Neil Young’s U.S. Citizenship Application In Limbo Due to Cannabis Use

Canadian singer-songwriter Neil Young is applying for U.S. citizenship but his cannabis use might stand in his way.

In a blog post last week, Young, 73, said he recently applied for citizenship and “passed the test” but must pass another test “due to [his] use of marijuana and how some people who smoke it have exhibited a problem.”

Young pointed to a 2019 policy alert from then-Attorney General Jeff Sessions regarding “controlled substance-related activity and good moral character determinations.” The alert specifically says that “violation of federal controlled substance law, including for marijuana, remains a conditional bar to establishing good moral character for naturalization even where that conduct would not be an offense under state law.”

“An applicant who is involved in certain marijuana related activities may lack GMC if found to have violated federal law, even if such activity is not unlawful under applicable state or foreign laws.” — April 29, 2019 U.S. Citizenship and Immigration Services policy alert

Young resides in California, where cannabis is legalized for adult use. In the post, Young indicated that he wants “to be a dual citizen and vote” but doesn’t think that he’ll be able to remain in the U.S. during the proceedings.

“I sincerely hope I have exhibited good moral character and will be able to vote my conscience on Donald J. Trump and his fellow American candidates, (as yet un-named),” he wrote.

In a statement to CNN, USCIS declined to comment on Young’s application, noting that “individuals who commit federal controlled substance violations face potential immigration consequences under the Immigration and Nationality Act.” The agency reiterated that the policy “applies to all foreign nationals regardless of the state or jurisdiction in which they reside.”

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High-Profile Rhode Islanders Announce Cannabis Investments

Several high-profile Rhode Islanders are investing in the state’s medical cannabis and hemp industries, according to a NewportRI.com report. Among the names linked to cannabis investments in the state are former CVS Health CEO Thomas Ryan, former gubernatorial candidate James Bennett, former Beacon President and CEO James Rosati, and the parents of professional golfer Brad Faxon.

Ryan, a longtime philanthropist in his home state, is listed on documents from CanWell, a spinoff of the Warwick-based Summit Medical Compassion Center, which hopes to lead the state’s “alternative dosage” medical cannabis market. So-called ‘alternative dosage’ companies are interested in other methods of ingesting cannabis besides smoking.

In 2014, CVS stopped selling tobacco products in its stores, but Ryan left the company in 2011.

Bennett ran for governor in 2002 but was handily defeated in the Republican primary by Donald Carcieri, who ultimately defeated Democrat Myrth York in the general election, according to state election data. Bennett also once headed the Rhode Island Convention Center Authority. Bennet indicated his daughter works in the medical cannabis space in Florida.

“Big tobacco, the pharmaceutical companies, they’ll all looking to get in. It seemed like a good, balanced investment.” – Bennett to NewportRI.com

Brothers Stephen and Gerald Harrington, a lawyer and Washington lobbyist and Democratic political fundraiser, respectively, are also listed on CanWell documents. Stephen told NewportRI.com that a family member undergoing chemotherapy for cancer “relied on” medical cannabis. He added that the people brought together at CanWell “are Rhode Island people.”

They understand this is a growth industry and they are committed to a best-practices approach,” Harrington said in the report.

Brad and Eileen Faxon, the parents of the Barrington native pro golfer who shares a name with his father, are linked to Kelsey Green, a Warwick-based cultivation firm which is yet to be fully licensed to operate, and affiliated company, Green Reservoir Inc, according to documents filed with the state Department of Business Regulation, outlined by NewportRI.com.

A bill to legalize adult cannabis use was introduced last year but never made it out of committee. Gov. Gina Raimondo (D) said earlier this year that she will include legalization in this year’s budget proposal.

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CDC Confirms Vitamin E Acetate’s Link to Vaping Crisis

The Centers for Disease Control (CDC) has linked vitamin E acetate to the worrisome trend of vaping-associated pulmonary injury (VAPI) that has led to thousands of hospitalizations and dozens of deaths throughout the country, Leafly reports. The compound has emerged as a popular cutting agent for illicit cannabis vaporizer products made and sold on the unregulated markets.

“Recent CDC laboratory testing of bronchoalveolar lavage (BAL) fluid samples (or samples of fluid collected from the lungs) from 29 patients with EVALI submitted to CDC from 10 states found vitamin E acetate in all of the BAL fluid samples.  Vitamin E acetate is used as an additive in the production of e-cigarette, or vaping, products. This is the first time that we have detected a potential chemical of concern in biologic samples from patients with these lung injuries.” — Excerpt from CDC website (emphasis included)

Dr. Anne Schuchat, the CDC’s principal deputy director, confirmed the agency’s breakthrough during a Friday press briefing but said more tests will be necessary. “These new findings are significant,” Dr. Schuchat said. “We have a strong culprit.”

So far in 2019, at least 39 patients who were treated for VAPI have died, while more than 2,050 affected individuals — mostly young men — have been hospitalized. According to the CDC, symptoms of VAPI may develop over the course of just a few days to up to several weeks. Patients have reported the following primary symptoms:

  • cough/shortness of breath
  • chest pain
  • nausea/vomiting
  • abdominal pain
  • diarrhea
  • fever/chills
  • weight loss

In September, the CDC disclosed that the vast majority of patients suffering from VAPI had used unregulated THC vaporizer products. The vitamin E compound was identified previously as a potential culprit and was found in unregulated cannabis vapes throughout New York. The compound, however, has not yet been identified in state-regulated cannabis market products — one dispensary in Seattle even tested the vaporizer products on its shelves for vitamin E acetate and found a 100 percent pass rate.

