Cannabis CEO Donates $1.5M for Cannabinoid Research

Colorado State University graduate and CEO of medical cannabis company Panacea Life Sciences Leslie Buttorff has given $1.5 million to her alma mater for cannabis research, CBS4 reports. Buttorff graduated from CSU in 1979 with a degree in statistics.

Jan Nerger, dean of the College of Natural Sciences, said the gift will give “unprecedented opportunities” for the college’s faculty and students and “places CSU in an unparalleled position to advance research in this burgeoning area.”

Buttorff told CBS4 that the partnership with the college will help advance Panacea’s focus on “developing scientifically driven and medically focused products.”

The university plans to use the funds to create a CBD research center within the chemistry building and study terpene profiles in an effort to advance cannabinoid efficacy to treat both human and animal ailments. The university also plans to study other cannabinoids including cannabigerol (CBG), cannabinol (CBN), cannabichromine (CBC), and tetrahydrocannabivarin (THCV).

The donation is the latest from the cannabis industry to a college or university for plant and cannabinoid research. Last year, Seth and Eric Crawford, the founders of Oregon CBD, donated $1 million to Oregon State University’s Global Hemp Innovation Center – the brothers are both OSU graduates. That program was also recently bolstered by $2.5 million in federal funding.

Medical cannabis firm Primative – co-owned by former Detroit Lions Calvin Johnson and Rob Sims – also made an undisclosed six-figure donation to Harvard’s Phytomedicines and Medical Cannabis Institute last year to research the effects of cannabis on chronic traumatic encephalopathy (CTE) and pain management.

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New York Gov. and Lawmakers Sparring Over Cannabis Plan

New York Gov. Andrew Cuomo (D) and lawmakers are sparring over cannabis legalization details, including how the revenues would be disbursed and whether to pass the measure via the budget bill, the Buffalo News reports.

Last year, Cuomo had also included legalization in his budget bill but legislative leaders preferred the reforms move through the Legislature and pulled the legalization plan from the budget, ultimately dooming the bill as lawmakers couldn’t agree on how the funds derived from the industry would be spent.

Cuomo projects $300 million from cannabis excise tax revenues and would prefer the money be deposited into the state’s general fund. How those funds are spent would be determined annually as part of the budget, under Cuomo’s plan. Lawmakers, however, prefer earmarking the funds for drug treatment programs, law enforcement, and social equity programs.

Sen. Liz Krueger, a Democrat and sponsor of the legalization legislation in the Senate, said she is “optimistic” lawmakers and the governor can come up with a deal and, if not, the legislature could get a deal done before the session ends in June; however, she warned that lawmakers would not move forward unless they, “can get the commitment on how the revenue needs to be spent.”

According to the report, the Cuomo administration believes it would take 18 months before any legal cannabis sales would occur in the state. Despite this, his budget estimates the state would receive $20 million in revenues in the coming fiscal year and $63 million in 2022. Officials told the Buffalo News that the projected $20 million would come from licensing fees.

A recent Sienna College poll found 58 percent of New Yorkers support broad legalization.

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Medical Cannabis Bid Approved for Mississippi Ballot

Mississippi voters will decide whether to legalize medical cannabis in the state after the ballot initiative was approved by the Mississippi Secretary of State and Mississippi Attorney General’s office earlier this month, the Daily Mississippian reports. The proposal, which would be a constitutional amendment, outlines 20 “debilitating conditions” that would qualify a patient for the program.

Mississippians for Compassionate Care needed 17,237 valid signatures from each of the five congressional districts, for a total of 86,185 signatures. Ultimately, over 105,000 signatures were validated.

Lawmakers now have until May to review, amend, adopt, or reject the initiative prior to the general election; if they amend the language, both the original and amended versions will appear on the ballot. The campaign-backed bill includes a 2.5-ounce possession cap for patients and specifies that they could only purchase up to that cap every two weeks. Under the proposal, dispensaries cannot be located within 500 feet of schools, churches, or childcare centers.

The Mississippi Board of Health has come out against the plan – including approving a resolution in opposition earlier this month – saying there are “numerous known harms from the use of cannabis products including addiction, mental illness, increased accidents, and smoking related harms.”

Jamie Grantham, Medical Marijuana 2020’s communications director, said the campaign “looked at other states, studied programs, people who implicated programs, as well as patients” in drafting their initiative.

In 2015, Mississippi activists failed to get a broad legalization measure on the ballot, collecting just 13,300 of the required 107,000 signatures.

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MedMen CEO Adam Bierman Deflects in Reddit AMA

MedMen Enterprises is a well-known brand throughout the cannabis industry. Over the past several years, MedMen has built a massive presence in the industry with more than 30 retail stores and numerous cultivation sites throughout the continental United States. They are also traded publicly on the Canadian Securities Exchange (MMEN) and OTC in the United States (MMNFF). 

However, in recent months the company has experienced some turmoil (along with many other major players in the industry), having undergone major layoffs in that time, letting over 200 representatives go. The company is also selling its licenses in Arizona and Illinois and closed a store in Ft. Lauderdale, Florida.

In the past week, rumors of financial distress circulated on social media and various blogs, which seem to correlate with a drop in stock value — and financial outlet MarketWatch confirmed that the company was looking to pay debts with stock. Ganjapreneur also published a story about this revelation earlier today.

Amid the uncertainty, CEO Adam Bierman announced a Reddit AMA (which stands for “Ask Me Anything”) — a post format used for open-ended interviews from the general public — that took place today. We watched the conversation unfold over the course of approximately an hour, and have compiled the list of questions that Bierman provided answers to below. While he did answer some of the tough questions that were posed, many of the questions remained unanswered, and many commenters expressed frustration that Bierman did not directly address or provide useful insight related to their specific concerns.


 

Question from Reddit User ACphl:

What is the most difficult part about right sizing the workforce? How have you and your team determined how to downsize without severely impacting operations? What are some important lessons learned as CEO?

Adam Bierman: The most difficult part has been saying goodbye to people in our MedMen family. These people dedicated their lives to inviting the world to discover the remarkable benefits of legal, regulated cannabis. As a result of their dedication we created a platform and environment that is literally changing the way people live their lives, for the better. One of the greatest lessons, for me, has been that transparency to the organization, especially when the content isn’t easy, is an expectation that should be placed on the CEO. I tried to find ways to make this process easier (on both our employees and myself) but in the end the healthiest thing I can do for this organization is to be brutally honest and open.

Reddit User bolognacrony: Hello Adam, I am an associate who has witnessed many lay offs with immediate hiring (10 positions) within a week turn around. This violates union contracts with the state of California employees. There also have been demotions that violate union contracts. (Lead associate to hospitality). My question is why are there positions being created while others who are supposed to be protected within the union are losing their jobs? And how is it legal to fire them and demote them? Also what are you doing to compensate or to change the delivery system to ensure safety since several associates have been robbed at gunpoint?

