Medical Cannabis Shortages Hit Missouri

12/10/2020

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Two months after making its first sale, Missouri’s medical cannabis system is experiencing shortages but industry experts are optimistic patients will have a wide range of medical cannabis products available soon. According to St. Louis Public Radio, Missouri has already approved 70,000 patient and caregiver licenses. At the moment, there are only dispensaries in the St. Louis metro area, Ellisville, St. Peters, Manchester, and Washington.

Jack Cardetti of the Missouri Medical Cannabis Trade Association said that eventually there would be 192 dispensaries around the state.

“To put that into perspective, over in Metro East Illinois, there are only [three] dispensaries over there. The St. Louis area — the St. Louis region in general, on the Missouri side — is going to have two to three dozen dispensaries, so patients aren’t going to have to go halfway across the state to get their medicine.” — Cardetti, during an SLPR interview

Cardetti said Missouri has implemented its medical cannabis system relatively fast, only second to Oklahoma. “Just last week, the first infused product manufacturer got approved to start operating,” he said in the interview. “When someone walks into a dispensary right now, they’re mostly going to have flower to choose from. But in the coming weeks and months, they’ll be able to have the full assortment — edibles, tinctures, vapors and all of those.”

According to Mitch Meyers, CEO of BeLeaf Medical Co., “Part of the challenge is, if you only have a dispensary license, you can open, but you’re waiting for companies like ours or others, to get their cultivation or manufacturing license open, to be able to provide you product.”

“We are very fortunate to have a vertically integrated license,” Meyers said.

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Survey: 70% of Americans Support Expunging Cannabis Crimes

12/09/2020

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A recent YouGov.com survey found that a 70 percent supermajority of Americans supports the expungement of nonviolent cannabis convictions. Only 17 percent of respondents said they opposed cannabis expungements.

The specific question posed was, “Do you support or oppose expunging marijuana-related convictions for non-violent offenders?”

Image credit: YouGov.com

The pollsters also found support for the issue was bipartisan throughout the U.S., with 80 percent of Democrats, 69 percent of Independents, and 57 percent of Republicans saying they either strongly support or somewhat support cannabis conviction expungement.

Image credit: YouGov.com

“Millions of citizens unduly carry the undue burden and stigmatization of a past conviction for behavior that most Americans no longer believe ought to be a crime, and that in a growing number of states is no longer classify as a crime by statute. Our sense of justice and our principles of fairness demand that officials move swiftly to right the past wrongs of cannabis prohibition and criminalization.” — NORML Deputy Director Paul Armentano, in a press release

Earlier this month, the U.S. House of Representatives approved the MORE Act to decriminalize and deschedule cannabis at the federal level. It was the body’s first-ever vote aimed at undoing cannabis prohibition. While historic, the bill, however, is unlikely to even be considered by the GOP-controlled Senate.

Meanwhile, a record number of Americans support legalizing cannabis for adult use, according to the latest Gallup poll.

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Medical Cannabis is Now Maine’s Most Lucrative Crop

12/09/2020

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Medical cannabis sales in Maine surpassed $221.8 million from January through November, making the crop the state’s most lucrative, outpacing potatoes, milk, hay, and wild blueberries, the Portland Press Herald reports. The total also represents a new annual sales record for medical cannabis, with still about three weeks left in 2020.

The figures include sales from Maine’s eight medical cannabis dispensaries and network of nearly 3,000 registered caregivers, who serve about 65,000 certified patients. The total does not include recreational cannabis sales, which began in October and reached $1.4 million in sales during its first month.

Patrick Anderson, CEO of Anderson Economic Group, which issues a monthly national cannabis market benchmark, told the Press Herald that the industry has “been participating in a national experiment” since the start of the pandemic in March.

“What we’ve learned is that no matter what, Americans are going to get their cannabis, alcohol, baking supplies and cars, regardless of the economy.” – Anderson to the Press Herald

Last year, medical cannabis sales in the state reached $109 million. Caregivers comprised 76 percent of the state’s 2019 sales totals, the report says.

Eric Maxim, a caregiver of seven years who opened Cannamax in October 2019, said that operators “didn’t know what to expect” with the pandemic-related lockdown but his business “has continued to grow throughout.”

“We are expanding our hours and hiring two employees,” Maxim told the Press Herald. “We aren’t going to go nuts, but we have seen a lot of people coming in looking for relief. Let’s just say I’m twice as happy as I thought I’d be.”

Maine officials recently approved rules allowing physicians to certify patients for any medical condition and allowing program reciprocity which, considered together, are likely drivers for the sales spike.

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Denver Considering New Cannabis Delivery & Social Equity Rules

12/09/2020

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Denver, Colorado’s Division of Excise and Licenses on Monday announced three cannabis industry bills that would remove the number of dispensary caps, create a social-equity program, and allow cannabis delivery and social-use licenses, the Denver Post reports.

If removing the license caps is approved, it would be the first time new cannabusinesses are permitted in the city since 2016.

Sarah Woodson, executive director of The Color of Cannabis, said all three measures were crafted through a lens of social equity. For the first six years, they’re available, the delivery licenses and new dispensary and cultivation licenses would only be available to social equity applicants, she explained.

In Colorado, social equity applicants are defined as someone who has been arrested or convicted – or has a relative that was arrested or convicted – of a cannabis offense; someone who has experienced asset forfeiture due to a cannabis-related investigation; a person who has lived in an economic opportunity zone for at least 15 years between 1980 and 2010; or someone whose household income falls 50 percent below the state median. Social equity licensees would also receive discounts on permit fees and renewals.

Existing dispensaries that wanted to provide delivery services would have to partner with a third-party for the first three years and then could provide the service in-house. Currently, the cities of Boulder, Superior, and Longmont allow medical cannabis delivery, but not adult-use.

“Exclusivity is extremely important simply because the market’s already saturated, so it gives social equity applicants a real fighting chance to start a business and to be able to possibly scale. … This is about people getting more opportunity, specifically people who have been negatively affected by cannabis prohibition.” Woodson to the Post

The two social-use proposals include a tasting room-style that would allow sales and on-site use and another allowing only consumption, including on tour-buses.