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Cannabis Legalization Revenues in Minnesota Could Reach $300M

Adult-use cannabis legalization in Minnesota could bring in $300 million in taxes for the state over five years on sales of $1.12 billion, according to a MinnPost report. The estimate, by Sal Barnes of the Marijuana Policy Group during last week’s CannConMN Symposium, also suggests that the industry would create 20,000 direct and indirect jobs statewide.

During his keynote remarks, Barnes estimated that there are 115,000 daily cannabis users in Minnesota and cannabis “follows the 80-20 rule” and “20 percent of the consumers produce 80 percent of the market.”

According to the report, about 7.9 percent of Minnesotans say they use cannabis at least once a month – which is below the 9.5 percent national average and the 20 percent post-legalization rate in Colorado. Barnes said that is a difference of 341,000 consumers in Minnesota and 860,000 in Colorado as both states have a near-equal population of adults 21-and-older.

“If you guys are going to create a $1.12 billion adult-use market, the number one thing you can do is have the appropriate amount of licenses for cultivation, manufacturing and retail. There is a delicate balance … on one side is Oregon with unlimited amount of licenses and on the other side is Colorado, where they try to parse out the types of licenses. You have to make it competitive enough to compete with — and preferably end — illegal black markets, but not so uncontained that there is too much supply and no profits for businesses.” – Barnes, during his CannConMN keynote remarks, via MinnPost

At the conference, Minnesota House Majority Leader Ryan Winkler (D) predicted that House Democrats would introduce a bill for the 2020 session and predicted that while it would pass the Democratically-controlled House it would likely falter in the Republican-controlled Senate.

A legalization bill was introduced in the state Senate last year but did not make it out of committee.

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UK Approves Sativex, Epidiolex for NHS Prescription

The United Kingdom’s National Health Service advisory body, the National Institute for Health and Care Excellence, has approved cannabis-derived pharmaceutical drugs Sativex and Epidyolex for use by the NHS, the BBC reports. They are the first cannabis-based medicines to be approved for use by the NHS.

Epidiolex was approved for use in Europe in September, but NICE initially said it was not valued for money and did not recommend CBD for prescription on the NHS. The GW Pharmaceuticals-manufactured drug costs between £5,000 ($6,439.90) and £10,000 ($12879.75) per patient each year but the company has agreed to a discounted price with the NHS.

Sativex, a mouth spray that contains a mix of THC and CBD also manufactured by GW Pharma, has been available on the NHS in Wales since 2014 but regulators in England said it was not cost-effective at a price of £2,000 ($2575.95) a year per patient. The approval in England is for treating multiple sclerosis, specifically the muscle stiffness and spasms associated with the condition. Under the approval, doctors will not be allowed to prescribe it to treat pain.

In 2018, UK law was changed to allow specialist physicians to prescribe cannabis-based medicines, but most doctors have been unwilling to write prescriptions for the medicines because they have not been through randomized controlled trials – both Epidiolex and Sativex have gone through the trial process.

Genevieve Edwards, from the MS Society, said the organization has campaigned for access to Sativex for years and said it is “brilliant NICE has finally listened.” However, she said the guidelines don’t go far enough because no cannabis-based treatments were recommended to treat pain.

According to a recent YouGov poll conducted for the Centre for Medicinal Cannabis and Cannabis Advocacy Support Services, 2.8 percent of Britain’s adult population are using cannabis to treat chronic medical conditions but they must obtain it illegally.

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Poll: 2.8% of UK Adults Use Cannabis to Treat Chronic Medical Conditions

About 2.8 percent of Britain’s adult population — about 1.4 million people — is using cannabis to treat chronic health conditions, according to a YouGov poll conducted for the Centre for Medicinal Cannabis and Cannabis Advocacy Support Services, outlined by the Independent.

More than 80 percent of the survey respondents were from England, although the survey results represent adults in the general population living in England, Wales, and Scotland.

More than half of the survey respondents indicated they used cannabis on a daily basis while just under a quarter said they used cannabis on a weekly basis. The survey found that 44 percent said they spend up to £99 ($127.50), while about one-fifth said they spend between £100 ($128.80) and £199 ($256.30). Another 9 percent said they spend nothing on cannabis, suggesting they grow it themselves or get it for free from friends and family.

Dr. Daniel Couch, medical lead at the CMC, said the survey is the “first time” the nation has “reliable, representative data regarding the number of people in Britain using cannabis as a medicine.”

“The findings are astounding and present a national challenge,” he said in an interview with the Guardian.

Ann Keen, chair of the CPASS and fellow of the Queen’s Nursing Institute, said “safe” solutions for medical cannabis access “must be explored as soon as possible.”

“[The statistics] demonstrate the vast number of patients in the UK with chronic and debilitating diagnosed conditions who feel they have no choice but to expose themselves to all the risks of accessing a medicine that works from the criminal market.” — Keen, to the Guardian

The report comes the same day as the National Health Service advisory body, the National Institute for Health and Care Excellence, approved cannabis-derived pharmaceutical drugs Sativex and Epidiolex for use by the NHS.