Adam Bierman: Our employees are MedMen. Our retail employees are why MedMen is “MedMen”. We are proud to be the first national cannabis company to have a partnership with UFCW. We are proud that we compensate our retail employees with union wages. We are very proud that every employee at MedMen has stock options and hence an “interest” in the long term success of what we are building. I completely understand that this restructuring can lead to questions and uncertainty and I commit that I will see us through this and we will come out the other end stronger than ever.

Reddit User valueresponsibility: How and how much do you and partner plan on paying yourselves this year and years to come? You previously took a 1.5M salary to go with paying yourselves a massive 4M each in bonuses. You have since then reduced your salary to $50,000 and to the best of my knowledge haven’t received another bonus. Both numbers aren’t realistic or considered the “norm” for people in your position. When things do start to “improve” how much and how quickly will that affect your compensation?

Brendan Kennedy (TLRY) – $425,000

Nic Neufeld (APHA) – $513,000

Bruce Linton (CGC) – $200,000

It doesn’t sit well with investors seeing you and your partner buying 11 million dollar Beverly Hill homes next to Leo DiCaprio while the rest of us are taking huge losses. Some of us owning shares that currently sit at 1/10 the price we paid. The expectation is that if we suffer then you suffer with us. If you were going to pay yourself a bonus then you should have paid us dividends as well. Otherwise, that money could have been reinvested into growing the share price. While I’m still invested in Medmen my biggest fear isn’t the company itself but you as a CEO.

– A frustrated investor.

Adam Bierman: I empathize and completely understand where your frustration is coming from. While 2018 was this incredible year for the stock, 2019 was a disaster. While the stock underperformed, we opened 17 new stores including 4 in CA and 2 in Illinois (which in January flipped to rec). As of now I take a 50k salary and while I can’t give you advice on whether you should buy, hold or sell MedMen stock I can, however, tell you what I have done personally. I have personally never sold a single share of MedMen stock. I have bought the stock. And this has been publicly disclosed. I bought 1,550,387 shares this month for about $660,000. I also bought 342,660 shares in the public markets in December 2018 for a million dollars. I am all in on this company and its future. And coming out the other end of this restructuring our future has never been brighter.

Reddit User MMJInvesting: Will you step aside and relinquish control of your company so fresh eyes and forward looking vision can try and turn things around? Obviously complancey and sheer lack of respect for shareholders has got MedMen where it is today

Adam Bierman: As the biggest shareholders Andrew and I will always do what’s in the long term best interest of the business.  In December, Andrew proxied his supervotes to Wicklow Capital and Ben Rose, our Executive Chairman.  He also stepped away from the President role and moved to Chief Brand Officer.  We have never been shy about having the right people in the right role and even more importantly the best person available for the role at that time.  I know that for today I appreciate the support of our outstanding executive leadership team, board and capital partners (Wicklow and Gotham).  I will continue to work tirelessly to create as much long term equity value as possible, for as long as I am CEO.

Reddit User Khalifaf*ck: Hello Adam, you about to walk through some fire during this AMA. But I hope you man up and actually answer the questions with respect to all that hold shares in your company.

  1. GGP is currently bag holding large notes that were given to them as part of the credit facility. I want to hear your opinion of that working relationship and what GGP might be thinking when they see what the stock is currently trading at. I mean, you said in your latest interview that you are well positioned and that is why Wicklow and GGP are still involved, but I want to know what “well positioned” looks like. What’s the vision, what are the stats, what are THEY seeing that investor’s aren’t!!

  2. Based on the Florida OMMU weekly data, MedMen looks to be struggling to sell product. Can you please provide some insight of what you are doing to improve sales? When is the cultivation expansion going to be complete?

  3. MedMen spent hundreds of thousand of dollars on sponsoring the Florida legalization ballot initiative. Now that it’s dead, do you think MedMen pushed too hard in getting Florida stores online? How has your vision changed for Florida?

  4. Let’s fast forward to 2022, what does the current financing situation look like for MedMen? Has GGP converted shares? Did Wicklow run for the door when the share price allowed it?

  5. In your opinion, what year would be “the year” for MedMen?

Adam Bierman: We have been doing this for 10 years now. We have never looked at this through any short-term lens. This is the generation that will end prohibition. In conjunction with that, as the premier brand and only distinct national retailer we will reap financial rewards. We invite you to continue to play the long game with us. We believe there will be amazing years for our stock, 2018, and hopefully less brutal ones, 2019, but in the end our stock will be valued based on all the value we create and continue to unlock.

Reddit User lh7884: Hi Adam, what do you think is holding back the company the most right now and what is being done to fix it? Also what are your thoughts on Federal legalization and also the States Act and how would either of those benefit the company going forward. Finally where do you see MedMen 5 years from now?

Adam Bierman: We built an irreplaceable retail cannabis footprint. We spent money to do it. We built a state-of-the-art customer loyalty and delivery platform. We spent money to do it. Retail licenses block future market entrance due to setbacks. No amount of money could secure the locations we have today. And we believe they are special locations. The information we derive from our technology platform will give us a competitive advantage. We will know what customers want and where and when they want it.

Future dividends from both will be significant. They will justify the cost. I do not, personally, believe the market appreciates the value of these achievements. Or, if the market understands the value, there is a question around whether we will be around long enough as a company to enjoy the fruits. If we had continued doing business in the same way the stock market might have ended up being right. But we evolved. And we are continuing to evolve and adapt to the new market reality. We have significantly cut costs, reduced corporate headcount, and are turning every stone to reduce costs and conserve capital. I regret not implementing this cost cutting sooner. We have now made the necessary adjustments and are poised to thrive.

Reddit User RealWorlofWeedSt: Hi Adam- With regards to paying vendors, it would be nice if you could put to rest the “rumors” circulating that they are getting notices to settle .50 on the $1. What hasn’t come out yet is MedMen signing for product and canceling checks or offers to settle debt with stock. Can you put those last two items to rest before they start? On point 1 with regards to vendors, there’s already documentation from some of your own people that payments might not be made until March. If that happens and continues, why will vendors continue to stock MedMen shelves with product. Here’s a link to the email from Ben Shultz payments.

As for Bankruptcy I’ll put that to bed for you. People harp on a bankruptcy portion of texts received, but most know that is not a viable option as companies in the cannabis space are not afforded bankruptcy protection because that’s a federal protection & cannabis is federally illegal. Receivership is in the table in California, see $dyme as a reference. Good day

Adam Bierman: Through this restructuring we are fastidiously managing our cash position and we are working with our vendor partners on our existing AP and how most efficiently to pay those obligations. This is to be expected for a retailer in a restructuring but that doesn’t make it any easier. Many of these vendors are personal friends. Many of these vendors, specifically in CA, rely heavily upon MedMen for their businesses. We are being as communicative and partner like as possible given the reality.