If approved, all of the licenses would start being issued by July 1, 2021.

In 2018, Denver approved social-use licenses, but the proposed regulations would repeal that voter-approved law which never took off because the scheme was only marginally profitable. Only one Denver business – The Coffee Joint – currently holds one of those licenses.

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Wyoming Poll Finds Majority Support for Cannabis Legalization

12/09/2020

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A new survey conducted by the University of Wyoming’s Wyoming Survey and Analysis Center (WYSAC) found 54 percent of state residents support broad cannabis legalization – the first time the polling group has found majority support for the reforms.

In 2014, the WYSAC found just 37 percent supported the reforms. Support rose to 41 percent in 2016 and 49 percent in 2018.

Another 75 percent of those polled said low-level cannabis possession should not lead to jail time, an increase from 66 percent in 2014 and 29 percent in 2018.

Support for medical cannabis legalization in the state was measured at 86 percent in 2018, and the poll released Tuesday found a slight decrease in support to 85 percent. Wyoming is one of just six states that does not have a medical cannabis program.

Brian Harnisch, a senior research scientist at WYSAC, noted that all of Wyoming’s border states – except Idaho – has legalized cannabis either medically or for adult-use.

“As laws regarding the legalization and decriminalization of marijuana change around the U.S., especially in nearby states, it’s not surprising to see attitudes in Wyoming change as well.” – Harnisch in a statement

The WYSAC noted that respondent support for cannabis law reforms “decreases as age increases,” finding 74 percent of 25- to 34-year-olds backed legalization in the state, along with 68 percent of 35- to 44-year-olds, 67 percent of 18- to 24-year-olds, and 51 percent of 55- to 64-year-olds. The survey found 45 percent of 45- to 55-year-olds supported the reforms, with 40 percent of those aged 65 to 74, and just 30 percent of those 75 and older.

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Louisiana Opens 2021 Hemp Application Period

12/09/2020

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Louisiana is opening its hemp application period for 2021, the Associated Press reports. It is the second year of Louisiana accepting hemp cultivation applications.

The state program started in the wake of the 2018 Farm Bill that removed hemp from the list of federally ccontrolled substances. There are currently 160 licensed hemp growers in Louisiana’s highly regulated hemp program. Applicants must take a background check. A felony within the past ten years or a drug-related misdemeanor within the past two years will disqualify an applicant from obtaining a license. Farms are heavily monitored to make sure THC-rich cannabis does not make its way into Louisiana hemp fields.

Louisiana farmers are mainly hoping to cash in on the growing popularity of cannabidiol (CBD) but hemp can be used for many other applications like fuels, clothing, rope, and other household products.

Until 2018, hemp — defined under the Controlled Substances Act as a cannabis plant containing less than 0.3% Delta-9-THC — was rarely cultivated in the United States. The 2018 Farm Bill, however, removed hemp from the CSA, leaving room for a rapidly growing CBD industry with demand rising from coast to coast.

Forbes reports the CBD industry is expected to reach $20 billion by 2024. Experts predict the majority of hemp products will be sold in retail stores rather than dispensaries in the coming years and, as adult-use cannabis laws spread across the country, the hemp/CBD market will continue to grow.

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Creso Pharma Applauds US House’s Marijuana Vote, Plans Eventual Entry to US Market

12/08/2020

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Investors and cannabis stocks the world over have been buoyed by positive regulatory news from the United States, with the House of Representatives passing the Marijuana Opportunity Reinvestment and Expungement (MORE) Act to remove cannabis from the US Controlled Substances Act.

The North American cannabis industry projects widespread benefits from lawmakers’ decision to decriminalise cannabis (note: the bill must pass through the Senate), encouraging investors and corporate America to fully unlock the value of a multi-billion dollar industry, expected to surge to $130 billion by 2024.

Global cannabis grower and CBD product developer Creso Pharma Limited (ASX: CPH; FRA: 1X8) aims to be one of the best-placed ASX-listed companies to capitalise on significant growth opportunities in the US market.

The company has an established global distribution network that will benefit from the ruling, as well as a leading Canadian subsidiary, Mernova Medicinal Inc.

Mernova is a 100% Creso-owned, fully licensed, 24,000 sq. ft cannabis growing facility in Canada, only 1,700 miles from the US border, an ideal location to be able to cater to the Canadian and US market. This growing facility is already in operation and generating revenues, with a number of Purchase Orders signed in recent months, including circa $320,000 from one client alone.

In late October, CPH received and successfully delivered its third purchase order (PO) from the Nova Scotia Liquor Corporation (NSLC). The third PO is for 20 cases of Mernova’s ‘Mimosa’ (15-20% THC, less than 1% CBD) strain which is Mernova’s value brand now launched under the Ritual Green brand.

It also received a second purchase order from Pharma Dynamics for CPH’s cannaQIX® product – sold under the ‘Cannamics’ brand. This followed the successful product launch into the South African market in March 2020.

Eyeing a potential US market

With the US market now on its radar, Mernova can scale up operations to meet potential demand from this market and will benefit directly upon legislation passing – if and when it occurs.

Creso has also recently appointed Canadian cannabis icon Bruce Linton as a Strategic Advisor. Mr Linton was the founder and CEO of Canopy Growth (TSX: WEED | NYSE: CGC), which he built from a tiny start-up into a US$15BN market cap powerhouse at its peak.

Mr Linton’s presence will facilitate Creso’s expansion into the US market. There is already substantial appetite for the group’s Swiss CBD products in the US, the world’s largest recreational and medical cannabis market. Creso is now exploring several initiatives to roll its products out as soon as legislation occurs.

Purchase orders multiply in Europe

In Europe, CPH continues to sell its CBD products in the animal health market via its Swiss operations, with a total of A$975,000 in Purchase Orders confirmed.

