Licensed Canadian cannabis company Aurora Cannabis is selling one of its greenhouses at an asking price of C$17 million, according to a Barron’s report. An Aurora representative indicated the non-operational greenhouse was “inherited” by the company following its 2018 acquisition of MedReleaf and “would require retrofit and significant capital investment in order to meet Aurora’s production standards.”
MedReleaf had purchased the greenhouse in 2018 for $21.5 million in cash and 225,083 shares of stock, according to a Financial Post report.
“The company has taken decisive steps to rationalize capital expenditures and align our cultivation footprint to current demand, including selling the Exeter facility. We expect that our production capacity, including the anticipated completion of six grow rooms at Aurora Sun to be sufficient for near term demand.” – Aurora, in a statement to Barron’s
Last November, Aurora announced it would be stopping construction on the Aurora Sun facility along with a facility in Odense, Denmark, according to the Post.
The listing comes as Aurora has seen its stock price plunge 63 percent over a 52-week period. The 2018 all-stock MedReleaf deal was valued at C$3.2 billion and reportedly gave Aurora a production capacity of 570,000 kilograms (about 1,256,635 pounds).
Bill Kirk, executive director at MKM Partners, an institutional research company, said selling the greenhouse at the asking price would only represent two weeks of cash burn for Aurora. He added that “with profitability timing uncertain, Aurora’s obligations will continue to be difficult to meet.” Kirk noted that the firm is also “discouraged with the visibility” of Aurora and that “investors were unaware” the company was trying to sell the Exeter greenhouse.
The greenhouse would be the third tangible asset Aurora has decided to sell or put on hold since the company was founded in 2015, the Post reported.
Daniel Sax, the founder and CEO of cannabis real estate investment company Sensi Properties, told the Post that while new agricultural companies are “certainly” looking for new greenhouse space, Aurora’s price might be high.
“Prices being paid a year and a half ago were way above traditional costs on agriculture greenhouses,” he said in the report.
Aurora stock closed down 5.24 percent following reports that the Exeter facility was put on the market.
The Utah Department of Health has chosen the locations of the state’s fourteen medical cannabis “pharmacies.” Ten applicants were awarded licenses out of a pool of over 150 applications from 60 different companies. Regulators considered the applicants’ experience with medical cannabis, behavior in other jurisdictions, the extent that the applicants could make medical cannabis affordable, and the applicants’ operation plan viability.
The licenses are divided into two groups. Eight locations may open after March 1, while the remaining six must wait until July 1 to open. The state was divided into four geographic regions to assure patient access, however, large parts of the state are left without a “pharmacy,” leaving the door open for possible delivery services at a later date.
“We feel like that was a good thing for the state of Utah that there was so much competition,” Richard Osborn, director of the Utah Department of Health’s Center for Medical Cannabis, told the Salt Lake Tribune. “We feel like we’ve got a good set of applicants that come to us with a lot of confidence in what they’re doing and a lot of knowledge and expertise.”
“The Utah Department of Health is committed to ensuring patients have safe and reliable access to medical cannabis and we are confident the companies selected are best prepared to meet the needs of Utah patients and provide the best value to Utah communities.” — Utah Department of Health official statement
Some applicants still must submit financial information to the state and pass background checks, as well as pay the state’s $50,000 license fee and, in some cases, get local approval for their pharmacy locations.
A list of successful applicants and their proposed locations can be found on the Utah Department of Health website.
The Brown County, Illinois Sheriff’s Office has reportedly made the first cannabis-related arrest in Illinois following the January 1 legalization in the state, according to a KHQA report. The sheriff’s office said an 18-year-old was cited for possession of adult-use cannabis in a motor vehicle after being stopped for failing to use a turn signal.
Cannabis use and possession in Illinois is only legal for adults 21-and-older. The laws require that transported cannabis be stored in an odorless, childproof container. Under the law, possession is now a civil infraction with a $100 to $200 ticket with increasing fined and penalties – including felony charges – for subsequent violations, based on the amount of cannabis one is caught with.
The arrest comes about a week after Democratic Gov. J.B. Pritzker pardoned 11,017 people for low-level cannabis convictions. His office said that there are another 70,000 records eligible for relief due to the recreational cannabis laws passed by the legislature last year.
The day after legal cannabis sales commenced in Illinois, law enforcement agencies in McLean County told the Pantagraph that they had no incidents of cannabis-related crimes or driving under the influence of cannabis.
Normal Police Chief Rick Bleichner told the Pantagraph that it was “no surprise” that none of the county’s agencies “had an arrest based on anything over the 30-gram limit” one day after legal sales commenced.
Both the Illinois Sheriffs’ Association and the Illinois Association of Chiefs of Police opposed cannabis legalization.
The CBD industry is both exceedingly popular and exceptionally under-regulated. This combination has led to a surge of products entering the market, from CBD workout gear to infused pillows. However, with the lack of regulatory oversight many consumers have questioned whether the labels of these cannabinoid-infused products can be trusted. In fact, the FDA just warned 15 companies for illegally marketing and selling CBD products.
The Leafly exposé
In Summer 2019, Leafly published a deep dive investigation into this new industry, bringing 47 CBD products to a third-party laboratory on a mission to find out how much CBD they actually contained. In the shocking results, only about half of the products tested contained within 20% of the CBD that was labeled. Among those that failed, all four of the following CBD water products tested below 20%, with three out of four containing absolutely no CBD.
Mountjoy Sparkling Water
Fresh CBD Water
Herbal Springs
CBD Living Water
Each of these products were analyzed by Redmond-based testing lab Confidence Analytics for Leafly’s investigation. Mountjoy, Fresh, and CBD Living tested at 0% CBD while Herbal Springs tested at 7 mg CBD rather than the 10 mg that was advertised. All four CBD water products claim to use nanotechnology to emulsify CBD, resulting in equal distribution throughout a large quantity of liquid.