I will say I appreciate your question as well as your influence and I have no idea what I did to anger you in your past life but I’m extending an invitation to meet you on Weed Street and smoke a joint and put it behind us.


After about an hour of answering questions posed by investors, former employees, and interested industry professionals, Bierman posted the following:

“That’s all the time I have for now. WOW. No more roller coasters for me. I’ll just do this again when I want an adrenaline rush. Thanks again for all your questions. To a prosperous 2020 and continued progress towards the end of prohibition. Because a world where cannabis is legal and regulated is safer, healthier and happier.”

While the AMA seemed originally like a brave tactic to address rampant rumors of bankruptcy and flailing stock prices, the fact that Bierman avoided numerous poignant questions and seemed to deflect on the questions that he did respond to may not do much to quell the speculation about MedMen’s future. At the time of writing this article, $MMEN stock is currently down 4% for the day on the CNSX and 6% for the day on OTC.

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MedMen Offers Vendors Stock Instead of Cash

MedMen Enterprises Inc., a cannabis company that operates in nine states, has offered its vendors shares in the company in an attempt to reduce its overhead and conserve cash, MarketWatch reports. The payment proposals come after MedMed’s “restructuring” last year, the company’s chief financial officer Zeeshan Hyder told MarketWatch, adding that MedMen “has been actively working with its retail vendors on modifying payment terms, which in some cases include stock consideration.”

“The company has been increasingly focused on managing its working capital and has continued to communicate payment status to its key vendors.” – Hyder, to MarketWatch

MedMen offered at least one vendor the full amount owed in class B non-voting shares, a payment plan for the full value, or a one-time cash payment of half of the outstanding bill. According to the report, MedMen’s over-the-counter and Canadian Securities Exchange-listed stock has lost 84 percent of its value over the last year.

Seaport Global analyst Brett Hundley told MarketWatch that if a small amount of stock were used to pay some bills it probably wouldn’t dilute the shares or affect the stock price much because the company already has more than 588.4 million outstanding shares. MedMen management has indicated they don’t expect to be able to access the remaining $115 million available to it from a 2019 $250 million convertible debt deal.

In January, MedMen amended a $78 million loan that was due in 2020, to mature in 2022, but at a 15.5 percent coupon versus the original 7.5 percent. MedMen also cancelled a $682 million all-stock deal of PharmaCann LLC, is reportedly shopping its New York licenses, and is selling non-core assets in Arizona and Illinois. MedMen executives have also enacted a plan to cut about $70 million of operating expenses by March, the report says.

During the fiscal first quarter, MedMen reported $44 million in revenue.

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Traveler Steals Cannabis From Midway Airport ‘Amnesty Box’

Someone stole from Chicago’s Midway Airport’s cannabis amnesty box. According to NBC 5 Chicago, a traveler arriving in the city around 6 p.m. grabbed the box’s contents and ran away.

The box reportedly contained only cannabis found on a traveler on Wednesday. The individual was escorted to the amnesty box and was allowed to deposit the product without penalty but when police went to empty the box that evening, it was empty.

Security cameras showed a man opening the box – which is positioned near security checkpoints – and grabbing its contents; it’s unclear why the box was not locked, per policy. Police are looking for the individual.

The so-called amnesty boxes were set up in both O’Hare and Midway earlier this month after cannabis legalization took effect in Illinois.

Other airports in states where cannabis is legalized have also set up the amnesty boxes, but this is the first reported theft from one of the boxes where they have been installed. After the bins were set up in Toronto, Canada’s Pearson International Airport, social media users called them “free weed bins” – which rings true in this case – but airport officials called that description “resoundingly incorrect.”

Despite cannabis’ legal status in Illinois, it remains federally outlawed, which is why it is barred from airplanes. Local airports have their own policies – California’s LAX permits cannabis on airport property but not past TSA checkpoints.

Last year the TSA said some cannabis products – including hemp-derived CBD and cannabis-derived pharmaceutical Epidiolex – would be allowed onboard airplanes in checked luggage. The agency’s policies don’t direct its agents to search for cannabis or other illegal drugs but to “refer the matter to law enforcement” regardless of the policies of the airport’s home state.

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Austin, Texas Police Blocked From Low-Level Cannabis Enforcement

The Austin, Texas City Council approved a resolution directing the city’s police to not spend city funds on lab tests to distinguish hemp from THC-rich cannabis, the Texas Tribune reports. The move will effectively end arrests and fines for low-level cannabis possession but law enforcement may still use funds for testing in felony cases.

The resolution comes more than six months after the state legalized hemp, which initially led to some counties dropping or choosing not to prosecute low-level cannabis crimes because hemp and THC-rich cannabis look and smell the same and require lab testing. Public state labs are working on establishing testing for THC concentration, according to the report, but right now they can only identify something as cannabis.

According to police data, misdemeanor cannabis possession cases in Texas fell from 5,688 in May to 1,919 by November.

Austin City Council member Gregorio Casar called the reprioritization of the city’s resources “the right thing” for both criminal justice reform and racial equity. The resolution directs Austin Police not to arrest or cite people for low-level possession, unless there is a safety concern, if they know the district attorney will throw out the case or that testing won’t be approved. The measure allows lab testing for suspected felonies or drug trafficking cases.

“We will look at our policies in regard to the resolution that just passed to determine what, if any, changes we need to make.” – Austin Police Chief Brian Manley, to the Tribune

Manley clarified that his department is instructed to “cite-and-release” low-level cannabis offenders but said he was concerned about the “violence involved in the illegal drug trade,” adding that since cannabis remains illegal in Texas “there is no legal or safe place” for individuals to purchase it.

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MV1 Vaporizer by GHOST Vapes

GHOST Vapes was founded by three friends who were looking to correct mistakes of vaporizers past. The trio set out reverse-engineering the most popular vapes on the market while interviewing retailers and consumers to find out what they liked and didn’t like about modern vaporizer technology. The team then focused on assessing how and why certain functionalities were often complained about. Read on for a review of the MV1 by GHOST Vapes.

In creating MV1, GHOST Vapes wanted to utilize the best of convection vaping while also meeting medical-grade standards. The result is a highly developed piece of technology that provides a stealthy vapor experience with the added bonus of an easy-to-use app that is available for Samsung users. This design lets us vape wax or cured flower in the same crucible, to switch to concentrates just add the small concentrate pad to the crucible before vaping.

The MV1, cleaning wipes, cotton buds, a concentrate pad and more arrive in a sleek magnetized black box with chartreuse accents. While it is nice to look at and well presented, the piece itself is somewhat heavy and bulky. It’s definitely not meant for a pocket but is great for a purse or backpack. In fact, the vape is so attractive it’d be suitable as a coffee table piece on hand for movie nights.