Europe has undertaken its own legislative overhaul. On 19 November 2020, the Court of Justice of the European Union (CJEU) ruled that member states must not prohibit the marketing of lawfully produced CBD. The CJEU ruled that CBD is not considered a narcotic, and as a result, CBD can be freely sold in the European Union (EU).

Creso Pharma expects to benefit from this decision, particularly given the company already has commercial agreements in place in the region.

In August, Creso Pharma signed a commercial agreement with DHS Business Portugal to introduce the group’s products into the Portuguese and Spanish markets, effectively expanding the company’s presence in Europe.

Global regulatory developments cause CPH share price surge

Last week’s regulatory shifts in the European Union and United Nations reclassification of cannabis add further significance to current developments. With shares surging from 3c to as much as 22c today, CPH is currently trading at levels not seen since February 2020 when COVID sent global markets tumbling.

Creso co-founder and Director Boaz Wachtel said, “This is a historic ruling that will create significant growth opportunities in our burgeoning industry. It follows similar regulatory shifts in the European Union and from the United Nations that highlight public acceptance for cannabis and CBD-derived products is at an all-time high.

“The company has a robust balance sheet, allowing it to progress near and medium term growth initiatives, as well as an established Canadian subsidiary in Mernova, which can be scaled up to address the US market,” Wachtel said. “Creso is very well positioned to capitalise on opportunities arising from the market in the USA.”

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Canadian Official Says Low-Quality Cannabis Is Driving Illegal Sales

12/08/2020

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Unregulated transactions comprise about 80 percent of cannabis sales in Ontario, Canada, according to a report from the province’s auditor general outlined by CTV. The majority of consumers who still purchase outside of the legal market say unregulated products are of better quality.

“In our discussions with cannabis store managers and AGCO staff, we heard that some people prefer illegal cannabis because it is more potent and the product is fresh.” – Auditor General Bonnie Lysyk, in the report via CTV

Customers have described Ontario Cannabis Store flower as “subpar” and “too dry.”

Lysyk also warned that licensed shops could be tempted to start offering illegally-acquired products due to the quality chasm and lack of industry oversight.

“As more stores open and competition increases among retailers, they will have an incentive to generate greater profit margins by selling illegal products that compromise consumer health,” the report said.

In a press release, the auditor general’s office said the agency “is not properly monitoring the movement of recreational cannabis in retail stores,” pointing out that from September 2019 to July 2020 cannabis shops reported having “84,228 fewer units on hand than recorded in their inventory systems” while reportedly destroying 5,477 units of cannabis products.

Additionally, Lysyk’s office said that the AGCO has followed up on “only two-thirds of complaints about cannabis stores in the past two years.”

The agency notes that it “closely monitors” websites selling cannabis illegally to compare processes and products.

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New Jersey Considers Reducing Psilocybin Possession Penalties

12/08/2020

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New Jersey’s Assembly Judiciary Committee on Monday advanced a bill to lower the penalty for possessing up to one ounce of psilocybin mushrooms from a potential five-year prison sentence to a maximum $1,000 fine and six months in jail, NJ.com reports. The measure drops the classification from a third-degree crime to a disorderly person offense.

Psilocybin decriminalization was included as an amendment to the cannabis legalization bill previously approved by the Senate, but Assembly leaders would not vote on a bill that included psilocybin reforms. Assemblyman James Kennedy (D), the bill’s sponsor, explained the standalone measure is “simpler than what appears on the surface,” describing it as a “downgrading of the charges.”

The Judiciary Committee approved the measure 4-1 with one abstention. Republican Christopher P. DePhillip, the lone ‘no’ vote, said he opposed the measure because he thinks “the bill sends the message to young people…that the recreational use of these substances is really not that big a deal.”

During last month’s General Election, voters in Washington D.C. approved an initiative to decriminalize psychedelic plants and fungi, while Oregon voters decriminalized all drugs and legalized psilocybin therapy. Several California cities have moved to end the criminalization of mushroom possession, along with the city of Ann Arbor, Michigan.

New Jersey Gov. Phil Murphy (D) said on Friday that lawmakers had come to an agreement on the cannabis legalization bills required by the voter-approved ballot question.

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The Aftermath of the War on Drugs

12/08/2020

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The War on Drugs is only a symptom of a much larger system of racism and oppression. The very foundation of this country’s existence is white supremacy. Each battle of this war has its issues and inequities, all contributing to the purposeful targeting, exploitation, and exclusion of black people from the billion-dollar cannabis industry.

In this multi-part series, I will cover some critical historical points of the War on Drugs. At each point, we will acknowledge the past, identify the overarching issues, and correlate those issues to our reality as cannabis consumers, advocates, and entrepreneurs. As 2020 closes, it is still painfully evident that there is work to be done. With social distancing still in full effect, we can connect virtually around these topics to incite meaningful and effective organizing.

Part 1: The Precedence

Lessons from the past

The fight for justice in agriculture for black farmers is one dating back to 1865-at least. Former President Nixon’s Controlled Substances Act in 1970 marked the official beginning of the war on drugs. Before that, however, the civil rights movement was pivotal in America’s history for implementing systemically unjust policy within its core legal framework.

The period following the Civil War, also known as the Reconstruction era, was the Union’s attempt to cope with and compensate for the devastation the Civil War inflicted. Of course, depending on their perspective, the groups involved had very different ideas of how that looked. For the white supremacist South, that meant the preservation of white political power and domination. But for the newly freed slaves and emancipationists, it was full citizenship, male voting rights, and constitutional equality for African Americans.

The Civil Rights Act eventually passed. White supremacist groups feared African Americans would gain political power, wealth, and no longer be “inferior” to white people. Former Confederate states then adopted practices that created financial and educational barriers for black people participating in the voting process — now entering Jim Crow. The “separate but equal” laws set a legal precedent for institutionalized racism through the economic, educational, and social disadvantages of black people.