Medicinal cannabis remains illegal throughout the United Kingdom.

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California Suspends 394 Cannabusiness Permits

California has suspended 394 cannabis business permits, affecting about 5 percent of the state’s legal supply chain, the Associated Press reports. The move will temporarily reduce the number of legal cannabis operators in the state amid a crackdown on unlicensed operations.

The suspensions include retailers, distributors, delivery services, and microbusinesses that have not completed steps required for the seed-to-sale tracking system, Metrc, according to the Bureau of Cannabis Control.

Bureau spokesman Alex Traverso said all of the suspended businesses had ample time to complete the requirements, and the companies must stop all operations until their licenses are reinstated. He indicated that the requirements only take about three hours to complete and doesn’t think any of the companies will refuse of comply.

“These were just the stragglers. It turned out to be a couple extra months that we gave them. It’s just a matter of getting a password, getting a log-in and doing the training.” – Traverso, to MJBizDaily

California has 7,392 licensed cannabusinesses. The bureau oversees 2,630 companies with either provisional or annual licenses. The state Department of Public Health oversees another 932 manufacturers, while the Department of Food and Agriculture oversees 3,830 farmers.

Josh Drayton of the California Cannabis Industry Association said the action incentivizes the illicit market which he called “a much more affordable option” for consumers. He added that what regulators and the industry should be focused on is “access and affordability.”

According to the MJBizDaily report, the suspensions apply to 63 retailers, 61 delivery services, 47 microbusinesses, 185 distributors, and 29 distributors that are transport-only.

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Drake Launches Cannabis Company with Canopy

Hip-hop star Drake, real name Aubrey Drake Graham, is partnering with Canadian cannabis company Canopy Growth to launch More Life Growth Company in his hometown of Toronto, Ontario. Drake, on Wednesday, posted the logo for the company to Instagram and his team handed out flowers throughout the city before making the announcement.

“The idea of being able to build something special in an industry that is ever growing has been inspiring. More Life and More Blessing.” – Drake, in a statement

Mark Zekulin, Canopy Growth CEO, said the firm was “extremely inspired” with Drake’s vision.

“Drake’s perspective as a culture leader and entrepreneur combined with Canopy Growth’s breadth of cannabis knowledge will allow our new company to bring an unmatched cannabis experience to global markets,” Zekulin said in a statement.

Drake will hold a 60 percent ownership interest in the new company, while Canopy will retain 40 percent. Canopy Growth will provide all of the day-to-day operations and maintenance of the More Life facility and will retain all of the rights to distribute the product cultivated at the facility.

It’s the latest celebrity to join forces with Canopy, who has also partnered with Seth Rogen and Evan Goldberg, the creators of the film ‘Pineapple Express,’ Martha Stewart, Snoop Dogg, Jay-Z, Melissa Etheridge, and Whoopi Goldberg.

According to the More Life trademark filing, in addition to cannabis, the company also plans to sell herbal teas and medicinal herb extracts, rolling papers, hookahs, pipes, and clothing.

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Ex-Canopy CEO Bruce Linton Lands at Vireo as Executive Chairman

Bruce Linton, the former founder and co-CEO of Canada’s Canopy Growth Corp., has joined Vireo Health as executive chairman, the firm announced on Thursday. In the role, Linton will work closely with Vireo CEO and Founder Kyle Kingsley to “spearhead the company’s strategic decision-making, capital markets activity and future partnerships.”

Linton was ousted from Canopy in July. Linton said he had fallen out of favor with the four directors on Canopy’s board that were installed by alcohol distributor Constellation Brands, which holds about 38 percent of the company’s stock.

In a statement, Linton said he chose to take the role because he shares Vireo’s “ambitious vision for the future of cannabis,” which he said included creating the “next generation of cannabis products.”

“We are confident Vireo can become a top U.S. producer and distributor of high-margin, proprietary products within the next several years and create unprecedented long-term shareholder value.” – Linton, in a statement

In an interview with MarketWatch, Linton said Vireo’s science-backed approach met his “criteria for best practices and a valid methodology.”

“This struck me as a company doing a lot of good work that nobody knows about,” he said.

Kingsley said there “is no greater endorsement” than Linton joining the company’s board.

“Bruce’s extraordinary track record in the cannabis industry speaks for itself and I am incredibly excited about the opportunity to work closely with this industry trailblazer,” Kingsley said in a statement.

As executive chairman, Linton will receive incentive-based compensation in the form of three tranches of incentive warrants to acquire up to 15 million subordinate voting shares in Vireo – which is based in Minnesota. Chad Martinson, who has served on the company’s board since March 2019, resigned from his position in conjunction with Linton’s appointment.

According to MarketWatch, Vireo shares rose 26 percent on the news of Linton’s appointment.

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Marcus Pfeifer: CBD Supplements for Pets

As the latest guest to come on the Ganjapreneur.com Podcast, Marcus recently joined our host TG Branfalt for a conversation about pets, pet health, and the burgeoning hemp industry. In this interview, Marcus discusses the lack of research into cannabinoid medicines for both humans and animals, shares the story of how he and his wife decided to enter the space after seeing first-hand the benefits that CBD had for their own dog, explains the company ethos and why they are patient in pushing out new product lines, and more!

Tune in via the media player below — you can also scroll further down to find a full transcript of this week’s Ganjapreneur.com Podcast episode!