CBD products that boast of nanotechnology are primarily referring to nanoemulsion methods that are widely used already, in salad dressings, for example
The plot thickens
Test results for CBD Living Water were also recently shared with The Blacklist XYZ (a user-generated cannabis news outlet) by an anonymous party who claimed that there was no CBD in the product, igniting a firestorm of comments on social media on the heels of Leafly’s investigation. Digging deeper, we also found an earlier independent investigation from KGW8, a Portland-based TV station, which had also hired a third-party lab and found zero CBD in the “infused” bottled water that they tested.
In a PDF that is now published alongside test results for CBD Living’s infused water, the company states that they have “provisionally concluded” that the nano-emulsified CBD in their product is only verifiable through a special process they describe as “BY INPUT,” and that standard HPLC tests will not be able to detect their CBD because the particles are too small.
What does the science say?
To provide clarity, Confidence Analytics Operations Director Pat Reynolds took the time to answer some of our questions about the process of testing infused beverages, the methods used in the process, and what “CBD nanotechnology” actually means.
According to Reynolds, “nanoemulsion” — referring to an emulsion whose droplet sizes are in the 20-200 nanometer range — is not the same thing as “nanotechnology,” which is the field of engineering that deals with the manipulation of individual atoms and molecules. He disagrees with the association that many of these brands have drawn, stating, “Nanoemulsions are produced by high-shear mixing… I guess you could call that a form of nanotechnology, but to my mind, that is a bit of a stretch.”
Reynolds disagrees with CBD Living’s claim that the CBD in their products would be undetectable after nanoemulsion. He explains:
“A CBD molecule is a CBD molecule. If you break it up into smaller fragments, it is no longer CBD and will not act like CBD. Adding ‘nano’ in front of the word does not change the molecule itself. Even if a beverage is presented as a nanoemulsion, when the lab adds a solvent as part of their extraction process, this causes the emulsion to break and anything encapsulated in the nanoemulsion will be visible to the lab’s instruments.”
Ganjapreneur reached out to CBD Living for comment, but the company had not yet responded by the time of this article’s publishing.
Different labs, different results
While CBD Living maintains that their nano-emulsified CBD is undetectable by most labs, they do provide test results alongside their infused water product — the most recent of which is dated August 7, 2019. The third-party laboratory that provided the testing certificate is Advanced Botanical Consulting & Testing, Inc., or ABC Testing, a California-based lab that specializes in testing beauty products, pharmaceuticals, and nutritional supplements. However, a brief investigation of publicly-available information about ABC Testing yielded some interesting results.
On June 4, 2019, ABC Testing was served with an official warning letter from the FDA following an inspection that resulted in four serious violations. In that letter, the FDA stated that the same violations were prevalent after an inspection of ABC Testing in 2012, implying that no action was taken by the lab after the first letter was received.
In total, the violations that ABC Testing was warned about included:
Failure to establish and document the accuracy, sensitivity, specificity, and reproducibility of their test methods.
Inability to ensure that laboratory records included complete data derived from all tests that are necessary to be compliant with established standards.
No control exercised over a computer or related systems to ensure that only authorized personnel can institute changes in master products and records.
Failure to routinely calibrate, inspect, or check equipment according to a written program designed to assure optimal performance and failure to maintain written records of calibration checks or inspection of equipment or computers used to manufacture, process, pack, and hold pharmaceutical products.
Ganjapreneur reached out to a compliance officer from the FDA, who explained that the case is in review and considered “open,” so they were unable to discuss any specifics. However, they did note that once the FDA has verified that “corrective and preventive actions” were taken at ABC Testing and those corrections are deemed adequate, the lab will receive a Warning Letter Close Out (WLCO). No such actions had been approved to date.
Hemp CBD products have taken the country by storm but there remains little regulatory oversight for the industry.
These aren’t the only issues related to the management and protocols in place at ABC Testing Inc. In fact, multiple sources claim that the company has a history of falsifying lab results.
According to a Trust Transparency report, in 2016 ABC Testing performed microbial analysis on a stool-softener drug and provided a certificate of analysis concluding that the bacteria Burkholderia cepacia (B. cepacia) was not present. When the FDA and CDC tested samples of the same lot, however, the agencies found Burkholderia cepacia (B. cepacia). This strain genetically matched one that was involved with up to 60 cases of illness and death directly related to the batch of stool softeners that ABC Testing had cleared.
Former employees of ABC Testing have also commented online that the company’s test results aren’t always 100% factual. In public reviews posted on Glassdoor, three separate individuals state that the lab’s supervisor changes test results to meet customer requests. The company has a 2-star rating overall, based on a total of 15 different reviewers.
Despite having received multiple warnings from the FDA dating back over 7 years, ABC Testing is still licensed and continues to operate, providing certificates for a wide variety of products ranging from CBD brands, to cosmetics, pharmaceuticals, and nutritional supplements. And months after Leafly’s expose and multiple other reports, CBD Living Water is still available via the company’s website, accompanied by its certificate from ABC Testing.
What’s a consumer to do?
Cannabis industry insiders have been advising friends and family for years to be cautious about which CBD brands to trust and what to avoid. One of the most frequently repeated recommendations to new CBD buyers has been to purchase from brands that publish third-party test results online, but it’s now clear that this is not enough. Consumers must also research the people behind the products, the claims used to market the products, as well as the labs that have certified those products. People who follow the industry may be able to assist those in their immediate circles, but this is not a realistic expectation for someone who is looking to purchase CBD online after reading testimonials or hearing about it from their neighbors.