The correlation to our future

The implementation of bad policy in America’s legal framework has disproportionately affected black people to the point that they are almost four times as likely to be arrested for cannabis possession than a white person. This number has remained unchanged in the last decade despite numerous reforms. We see this issue of lacking representation and political influence still today, with multi-million dollar MSO-backed lobbyists and organizations controlling the narrative of cannabis legalization and criminal reform through media and policy change. As recently as last week, with the passing of the MORE Act, multiple social equity advocacy groups expressed their concern with added language in the bill that excludes people convicted of federal cannabis offenses from licensing and ownership in the industry, among other things. This measure is directly in conflict with the community organizers fighting for equity in the space. I mean, what is equity without ownership?

Social equity activist and Portland, Oregon Cannabis Regulator Dasheeda Dawson tweets, “No MORE freeing the plant without freeing the people. #MOREAct is historic … but effectively regressive for the cannabis equity movement.”

Even if the amendments were an oversight and not a direct slap in the face to the bill’s supporters — not inviting these individuals and organizations to the table should not be an option.

“If the RIGHT people were in the room, these erroneous additions would be noticed and flags raised,” Dawson writes.

The only way to successfully right the wrongs of America’s failed war on drugs is to consider and quantify the harm done to those most affected (i.e., black and brown people). Even further, those directly involved in the industry, whether formally or informally, are the most educated about the plant and the underlying effects of decades of racist policy and criminalization. That means they should be front-row and center as this process unfolds at the local and federal levels.

The call to action

Get involved with your local advocacy organizations. They need your help. I know because I work with them day-to-day to create more opportunities for black ownership in cannabis. People ask me, “How do I get into the cannabis industry?” My answer is: be willing to do the work.

Making the time to engage and educate your representatives is also mission-critical. I always say systems do what they are intended to do — until you destroy them. Subsequently, dismantling the system that perpetuates racism and oppression will take effective organizing and unified action.

Click here to be a part of the upcoming conversations in this series:

12/15/2020: How the War on Drugs Affects Agricultural Business
12/29/2020: How the War on Drugs Affects Hiring & Employment
01/12/2020: How the War on Drugs Kept Black Men out of College
01/26/2020: How the War on Drugs Affects Housing and Healthcare
02/09/2020: How the War on Drugs Affects Ownership in Cannabis

I love to connect with other impactors in the space. So much that I’m developing my own social network just for US. Sign up as a beta tester for LinkUp, a Cannabis Social Networking Community for professional networking and workforce development platform, and be the first to have a peek!

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South Dakota Rules Committee Approves Hemp Regulations

12/08/2020

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The South Dakota Legislature’s Rules Committee on Monday approved hemp regulations proposed by the state departments of Agriculture and Public Safety, according to a KELO report. The regulations have already been approved by the U.S. Department of Agriculture as required under the 2018 Farm Bill which legalized hemp nationwide.

Katie Sieverding, executive director of the South Dakota Industrial Hemp Association, told KELO that some farmers and industry entrepreneurs “would have pressed the ‘go’ button back in March before the ink was dry on HB 1008” – the bill to legalize hemp in the state that was approved by Republican Gov. Kristi Noem earlier this year.

Noem had previously vetoed similar hemp legislation in 2019.

Republican Rep. Jean Hunhoff, who twice voted in favor of the reforms, noted that the rules will take effect in 20 days and businesses “can march forward.”

“You have put your hard work in. I realize that this has been a slower process than you had anticipated, but I believe we do things the right way in South Dakota, and the right way is that goes through a formal hearing process. And I would hope next legislative session we’re going to hear about the great things that are coming with the hemp products of South Dakota.” – Hunhoff during the hearing via KELO

During the Nov. 5 General Election, South Dakota voters approved both medical and adult-use cannabis legalization – the first state to approve both reforms simultaneously. The constitutionality of the adult-use measure is being challenged by Pennington County Sheriff Kevin Thom and South Dakota Highway Patrol Superintendent Rick Miller. The lawsuit is supported by Noem and uses state government funds.

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New Jersey Legislature Reaches Deal on Cannabis Legalization

12/07/2020

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New Jersey Gov. Phil Murphy (D) said on Friday that lawmakers have come to an agreement on the bills to legalize cannabis required by the voter-approved ballot question. In a statement posted on Twitter, Murphy said the legislation “is a critical step in reducing racial disparities and social inequities that have long plagued” the state’s criminal justice system.

“This legislation will accomplish our shared goals of delivering restorative justice and ensuring that the communities most impacted by the War on Drugs see the economic benefits of the adult-use cannabis market. While there is still much work ahead, we are one step closer to building a news, promising industry for our state.” – Murphy in a statement

According to an NBC New York report, the legalization bill caps cultivation licenses at 37 but allows licensed growers to open as many dispensaries as they can get approved by municipalities. The cap will expire after two years.

The measure allows municipalities to impose a 2 percent sales tax, while the state will impose its standard 6.625 percent sales tax. Eventually, cannabis sales will also carry a social equity tax which is not included in this version of the legislation; however, the bill does apply 70 percent of revenues derived from sales to a social equity fund. The remaining will be used for law enforcement training for cannabis-impaired driving and administering the program.

State Sen. Nick Scutari (D) – a longtime champion of drug law reforms in New Jersey – told CBS New York that the measure includes language to lower psilocybin penalties to a misdemeanor charge. He said there would be a separate bill to downgrade possession from a three-to-five-year prison term to up to six months in jail.

“I’m gratified that leaders of both houses and the and the governor have come together on a state-of-the-art piece of legislation in accordance with the wishes of the voters,” Scutari told NBC New York. “I’m also gratified I didn’t waste the last 10 years of my life on this.”

The measure still requires full legislative approval. The possession reforms included in the legalization question take effect on January 1.

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U.S. Marine Corps Employee Sentenced for Cannabis Sales In Japan

12/07/2020

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A former civilian employee for the U.S. Marine Corps was sentenced last week in Japan’s Naha District Court to four years and four months in prison for cannabis sales, Stars and Stripes reports. Charles Yecla, 40, worked for Marine Corps Installations Pacific at the time of his arrest last year along with two other civilian employees and his son.

