/12/2024

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Editor’s note: This article originally appeared in The Outlaw Report, and has been republished with permission.

The Maryland Cannabis Administration (MCA) announced last week that the lottery drawings for social equity cannabis licenses will be held on Thursday, Mar. 14, 2024. This is the first opportunity for new businesses to get adult-use licenses since legalization last summer.

The lottery comes after a two and half month delay. It was supposed to be held at the beginning of the year. This first wave of the lottery aims to create opportunities for those disproportionately impacted by the war on drugs to participate in the state’s expanding cannabis industry.

Up to 179 applicants will be selected from a pool of over 1,500 who meet the social equity requirements. These applications represent various license types, including standard and micro dispensaries, growers and processors.

“We know businesses are excited to join this growing industry and wish all the qualified social equity applicants good luck in the drawings,” said Maryland Cannabis Administration Director Will Tilburg.

The lottery continues despite a lawsuit challenging social equity and another claiming technical difficulties blocked entry. The lottery will be held live on MCA’s website. Additionally, an independent firm will oversee the process.

The program prioritizes minority- and women-owned businesses. Notably, 84% of the qualifying applications identified as such. “This is a significant step towards creating a more inclusive cannabis industry in Maryland,” Tilburg added.

Following the lottery, selected applicants will undergo a verification process to ensure they meet social equity ownership requirements. Winners will be notified about this next step.

For more information on the social equity program and the lottery, visit the Maryland Cannabis Administration website at: https://mmcc.maryland.gov/Pages/home.aspx.

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Oregon State Global Hemp Innovation Centers Nets $10M Grant to Partner with Tribes on Hemp Economic Development

3/12/2024

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Oregon State University’s Global Hemp Innovation Center announced on Monday it received a $10 million grant to work with 13 Native American tribes for hemp economic development. The project is funded by the U.S. Department of Agriculture’s (USDA) National Institute of Food and Agriculture (NIFA) and seeks to develop sustainable supply chains based on the needs identified by an intertribal business consortium in an effort to link regional hemp production, processing, and manufacturing to create hemp products.   

In a statement, Jeffrey Steiner, director of the Global Hemp Innovation Center, said that “there is still significant interest and potential in industrial uses of hemp” despite the production of hemp dropping off significantly throughout the U.S. by 2020. Interest in the industry, and subsequent planting of hemp, had surged following the passage of the 2018 Farm Bill. 

“But it’s critical that investment decisions be based on sound science and business planning to build out and scale up economic development opportunities with hemp, particularly to benefit Tribal nations and other American rural communities.” — Steiner in a press release 

The project goals, according to the outline submitted to the NIFA, are to “provide tribal leaders, financial decision-makers, policymakers, federal agency service providers, regulators, and technology providers with the business and science information needed to evaluate the merits of investing in a hemp-based bioeconomy on reservations and across the region.” 

The outline adds that the project will address multiple supply chain components, including “field-to-harvest-to-processing-to-biobased manufacturing facilities, and identify opportunities to increase system efficiencies towards improved triple-bottom-line performances of materials and products manufactured from industrial hemp.”  

The 13 tribes partnering with Oregon State come from within the geographical boundaries of Oregon, Washington, Idaho, Nevada, Montana, and California, along with the University of California Davis, University of Nevada, Reno, and Washington State University; Stone Child College; College of the Redwoods, which are U.S. land grant universities. The partnership also includes the USDA Agricultural Research Service, 7 Generations LLC, the Indigenous Habitat Institute, the Intertribal Agriculture Council, and hemp and other bio-based product manufactures and businesses. 

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Report: DEA Dubious About Cannabis Rescheduling

3/12/2024

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Some officials with the Drug Enforcement Administration (DEA) are dubious about the U.S. Department of Health and Human Services’ (HHS) recommendation that cannabis be moved from Schedule I to Schedule III under the Controlled Substances Act (CSA), the Wall Street Journal reports.

HHS made its rescheduling recommendation last August following a months-long review of the available cannabis research and ongoing legalization experiments — but, according to the report, some DEA officials have contested the accuracy of the HHS findings. The Journal’s DEA sources for the report were unnamed but said to be “familiar with the matter.”

Moving cannabis from Schedule I to Schedule III would not make the plant federally legal however it would allow state-legal cannabis companies to begin taking tax deductions normally afforded other businesses, which would be a major win for the industry. Schedule III would also significantly expand the research opportunities for cannabis, cannabis products, and cannabinoids in general.