There are three buttons located on the MV1. On the front of the piece is the Mode button, on the back is the vape button, and in the bottom front of the vape is a button that will discharge the battery. GHOST recommends sliding the battery off of the device and fully charging it before using the product. While charging, an LED light on the battery will shine red. Once this light turns off the battery is fully charged. Another way to monitor battery is to use the app, which not only keeps an eye on battery life but also lets a user lock the vape from being used from anywhere. This sounds great for a parent looking to keep their teens out of their cannabis stash or even a paranoid roommate.

How To Use GHOST MV1:
  1. Remove the battery and charge fully until LED light turns off, then replace the battery.
  2. Slide latch and the chamber will pop open to reveal crucible, load ground herb into crucible and close chamber until you hear it click.
  3. Hold the Mode button down until the bar lights green. Click three times fast until only the middle green light is illuminated.
  4. Pull out glass mouthpiece about half an inch, use the thumb to ensure the mouthpiece remains level.
  5. Once ready to vape, push vape button on the back of the MV1 down, you will feel a vibration. Keep holding until a longer vibration kicks in, this indicates that the piece is ready to hit.
  6. Continue holding down the button until after pulling from the mouthpiece for at least 10 seconds.
  7. Follow this vibration pattern until the vape session is complete.

Vaping with the MV1 is a nice experience. The vapor is cool and smooth and the piece is easy to use once we figured out the nuances. At the beginning of the session the vapor wasn’t very visible, but it still definitely did the job. The convection technology and crucible create a pretty even vape, but the top bud still gets vaped last while the flower on the bottom gets pretty toasted. This effect can cause a harsher hit by the end of the vape sesh.

The vape experience is pleasant and the vibrations take the guesswork out of whether or not the chamber is ready. Those who are brand new to the vape world won’t understand the impressive points of the piece but the ease of use makes it still suitable for new vapers. Overall this is a wax and dry herb vape worth checking out for anyone intrigued by vape technology.

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Creso Pharma Pursues Animal Health, A Fast-Growing Cannabis Market Segment

Cannabis stocks had a challenging year in 2019, but signs are emerging that a change of fortunes is in store for the sector and a number of listed cannabis companies already look to be turning the corner. 

Over the longer term, there’s little doubt that the sector is primed for massive growth as legalisation continues to expand across the globe, the benefits of cannabis and hemp receives greater recognition, and market acceptance improves.  

One market segment in particular is primed for significant growth — animal health. This is a market that was worth US$70 billion in 2019 and is projected to be among the fastest-growing Cannabidiol (CBD) sectors.  

The global veterinary CBD market is predicted to grow at a 123% annual rate (CAGR) in the years 2019 to 2025, says the latest Market Research Future report. 

The massive size of this market and its anticipated growth can be attributed to the “the rising global trend of the ‘humanisation’ of pets,” according to Dr. Miri Halperin Wernli. 

Dr. Halperin Wernli is the CEO and co-founder of Creso Pharma (ASX:CPH), an ASX listed medicinal cannabis company that develops and commercialises cannabis and hemp-derived therapeutic, nutraceutical, and lifestyle products for human and animal health. 

Creso has commercialised anibidiol® Regular and anibidiol® Plus for small, medium-sized, and large pets to help reduce stress and aid in the functioning of the animals’ nervous systems. 

Pet owners report that the product has also contributed to the management of pain and improved the vitality of their pets after just one week of use in addition to normal feed. The product does not get the dogs ‘high’ as it is non-psychoactive and there is no chance of overdose.

The products are produced in Switzerland and commercialised in collaboration with Virbac S.A. (EPA:VIRP) in more than ten European countries. 

In a milestone achievement, the company has now sold over three million doses of its anibidiol® product since the product was launched in late 2017, while global sales of the product grew by approximately 700% in 2019. 

These three million portion sachets of anibidiol® granules have benefited over 100,000 dogs in the less than two years since the product launched. 

The impressive sales figures in Europe are paving the way for launches into additional countries on other continents including North and Latin America, where a growing need for natural complementary feed to help mitigate stress and improve the wellbeing of pets has been observed.

Furthermore, Creso Pharma has successfully developed three additional hemp-derived products to improve the wellbeing of pets. These are slated for launch later this year. 

Responding to strong demand from veterinarians and pet owners, Creso, together with Virbac Switzerland, has also launched its new anibidiol® Oil 500 product — a lifecycle management enhancement for the anibidiol® range. Initially the product will be marketed in Switzerland, with other national markets being added throughout 2020.

This news comes on the back of other promising developments in 2020 as management pointed to numerous potential share price catalysts in the year ahead. With tangible developments likely to drive revenue growth in the near to medium-term, it isn’t surprising that the company shares have rebounded sharply since its December lows. 

Yet animal health is far from Creso Pharma’s only focus. The company has a diversified business model and a portfolio of 13 products that covers products for both humans and animals.

These products have been developed with standardised dosing and formulations through the application of pharmaceutical rigour, GMP (Good Manufacturing Practice) standards and innovative delivery technologies. 

Of the 13 products, four have been commercialised, with nine pending commercialisation, while the company is considering new opportunities as it establishes itself in multiple global markets.

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Cannabis Data Breach Leaks 85,000 Dispensary Files

A data breach in the cannabis point-of-sale system THSuite leaked more than 85,000 files from dispensaries throughout the U.S., including more than 30,000 records containing personally identifiable information, according to vpnMentor, the firm that discovered the breach.

The breach was first discovered by researchers on Christmas Eve 2019 and was closed on January 14. The data, which was discovered in an unsecured and unencrypted Amazon S3 bucket owned by THSuite, includes full names, dates of birth, phone numbers, email addresses, street addresses, medical cannabis program identification numbers, cannabis type and quantity purchased, transaction costs, and date-of-purchase. Medical cannabis patient medical histories were also discovered in the data breach, along with scans of government-issued and employee IDs.

“At the very least, THSuite should investigate to find out how this data breach occurred and implement new security procedures to make sure something like this never happens again.” – vpnMonitor, in its January 22 report.

The records found in the breach belong to three different dispensaries: Maryland’s AmediCanna, Ohio’s Bloom Medicinal, and Colorado Grow Company; but vpnMentor said its possible that all of THSuite’s clients and customers were affected. The report notes that the bucket contained “so much data” that it wasn’t possible for the researchers to examine all of the records individually to see what else could have been exposed.

Under the Health Insurance Portability and Accountability Act (HIPAA), exposing protected health information that could be used to identify an individual is a federal crime and violations can lead to fines of $50,000 for every exposed record and potential jail time.

In a statement to Cleveland.com, Bloom Medicinal said the company is working with THSuite and once they have identified any affected patients would contact them “and follow all HIPAA breach requirements.”

According to vpnMentor, the leaked details could be used to create elaborate and effective phishing attacks and could lead to identity theft.

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Psychedelics Decriminalization Bill Introduced In Vermont

Vermont state Rep. Brian Cina (P) has introduced legislation that would decriminalize three psychedelic substances — psilocybin, ayahuasca, and peyote — as well as kratom throughout the state. First reported by Marijuana Moment, the legislation would specifically make exemptions for the substances in Vermont’s controlled substances list.