The idea that the CBD landscape is vastly under-regulated and over-hyped is nothing new. However, the fact that FDA-approved testing labs can operate for years after receiving multiple warnings reveals that the risk to consumers extends far beyond the world of CBD. More than anything, this revelation suggests that consumers should not assume that any product is safe just because it is packaged professionally and presented to them in a familiar retail or online-shopping environment.
Since Texas legalized hemp production on June 10, 2019, the number of cannabis possession cases filed in the state have fallen nearly 66 percent, according to a report from The Facts. According to the report, in May police throughout Texas filed 5,688 misdemeanor cannabis cases; that number fell to 1,919 by November.
According to the report, law enforcement agencies in Texas are expected to roll out testing procedures to differentiate between hemp and THC-rich cannabis; however, there are tens of thousands of low-level cannabis arrests made in the state every year and Shannon Edmonds, director of governmental relations for the Texas District and County Attorneys Association, told The Facts that if tests were requested for all of the state’s cases every year, the Department of Public Safety would be inundated with “such a huge backlog that it would likely never get caught up.”
In July, nine out of 10 of the state’s most populous counties indicated that they would drop or not prosecute low-level cannabis cases following the passage of the hemp law because law enforcement agencies are unable to distinguish between hemp and psychoactive cannabis which casts a reasonable doubt over criminal proceedings. In response, Gov. Greg Abbott, Lt. Gov. Dan Patrick, House Speaker Dennis Bonnen, and Texas Attorney General Ken Paxton – all Republicans – sent a letter to district and county attorneys urging them to continue prosecuting the cases.
While law enforcement agencies do have the option to send cannabis samples to laboratories to determine THC concentration, it can cost hundreds of dollars for the tests and even more to have laboratory employees need to testify. Edmonds said it “can be hard to justify” those costs for a misdemeanor.
A smart storage device for cannabis designed by Keep Labs is the first cannabis-related company to ever win an award from CES; however, the firm was banned from using the word “cannabis” on the CES show floor and ultimately declined to exhibit the award-winning product, according to a Tech Crunch report.
Keep Labs’ KEEP device won an Innovation Award in the home appliances category during the CES Innovation Award; the device looks like an alarm clock but the smart storage device uses biometric authentication with WIFI and Bluetooth connectivity to allow cannabis users to lock and unlock the device through the KEEP app with a look or touch. The app sends a push to smartphones wherever the device is accessed.
However, the Consumer Technology Association, the group behind CES, told Keep Labs that the only way they could exhibit would be if the company’s signage, marketing materials, and products displayed are free from cannabis references, products, and paraphernalia.
The device remains on the CES website and the word “cannabis” is used in the product description.
The CTA told Tech Crunch that since the tradeshow does not have a “category pertaining to the market,” no cannabis or e-cigarette products are exhibited on the CES floor.
“Given cannabis is not a category at CES, the company was able to exhibit under the terms they’d showcase their product as a storage device. … Keeps Labs fit in the Home Appliances category for the Innovation Awards.” – CTA, in a statement to Tech Crunch
Keep Labs Co-founder Philip Wilkins told Tech Crunch that lumping the device with other storage solutions and home appliances without mentioning cannabis would not be doing the brand or product justice. The device was also previously banned from both Kickstarter and Indiegogo for its association with cannabis.
The General Court of the European Union has ruled the logo for the Cannabis Store Amsterdam as unregistrable as a trademark, calling it “contrary to public policy.” The court claims that the logo – which includes cannabis leaves and the word Amsterdam – refers to illegal drugs and the “tolerated” cannabis culture in Amsterdam.
The court did acknowledge that the leaves in question could be considered hemp leaves and while hemp is not outlawed in the EU like THC-rich cannabis, the words “cannabis” and “Amsterdam,” paired with “store” could lead some to believe that cannabis could be bought at the location.
“…The Court, whilst acknowledging that hemp is not regarded as a narcotic substance below a certain tetrahydrocannabinol (THC) threshold, concludes, in this case, that it is due to the combination of those different elements that the sign at issue draws the attention of consumers, who do not necessarily have accurate scientific or technical knowledge regarding cannabis as a narcotic substance which is illegal in many EU countries.” – General Court of the European Union, in a press release, Dec. 12, 2019
Additionally, the court says the logo in question violates EU trademark regulations prohibiting registration of trademarks that violate public policy and morality.
The trademark was first applied for in 2016 by a woman seeking to use the logo for food, drink, and catering services, according to the court documents. Her application was initially denied by the EU Intellectual Property Office; the court’s ruling upholds the initial decision of EUIPO.
Federal regulators have unveiled their enforcement policy on flavored e-cigarette products that includes enforcing a Food and Drug Administration-approved ban on fruit and mint flavors. According to the FDA guidance document for the industry, tobacco and menthol-flavored products will be permitted but the agency intends to crackdown on manufacturers and retailers of otherwise flavored e-cigarettes.
Last year Congress approved a measure to give the FDA oversight power over the e-cigarette industry.
Health and Human Services Secretary Alex Azar said that the nation is seeing an “epidemic of substance use arise as quickly as our current epidemic of youth use of e-cigarettes” and that under federal laws, “no e-cigarettes are currently on the market legally.”
The 2019 National Youth Tobacco Survey found that more than 5 million U.S. middle and high school students have used an e-cigarette product within the last 30 days.
Gregory Conley, the president of the American Vaping Association, a pro-vaping advocacy organization, told Vice that when the e-cigarette ban was announced in September, “the conventional wisdom was that there was little hope of stopping it.”
HHS is ordering that manufacturers of e-cigarettes and vaping products cease manufacturing, distribution, and sale of flavored pods and products within 30 days, unless they begin an application process for authorization and ensure that age verification is mandatory in stores and online. The legal age to buy tobacco products was raised to 21 by the federal government last month.