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TG Branfalt: Hey there, I’m your host, TG Branfalt, and thank you for listening to the Ganjapreneur.com Podcast where we try to bring you actionable information and normalize cannabis through the stories of ganjapreneurs, activists, and industry stakeholders. Today, I’m joined by Marcus Pfeifer, he’s the CEO of Homescape Pets, which offers full-spectrum organic hemp extracts for pets. Pfeifer created the company in 2017 with his wife, Nana. How you doing this afternoon, Marcus?

Marcus Pfeifer: I’m doing great. It’s a beautiful day in Colorado.

TG Branfalt: It’s a beautiful day here in the Adirondack Mountains, too. We’re poised for some bad weather here shortly, but let’s not talk about the weather, man. Let’s talk about you. Tell me about yourself. Tell me about your background and how you ended up in the cannabis space.

Marcus Pfeifer: Yes, sir. Okay, so my wife and I got married in 2014, and she is an entrepreneur basically by upbringing. Her family kind of had been in that vein in one way or another most of their lives as well. So, she was pretty well-entrenched in that. And we decided that we did not want to work corporate-type jobs. We wanted to try to start our own business.

One thing led to another, and years down the road, we ended up starting Homescape Pets, but the background to that, the reason our interest in pet health and that sort of thing came about, when I met her, she had a little black schnauzer. And obviously, if you want in, you’ve got to be accepted by the pets and the family. So, yeah.

We started there. And the dog was a rescue from her time in Las Vegas, and she was very skittish around men and so forth, so there was a warming period for sure. But I’ll tell you, after we were together for a few years and we got married, my relationship with the dog was obviously priceless. It was very important to me because I hadn’t had a pet in my adult life.

TG Branfalt: Oh, wow.

Marcus Pfeifer: Up until her. Yeah. Little Beau. That was her name, Beau. And so, she was already old by the time I met the two ladies. She was very healthy though, to that extent. Now, a few years down the road, she started having sneezing fits and so forth. It turned out that she was having a lot of bright red blood when she was sneezing, and it really freaked us out.

And we took her to the vet and that’s when we found out that she had developed a nasal tumor. And after doing research, we found out that it was very likely the case, and by the time its diagnosed, it’s usually well down the road and it was basically going to end up being palliative care and taking care of her was going to be a solid about three months, is what everything appeared to be, you know, her course before she passed. And it was almost three months to the day.

TG Branfalt: That’s terribly sad.

Marcus Pfeifer: Yeah, you know, I know when we talk to pet people, they’re very passionate about their pets. And going through that, I tell you what, I embarrassed myself about what a blubbering fool I was after that experience at the vet. We put her down because we didn’t want her to suffer. She was already losing mobility. She couldn’t walk.

I think the most difficult part was … You know, we obviously were very close. She was a very affectionate dog. Well, she wasn’t affectionate per say. It was just her schnauzer personality. But she spent a lot of time checking on us back and forth, all day. And the tumor started effecting her brain just by proximity, and you would reach down to pet her and she would lunge back as though you were about to strike her. It was because her perceptiveness of what was going on around her was being directly effected by the tumor. And to reach down to pet your little fur baby and have it cringe back in fear from you like you had just hit her across the nose was probably the most difficult part for me.

Well, so that prompted us to start doing a lot more research, even though she had already passed. It was just the questions about, “What could I have done differently?” And the fact was that there probably was an awful lot, you know? Feeding your pets more healthy choices, and this, that, and the other, making sure you read labels on the products that you feed them. A holistic approach to health. There’s just a lot of things to learn and it was just hard to learn it in the past tense like that. So, that was how we got into pet health, was by the loss of our pup.

TG Branfalt: I mean, people who listen to this show, and I mentioned it to you, they know I have a dog. And actually, as I’ve said, I’ve given him CBD since he was a puppy just sort of based on some of the stuff I had read. I had lost a cat pretty shortly before I got the dog, and I sort of went through the same process of, “What could I have done? What could I have done?”

And in that process, too, in a similar way, and being in this industry, I noticed a lot about the sort of possibilities of CBD and its potential value for pets. And so, I decided to give my dog a small dose of CBD when he was a tiny guy because I was like, “Homeostasis.” This is important, right? For their health.

So, at what point did you find out about CBD and its potential value?

Marcus Pfeifer: Well, honestly, we were so absolutely ignorant about health care for pets, and this, that, and the other. Obviously, we’re completely dependent on a veterinarian’s advice. And I would never discourage that, but I think that there is a certain degree of necessity that you take personal ownership, not only of your own personal health, but of pet’s health. The first introduction to that was when we took Beau to a holistic vet when we were in Atlanta.

And they were kind of … We had already got the diagnosis and we were really trying to decide what the next step was for her care. I think we had already recognized that we weren’t going to put her through all of the cancer treatment, this, that, and the other. The dog was 12 years old. I felt like … It was an absolutely heart-wrenching decision to manage that too.

But the holistic vet recommended and provided us a CBD product at that time, specifically intended for pets. And so, we were like, “Oh my gosh, this is amazing.” And at that time, we were totally ignorant about CBD products, much less what was illegal. But it was a very … For my personal use, I am definitely familiar with cannabis. We’ll just put it lightly like that.