“Plants, especially plant medicines, should be accessible to people. Use of plant medicine should be considered a health care issue, not a criminal issue.” — Cina, via Marijuana Moment

It’s still unknown whether the bill poses much chance in the state legislature, but even its introduction will spur hope among advocates for psychedelic policy reforms, who lately have spearheaded efforts in dozens of local communities across the U.S.

Vermont’s latest bid, however, is unique because it originated with lawmakers, not activists — similarly, Vermont in 2018 became the first state to end cannabis prohibition by legislative action, not by an act of voters. While that action ultimately ended cannabis prohibition, however, it did not establish a state-legal cannabis marketplace, although lawmakers appear poised to tackle that issue during the coming session.

Last year, voters in Denver, Colorado chose to decriminalize psilocybin; later, the city council in Oakland, California voted unanimously to decriminalize psychedelics including psilocybin and ayahuasca.

Activists in California and Oregon, meanwhile, have already launched efforts to put the issue of statewide reforms on the ballots for 2020.

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Illinois Dispensary Receives On-Site Consumption Approval

The Springfield, Illinois City Council has approved a plan by Illinois Supply and Provisions to open a cannabis consumption area, the Chicago Sun Times reports. It marks the first time a municipality has approved on-site consumption in the state.

In a statement, IS&P Regional Director Kathleen Olivastro said the company “will be thoughtful” in creating the on-site consumption experience.

“With stringent public consumption laws in place, it’s important to have designated areas where people can consume cannabis legally and safely.” — Olivastro, in a statement, via the Sun Times

Under the Smoke Free Illinois Act, only dispensaries and smoke shops that make more than 80 percent of their business from tobacco sales can allow on-site cannabis consumption if they receive local approval. IS&P’s consumption area will be in the same building as its Springfield dispensary, but an opening date and concept have yet to be determined.

Chicago Mayor Lori Lightfoot called off an on-site consumption vote by the City Council earlier this month. Anel Ruiz, Lightfoot’s press secretary, told the Sun Times that the mayor opted for the delay in order to take “helpful feedback” on the proposal into account. Lightfoot had previously indicated she had the votes to pass the measure, which would have allowed on-site consumption at the city’s smoke shops.

On-site cannabis consumption and social-use provisions are relatively rare in cannabis laws. In 2018, Denver, Colorado voters approved a social-use ballot initiative and city officials adopted those rules permanently last year. In California, the nation’s first cannabis café opened in West Hollywood last October after it was approved by local lawmakers. In Nevada, the Paiute Tribe opened the state’s first “tasting lounge” last year. Only Alaska allows state-wide on-site consumption.

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Oklahoma Cherokee Nation Studies Hemp & Cannabis Reforms

Oklahoma’s Cherokee Nation is set to study issues related to hemp and cannabis such as commerce, health care, and agriculture, the Cherokee Phoenix reports. The “Executive Work Group on Hemp, Cannabis and Related Opportunities,” appointed by Principal Chief Chuck Hoskin Jr., will make recommendations on internal tribal policies, consider the role cannabis could have in the tribe’s healthcare system, and make recommendations on hemp and cannabis cultivation and use.

“As chief, I want well-informed policy, and the team we have assembled will be a great asset in that regard. I believe there are opportunities for Cherokee Nation, our businesses and our citizens to benefit from this emerging industry. But, we need to move forward carefully and responsibly and in absolute strict adherence to the law in order to ensure success and sustainability.” – Hoskin Jr., to the Phoenix

Secretary of Natural Resources Chad Harsha, who will chair the workgroup, called the study “a substantial step” for the Cherokee Nation “to evaluate the changing regulatory environment surrounding hemp and cannabis.”

Under tribal law, cannabis remains illegal; however, its workplace policies do protect medical cannabis patients. Recreational cannabis use is also illegal under Oklahoma law but medical cannabis laws were approved last year.

Several Native American tribes are already operating in the cannabis and hemp spaces, including the Paiute in Nevada, Confederated Tribes of Warm Springs in Oregon, the Acoma Pueblo Tribe in New Mexico, and the Puyallup Tribe in Washington. The Flandreau Santee Sioux Tribe in South Dakota had planned a massive cannabis resort but they ultimately abandoned those plans due to state and federal laws.

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Eco-Friendly Marijuana Packaging

There are a lot of marijuana packaging companies operating in the United States. They design and manufacture doob tubes that commonly hold joints or vape cartridges and also airtight jars meant for varying amounts of flower, but only a few of these companies are looking forward to sustainable cannabis packaging options. Alongside the issue of plastic and non-sustainable materials, many states require excessive packaging for an edible or other product to remain compliant. 

Why don’t companies use sustainable marijuana packaging?

To some cannabis growers and producers, it’s simply not important that they use compostable packaging, but that isn’t always the reason why shelves are lined with mylar-bagged weed. The reality is that sustainable packaging is more expensive, which drives up a company’s bottom line, which means that sustainable packaging leads to a more expensive product on store shelves. Oftentimes, the bargain value is more important and companies are left facing low sales — so, ultimately, the consumer decides whether or not compostable and biodegradable options will sink or swim.

Despite this upward climb, some marijuana packaging companies have continued to innovate their eco-friendly offerings.

A courier passes a paper bag of cannabis products.
Packaging Naturally

Packaging Naturally was created in direct response to the current waste-heavy cannabis industry that is developing in Canada. Their airtight jars are made with 100% renewable bio-composite resin that is mostly derived from the land. They are food contact certified and thus can be used for edibles along with other cannabis products. The jars are even substantially lighter than other commonly used glass jar options, making shipping costs and fossil fuels used to ship them lesser than their counterparts. 

Cylinder Paper Tube

Child-resistant and regular cylinder paper tubes are made by Marijuana Packaging Solutions. The child-resistant option features a small button that must be pushed when pulling the tube apart from its lid. This packaging is customizable and made from recyclable paper, it also boasts that it will create a retail presence with its elegant, eye-catching design. This option is not completely air-tight, however, and will need another bag inside of the tube to keep the product as fresh as possible. 

Elevate Compostable Options

Elevate Packaging offers multiple compostable packaging solutions that are also bio-based and GMO-free. Their clear bags, sticker labels, and opaque paper bags are made from coextruded film and will decompose in 3-6 months according to ASTM D6400. All of the bags can be vacuum and heat-sealed and feature an EZ-notch which makes it easier for arthritis and cerebral palsy patients to tear them open. 

Sana Packaging

This green company takes us back to the source with packaging made out of hemp plastic as well as recycled ocean plastic, alongside other sustainable materials. The company was founded by business students at the University of Colorado in Boulder who presented Sana Packaging as their final project. Turning cannabis into a circular economy, one that uses the waste it creates, caught the attention of investors. Now the team is producing #2 recyclable joint/vape tubes and slide boxes that can be made child-resistant.