Chief Justice Hironobu Ono said at the sentencing that Yecla “spread marijuana’s evil influence far and wide,” and that the American “deserves the sentence.” Yecla was also fined the equivalent of $9,600.

According to a Ryukyu Asahi Broadcasting report, prosecutors say Yecla and his son sold cannabis from January to August 2019, earning more than $67,000. After Yecla’s arrest, police also found about a half-pound of cannabis worth about $10,600 and six potted plants, the Okinawa Times reported.

The two other unnamed Americans – a 30-year-old in Yomitan and a 39-year-old in Uruma – were arrested on Aug. 30 and Oct. 23, respectively, after purchasing cannabis from Yecla, police said. Both men were charged with possession.

In all, police have arrested are referred charges for 20 people for their part in the ring, according to Stars and Stripes. Among those arrested was Hironori Tokito, 42, a former Okinawa bar manager who previously served as an assembly member for Umi town in Fukuoka prefecture.

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Nebraska State Sen. Planning Adult-Use Ballot Initiative

12/07/2020

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Nebraska State Sen. Anna Wishart (D) said in a Facebook post that she is working on “ballot language for full adult use legalization,” with plans to introduce it next month. The bid comes after medical cannabis advocates announced in late October that they would launch a ballot initiative to enact the reforms.

The Nebraska Supreme Court rejected the group’s 2020 initiative in September over claims that the initiative covered more than one issue.

Wishart, who co-founded Nebraskans for Sensible Marijuana Laws in 2019, said the legalization proposal is due to the successful reforms in neighboring South Dakota where voters approved both medical and adult-use legalization during last month’s General Election. The South Dakota legalization measure is being challenged over claims that it covers more than one subject, which violates the state constitution for questions.

Nebraska organizers need 250,000 total signatures to put the issue to voters in 2022.

The Nebraskans for Medical Marijuana initiative was whittled down to one sentence – “Persons in the State of Nebraska shall have the right to cannabis in all its forms for medical purposes” – for its next appearance on the ballot. Advocates hope the singular topic will prevent it from being rejected by the state Supreme Court.

State Senator Adam Morfeld (D), co-chair of Nebraskans for Medical Marijuana and co-sponsor of the 2022 initiative, said the medical cannabis proposal “indisputably presents a single subject and makes medical cannabis a constitutional right.”

It’s likely that, once unveiled, the adult-use proposal will follow this precedent with stripped-down language. Wishart indicated that she planned on filing standalone medical cannabis reforms in the legislature in January.

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U.S. House Votes to Legalize Cannabis Federally

12/04/2020

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Lawmakers in the U.S. House of Representatives today passed the Marijuana Opportunities, Reinvestment, and Expungement (MORE) Act in a mostly partisan 228-164 vote. The historic approval marks the first time that an American congressional body has approved legislation aimed at undoing cannabis prohibition, and only the second time that federal lawmakers have considered a piece of stand-alone cannabis legislation.

The MORE Act seeks to decriminalize cannabis by removing it from the list of federally controlled substances and allowing states to set their own cannabis laws and policies moving forward.

The bill also seeks to enact social justice reforms through retroactive measures and social equity provisions. One such provision includes a 5% sales tax on all cannabis products that would fund a new Cannabis Justice Office in the Department of Justice, which would oversee a series of Community Reinvestment Programs including job training, literacy programs, youth recreation/mentoring, health education, and substance use treatment services, among others.

“This is a historic day for marijuana policy in the United States. This vote marks the first time in 50 years that a chamber of Congress has ever revisited the classification of cannabis as a federally prohibited substance and sought to close the rapidly widening chasm between state and federal marijuana policies.” — NORML Political Director Justin Strekal, in a statement

The bill moves next to the U.S. Senate, where it will likely be ignored by Sen. Majority Leader Mitch McConnell (R), who has — along with other Republican lawmakers — recently lambasted House Democrats for even considering the cannabis legalization issue.

The MORE Act was originally accompanied by a companion bill in the Senate which was sponsored by then-California Sen., now Vice President-Elect Kamala Harris (D).

Cannabis legalization is an increasingly popular issue among American voters, evidenced by the five successful cannabis legalization initiatives during last month’s General Election. Additionally, the latest Gallup poll showed that more Americans than ever — 69 percent — support legalizing the plant.

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NBA Will Not Test Players for Cannabis Next Year

12/04/2020

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The National Basketball Association will not test its players for cannabis during the upcoming season, according to an NBC Sports report. The policy between the NBA and players union extends the drug testing rules from last season.

Cannabis remains on the league’s banned substances list and testing for cause – that is for past program violators who have given reasonable cause – will continue.

Sports reporter Ben Dowsett suggested on Twitter that the “decision is largely based on COVID safety” as a way to limit “unnecessary contacts.” He added, though, that there’s “significant expectation from many in the league that the entire marijuana testing program is on the way out in the near future.”

Under the league’s collective bargaining agreement between the NBA and NBPA, players who test positive for performance-enhancing drugs are suspended for 25 games for a first violation, 55 games for a second violation, and are banned from the league for a minimum of two years for a third violation. Under normal rules, players can be drug tested up to four times per season and twice in the offseason.

In an interview with Yahoo Sports last year, league Commissioner Adam Silver said cannabis use by players in the offseason is “no issue” but questioned why players would smoke “a lot of pot.”

“And that’s where mental wellness comes in. Because I’ve also talked directly to players who say, ‘I’m smoking a lot of pot, because I have a lot of anxiety. And I’m struggling.’ … And at the end of the day, I think we all agree that, whether or not marijuana is a legal substance, just like with alcohol, you still have to teach young people how to use a substance like that appropriately and responsibly and so it doesn’t overwhelm your life. So, it’s a complicated issue.” – Silver to Yahoo Sports

Last June, Cresco Labs appointed Executive Director of the NBA players union, Michele Roberts, to its board. In 2018, Roberts said the league was “exploring” medical exemptions for NBA players to use medical cannabis but said federal law stood in the way.