FDA Commissioner Stephen M. Hahn, M.D said in a statement that raising the legal age, paired with the e-cigarette reforms balance “the urgency with which we must address the public health threat of youth use of e-cigarette products with the potential role that e-cigarettes may play in helping adult smokers transition completely away from combustible tobacco to a potentially less risky form of nicotine delivery.”
To date, the FDA has not approved any application for flavored e-cigarette products.
Researchers at Italy’s University of Salento have discovered two new cannabinoids – THCP and CBDP – and THCP could be more potent than THC, according to an outline of the study by the Growth Op. In tests on mice, researchers found that THCP showed “an affinity for CB1 receptor more than thirty-fold higher compared to the one reported for THC.”
“THCP is endowed of an even higher binding affinity for CB1 receptor and a greater cannabimimetic activity than THC itself.” – “A novel phytocannabinoid isolated from Cannabis sativa L. with an in vivo cannabimimetic activity higher than Δ9-tetrahydrocannabinol: Δ9-Tetrahydrocannabiphorol,” Nature Research, 2019
The other compound – CBDP – reportedly doesn’t bind well to CB1 or CB2 receptors which doesn’t make the cannabinoid a priority for further research; however, the researchers said that THCP “should be included in the list of the main phytocannabinoids to be determined for a correct evaluation of the pharmacological effect of the cannabis extracts administered to patients.”
According to the study, new research will continue to test how THCP cannabinoid acts as an antioxidant, anti-inflammatory and anti-epileptic activity – the health benefits most associated with CBD.
The research brings the total number of discovered cannabinoids in the cannabis plant to 150, though the researchers note that “most of them have neither been isolated nor characterized.” The two new cannabinoids “were isolated and fully characterized” by researchers “and their absolute configuration was confirmed by a stereoselective synthesis.”
The researchers suggest that “other varieties of cannabis may contain even higher percentages” of THCP.
The Illinois Department of Financial and Professional Regulation counted 77,128 transactions at cannabis dispensaries throughout the state, generating nearly $3.2 million on the first day of legal cannabis sales, NBC Chicago reports.
Toi Hutchinson, a senior advisor to the governor for cannabis control, called cannabis legalization in the state “a monumental milestone.”
“Launching the legalization of cannabis in a way that includes communities left behind for far too long, creates good jobs and expunges thousands of records for those who have lost out on opportunities and ends prohibition.” – Hutchinson, in a statement, via NBC
Gov. J.B. Pritzker (D) announced this week that he had pardoned 11,017 individuals with low-level cannabis offenses in conjunction with the rollout of legalized cannabis sales. The governor’s office described the criminal reform action as the “first wave” of cannabis-related expungements and Pritzker said the state’s industry “puts equity at its very core.”
“The amazing thing about that is that there’s a significant portion of these dollars that go directly into this community reinvestment fund, so we can continue to rebuild communities that have been hardest hit by the war on drugs,” Hutchinson said in a CNN report. “So sales are great but let’s never lose sight on the impact that we’re having on families around this state.”
The Illinois legislature made history last year by becoming the first state to legalize cannabis through the legislative process rather than via a voter initiative. The state is the 11th to legalize cannabis for adult use.
More and more pet owners are wondering how CBD oil for dogs might be able to help. When I met my partner, his family dog was elderly and suffering from osteoarthritis and dementia. She wandered around the property only half-sure of where she was. We put her on a dropper-full of CBD oil daily with her food and the results were immense. The formerly crotchety dog would spend her mornings romping around with the puppies before calmly napping her afternoon away.
These results are obvious but even so, people aren’t comfortable dosing their dogs without science-backed data. This is why lately veterinary researchers are focusing on the results and side effects of supplementary CBD oil for dogs. At this time there are very few studies informing pet owners and vets about what CBD oil, capsules, or topical applications actually do for canines. On top of that, further research is needed into what dosages are appropriate and possible contraindications with other canine medications, to name just a few remaining considerations.
What Is CBD?
While there is not much solid research into CBD oil for dogs, there is quite a bit known about the compound itself. CBD is one of many cannabinoids found in the cannabis plant. The most commonly known cannabinoid is THC, but there are also hundreds of others including CBG, CBN, THCv, and more. Each of these cannabinoids interacts with receptors in our endocannabinoid system called labeled CB1 and CB2.
CBD only interacts with CB2 receptors, which are found in the body, and not with CB1 receptors, which are primarily found in the brain. This action is why inhaling or ingesting CBD doesn’t cause psychoactive, “high” effects. Instead, it interacts with the muscles, tissues, and other aspects of the body for mentally non-intrusive effects. That’s why the cannabinoid has been gaining so much popularity — in most cases, it won’t “get you high.” Consumers enjoy the ability to feel relief from stress and muscle tension without being debilitated by a psychoactive and potentially stressful experience.
Many pet owners report seeing happier and more energetic pups after they receive a dose of CBD.
The Effect of CBD on Dogs
As mentioned earlier, there aren’t many scientific studies available covering CBD oil for dogs, but there are a few. One study, which was approved by Colorado State University’s Institutional Animal Care and Use Committee, surveyed 30 male Beagle dogs around the same age and weight after being given CBD supplements of three kinds over a period of six weeks. Their goal was to identify any adverse reactions pets may experience when administered various modes of CBD supplements.