Nitrotin

Founded in Western Canada, Nitrotin now has locations across the country. Nitrotin is focused specifically on the cannabis industry, providing a packaging solution that is not only eco-conscious but also keeps dried flower fresher than other options. Their canning system applies Nitrogen to the can and seals the flower in, blocking oxygen from accessing the buds and drying them out. They can travel without crushing colas, can be branded for good marketing, and best of all can be recycled after use. 

Though they aren’t always available on the shelves at local dispensaries there are sustainable marijuana packaging options available to cultivators and producers. Unfortunately, many of these options cost $0.30 more per jar than the leading competitor, and that is the bottom line. The only way a consumer is going to see more ecologically sustainable cannabis packaging is if they ask for it and pay the higher price for it.  

After it is all said and done, the consumer dictates the market. If consumers begin to focus on products that are pesticide-free and packaged with recyclable materials then the brands will follow. 

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Hemp Legalization Bill Introduced in Idaho

The Idaho Senate Health and Welfare Committee is set for a hearing on a measure to legalize hemp cultivation in the state, the Associated Press reports. The bill would align state and federal law and includes an emergency clause that would allow the state’s farmers to begin growing hemp this year of the bill is signed into law.

Rep. Dorothy Moon (R), the bill sponsor, said the measure gives farmers “an option to try a different product if they so desire.”

“I think it’s important we give them those opportunities since everybody else is making hay, more or less, with hemp. … I’m excited the Senate has heard this bill early, and hopefully it will move through both chambers quickly and we’ll get it to the governor’s desk,” – Moon, to the AP

Idaho has become a flashpoint for hemp policy, as it’s one of few states to have not enacted some kind of hemp legalization following federal action in 2018 and is bordered by hemp- or cannabis-friendly states such as Washington, Oregon, Nevada, Montana, and Wyoming. Until November – when Gov. Brad Little (R) signed an executive order to permit interstate hemp transport – hemp was not allowed to be even transported through the state and, due to the state’s laws, hemp shipments were often seized by state and local police.

When he announced his executive order, Little indicated he was not opposed to hemp production in Idaho but wants to ensure that “the production and shipping of industrial hemp is not a front to smuggle illicit drugs into and around Idaho.” He called the action a “stopgap” until the Legislature could develop a framework for hemp legalization.

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New York Gov. Includes Legalization in 2021 Budget

New York Gov. Andrew Cuomo (D) has included cannabis legalization in his 2021 budget, proposing a 20 percent excise tax, a 2 percent locality tax, and cultivation taxes of $1 per gram of flower, $.25 per gram of trim, and $.14 of “wet” cannabis. The governor estimates cannabis taxes would raise $20 million in taxes in 2021 and $63 million in 2022.

“The proposal will administer social equity licensing opportunities, develop an egalitarian adult-use market structure and facilitate market entry through access to capital, technical assistance and incubation of equity entrepreneurs. The proposal will also correct past harms to individuals and communities that have disproportionally been impacted by prohibition.” – The governor’s office in a press release

The plan also calls for New York to work with neighboring states that have yet to legalize cannabis – Connecticut, New Jersey, and Pennsylvania – on packaging, labeling, and advertising rules for cannabis products. Lawmakers from each of those states are considering broad cannabis reforms and the governors have voiced support for legalization.

Cuomo’s plan would create the Office for Cannabis Management, which would administer the industry’s regulations, once promulgated, and would centralize both medical and recreational cannabis operations and oversight. In December, Cuomo hired Norman Birenbaum, the former top cannabis regulator in Rhode Island. Birenbaum is expected to assume the role as head of the OCM once the agency is, officially, created.

Cuomo’s budget also includes a proposal to ban flavored vaping products, vape product advertising “targeted to youth,” vape oils that could carry health risks, and a restriction on buying vape products online, over the phone, and through the mail.

Last year, Cuomo included legalization in his budget bill but legislative leaders pushed for the reforms to be passed the traditional way; ultimately, however, they did not take that step. Lawmakers did approve sweeping decriminalization and expungement reforms in lieu of full legalization.

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Decriminalization & Home Grows Proposed In West Virginia

A West Virginia lawmaker is renewing her push for cannabis decriminalization in the state, according to a WOWK report. Del. Sammi Brown (D) is reintroducing HB 3108 which, under to the previous proposal, would decriminalize possession up to 225 grams (about 8 ounces) by adults 21-and-older and allow them to grow up to 12 plants.

The measure would allow individuals 21-and-older to “use, grow, possess, transport and give away cannabis and homemade cannabis products without remuneration.” The provisions would allow gifts of up to 30 grams and the transport of up to 60 grams.

The previous version of the bill also included expungement provisions and would require the counties to “review all arrest and conviction record of every cannabis offender of every person convicted of a cannabis offense beginning in calendar year 1937 to the present.”

The bill would, effectively, move the state toward a taxed-and-regulated market – much like in the case of Vermont, which legalized cannabis for adult use in 2018 but did not create a regulated industry.

In an interview with WOWK, Del. Tom Fast (R) called the plan “very imprudent,” adding that if lawmakers were going to take the route why wouldn’t they “just decriminalize heroin and any other drug.”

Rusty Williams, a patient advocate for the West Virginia Medical Cannabis Advisory Board, said the organization would welcome the broad reforms due to the “restrictive” nature of the state’s medical cannabis program.

“One of my major issues with the Medical Cannabis Act was it is very restrictive as far as the conditions we are going to allow doctors to recommend cannabis for…if we decriminalize that is going to open up access for people who would not otherwise have that access.” – Williams, to WOWK

Last week, the state’s Democratic Caucus urged the Department of Commerce to fast track an economic study on the impact of recreational cannabis legalization in the state.

Last session, the measure did not advance out of the House Health and Human Services Committee.

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CBD and Chronic Pain

Cannabidiol or CBD, one of the main chemical compounds in cannabis, has been known to help in the treatment of a variety of conditions including anxiety, inflammation, and chronic pain. If you struggle with chronic pain and/or are new to the cannabis space, taking a new drug can seem daunting. Luckily, cannabidiol is nonaddictive and fairly safe to use compared to other drugs like prescription painkillers. In this article, we will explain how CBD alleviates pain and inflammation, and how you can treat your conditions safely.

How does CBD work?

CBD works by indirectly activating your body’s endocannabinoid system (ECS). The ECS contains a network of neurons and receptors in parts of the brain like the hippocampus, hypothalamus, and reward regions like the nucleus accumbens. It helps to regulate memory, appetite, mood, and pain. While the neuroscience of pain and pain centers in the body is still not fully understood, we do know that by activating certain receptors, CBD seems to alleviate pain mainly by reducing inflammation.

More and more people suffering from chronic pain are turning to CBD to help alleviate their symptoms.

How does CBD specifically treat chronic pain?