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Florida Cannabis Activists Plan Adult-Use Campaigns

12/04/2020

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Florida cannabis activists and legislators are laying the groundwork for a cannabis legalization initiative for the 2022 ballot and an expected legislative fight in 2021. However, although support for adult-use cannabis in the Sunshine State is high, challenges persist.

Called “Make it Legal Florida,” one initiative aims to amend the Florida Constitution to allow adults over 21 to possess up to 2.5 ounces for personal use. Under the new amendment, existing Florida medical cannabis shops would be tasked with distributing cannabis in the state but restrictions will still exist on public consumption, advertising to youth, and cannabis use under certain “circumstances,” the Tallahassee Democrat reports.

“The medical marijuana market in Florida expanded and the sky is not falling. Property values are not going down where you have dispensaries.” — Nick Hanson, Chairman of “Make it Legal Florda,” via the Democrat

In addition to the 550,000 signatures “Make it Legal Florida” has already secured, another 300,000 are needed to get the issue on the 2022 ballot. The ballot language must also be approved by the Florida Supreme Court before the election.

Opponents have already filed briefs complaining about “Make it Legal’s” wording, saying the initiative is “confusing” because it does not mention that cannabis is federally illegal.

Legislators are looking to pass bills in the Florida legislature legalizing adult-use cannabis. State Sen. Jeff Brands (D-St. Petersburg) and state Rep. Carlos G. Smith (D-Orlando) both plan to introduce adult-use cannabis bills in the 2021 legislative session but Republicans like Senate President Wilton Simpson (Trilby) and Gov. Ron DeSantis have said they do not support legalizing cannabis for adult use.

Recent polls show 64% of Floridians support legalizing adult-use cannabis. Additionally, a Duke University study found the state could save $25.5 million simply by stopping adult-use cannabis prosecutions, which would simultaneously increase tax receipts by $120 million.

Other initiatives in Florida seek to add mental health issues to the state’s medical cannabis qualifying condition list, allow medical cannabis home grows, and yet another seeks to regulate cannabis like alcohol in Florida, the Tallahassee Democrat reports.

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DEA Sued for Not Processing Cannabis Research Cultivator Applications

12/04/2020

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Dr. Lyle Craker, of the University of Massachusetts – Amherst, is suing the Drug Enforcement Administration, U.S. Attorney General William Barr, and Acting DEA Administrator Timothy Shea over the federal government’s failure to process cannabis research applications.

The Multidisciplinary Association for Psychedelic Studies (MAPS) says the administration of President Donald Trump and the DEA have “failed to process more than 30 outstanding license applications for over four years despite administrative guidance; the DEA’s announced plans; and the support of scientists, senators,” and the National Institutes on Drug Abuse. Craker is seeking federal approval to cultivate cannabis “to support safe and effective cannabis research,” according to the lawsuit.

Rick Doblin, Ph.D., founder and executive director of MAPS, suggested that had Craker’s initial application in 2001 “been processed appropriately, marijuana medicines would now be available through pharmacies, regardless of state law, with the strict safety protocols and dosing regularity people with compromised immune systems and serious illnesses need.”

“It’s hard to imagine the scope of suffering that people have had to endure because politics and fear override science for prohibition-minded officials like the Attorney General.” – Doblin in a press release

The lawsuit notes that Craker and MAPS had hoped to bring cannabis-based medicines to market under a nonprofit pharmaceutical model.

The plaintiffs also allege that the Trump Administration “secretly sabotaged” the federal Growers Program through a secret Office of Legal Counsel Memorandum.

“Rather than disclosing the shutdown or delays to the public or the applicants or their supporters in Congress – and rather than denying the applications for registration on the basis of the OLC Memorandum to permit judicial review – [Department of Justice] and DEA disclosed nothing and simply sat on the pending applications with no agency action or explanation,” the lawsuit says.

Upon approval of licenses, MAPS said, “it is anticipated that clinical trials to assess the safety and efficacy of cannabis will be initiated for dozens of conditions.” Craker and MAPS plan to develop cannabis medications and make them available through MAPS’s wholly-owned subsidiary, MAPS Public Benefit Corporation.

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Beyoncé Charity & NAACP Award $10k Grant to Hemp Brand

12/04/2020

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Maryland-based hemp health and wellness company The Gift is a recipient of a $10,000 grant from Beyoncé’s BeyGOOD and the National Association for the Advancement of Colored People (NAACP), according to a Black Enterprise report.

The endowment is part of a partnership between BeyGood and the NAACP focused on small business grants for Black-owned companies. The Gift was one of 17,000 applicants to receive the grant.

Cory Moore, co‐founder and CEO of The Gift, noted that companies working strictly with hemp – and not federally outlawed cannabis – “face higher costs for just about everything from insurance to banking.” Moore indicated the company plans to use the funds to launch a new e-commerce site, relaunch its product line in sustainable packaging, and roll out an educational platform, Project 545.

“Banks are reluctant to lend to us because the regulations around hemp are new and still developing in some respects. Black‐owned businesses are challenged even further when it comes to financing. This grant from NAACP and Beyoncé has made us feel seen, and we are grateful to them for the opportunities we will create with these funds.” – Moore to Black Enterprise

The Gift was founded in 2018 by Moore and Elizabeth Robinson. The company said it plans to start a hemp farm, fiber processing plant, and educational campus in North Carolina next year.

In October, Beyoncé’s husband, Sean “Jay-Z” Carter, launched the cannabis brand Monogram after joining the board of Caliva as chief brand strategist in 2019.

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Al DeChard: Cannabis Cultivation & Wastewater Compliance

12/03/2020

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Wastewater management is an important but all-too-often overlooked aspect of compliant cannabis operations. Al Dechard — who created his first proprietary process for mitigating water waste in 1998 — has built a career around helping a wide variety of companies from many different industries manage their wastewater. In fact, cannabis cultivation is only the latest trade to be covered by DeChard’s wastewater management firm Geomat, which has previously worked with rental car agencies, first responders, and others.

In this written Q&A, Al offers a breakdown of Geomat’s scalable and on-site wastewater mitigation systems and explains how the company helps cannabis clients to both stay compliant and reduce their overall environmental footprint.