But nothing about CBD. I did not understand cannabinoids in any way, shape or form. So it was quite shocking for us to have the vet recommend this product. And so, we purchased it from them almost like it was a prescription. And there was no question that it was helping her. She seemed to be more … Obviously, it hard to read an animal’s reaction, but Beau was a very stoic dog. She did not demonstrate discomfort or pain very easily. And her behavior changed in that. She was more active. She seemed to be returning to what we might consider normal behavior.

But you know, it was a short road for her deterioration. She got to where her hind legs didn’t work well at all. She couldn’t stand up well. It was … I don’t want to relive that right now. But the CBD definitely seemed to help. There was little question in our mind.

TG Branfalt: I mean, all that we really have to work on … You know, we can’t talk to our pets. There’s not a lot of studies out there. All we really have to work with is, you know, anecdotal sort of stories. And I’ve tried your … What is it? Man, I’m blanking on it.

Marcus Pfeifer: The Restful Pet?

TG Branfalt: The Restful Pet. And you know, he’s a black lab. He’s a year and a half. And he does calm down when you use it in the recommended dose. And again, I’ve used CBD but it’s hard to really know when you have a healthy animal who you’re giving CBD-

Marcus Pfeifer: That’s exactly right.

TG Branfalt: You don’t know it. So, what is the question that you get asked most often by pet owners since you’ve entered the space? And is there something specific that people are seeking to treat by and large?

Marcus Pfeifer: Oh, sure. You know, so, our initial offerings, we grew our line to three products. And the purpose for those was basically three branches of things that most animal care branches into in one way or another, short of it being a serious disease state or a condition. So basically, it’s relaxation, inflammation, and mobility. And I think our customer base is kind of self-defined by who was purchasing and what they were purchasing, and their responses as far as reviews go.

And so, what it turned out to be was primarily middle-aged to senior pets. And all of our products got fantastic reviews. We already liked the idea of using hemp products, and once we did a little research into hemp seed oil, it is incredibly healthy for animals. So, we decided immediately that that was going to be a very good carrier oil for our herbals.

Now, at the time when we started our product line, the Farm Bill had not passed. And so, CBD was not really a thing we were quite ready to try to sell. We wanted to be able to see in all 50 states.

TG Branfalt: Sure.

Marcus Pfeifer: So, we had to make a choice. And so, we made a safe choice by using hemp seed oil. And so, we were like, “All right. This is going to get our toe in the door. This is factually nutritious and healthy for pets. There’s no question about that.” And then we decided that we would combine them with some herbals.

Well, we wanted to keep them as simple as possible because there’s a few factors that we learned about senior animals and animals with health conditions is that sometimes they have food sensitivities or there may be drug interaction, potentially, with herbs because herbs have an effect on the body. We can’t just look at them as, “This is just something we put in our mouth and we digest it.” Everything has an impact.

So, we wanted to make it as simple as possible for them to do an elimination diet. So, if they reacted to the hemp seed oil or one of the herbs, it was going to be an easy thing for them to notice. Like, this is effecting the pet in a negative way. I know what that is. Instead of having a bunch of ingredients in our products and making that more complicated.

But the truth is that these things work very effectively. And now that the Farm bill has passed, we’ve introduced a 300 mg CBD product. We just launched, yesterday, an advanced version of an existing product that we had that has a CBDA powder in it. So, yeah, we believe strongly that … I think you touched on something that’s very important, is the homeostasis factor that cannabinoids play in the body. And we think that the CBD products are basically a foundational product for pet health. We think that the body is going to be able to respond to a new healthier diet, some herbal products and this, that, and the other, more effectively, if the body is in balance from the beginning.

And so, that’s our approach right now. So, we highly recommend combining our products. We like to see the CBD product being combined with Restful Pet, if your animal has anxiety or-

TG Branfalt: Just too much energy.

Marcus Pfeifer: Oh, yes. Now, there is a caveat to this. We feel like a holistic approach is the best. If you have a serious problem, you need to see a vet about that. They’re going to be the one who’s going to prescribe a sedative or something to that effect, but our products in combination do a very good job of toning down the nervous anxiety responses that pets have to common everyday problems, and this starts very young. You know, just like you’re experiencing. Our dogs are young as well, so we combine those products regularly, and it works great.

You know, the beauty of it is when you use a pharmaceutical, it’s going to really have a heavy impact on the animal’s personality and behavior. While it may be safe, the veterinarian is going to give you advice on how to administer those products, the truth is that your dog or your cat is not going to be right for a while until that pharmaceutical processes itself. So, the beauty of our products is that your dog or your cat is not going to change its personality, it’s just going to take a notch off of its edge.

So, that’s really what we’re after is if you chew up only half the cushions instead of all of them, we’re probably making some progress.

TG Branfalt: You know, I mean, there’s obviously a learning curve. Your background isn’t really in this space. And so, can you tell me about the process of finding the source for the hemp and for the CBD? Has it been easy? Has it been in-state? What’s that all been like for you?

Marcus Pfeifer: Well, I would say that us living in Colorado has been a huge advantage because you can’t throw a rock without finding somebody who’s got a commercial grow, or some sort of connection to an extractor or something like that. It actually is fairly common in the metropolitan area. We live in Colorado Springs, and so, we have a pretty easy access to the Denver area and Boulder. And so, a little research doesn’t take long to help you find a place. But we’ve also been to some hemp expos, and this, that, and the other, which was also an excellent opportunity.