The beagles were split into three groups who were all given CBD twice daily through three different methods. Group 1 had transdermal cream rubbed on their inner ear, Group 2 received CBD capsules, and Group 3 was administered CBD oil orally. The dogs’ vitals, urinalysis, and stomach chemistry were recorded at 2, 4, and 6 weeks. Results showed that many of the dogs suffered minor diarrhea or vomiting, but a change in housing and having strange dogs around could have contributed to that. Another important observation during the study showed that 36% of dogs had a significant elevation in alkaline phosphatase enzyme (ALP) which can be an indicator of cholestatic liver disease. This side effect was only present in canines administered the oral CBD supplements, suggesting that too much CBD oil can be an issue for our furry friends.
Another study set out to understand the pharmacokinetics of CBD in dogs with Osteo Arthritis (OA). Twenty-two dogs were administered CBD or a placebo by their owners over a period of four weeks. At weeks 2 and 4 a baseline veterinary assessment and owner survey were completed for analysis purposes. Pups received 2 mg of CBD oil per kg of their weight every 12 hours. The conclusion showed that CBD-rich oils were a viable alternative to non-steroidal anti-inflammatory drugs. However, the oils were very expensive when applying the dosage necessary to relieve the pain of OA, making it a bit cost prohibitive despite efficacy.
The last study that we looked at also used Beagles of median age and weight, dosing them with 2mg per kg of weight every 12 hours over a period of 12 weeks. Every 4 weeks blood was drawn from each dog and sent to a lab for analyzation. This study concluded that ingestible oil is the most effective method of administration, which a glycerol/fiber/starch-based chew also showing less impressive retention and half-life as compared to pure CBD oil.
Their findings lead researchers in this study to speculate that CBD oil leads to better absorption and possible inclusion in a food matrix makes absorption even more effective. Most importantly, findings suggest that treating a dog for seizures requires 2.5mg/kg while treating a dog for OA requires just 2 mg/kg. No adverse reactions were noted, including the fact that no dogs showed heightened ALP levels like the first study discussed here leading to the conclusion that more research is needed to better understand a dog’s hepatic response to CBD.
In Conclusion
Though the data in these studies varies, it does give dog owners somewhere to start. What all of these studies have in common is that no dogs suffered severe illness or issues along with the administration of CBD. Researchers all also seem to agree on a dose somewhere between 2-3mg/kg for canines. These research articles prove that taking CBD regularly can benefit dogs with OA or seizures, but it is necessary to pay extra attention to ALP levels.
Illinois Gov. J.B. Pritzker (D) has pardoned 11,017 pardons for individuals with low-level cannabis convictions in what the governor’s office called the “first wave” of cannabis charge expungements in the state.
The pardons came the day before legalized cannabis sales commenced in the state.
“We are ending the 50-year long war on cannabis. We are restoring rights to many tens of thousands of Illinoisans. We are bringing regulation and safety to a previously unsafe and illegal market. And we are creating a new industry that puts equity at its very core.” – Pritzker in a statement
According to the governor’s office, there are more than 700,000 records in the state that are eligible for relief due to the recreational cannabis laws passed by the legislature last year. In all, there are 116,000 non-violent possession records eligible for expungement through the pardon process; those records are for possession of fewer than 30 grams of cannabis. Of those 116,000 records, 43,500 records solely involve cannabis offenses and 72,500 include another non-violent offense, Pritzker’s office said, noting that only cannabis convictions will be expunged.
Under the law, the Illinois State Police identified all eligible convictions and sent those records to the Prisoner Review Board, which will verify the accuracy of the conviction records. The PRB will forward them to the governor for pardon consideration. Following the gubernatorial pardons, the PRB will forward the documents to the Attorney General’s Office, which will file petitions in the circuit courts to expunge the records.
There are approximately 34,000 records for possession between 30 grams and 500 grams are eligible for expungement, the governor’s office said, and those individuals can enlist the help of civil legal aid organizations to file motions to vacate those convictions – state attorneys can also file those motions. Some taxes derived from cannabis sales will be set aside to generate funding to help individuals expunge those records.
Additionally, approximately 572,000 arrest records that did not result in a conviction up to 30 grams are eligible for expungement; this applies to arrests for possession, manufacture, delivery, and possession with intent to deliver. Agencies will expunge all records between Jan. 1, 2013 to Jan. 1, 2020 by Jan. 1, 2021; records from Jan. 1, 2000 to Jan. 1, 2013 will be expunged by Jan. 1, 2023; and all arrest records eligible prior to Jan. 1, 2000 will be expunged by Jan. 1, 2025.
Kentucky’s Maysville Community and Technical College is set to offer a course on hemp production in the spring semester, Morehead News reports. The class – Introduction to Hemp Production – will focus on foundational concepts and theory applications for field production and distribution.
The class will also focus on science-based cultivation strategies related to cannabis or hemp, such as temperatures, sunlight, soil, growing cycles, how the plant absorbs water and nutrients, and how these inputs affect the plant’s chemical make-up and genetics.
Carrie Taylor, Horticulturist and Workforce Solutions instructor at MCTC, said that after the 2019 growing season, farmers indicated a need for more information related to hemp and that the state’s industry has a variety of training demands and that the program looks to fill those needs for hemp farmers. Taylor added that farming is a mixture of cyclical demands which need to be identified by the industry as it evolves.
“Many farmers who’ve grown tobacco and other crops in this region recognize the challenges that exist in nature. They understand there are basic science-based criteria that improve crop production.” – Taylor, to Morehead News
Andrew Culbertson, CEO of Acela Bio Medical Inc, a hemp processing facility in Maysville that contracted with 120 Kentucky hemp farmers last year, said that “education is the only way to survive” in the “new and daily evolving” hemp industry.
In 2018, industrial hemp sales in Kentucky saw a three-fold increase from $17 million in 2017 to $58 million. Hemp processors purchased $18 million worth of hemp from Kentucky farmers in 2018.