A 2007 study showed that repeated administration of CBD (once every day for seven days) reduced sciatic nerve pain and inflammation in rats in a dose-dependent manner. Researchers speculated that this occurred through stimulation of a class of receptors called TRPV1, or by activation of a cannabinoid, our body naturally produces called anandamide. It is clear CBD achieves its therapeutic potential through indirect activation of many different receptors and does not directly activate CB1 receptors as THC does.

In 2017, researchers in Kentucky found that high doses of CBD given transdermally to arthritic rats over seven days significantly decreased joint inflammation. This occurred because CBD seemed to reduce pro-inflammatory biomarkers, essentially molecules that create inflammation as part of an immune response. These rats also had decreased pain responses, most likely an effect of the decreased inflammation. Another study showed CBD administration reduced joint inflammation in osteoarthritic rats and even had neuroprotective properties. They found this was because of decreased leukocytes near the joint site (leukocytes are white blood cells involved in the immune response).

The researchers in the former study administered CBD by rubbing it on the skin because CBD typically has a low bioavailability. Once it passes through the digestive system, a lot of it has already been processed or is converted into inactive byproducts. Applying CBD directly to the spot of interest bypasses this issue and allows for more specific treatment. This is why some recommend treating issues like arthritis or muscle pain using a CBD salve, especially if you want to avoid any side effects you may experience when using a product that has a combination of THC and CBD.

Scientists have also looked at how CBD can alleviate other types of chronic pain, like neuropathic pain. In 2019, Canadian researchers found that repeated CBD administration decreased allodynia (when a pain response is triggered for events that may typically not be painful, like light sensitivity during migraines or pain in response to touch) and anxiety-like behavior in rats. We know CBD does not act directly on CB1 or CB2 receptors but can act on various other receptors like TRPV1 and receptors related to immune responses to create its array of therapeutic effects. 

In the case of this 2019 study, CBD achieves its reduction in anxiety-like behavior through serotonin receptors. Serotonin receptors are most commonly known for their role in depression and depression medications, but serotonin also regulates sleep, appetite, anxiety, gastrointestinal motility, and a whole host of other functions (actually, about 90% of your serotonin receptors are located in your gut, not your brain!). This may mean that CBD can not only relieve pain but also some anxiety related to that pain.

Hemp-sourced CBD oil is currently the nation’s most common CBD product offering, but other potential products include lozenges, pills, topical rubs, and more.

Safety and side effects

The most common side effects cited with cannabidiol use are weight fluctuations, fatigue, and diarrhea, but overall, CBD is typically well-tolerated. It has been shown to help with addiction or relapse to other drugs like painkillers or nicotine. Opioid receptors are close in proximity to the ECS, and the ECS has been seen to modulate the activity of these receptors. This has exciting implications for tackling the opioid epidemic and the future of safely treating pain. This news also gives a person in pain more options to treat their pain in ways that involve less danger for the future.

Finding a treatment that works for you

If you want to avoid any possibility of feeling “high,” using a topical CBD or a CBD flower with no THC is the way to go. However, finding a strain of flower with absolutely no THC is nearly impossible—many CBD strains higher in CBD can have THC concentrations around 0.8%, like the popular strain ACDC which has 11-15% CBD and less than 1% THC. At this point, the amount of THC present is so negligible that you would likely not feel any effects.

There are subjective pros and cons to the method of consumption you choose, and each person has their preference. Smoking allows for more instant results as it enters your bloodstream more quickly, but topical administration allows for more localized treatment of the site in pain. In terms of dosing, we always suggest “start low and go slow” as tolerance builds up and you get a feel for how you prefer consuming CBD. No matter what route you choose, we hope there is a sigh of relief at the end of the tunnel.

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Lawmakers Consider Banning Concentrates In Washington

A bill proposed in Washington would effectively ban cannabis concentrates, including vape cartridges, for retail sale but would still allow the products to be sold to patients. According to a Leafly report, the concentrate segment represented nearly 40 percent of the state’s legal cannabis sales last year.

Lawmakers say the potent products – higher than 10 percent THC – are connected to “the occurrence of psychotic disorders” citing a study that found “participants who used high-potency cannabis daily had four-times higher odds of psychosis in the whole sample.” The bill would limit THC concentration in extracts at 10 percent.

Leo Beletsky, a professor of law and public health at Northwestern University, told Leafly that if the ban were enacted, it would push many consumers back into illicit markets.

“There may well be rationale for eliminating some portion of the riskiest products on the market if there’s evidence to support that but doing that with 40 percent of the products would make very little sense. If 40 percent of the market is toward these products and then you ban them, you’d definitely be creating a push towards the black market.” – Beletsky, to Leafly

Over the summer, and into fall, at least 57 deaths were attributed by the Centers for Disease Control (CDC) to illegally-produced vape cartridges tainted by vitamin E acetate. The agency has confirmed more than 2,000 cases of the lung injury disease linked to vitamin E containing vape products.

According to the Leafly report, if the bill were passed, state operators would have to dilute their concentrate products or start with low-THC cannabis for extraction. Daniel Luebke, director of marketing and brand for Seattle-based extractor Heylo, suggested to Leafly that concentrate producers would need to dilute THC extracts with other cannabinoids, such as CBD, or with cutting agents.

The bill, which includes both Democrat and Republican sponsors, is currently in the Commerce and Gaming Committee.

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Denver Dispensary Robberies Reach 3-Year High

Cannabis dispensary robberies and break-ins in the Denver, Colorado metro-area reached a three-year high in 2019, the Denver Post reports. Dispensaries in the city reported five robberies and 122 burglaries last year, up from one robbery and 120 burglaries in 2018; from 2016 to 2017, dispensary burglaries actually fell from 169 to 83.

According to Denver Police data, cannabis industry-related crimes accounted for 0.3 percent of the city’s total offenses in 2018 and the most common crime in the space is burglary of a controlled substance, a class 2 felony. Police believe that as many as six of the recent robberies in the Denver area are linked.

John Goutell, general counsel for Frosted Leaf – whose three Denver locations have been burglarized after hours eight times since 2014, along with a robbery at its Cherry Creek location last month during which two employees were held at gunpoint by four men – told the Post that the robberies will probably continue “until these businesses aren’t forced to deal only in cash.”

“With all the stories that have been published about reaching certain tax collection milestones – you hear about a billion dollars collected – there’s this misconception there will be piles of money at these places if they come in.” – Goutell, to the Post

Cash isn’t the only target, Denver police Cmdr. James Henning explained in the report, calling stolen cannabis products “like cash in hand” and that a $1,200 pound in Colorado is worth up to $3,500 on the East Coast.

In September, the U.S. House of Representatives passed the SAFE Banking Act which would normalize banking for cannabusinesses throughout the country.

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Ohio Medical Cannabis Market Still Growing After First Year

Ohio’s medical cannabis dispensaries have been open for business for one year as of Thursday, January 17, 2020; over that year, medical cannabis access has slowly improved in Ohio.