DEA has historically slow-walked anything resembling potential cannabis reforms and was accused in 2022 of delaying the application process for bulk manufacturing cannabinoid-based pharmaceuticals. The agency was also sued in 2020 by cannabis researchers who said officials were purposefully failing to issue cultivation licenses for research-grade cannabis.

Nevertheless, the DEA continues to present itself as independent from the political process, reminding Congress in January that under the CSA, the federal agency has “final authority” on the scheduling of cannabis.

A group of 12 Senate Democrats, meanwhile, recently urged President Joe Biden (D) to leapfrog the DEA and the federal drug schedule entirely by removing cannabis from the CSA, which would legalize cannabis nationwide.

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Roanoke College to Offer Cannabis Studies Major

3/12/2024

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Beginning next semester Roanoke College will offer a cannabis studies major, The College Fix reports. DorothyBelle Poli, the program director at the private Virgnia college, told the College Fox that majors can “go directly into the industry as growing/analysis scientists” or “as business owners with more knowledge” noting that some students would “most likely” double major in business “at this time.” 

Students who complete the program could also consider fields including law, social work, education, accounting, or politics, Poli said.  

Roanoke College first announced the program in January, noting that it would be the first in the state to offer a four-year degree in the cannabis field. In a press release, Kathy Wolfe, vice president for academic affairs and dean of the college, commended “faculty for developing a transdisciplinary academic program that fills a significant educational gap.”    

“With this program, Roanoke College continues to lead in science, policy, business and community engagement.” — Wolfe in a press release  

The core curriculum for the program will include the botany and history of cannabis, in addition to the policy issues surrounding the industry. Students may choose one of the two major bachelor’s degree program tracks: cannabis science and social justice. The science track will focus on botany, biology and chemistry, while the social justice track will cover government policies around cannabis legislation, the history of the plant, and its regulation and prohibition in the U.S. and internationally, and the consequences to different population groups. The college will also offer a minor in cannabis studies.    

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Study: CBD Well Tolerated by Dogs

3/12/2024

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According to a study published this month in the Frontiers in Veterinary Science journal, CBD was well tolerated by healthy dogs at a dose of 5 milligrams per kilogram of body weight. The first-of-its kind study included 16 male and 16 female beagles which were dosed for 90 consecutive days with a 14-day recovery period.   

In a statement, National Animal Supplement Council (NASC) President Bill Bookout said the data demonstrates “that different cannabidiols are safe for long-term use in healthy dogs when given at the dose studied.” 

“With safety studies, no matter how well controlled or meticulously defined, it is impossible to account for everything that can occur when a product is commercialized. That is why this safety study includes not only data from a well-designed study protocol, but also 10 years of post-market surveillance data from the NASC Adverse Event Reporting Database, which is the most advanced monitoring system in the world for these types of products given to companion animals. No other study that we are aware of is as comprehensive and includes both data sets.” — Bookout in a press release 

The canines included in the study were randomized into four groups and treated with either medium chain triglyceride oil as the placebo and control or either broad spectrum CBD, broad spectrum CBD with cannabigerol (CBG), or broad spectrum CBD with cannabidiolic acid (CBDA), at a dose of 5 milligrams total cannabinoids. All animals completed the study which found that CBD, CBD plus CBG, and CBD plus CBDA at the ratios and doses utilized were well tolerated over the duration of the study period when healthy male and female beagles were dosed for 90 consecutive days. 

The researchers noted that in the U.S. pet supplements are “unapproved animal drugs and available to consumers either through State-level regulations or enforcement discretion” by the Food and Drug Administration. According to NASC data, there were 274,129,622 administrations, in dogs, of hemp and hemp derivative products sold in 2022. 

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MedMen Closes All But Two of Its California Locations

3/11/2024

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MedMen, the multistate cannabis operator (MSO) that once held the largest cannabis franchise footprint in the U.S., has shut down all but two of its California-based cannabis shops, MJBizDaily reports. The closures follow a years-long downward trend for the Los Angeles-based company, once considered a multi-billion dollar brand.

MedMen’s last remaining California dispensaries are located in San Diego and near the Los Angeles International Airport. The company has also seen its stock price plummet more than 90% in three years and laid off more than 100 workers since late January, the report said.

MedMen employees from around California confirmed the brand’s widespread closures, including the company’s last San Francisco store in the Cow Hollow neighborhood — that shop, which was its only remaining Bay Area location, had been open for just two years, SFist reported.