And you aren’t kidding, the learning curve, since I don’t have a medical background and neither does my wife … Our introduction into health … Well, pet health, was how important it is for things to be safe and clean, and that’s really been probably our primary focus. So, we haven’t had a lot of trouble finding good quality hemp producers, the growers and extractors here. That wasn’t the problem. It was basically trying to figure out which ones we wanted to work with.

And man, the backside of this is trying to understand the testing of the products. It took us a while to understand the extraction process to try to determine what would be … Is there truly an advantage? And I think the obvious choices were between ethanol extraction and CO2.

Okay, so CO2 apparently is easily, on its foundation, the cleanest process if I understand the processes correctly. But when you’re using an organic ethanol and they do all of the steps to remove the solvent from it, the products seem to be very comparable in the end. So, our focus was making sure that our products were as clean as possible, and it was demonstrable from testing.

And I think you could get into the weeds about … Well, no pun intended. You can get into the weeds about the specific strains and all the various cannabinoids that are offered in that particular strain, but that’s not our focus. We wanted to get a nice, potent extraction, and that was important. And then we wanted to be able to demonstrate that this product was clean and safe from a solvent, pesticide, and heavy-metal aspect. And that’s really what our focus was for picking those partners.

TG Branfalt: So, I talked to a lot of people in the industry, there’s not a whole lot of companies doing what you’re doing, focusing on pet health in this space. And so, I’m wondering, is there, within the sort of small industry, pet health/cannabis industry thus far any sort of consideration to looking at other cannabinoids or terpenes for that matter for pet health-related products?

Marcus Pfeifer: Oh, sure. You know, like I said, our focus is primarily just to get a good quality product, but the reality is, from a veterinary medicine perspective, there’s going to be a lot of specific interest in how terpenes, cannabinoids and flavonoids, and that sort of thing, all work together to make a very specific quality product for a given disease state or condition for a pet.

We want to stay in our lane, you know what I mean? And to that extent, veterinary medicine is behind the human medical industry in that obviously all the focus is on human beings right now. What’s safe? What’s legal? And veterinary medicine is still not in a place where they can prescribe medical cannabis.
And the understanding of it … This is probably one of the few times that there’s far more research done on how humans respond to cannabis products than it does in animals, whereas it’s always been the other way around in the past. You know, they’re testing on animals first before they introduce a product. So, that’s an interesting paradox in this case.

What we do know is that CBD and the cannabinoids, setting aside THC, are safe for companion animals. Companion animals being cats and dogs. THC requires a little bit more attention to the subject. But right now, I think all companion animals can benefit from CBD product. I really am an advocate for the … Oh, my gosh. I can’t believe this word slipped my mind. It’s actually on our website all …

The Entourage Effect, for goodness’ sake.

TG Branfalt: Yes.

Marcus Pfeifer: Yes. I think that this is going to be one of those things that, as far as holistic care and things that people can do for over the counter products, and just general well-being for their pets, the full spectrum products are hands-down going to be just the go-to, you know what I mean? Your specific questions seem to be how do the cannabinoids and their relationship with caring for specific conditions, how that plays, that’s going to be the realm of veterinary medicine, probably is going to be best served, you know? People that have a very crisp understanding of cannabinoids. But I think that the veterinary medical community has to be opened up to the study and the research to medical cannabis before any of that can even be an option.

TG Branfalt: Yeah. So, let me ask from your experience, I know that when I was living in Vermont and I had first gotten a dog, I was able to talk to the vet there about CBD. They were pretty open. There was no risk for them to talk about it.

In New York, where I live now, was a bit of a different experience. I had asked them about it and she said, “That’s not something that we can really discuss.” But she did give me sort of a wink and a nod, so she was familiar with what I was getting at. What’s been your experience with your own pets and are you able to talk about it openly with veterinarians in Colorado?

Marcus Pfeifer: Veterinarians here are … Yes, they can. It does depend from state-to-state. Just because there is a lot more open environment here, they are able to talk more openly about it, but I can be honest that they do not have formal training because it does not exist for the veterinary industry. So, it requires that individual veterinarians to be doing their own research.

There is a number of veterinarians here that are doing their own research in their own practices, and they can speak very intelligently about it, but as far as that goes it falls in the category of anecdotal because they aren’t doing a formal study. It’s disheartening once you get into it … It requires such tight … Well, I can’t say that it’s not disheartening because the research has its place, unquestionably. There has to be a lot of validation that this, that, and the other works in combination with whatever.

But at this stage, if you know that the products is safe and clean, then the anecdotal evidence seems to play a lot more significant role is being able to be … What am I trying to say here? As far as the decision-making goes for trying to administer these products, if a veterinarian has experience with it, especially personal experience, they’re going to be able to speak as intelligently about it as anyone.

Now, I believe that there was a bill in California to allow veterinarians to prescribe medical cannabis. I think it got pushed back, so it hasn’t-

TG Branfalt: It did. It did, yeah. It was actually approved by, I think, the House, and then shut down by the Senate. Is there anything in Colorado, which has the most mature market, really, of legal cannabis markets. I mean, Oregon and Washington as well. But is there any consideration that you know of legislation in Colorado to allow vets to recommend medical cannabis?