During 2019, the number of dispensaries grew from four to 47, but there are 57 approved provisional licenses. Only 20 of the 32 producers are operational and 14 out of 43 processors are actually manufacturing cannabis products.

Patient numbers are also low, with less than 100,000 patients registering in the first year — far fewer than the 200,000 projected by some experts, according to Columbus’s ABC 6. Advocates hope to expand the list of 21 qualifying conditions to include anxiety and autism over the next year, a move many hope will bring more patients into the state-run system. 

“Going back to that first day when there are only four dispensaries in far-flung corners of the state, a lot of patients didn’t have access to a dispensary. It didn’t make sense to sign up for a card because they couldn’t really use it.” — Thomas Rosenberger, representing the Ohio Medical Cannabis Industry Association, via ABC 6 “On Your Side”

One bright spot for the Ohio market may be lower prices, as ounces of flower fell from over $500 at roll-out to just a little over $300 after its first year, bringing prices more in line with nearby states like Pennsylvania and Michigan.

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Out-of-State Investments Bill Challenged In Washington

A bill to lower residency requirements for cannabis business investors, while simultaneously creating a “minority and women” low-interest cannabis loan program designed to increase equity in the Washington state cannabis market, was introduced in the Washington legislature.

HB 2263, “Expanding opportunities for marijuana businesses by removing residency barriers and providing access to capital for minority and women-owned businesses through a fee on certain investments” and its companion Senate bill SB 6085, seeks to create a “Marijuana Equity Loan Program,” implement a 1% fee to fund the program, and remove the six-month residency requirement for cannabis investors.

The bill would set up a Department of Commerce (DOC)-administered “Marijuana Equity Account” funded by a 1% fee on aggregate yearly investments greater than $500,000, unless the fee is less than two million — then, the fee will be assessed for investments over $200,000. Loan interest rates would be between 0-2% and all loan repayments would go directly into the “Marijuana Equity Account.” A “Marijuana Equity Board” made up of representatives from the DOC, LCB and existing minority-owned cannabis businesses will be convened to assist in implementing the program. Finally, the six-month requirement to own a cannabis license in Washington state would be “eliminated,” according to the House Bill Analysis.

Despite the bill having 11 sponsors and support from the Washington Cannabusiness Association and former state Senator and LCB board member Mindon Win, the bill received major pushback from other industry groups like The Cannabis Alliance, Washington Sun Growers Association, and Black Excellence in Cannabis.

Many concerns have centered around the market destabilization that out-of-state money would create, while others point out these large investors would “drive out small minority-owned businesses the bill is meant to help.”

Some of the most impactful testimony in opposition to the bill came from Paula Sardinas, a Commissioner on the Washington State Commission on African American Affairs, and Black Excellence in Cannabis.

“… [You] are talking about allowing billionaires, the top 1%, who already own most of your businesses, who already own most of your licenses, to basically garner outside capital with the soul intention, if we’re going to be truthful, of launching IPOs. Couching that behind women and minorities, while not addressing the fact we are locking up black and brown people at 4 times the rate of any other community for cannabis, is dishonest and disheartening.” — Paula Sardinas, Commissioner on the WA State Commission on African American Affairs

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Utah Bill Addresses Expungement, Patient-Employee Rights

A bill introduced in Utah would allow some medical cannabis patients to expunge prior low-level cannabis convictions, clarify when police and prosecutors could go after someone with metabolites from cannabis use in their system, and address how employers handle employees who use cannabis legally as patients, Fox 13 Now reports. The proposal would also remove requirements that medical cannabis be sold in “blister packs.”

Senate Majority Leader Evan Vickers (R) said the Legislature is trying to “streamline the process for implementation” of the bill. He said the language addressing cannabis metabolites is an effort to protect individuals who may have the metabolite in their system but are not impaired.

“With cannabis, you can have metabolite in your system for a long time, but it may not be active. But there is methods to be able to determine whether the metabolite is active or not. Of course, if you’re impaired, you’re impaired.” – Vickers, to Fox 13 Now

The employment provisions included in the law are another safeguard for patients because, while lawmakers envisioned medical cannabis – and CBD – being treated the same as other prescribed controlled substances, it’s not always the case, Desiree Hennessy, director of the Utah Patients Coalition, explained in the report. She described the situation as “employer roulette.”

Some drug tests only test for the presence of cannabinoids and do not make a distinction between THC and CBD.

“The law is now saying, ‘Yeah you can use medical cannabis and you’re no longer a criminal,'” she said to Fox 13 Now. “And then you go to work and they say, ‘Yeah, but if you do it you’re fired.’

The measure would also allow medical cannabis to be sold in child-proof, opaque containers – as is the case in most other states – rather than blister packs.

Vickers said that while officials plan on having the program up-and-running by March, he suggested that, at first, there would be “some distribution” but probably not “full-blown distribution.”

The state Department of Health announced the locations for the state’s 14 dispensaries earlier this month; eight of those locations are permitted to open after March 1, while the remaining must wait until July 1. Lawmakers had initially approved a plan for county health departments to distribute medical cannabis but scrapped the strategy after concerns that officials could face federal charges for their role in the system.

The Legislature-approved law replaced the law approved by voters in 2018. That legislative action was upheld by the Utah Supreme Court in a case brought by the activist organization The People’s Right.

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Binge Drinking Down at Campuses in Legalized States

Study: College Binge Drinking Down in States with Legal Cannabis

Cannabis use among college students in legalized states is on the rise but binge drinking rates for college students are down in those same states, according to an Oregon State University study published in the journal Addiction.

Students in states with legal cannabis were 18 percent more likely to have used cannabis in the past 30 days than students in non-legal states; they were also 17 percent more likely to have engaged in frequent use, defined as cannabis use on at least 20 of the past 30 days. Six years after legalization in early-adopting states, college students were 46 percent more likely to have used cannabis than their peers in states without adult-use cannabis access.

From 2012 to 2018, overall cannabis usage rates increased from 14 percent to 17 percent in non-legalized states; in the earliest states to legalize cannabis, those rates were 21 percent to 34 percent, the study found.

Using the same dataset, the researchers found that after legalization, binge-drinking rates for students 21 and older showed a greater drop than their peers in states where cannabis remains illegal. Binge drinking was defined in the study as having five or more drinks in a single sitting within the previous two weeks.

OSU doctoral candidate Zoe Alley, who worked on a companion study, said that legalization changes the dynamic of what substances students choose to consume.

“When you’re under 21, all substances are equally illegal. In most states, once you reach 21, a barrier that was in the way of using alcohol is gone, while it’s intact for marijuana use.” – Alley, in a statement

The data for the studies come from the National College Health Assessment survey from 2008 to 2018. More than 850,000 students participated in the survey which asks about a wide range of health behaviors including drug and alcohol use and is administered anonymously to encourage students to respond more honestly.

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