Meanwhile, the company announced in December it was selling off its assets in Arizona and Nevada a little over a year after selling its Florida-based assets. The company also attempted to sell its New York assets to fellow MSO Ascend Wellness last year but the deal ultimately fell through due to Ascend’s concerns about MedMen’s allegedly “deteriorating” assets.

The MedMen website is currently unavailable, displaying the message “We’ll Be Back Soon” and specifying that the website is “down for scheduled maintenance.”

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Study: Cannabis Consumers Just as Likely to Exercise as Non-Consumers

3/11/2024

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People who consume cannabis are just as likely to exercise as people who abstain from cannabis use, according to a study published in the April 2024 edition of Preventive Medicine Reports.

The study was written by researchers from the University of Texas and Ohio University who surveyed 2,591 U.S. adults who either consume cannabis or use e-cigarettes. Researchers asked the respondents about their typical exercise routines including frequency and types of activities, finding that “participants’ marijuana and e-cigarette use predicted their walking for exercise.”

“…Marijuana use is not significantly related to engagement in a particular type of physical activity. Though we find some evidence that marijuana users walk for exercise more than even non-users, this result represents a trend more than a significant association.” — Excerpt of the study, via Preventative Medicine Reports

The study authors also said the findings “challenge the stereotype that marijuana and e-cigarette users are less active than non-users, and future research should examine the potential mechanisms of these findings.”

Not only are cannabis consumers just as likely to exercise as non-consumers, but a study published in January also found that cannabis use makes exercise more enjoyable.

Another recent study suggested that regular cannabis users may have more empathy than non-consumers, including increased emotional comprehension and greater brain connectivity in areas related to empathy.

Meanwhile, a report published last year by the cannabis advocacy group NORML found that there have been more than 32,000 studies published over the last decade investigating the effects and potential benefits of cannabis.

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North Carolina’s First Cannabis Dispensary Set to Open 4/20

3/11/2024

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The Eastern Band of Cherokee Indians (EBCI) is set to open the first adult-use cannabis dispensary in North Carolina next month on April 20, the Charlotte Observer reports.

The store will be operated by the tribe’s subsidiary, Qualla Enterprises LLC, and will be located inside a renovated bingo hall. Officials chose April 20 for the store’s launch date because it marks “the biggest revenue date for cannabis,” Lee Griffin, company’s the human resources director, said during a meeting with tribal officials last week.

Griffin also said Qualla Enterprises is ready for a hiring spree that would support the adult-use operation and see a significant jump for the company from its current 69 employees to more than 350, the report said.

The Eastern Band of Cherokee Indians first legalized medical cannabis in 2021 and then last year, citizens living in the the Qualla Boundary — the 57,000-acre region controlled by the tribe — voted resoundingly to legalize cannabis outright.

Not only will the location be the first cannabis dispensary in the state, but it will also be the only adult-use cannabis option in North Carolina until cannabis reforms are enacted statewide. State law still strictly prohibits the use and possession of cannabis, even for medical purposes. Legislation to legalize therapeutic cannabis access was rejected last year by the House of Representatives for the second year in a row, just weeks before the tribe adopted its adult-use legalization policy.

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Florida Passes Ban on Delta-8 and Other Hemp Products

3/08/2024

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Florida lawmakers have passed a bill to ban delta-8 and THC products and establish other restrictions on the state’s hemp industry, sending the bill to Gov. Ron DeSantis (R) for his signature, the Tampa Bay Times reports.

The bill, which unanimously passed the Senate in February, would also ban delta-10 THC and hemp-infused gummies, tinctures, and vaporizer products. Under the proposal, any retail hemp products would have their THC content capped at 5 milligrams per serving or 50 milligrams per package. Product packaging perceived as appealing to children would also be banned under the proposal.

Hemp entrepreneur JJ Coombs said in the report that under the new rules, he would likely need to move his three hemp businesses — which account for 150 full-time positions — out of Florida.

“[The bill] hands over our industry to the black market, to dispensaries and to out-of-state manufacturers that are still shipping into the state of Florida.” — Coombs, via Tampa Bay Times

Florida’s hemp industry currently employs about 100,000 state residents, the report said.

Meanwhile, voters may get the chance to pass a cannabis legalization constitutional amendment this November if the state Supreme Court allows it after the attorney general challenged the ballot question last year. The court is still deciding the case but the governor said he expects the question will be allowed to go to voters.