A Missouri family is suing the state’s Department of Health and Senior Services after they were denied a license to cultivate medical cannabis under Missouri’s medical cannabis law, passed in 2018.
Paul Callicoat and his family said in the lawsuit that the state violated the Constitution when they awarded only sixty out of five hundred licenses on December 26th. The plaintiffs say the state’s cap of sixty licenses violates the state’s “Right to Farm Act,” passed by Missouri voters in 2014.
Additionally, they claim the Department of Health and Senior Services scoring system that awarded bonus points to applicants in economically depressed zip codes went beyond the agency’s authority. In a hearing on Monday, a Cole County Circuit Court judge took the suit under advisement
“We appreciate the opportunity to be heard by the court. We proposed a sensible resolution that provides for an efficient and transparent process for licensure that citizens can have confidence in. It ensures patients also will have access to the high-quality, safe and effective medical marijuana that they need and deserve.” — Paul Callicoat, in a public statement
Missouri is not the first state to try and use newly passed cannabis laws to improve social equity in the cannabis industry. Illinois included social equity provisions in its recently launched adult-use cannabis market, as did California.
South Carolina police who seized a more than 180-pound hemp shipment headed to from North Carolina to Texas have destroyed the crop after it tested over the legal limit for hemp but did not press charges against the drivers, according to a WCNC report. The hemp was cultivated by Bio Lab Global, which is licensed in North Carolina, and indicated last month that the test results had been included in the shipment.
“Business was transacted in North Carolina, where we are fully licensed and continue to do good business. We have worked closely and helped educate our own local police departments on these matters, and it is a frustrating process for everyone.” — Austin Diggs, Bio Lab president, in a statement to WCNC
Wellford Police Chief David Green, whose department discovered the hemp during a traffic stop and ultimately seized it, said they didn’t want to press charges against the drivers, preferring instead to use the stop as a learning experience and an opportunity to get clarity from lawmakers about how to tell the difference between legal hemp and illegal cannabis.
“We do not want to withhold anything that’s legal from anybody,” Green said after the hemp was seized last month. “But the way it’s packaged and the way the investigation has gone up to this point we wanted to do our due diligence in making sure that it is what it’s said to be.”
Officials did not indicate what THC levels the plants contained, just that the levels surpassed the 0.3 percent legal limits. The shipment was headed to a Texas hemp distributor who said he paid between $20,000 and $30,000 for the product.
On January 1, 2020, adult-use cannabis is officially available for purchase in Illinois. Starting today, Illinois residents 21 and over can legally purchase and carry up to 30 grams of dried flower, 5 grams of concentrates, and up to 500 mg of THC in edible form. Non-residents and tourists will be able to legally carry half those amounts. Cannabis consumption is legal in residences with landlord permission and on-site consumption lounges at dispensaries and smoke shops.
HB0902, also legalizes and regulates “cannabis establishments” and “cannabis product manufacturing facilities” across The Prairie State. The bill also includes provisions to legalize the cultivation, handling, and sale of cannabis and cannabis-derived products by licensed cultivators, testing labs, and retailers. The industry will be managed and regulated by the Department of Agriculture and the Department of Financial and Professional Regulation.
The landmark legalization bill was the first to be instituted by a state government — every other state that has established a legal cannabis market has done so through a citizen-led ballot initiative. However, issues have nonetheless risen to plague the state as it attempts to set up an infrastructure for what is projected to be a $2 billion industry.
Three years ago, the state voted to decriminalize the plant, which has led to a steep drop in arrests in the Chicago suburbs. This correction is set to continue throughout the year, starting December 31, 2019 when Governor Pritzker pardoned 11,017 cannabis misdemeanors across 92 counties. There are other criminal reform elements to the bill that also include social equity applicant programs which will help applicants from areas that were disproportionately impacted by the war on drugs get involved in the industry.
However, many believe that state-licensed dispensaries won’t be able to support the multi-billion dollar industry. For example, only the state’s current medical dispensaries will be online for market launch, but Gov. Pritzker said the slow start will save space in the industry for social equity applicants.
“Every state that has legalized cannabis has seen high demand and long lines in its earliest weeks, and to be sure, our state will too. But unlike other states, in Illinois, we purposely built a system where the market has room to grow, so that entrepreneurs, including especially those from the communities devastated by the war on drugs, will have real opportunities in this industry.” — Gov. J.B. Pritzker, in a speech celebrating the mass pardoning
The 55 medical dispensaries in operation were the first offered the ability to become state-licensed for recreational sales; so far, just under 40 have completed the process. These will be the dispensaries supporting the first few quarters of recreational sales in the state. License applications for recreational cannabis dispensaries were distributed in the fall; these are due by January 2, 2020, with new stores potentially open for sale by May 2020.
Applicants will be judged by a point system based on 10 factors: labor, diversity and environmental plans, security, business plans, experience, employee training, and the owners’ status as a veteran, an Illinois resident, or a social equity applicant. The first 75 applicants with plans that best engage the community will be granted licenses. In 2021 the state plans to bring on 110 more licenses taking geographic distribution into consideration.
Until then, the projections against the current supply show that the state is likely to run out of product during the first few weeks or months of legalization. In response, the 18-21 licensed cultivators are working on expanding capacity into what all are hoping will be a happy New Year.
When it comes to cannabis, Bernie Sanders has been the most consistently pro-legalization politician on Capitol Hill. As a key part of his 2020 presidential bid, he has crafted a plan which would shape the industry for years to come with points of action aimed at leveling the playing field and keeping it level.
Sanders’ legalization plan is designed to clap back at the War on Drugs by vacating and expunging past cannabis convictions. Legal cannabis revenue would be put back into communities that have been disproportionately hit by the war on drugs. One $20 billion grant program would be put in place to provide business grants to entrepreneurs of color through the Minority Business Development Agency. Another $10 billion grant will focus on businesses at least 51% owned by individuals who have been arrested or convicted of cannabis offenses.