Scroll down for the full interview, which also covers Geomat’s founding, proprietary services, and more!

Ganjapreneur: When was Geomat first founded and how has the business evolved over time?

Al Dechard: I began working in the marine industry refinishing boats when I noticed some were painted outside of the US and carried a high level of lead content. When working, we had to attempt to prevent the debris and water from running off into the water way, so we started playing with different materials and tools to see how we could prevent this from polluting the water. We eventually perfected this product to comply with the Clean Water Act and in 1998 I applied for and received my first Patent for a waste water recovery system. I then moved from the marine industry to the car wash rental market, where I saw a similar water runoff situation that needed a solution. I started to implement these waste water containment and recovery units for rental car markets around the country. After 9/11 in 2001, Geomat saw a need for hazmat applications for first responders. During this period of time, we worked with the federal government designing and implementing first responder’s containment systems. We started manufacturing hazmat showers as a solution and applied for a second Patent, which was granted in 2007. A third Patent was issued that same year for modular and mobile waste and/or hazardous liquid containment and collection shower systems. We further expanded our Patent portfolio with another issued in 2017, for waste and/or hazardous liquid containment and collection systems. This Patent specifically dealt with how the waste was filtered and reused for multiple industries. In the beginning of 2019, Geomat was issued another Patent for waste water containment collection. Our latest Patent that is pending is a liquid cleaning system designed for living plants, leading us into the cannabis industry.

What is the Geomat closed-loop water recovery system, and how does it work?

The Geomat closed-loop water recovery system is a patented water recycle system designed to capture and recycle all wastewater and runoff used as a result from vehicle or equipment washing. These systems have the ability to be used as a closed-loop system or tied directly into the sanitary sewer line. When Geomat is used as a closed-loop system, the water run off from cleaning collects on Geomat’s surface and filters through the mat’s layers to the drain. The water passes through to a sump pump basin, where it is collected in one of the two 500 gallon holding tanks. As the water rises within the holding tank, the water passes through an inline filter into the second holding tank. The reclaimed, filtered water is then able to be used again for washing purposes. An aerator is submerged in each holding tank to ensure optimum filtration throughout the entire process.

Geomat has implemented water recycling solutions for numerous different business models, such as the auto washing industry and hazmat cleanup industry. How have your solutions for cannabis growers been influenced by solutions for other industries, and how have they differed?

With the different industries I have worked with, I’ve noticed the one necessity they all have in common is water. After speaking with some workers in the cannabis industry, I realized that the environmental and water situation these facilities were facing were similar positions the rental car wash and hazmat industry faced as well. These industries all benefit greatly from Geomat in the sense that their water costs and usage significantly goes down while leaving no environmental footprint or impact from each use. This solution also holds different meanings depending on the industry. Geomat is a versatile and innovative product that brings more than just water recovery to cannabis grow facilities, but acts as a vessel and source for all sanitation and containment needs, which is paramount in this industry.

What are some of the ways that Geomat reduces a cannabis producer’s environmental impact?

Geomat has the ability to capture and filter this water runoff for reuse or discharge in a way that meets environmental compliance, where most state regulating authorities do not want to treat this type of water runoff. With Geomat, we have provided a solution to the issue of excessive water usage and cost that many grow facilities face. This significantly reduces a cannabis facility’s environmental impact while remaining compliant to the environment and Clean Water Act.

Is Geomat adaptable for different environments and site configurations? What types of cultivation facilities would benefit most from using Geomat?

The installation of Geomat is quick and minimally disruptive, scalable and versatile to any work facility or configuration. These systems have the ability for no ground penetration or sewer tie in, making Geomat adaptable and simple to relocate if needed. Specifically in the cannabis industry, Geomat is designed to function in a variety of beneficial ways. Whether it is sanitizing the equipment and cultivation tools or rinsing the plants itself, the system acts as an environmentally compliant product that will greatly reduce any cultivation facility’s water usage and costs.

Once you have implemented a system for a client, do you provide ongoing support or assist directly in managing it? What feedback have you heard from cultivators who use Geomat?

Geomat offers a significant warranty and provides yearly maintenance and cleaning on each system. We had a recent install for a major grow facility that has locations throughout the country. After the installation, they informed us that this technology has revolutionized how they sanitize their tables and equipment after each yield and throughout the daily growing process. When we began working with grow facilities, I was under the impression that Geomat could be used for recycling and recapturing the runoff used in watering and washing cannabis plants. Geomat has also played a role in sanitizing cultivation tools, tables and equipment to thoroughly clean and prevent any mites, pests and bacteria from harboring on these tools. This feedback from this facility opened our eyes to realize that not only is this the biggest, environmentally compliant solution for the industry, but how the Geomat itself can be multi purpose and functional.

What do you think the future of cannabis agriculture looks like in the United States?

I believe this industry will continue to thrive and advance in its technology and impact, but one thing that will remain constant for cannabis agriculture is the need for water. The cost and demand for water is rising in a world where some places see this element as a precious commodity. Any way this water can be reused and recaptured can benefit cannabis grow facilities and the planet as a whole.

Thank you, Al, for spending the time to answer these questions. To learn more about Geomat’s patented wastewater management systems, check out Geomat.com.

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MORE Act Passes House Committee; Floor Vote Expected Soon

12/03/2020

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The U.S. House of Representatives Rule Committee yesterday advanced the Marijuana Opportunity, Reinvestment, and Expungement (MORE) Act setting the stage for it to receive a vote in the full chamber, which is expected this week.

Once it reaches the floor, it will mark the first time either chamber of Congress voted on a measure to legalize cannabis. The House last year approved the SAFE Banking Act – the first time either chamber voted on standalone cannabis-related reforms.

In a statement, NORML Political Director Justin Strekal thanked Rules Committee Chairman Jim McGovern (D-Mass.), acknowledging that the “historic nature” of the advancement “cannot be overstated.”