A recent study found that delta-8 hemp products are far more popular in states that have yet to legalize adult-use cannabis, suggesting that federal cannabis reforms would drastically reduce demand for synthetically produced cannabinoids.

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Hawaii House Passes Bill to Expunge Some Criminal Records Including Low-Level Cannabis Possession

3/08/2024

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Hawaii’s House on Tuesday passed a bill to create a free, state-initiated, process for expunging certain criminal records, including arrests and convictions for promoting a detrimental drug in the third degree, Honolulu Civil Beat reports. The measure could expunge charges for more than 36,000 people arrested in the state for possessing less than 3 grams of cannabis, an offense decriminalized in 2019. 

There are more than 53,000 arrest records under the promoting a detrimental drug statute in the state’s criminal database but only about 10,000 of those arrests resulted in convictions, the report says. Not everyone charged under the law would be eligible for the full expungement due to other offenses.   

The Hawaii Criminal Justice Data Center (HCJDC) already manages a record expungement program by application for non-convictions and individuals convicted of certain first-time drug, property, and alcohol offenses are eligible under the program with a court order, the report says. The HCJDC receives about 1,440 requests for expungement per year and approves about 1,080 with about three-quarters resulting in full expungement; the remaining are partial expungements or rejected.  

The measure, which also includes provisions requiring the HCJDC to submit biannual reports to the Legislature until all records are expunged, moves next to the state Senate. 

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Maryland Multi-State Cannabis Brand Fined $55,000 for Skipping Ownership Approval

3/08/2024

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Editor’s note: this article originally appeared in The Outlaw Report, and has been republished with permission.

Maryland cannabis company Holistic Industries Inc. was fined $55,000 for failing to get approval before transferring ownership interests in its subsidiaries. The Maryland Cannabis Administration (MCA) announced the consent order in February.

Holistic Industries is a multistate operator. According to the company’s website, they have 15 legal stores in five different states including three in Maryland.

As the parent company of several licensed cannabis businesses in Maryland, Holistic Industries reportedly transferred ownership interests between July 2020 and July 2023 without notifying the MMCC (Maryland Medical Cannabis Commission) beforehand. These subsidiaries held licenses for processing, growing and dispensing medical cannabis.

According to Maryland regulations, since May 2020, all privately held cannabis businesses must seek and receive MMCC approval before transferring any ownership stake, regardless of size. However, Holistic Industries claims they acted on legal advice that such regulations didn’t apply in their case.

The consent order details the violations of specific Maryland regulations (COMAR) regarding ownership transfer procedures. The company must now:

  • Pay the $55,000 fine.
  • Ensure all future ownership transfers are approved beforehand.
  • Submit a Standard Operating Procedure (SOP) outlining ownership transfer procedures within 15 days.
  • Request retroactive approval for the past transfers within 45 days, or seek an extension if necessary.

Failure to comply with the order could lead to further actions, including suspension of the company’s cannabis licenses.

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Virginia Lawmakers Approve Bill Allowing Sentence Modification for Cannabis-Related Felonies

3/08/2024

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The Virgnia House of Delegates on Monday passed a measure that would allow individuals convicted of felony cannabis-related offenses to have their sentences modified, WRIC reports. The measure had previously passed the Senate, by a narrow 20-19 vote, and moves next to Republican Gov. Glenn Youngkin. 

According to Department of Corrections data, about 378 prisoners and approximately 1,229 people on parole or probation were serving time due to cannabis-related offenses as of Dec. 31, 2023. According to the bill’s financial impact statement, about 397 individuals in state custody would be eligible for sentence modification if the bill is signed into law.  

State Sen. Williams Graves (D), the bill sponsor, told the House subcommittee said as the state moves toward enacting adult cannabis use reforms “it is only right that we make right the charges for individuals, or those who are serving time or community service for these charges.” 

Under the proposal, individuals convicted only for cannabis-related offenses could have their sentences ended entirely, subject to the decision made at their hearings. Those with cannabis-related offenses convicted of another crime or crimes simultaneously could see their sentences reduced for some or all convictions, depending on the nature of the crimes; however, those who committed violent offenses will not be eligible for sentence reductions. 

Under the law, hearings for solely cannabis-related offenders would need to be scheduled by the locality’s circuit court by Jan. 1, 2025. For those with additional offenses, the hearings would have to be scheduled by April 1, 2025. These hearings will be scheduled automatically. 