Marcus Pfeifer: I don’t, and I’ll be honest, this is one department that I’m very deficient at. I don’t keep up with legislation as well as I should. But that is a big-picture question for me, and as far as the products that we’re selling and the kind of information that we’re using for this, it affects me in a lot broader sense. We’re going to be secondary to legislation once it’s passed, because I’ll be honest, until our business matures and we’re down the road with a lot more experience and knowledge, even if it was legal now, I wouldn’t be interested in selling a product even to veterinarians that had medical cannabis in it. Like something that had more THC.

TG Branfalt: Yeah.

Marcus Pfeifer: That is strictly, in my opinion, especially for pets because their sensitivity to THC, that would be specifically the purview of veterinarians, and that dos require research. It is known, factually, that THC, especially in dogs, has a toxicity level. But there is a caveat to that. THC in itself is not toxic to dogs. It depends on the level of exposure.

TG Branfalt: Yeah.

Marcus Pfeifer: And there’s a veterinarian that wrote a book … I don’t know if I can say names and stuff like that. But there’s a veterinarian that’s based here in Colorado that is one of the preeminent researchers for veterinary study, especially to do with cannabis.

He’s got lots of information about his own research in his practice, and he speaks explicitly about the use of cannabis and how you can titrate the amount of THC used, but it needs to be under strict guidance and you need to be working with a veterinarian that has that experience. And frankly, there’s just not many out there. I mean, it’s hard to find a holistic vet, much less one that can tell you specifically about hemp products and THC.

TG Branfalt: Well, I mean, you mentioned there’s no training for veterinarians either. That’s also the case for medical students for human medicine. They don’t have training, and so, they sort of have to do it after the fact if they’re interested. Just sort of an interesting comparison, I guess. What advice would you have for other entrepreneurs who might not have a background in cannabis who end up entering the space?

Marcus Pfeifer: Man, I cannot stress enough how important it is to do your research because there is so much information out there that sometimes appears ambiguous about it. And I’ll be honest, if you’re not willing to take some risks with your business … I mean, this is inherent to the hemp industry, period. The FDA has not made its rulings specifically enough on how hemp is to be regulated, and this, that, and the other. We’re waiting on that.

Man, especially in my business with pets, we are so far from proper regulation and this, that, and the other. And I’m a believer in regulation. I believe that it definitely has its place. Over-regulation is a serious problem, but I think that when you’re talking about people’s health and so forth, there’s an absolute necessity for regulation.

So, you have to understand so much more about the hemp industry and how you can execute your business. You can’t possibly do enough research, and frankly, there’s just a lot of risk-taking you have to be willing to do because the banks are still not very cooperative with the hemp industry.

TG Branfalt: Even for pets? Are you having … Even with your business, did you have problems getting banking?

Marcus Pfeifer: Well, you know, it’s funny. I feel like in some respects, we’re kind of falling under the radar. So, I don’t want to bring a lot of attention to that. But yeah, I feel like-

TG Branfalt: That would be so sad.

Marcus Pfeifer: Oh, my gosh! You know, there are so many different things. I think at our place in our business development, we are just kind of under the radar, so we’re trying to watch closely, the industry leaders in hemp, and we’re trying to pay close attention to what they’re doing because there are some really good examples out there, the trail blazers and the cutting edge companies out there. So, anything that they do, we want to do that now. Like, we don’t want to wait for regulation, we want to be above reproach as best we possibly can. And then, sometimes it just comes down to, what can you afford?

TG Branfalt: Yeah.

Marcus Pfeifer: But we want to … There is an organization that we belong to, we’ve been watching closely, the NASC. And they are an organization that works with the FDA on regulation for pet supplements. And frankly, there isn’t much, but they’re trying to push for policy and regulation in that respect. So, whenever they give guidance, we change our labels. We want to make sure that we’re not making drug claims or disease claims, and this, that, and the other. It’s quite a mess.

You can’t possibly do enough research because, frankly, whatever you learned last week may change next week with new regulation in your state. I mean, just think about this … It’s funny, the regulation at the federal level is one thing. Every state has got their own thing going on. So, it’s kind of a mess. We’re just trying to be safe.

TG Branfalt: Yeah. We are waiting for the USDA to just release their draft regulations. So, we’re all patiently awaiting to see what those look like and if they get adopted and what that will mean, having that sort of federal green light. Pardon the pun.

So, really great to have you on, man. Where can people find out more about you, more about Homescape and your products?

Marcus Pfeifer: Yes, sir. We do sell our basic line of products on Amazon, but that’s not our focus. It’s not a place where we can provide enough information. So, we want people to go to Homescape Pets. You can find us on homescapepets.com, and we also are … You can find us @homescapepets on Instagram and Facebook.

TG Branfalt: Thanks again, Marcus for being on the show. I’m really excited to keep using your products, quite frankly. And that’s not a shameless cheap plug. I didn’t get paid to say that. I do actually use them for my dog. It seems, to the best that I can understand his body language, to be very, very helpful for him. So, I appreciate you taking the time, man.

Marcus Pfeifer: Man, this was a priceless thing because, you know, there’s not a lot of people that know what to do with products for pets, and this, that, and the other. We want to educate. I think everybody, universally, in the hemp industry understands that’s education is critical. And we’re going to be expanding our FAQ page. We are going to be writing blog posts and stuff to help people understand better health practices. But bring in the hemp for your pets. It’s going to be very good for them.