Team Bernie has also listed six points of action that are aimed at protecting the industry from being immediately taken over by major corporations. These include:
Provide resources for entrepreneurs to incentivize starting cooperatives and collectives that will bolster economic growth and create jobs in local communities.
Enforce the prohibition of products and labels that appeal to young people.
Companies who have formerly created cancer-causing products or have been found guilty of deceptive marketing will be banned from the industry.
Tobacco and cigarette corporations will be banned from entering the cannabis space.
Market share and franchise caps will be put in place to prevent profiteering and consolidation.
Partner with the USDA to establish safety inspection and quality control processes for producers, creating safety and trust in legal marijuana products.
Sanders argues that points listed above, in combination with the community grants and expungements, would lay a foundation for a diverse collection of small businesses to forge the legal cannabis industry. Although big tobacco companies have already begun making moves into the industry, these statutes on legalization could establish equality where it was previously lacking.
Michigan regulators have approved three businesses for home cannabis delivery, the Associated Press reports. Customers can order up to 2.5 ounces of flower and 15 grams of concentrates to their homes – the limits are the same for in-person purchases – although the agency did not indicate when delivery services would commence.
The Michigan Department of Licensing and Regulatory Affairs approved home deliveries by Lit Provisionary in Evart, Battle Creek Provisioning in Battle Creek, and Nature’s Releaf Burton in Burton, the report says.
Customers must be 21-or-older to purchase cannabis in Michigan and delivery orders must be placed online. Most payments will be made online, but delivery services are allowed to accept cash.
Delivery drivers must also be 21and cannot carry more than 15 ounces at a time. Cannabis products must be secure if left in a delivery vehicle and all vehicles must be equipped with GPS.
The approval comes about a month after the launch of adult-use cannabis sales in the state but about 78 percent of the state’s municipalities do not allow recreational cannabis operations. Cities and towns that do not allow adult-use businesses do not get a share of the 10 percent excise tax imposed on cannabis sales.
In the first full fiscal year, Michigan cannabis sales are expected to generate $180.5 million in taxes, according to the Michigan Senate Fiscal Agency. By 2022-2023 those figures are expected to reach $287.9 million.
A second Nevada cannabis testing lab has lost its license after regulators found the company approved products for sale that had elevated levels of mold, yeast, bacteria, and fungus, the Reno Gazette Journal reports. Cannex Nevada LLC approved the flower products which were cultivated by Nevada Wellness Group LLC, ACC Enterprises LLC, and Integral Cultivation LLC and subsequently sold at dispensaries in Carson City, North Las Vegas, Las Vegas, and Mesquite. The products were harvested between March and October 2019 and sold between October 5 and December 27.
In November, officials suspended the license of Certified Ag Labs LLC after it discovered the lab had misrepresented THC levels. The Department of Taxation said products tested at the facility “may be labeled incorrectly and could contain a different level of THC than what is listed on product packaging,” according to an Associated Press report.
Rudy Gardner, a managing member of the lab, told the AP that the suspension “is as baseless as it is appalling” and that he “stands behind the data 100 percent.” The lab had its license suspended once before in December 2017 but reopened a month later. That suspension was due to the lab not understanding the new regulations, the report said.
There are no known reports of illness associated with the products approved by Cannex and regulators say that neither the dispensaries nor cultivators knew that the products exceeded allowable mold, yeast, bacteria, and fungus limits.
“(The Department of Taxation) is advising consumers who have purchased the affected marijuana to avoid consuming the products. Consumption of the affected marijuana should particularly be avoided by individuals with suppressed immune systems.” – Nevada Department of Taxation in a press release, via the Gazette Journal
A lawyer for Cannex told KLAS that the company was told by regulators their license would not be suspended and they were not given a chance to take corrective steps before they were shut down. The company plans to request an immediate hearing with the state’s cannabis regulators.
Medical cannabis sales in Arkansas reached $28.13 million since the program launched in May, the Associated Press reports. According to Department of Finance and Administration figures, the state’s 14 dispensaries sold more than 4,200 pounds of medical cannabis in 2019.
In all, state regulators have licensed 32 dispensaries but just 14 were operational this year. Two more are expected to open in Texarkana in the coming days, the report says, while the two dispensaries approved for the capital, Little Rock, are expected to open early next year.
Green Springs Medical Dispensary, in Hot Springs, sold more than 1,000 pounds of the state’s medical cannabis. Owner Dragan Vicentic said the dispensary started selling one rotating product for $5 a gram following patient complaints that they could buy cannabis cheaper on the illicit market than in state-licensed dispensaries.
“Just like Walmart, you’ve got a loss leader. This is just one of those things where we say we’re going to sell one item at cost. We just say we’re going to give back to the people that got us here.” – Vicentic, to the AP
Releaf Center, in Bentonville sold 502 pounds of medical cannabis in the state during the last year; The Source in Benton sold more than 385 pounds; Harvest in Conway sold 261 pounds; and Fort Cannabis in Fort Smith sold just 15 pounds, according to state figures outlined in the report.
Once sales began, Arkansas dispensaries saw steady sales, with the only two functioning dispensaries at the onset selling more than 100 pounds in three weeks. In June, dispensaries reported sales of $2.2 million and by July sales at the state’s eight operational dispensaries topped $6.04 million.
Italy’s Supreme Court has ruled that home-growing cannabis for private use is legal, according to a Guardian report. In the landmark ruling the court said narcotic laws should exclude “small amounts grown domestically for the exclusive use of the grower.”