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Study: Beer Sales in Canada Fell 2.8% After Cannabis Legalization

3/07/2024

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Beer sales in Canada fell by 96 hectoliters per 100,000 population immediately after adult-use cannabis legalization and by 4 hectoliters per 100,000 population each month thereafter, resulting in an average monthly reduction of 136 hectoliters per 100,000 population post cannabis legalization in the nation, according to a study published last month in the journal Drug and Alcohol Dependence. All provinces except the Atlantic provinces experienced a decline in beer sales. 

Using data on beer sales between January 2012 and February 2020 and spirits sales between January 2016 and February 2020, the researchers found no change in spirits sales or sales of bottled beer but found reductions in the sales of canned and kegged beer. Canada legalized cannabis for adult use nationwide in October 2018. 

“Although the magnitude of decline in beer sales appears to be modest, it is economically meaningful. Compared with the total beer sales in September 2018 (before the legalization) of 4,842 hectoliters per 100,000 population, the average monthly decline of 136 hectoliters per 100,000 population by February 2020. represents a 2.8% decline in sales.” — Association Between Non-Medical Cannabis Legalization and Alcohol Sales: Quasi-Experimental Evidence from Canada, Drug and Alcohol Dependence, 2/27/24 

The researchers, from the University of Manitoba College of Pharmacy, Memorial University of Newfoundland School of Pharmacy, and University of Toronto Leslie Dan Faculty of Pharmacy, concluded that the study suggests the consumers “may be substituting non-medical cannabis for beer.” 

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Maryland Cannabis Lottery Faces Potential New Delay as Social Equity Applicant Sues MCA

3/07/2024

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Editor’s note: this article was contributed by LJ Dawson of The Outlaw Report, and has been republished with permission.

A new lawsuit filed against The Maryland Cannabis Administration threatens to delay the lottery after another separate lawsuit failed to get an injunction in February.

A previous lawsuit filed by Jeffery Jensen, a lawyer with a history of bringing social equity lawsuits against states, failed to get an injunction last month. Andrew Garrison, chief of the office of policy and government affairs at MCA, testified that the “[a]dministration anticipates that the cannabis license lottery will occur during or near the first week of March 2024.”

However, the lottery has not been launched this week, nor have qualified applicants entered in the lottery heard an update from MCA as of Mar. 5, 2024. MCA did not respond to request for comment about this new lawsuit.

A total of 1,708 applications were received by MCA’s deadline in December. 264 of those applications were for adult-use dispensaries.

Unlike the Jensen’s lawsuit which hinged on alleged unconstitutional denial of social equity status, this new lawsuit in Anne Arundel County accuses MCA of denying entry to a qualified social equity applicant due to computer system errors.

According to court documents filed mid-February, Kalil Traore, a 65% owner of KG Wellness #4 LLC, was not verified as a social equity candidate until 19 minutes before the application deadline on Dec. 12, 2023.

In lawsuit documents obtained by The Outlaw Report, her lawyers allege that the company contracted to complete social equity verifications refused to communicate with her via provided emails while Traore was traveling in Africa, significantly delaying her verification.

KG Wellness #4 is one of eight businesses under that name registered in early December. According to lawsuit documents, Traore and her investor, Shivana Persuad, seek to open a dispensary in Talbot County.

When Traore tried to upload the application to the MCA portal after verification, the deadline closed the portal before her application was uploaded. When MCA was contacted, Traore’s lawyers said that she was told that her application would not be accepted despite delays in verification and portal issues.

“Though MCA refused to extend the deadline, it has unilaterally extended the time for which it will be reviewing applications and holding the Lottery, originally set for on or before January 1, 2024,” the lawsuit alleges.

“We assert that pursuant to the Uniform Electronic Transaction Act, the application was legally received before the deadline and the application should be treated as such,” Stuart Cherry, her lawyer said in an email.

MCA has not responded to the lawsuit or the request for an injunction preventing the lottery from taking place. When MCA and the attorney general’s office were asked for comment, OAG’s press office responded in an email that they had no comment.

Traore and her lawyers seek for MCA to include Traore’s business in the upcoming lottery or a legal pause to the Talbot County lottery while the lawsuit is decided. Maryland’s lottery has now been delayed over two months while medical dispensaries who transitioned to adult-use in July 2023 continue to sell cannabis recreationally.

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