“For the first time in American history, the public will see the ‘People’s House’ vote to end the senseless, cruel, and racist policy of marijuana criminalization and prohibition, Strekal said in a press release.

Rep. Earl Blumenauer (D., Ore.) told Yahoo Finance that the vote is “coming at a time when Americans are recognizing how hopelessly flawed the criminal justice system is.”

“We don’t need to have one size fits all. We just need to get rid of prohibition and then let the states do what the states are doing. It’s essentially what the states have done already. They haven’t waited for the federal government, which is why we have a lot of these discrepancies and challenges.” – Blumenauer to Yahoo Finance

Cannabis remains completely illegal in just Idaho, Kansas, and Nebraska.

The legislation includes a 5 percent sales tax on cannabis products, earmarked for a new fund for grant programs designed to help people “adversely impacted by the War on Drugs.” The fund would service job training, re-entry programs, legal aid, and mental health and addiction treatment while prohibiting denial of federal benefits for cannabis use, possession, or related convictions. The measure includes expungement provisions for federal cannabis offenses.

It would also give cannabusinesses access to some federal programs, such as those from the Small Business Administration.

Last year, the House Judiciary Committee passed the act with Republican Reps. Matt Gaetz (Fla.) and Tom McClintock (Calif.) as the only GOP members to vote in favor the bill. In January, the House Small Business Committee advanced the measure.

Control of the Senate will be decided with January runoffs in Georgia pitting Republican incumbents David Perdue and Kelly Loeffler against Democrats Jon Ossoff and Raphael Warnock, respectively. The legalization bill has better odds of reaching the Senate floor with a Democratic majority as current Majority Leader Mitch McConnell (Ky.) – who controls which bills reach the floor – has said he has no plans to back broad cannabis legalization.

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USDA Expands Hemp Insurance Program

12/03/2020

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The U.S. Department of Agriculture has expanded its pilot Multi-Peril Crop Insurance plan for the hemp industry into new states and counties and announced improvements to the insurance.

Under the new rules, broker contracts are permitted for hemp grain and the agency adjusted several dates related to the insurance – such as cancellation, product reporting and termination, billing, and sales closing – to better match dates used for similar crop insurance programs.

The USDA Risk Management Agency (RMA) said it is also “authorizing additional flexibilities due to the coronavirus pandemic while continuing to support producers, working through Approved Insurance Providers (AIPs) to deliver services, including processing policies, claims, and agreements.”

RMA Administrator Martin Barbre said in a statement that the changes are the agency “responding” to the hemp industry’s “risk management needs.”

Hemp producers in Arkansas, Nevada, Texas, and select counties in Arizona are now eligible for the insurance, along with the Colorado counties of Conejos, La Plata, Moffat, Routt; San Miguel, Kenton and Whitley counties in Kentucky; New Mexico’s San Miguel and Valencia counties; Houghton County, Michigan; Granite County, Montana; Scott County, Tennessee; and Alleghany County, Virginia.

Crop insurance is sold and delivered solely through private insurance agents, the USDA said. A list of insurance agents is available online using the RMA Agent Locator.

The USDA added the hemp pilot program to its agriculture insurance regime in February.

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New Mexico Medical Cannabis Thriving Despite Pandemic

12/03/2020

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Mirroring similar stories from around the country, medical cannabis sales are up in New Mexico. Designated as an essential business by the Governor in March, medical cannabis shops must follow statewide restrictions like customers wearing masks and a 25% capacity restriction. Despite the challenges, Jefferson King with Everest Apothecary in Albuquerque told KRQE News that business is up and layoffs have not been necessary at their six stores around the state.

“From June until now we’ve seen a lot of increase like I said probably up to 60 to 75 percent overall. We have a lot of people that are struggling out there and you know we’re here for them and we just want to let them know it’s going to be okay and we’ll get through this.” — Jefferson, via KRQE News

According to the report, New Mexico has over 100,000 registered medical cannabis patients, an increase of 27 percent since June 2019.

“In the first six months of 2020 there were $92 million in sales which is an increase in 55 percent from the same period the previous year,” said Ben Lewinger, Executive Director of the New Mexico Cannabis Chamber of Commerce. “People are also taking the opportunity to use cannabis for other things that it’s proven to work for beyond just qualifying conditions, things like anxiety, stress, insomnia.”

In 2019, New Mexico significantly updated its medical cannabis system, which included adding reciprocity for out-of-state medical cannabis patients, allowing medical cannabis in schools, adding personal production licenses, and allowing patients to renew every three years. The updates also prohibit employers from firing employees for being enrolled in the program.

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CannTrust Returns to Canadian Market After License Suspension

12/03/2020

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CannTrust Holdings Inc. – the embattled Canadian cannabis producer whose license was suspended last year after compliance violations – is returning to the marketplace with the launch of two brands, Liiv and Synr.g.

The products will first be available in Ontario, Alberta, and British Columbia, the company announced on Wednesday.

Despite the company’s return and product launch, it remains under Companies’ Creditors Arrangement Act (CCAA) protection as it deals with multiple class-action lawsuits and other litigation.

CEO Gregg Guyatt indicated that CannTrust plans to expand its portfolio again next year.

“CannTrust has built a stronger, more efficient business, to be highly competitive in the Canadian cannabis market. Ultimately, today is the result of an incredible amount of hard work from our employees. We’re thankful for the opportunity to get back to giving our consumers access to the products they know and love from CannTrust.” – Guyatt in a statement

The company’s struggles began in the summer of 2019 when Canadian regulators discovered the firm had cultivated cannabis in unlicensed rooms, ultimately suspending their license. The company was later forced to destroy as much as $65 million worth of inventory. Earlier this year, regulators reinstated CannTrust’s licenses for two of its cultivation facilities.

CannTrust said it underwent an 18-month remediation program focused on compliance.

“So now the attention changes from the remediation and relaunch into the actual relaunch execution phase right now and getting those products back in the hands of consumers,” Guyatt told CTV.

The company remains barred from trading and exchanges under an April order by the Ontario Securities Commission for its failure to comply with disclosure obligations under applicable securities laws.

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