The ruling does not outline what “small amounts” would be considered legal by the court. However, the case stems from a case dealing with the cultivation of two cannabis plants. In Italy, cannabis containing less than 0.6 percent of THC has been sold commercially after being legalized three years ago; however, Matteo Salvini, leader of the far-right League Party has threatened to shut down shops that sell the low-strength “legal” cannabis.
Maurizio Gasparri, a Forza Italia senator which is an ally to the League, told the Guardian that they “will cancel the absurd verdict of the court” if the center-right coalition came to power.
5-Star Movement, the opposition, favors a more liberal approach to cannabis laws. Party Senator Matteo Mantero said the court’s ruling “opened up the way” and now it was up to reformers in the legislature to push for a taxed and regulated cannabis market. Mantero proposed an amendment to the 2020 budget to legalize and regulate cannabis use in the nation, but Senate Speaker Silvio Berlusconi of the Forza Italia party ruled the measure inadmissible.
Medical cannabis is already legal in Italy, although until 2018 it was cultivated exclusively by the Italian Army. Last year Pedanios GmbH, the German subsidiary of Canadian firm Aurora Cannabis, became the first company to import medical cannabis into Italy.
The Missouri Department of Agriculture is accepting applications for the first season of hemp cultivation in the state in more than 70 years. The application process is already online. Potential hemp farmers must submit to officials parcel maps of the proposed crops and fingerprints along with their applications.
According to the agency, the state program will first use federal guidelines as regulations. Agriculture Director Chris Chinn said that approach would help both farmers and regulators see what works best for all of the state’s industry stakeholders.
“Industrial Hemp has been a moving target for many regulatory agencies this year. After working with producers, closely analyzing the federal requirements passed down by Congress and USDA, and incorporating our own state law, we determined that Missouri should spend the 2020 growing season learning more about what works in our state. We are confident this is the best choice for our producers in Missouri.” – Chinn, in a statement
Sami Jo Freeman, a spokesperson for the Department of Agriculture, told St. Louis Public Radio that all interested producers should be sure to wait for final approval “so that legally they are in a good spot.”
Despite federal reforms last year, law enforcement officials throughout the U.S. have confiscated hemp being transported between states. Freeman added that the new crop has been a learning experience for the industry and officials since it was re-legalized.
“Not only for the industry, but for government entities who are trying to provide opportunities for producer and industry feedback. But also strike that balance of doing our job as we see it in state government to provide the framework,” Freeman said in the report.
The agency is expected to begin processing applications on January 2.
Cannabis arrests have decreased sharply over the last three years in the five largest Chicago suburbs following state-wide decriminalization, the Aurora Beacon-News reports. Over that time, arrests for cannabis possession dropped between 63 percent and 80 percent from 2015 to 2018 in Aurora, Elgin, Joliet, Naperville, and Waukegan.
Lawmakers in the state legalized cannabis for adult use last year; however, those laws don’t take effect until January.
Some communities in Aurora, Joliet, Waukegan and Elgin have been identified by the state as having high arrest or incarceration rates since 2009; Naperville data wasn’t identified, the report says.
Arrests in Joliet dropped by 79 percent from 2015 to 2018; in Elgin by 74 percent; in Aurora they dropped 69 percent; and in Waukegan they fell 63 percent, according to the analysis of police department data by the Beacon-News. In Naperville, the rate dropped most substantially – 84 percent – but police officials warned that drop could be due to how arrests are classified.
Conservatively, cannabis-related arrests in Naperville dropped from 260 in 2015 to 42 in 2018. While in Aurora, arrests fell from 659 in 2015 to 202 in 2018, and in Waukegan, they dropped from 201 to 74. Joliet saw arrests drop from 233 in 2015 to 49 in 2018, and in Elgin from 252 to 66, according to the newspaper analysis of law enforcement data.
In addition to the state-wide reforms – which decriminalized possession of up to 10 grams – Cook County stopped prosecuting most low-level cannabis offenses in 2015.
Steven Stelter, president of the Illinois Association of Chiefs of Police told the Beacon-News that the changes forced courts to look at possession charges as “just a real minor offence” and “just throw it out” so many departments stopped making arrests for possession.
New research suggests that people who suffer from depression are about twice as likely to use cannabis as people who do not experience depression, according to a Reuters report. The study by researchers at universities in North Carolina and New York found that in 2017, 19 percent of people with depression used at least some cannabis, compared to 8.7 percent of those without a history of depression.
The research covered nearly 729,000 individuals 12-years-and-older from 2005 to 2017; in 2005, about 10.2 percent of people with depression used cannabis compared to 5.7 percent who used cannabis but didn’t experience depression.
The percentage of people with depression who viewed cannabis use as risky behavior also fell from 41 percent to 17 percent during the 12-year study, compared with a decline from 52 percent to 33 percent among those without depression, according to the study published in the journal Addiction.
Renee Goodwin of Columbia University, the study’s lead author, explained to Reuters that people with depression “who perceive little or no risk associated with use have a much higher prevalence of cannabis use, relative to those who perceive higher associated risks.”
“There is some thinking that drug use is a form of self-medication of depression, or attempted self-medication of depressive symptoms.” – Goodwin, to Reuters
Additionally, people experiencing depression between the ages of 18 and 25 reported cannabis use rates of nearly 30 percent.
Goodwin suggested that “there is no evidence to suggest that cannabis use will ease depression symptoms, except temporarily and there are data to suggest that cannabis use may worsen or prolong depression. Historically, patients in treatment/recovery from depression are advised to avoid cannabis use,” she said.
According to Reuters, the study was not designed to determine whether or how depression might influence how often people consume cannabis. The study also did not take into account what effect the legalization of cannabis has had on public opinion during the 12-year period.