TG Branfalt: Thanks again for being on the show. It’s Marcus Pfeifer, he’s the CEO of Homescape Pets. You can find more episodes of the Ganjapreneur.com Podcast in the podcast section of Ganjapreneur.com and in the Apple iTunes Store. On the Ganjapreneur.com website, you will find the latest cannabis news and cannabis jobs updated daily, along with transcripts of this podcast. You can also download the Ganjapreneur.com app in iTunes and Google Play. This episode was engineered by Trim Media House. I’ve been your host, TG Branfalt.

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High Times

High Times Fires Seattle DOPE Magazine Employees

On Wednesday, October 30, the majority of DOPE Magazine’s editorial team in Seattle was laid off by parent company High Times, according to an anonymous tip received by Ganjapreneur. In what was described as a surprise move, 11 employees were fired in a complete restructuring of DOPE’s Seattle headquarters.

When asked about the layoffs, High Times CEO Kraig Fox confirmed in a written statement that the Seattle office had been shuttered, stating, “As we move the combined company forward, we made a strategic decision to shut down the Seattle office and consolidate all content creation out of our Los Angeles headquarters.” Fox also said that “A number of employees have accepted positions in our Los Angeles headquarters.”

According to the tip received by Ganjapreneur, only three individuals were offered positions in Los Angeles, and the recent lay-offs had been preceded by over a dozen employees being let go since High Times acquired DOPE in September 2018.

In separate announcements at the time, both entities expressed hopes for a collaborative future in which the DOPE brand maintained its core voice and style. The $11.2 million purchase of the Seattle-based B2C monthly cannabis magazine was the last in a flurry of B2C event production and media purchases by High Times’ corporate entity, High Times Holding Corp, which was established in 2016 when a group of investors acquired a majority stake in the business. 

Regulation A Offering

In July 2018, High Times announced that they would begin selling shares of the corporation directly to non-institutional investors under Regulation A. Regulation A, commonly referred to as Reg A, is a series of rules under Title IV of the JOBS Act signed into law by President Barack Obama in 2012. 

Under Reg A, non-accredited investors (people who aren’t millionaires) are able to buy equity in a business in small amounts directly from the company. Once financing is raised, the company is then able to use the funds to apply to list with NASDAQ and begin trading their shares; Reg A investors, however, are not protected if the company fails to gain approval by NASDAQ or falls short of its fundraising goals.

Mergers & Acquisitions

In April 2018, before their Reg A announcement, High Times purchased Green Rush Daily, an online B2B publication, for $7 million. They also partnered with Reggae on the River, a well-known Northern California music festival operated by the Mateel Community Center which was under financial stress, having lost $140,000 on the previous year’s festival. By July, High Times had also purchased CULTURE magazine for $4 million and DOPE magazine for $11.2 million, timing these announcements to coincide with the Regulation A offering which was advertised widely on social media and throughout the cannabis industry, including on Ganjapreneur.

In the context of the recent layoffs at DOPE, it is worth noting that many of High Times’ other projects have also encountered a significant amount of adversity. Reggae on the River 2019 was canceled and ticket holders were refunded, leaving the Mateel Community Center to attempt to rebrand in hopes of continuing to host the beloved event. CULTURE Magazine is still being published, but its former owner is suing High Times Holding Corp. for payment from the sale. Green Rush Daily is still in operation and appears to be managed by an Editor on the High Times team.

Regarding DOPE’s restructuring, Fox told Ganjapreneur, “Consolidating content and publishing activities under one central office is simply the most efficient way to manage growth and propel DOPE and our brands into the future.” 

What does the future hold?

Fox declined to comment on the timeline for High Times’ planned public listing. Over a year after funding efforts began, more than $15 million has been raised and over 20,000 individual investors have bought stock via the Reg A offering. In spring 2019, High Times Executive Chairman Adam Levin commented that the company was still seeking a NASDAQ listing but in the meantime was considering Canadian exchanges or over-the-counter (OTC) trading in the United States. In June, Marijuana Business Daily reported that plans for a High Times NASDAQ listing had been shelved in favor of OTC after the company failed to meet its capital raise target. Numerous investors who bought stock via the Reg A offering have left comments on the article, wondering about the status of their investments and whether the listing is still being pursued. So far, High Times has not announced any timeline for a public exchange listing.

 

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Massachusetts Municipalities Subpoenaed Over Potential Cannabis Industry Bribes

U.S. Attorney Andrew Lelling has convened a grand jury focused on the potential bribery of government officials by Massachusetts cannabis companies, the Daily Hampshire Gazette reports. The municipalities of Eastham, Great Barrington, Leicester, Newton, Northampton, and Uxbridge have all been subpoenaed by the U.S. Attorney’s Office regarding their host community agreements with cannabis firms.

The documents requested by the feds include drafts and final versions of host community agreements, communication between the municipality and cannabis companies, and public meeting records related to the agreements.

In September, Fall River Mayor Jasiel Correia was arrested for allegedly attempting to extort cannabis companies for hundreds of thousands of dollars in cash. Correia is accused of extorting at least four cannabis business operators by soliciting $250,000 each from them in exchange for “non-opposition” letters from his office. He is accused of illegally generating at least $600,000 from the scheme, as well as alleged arrangements for a future cut in some of the companies’ cannabis sales. Shortly after his arrest, the Springfield City Council launched an investigation into a $200,000 donation made by a cannabis company to the city over a five-year period.

Lelling’s office is prosecuting Correia’s case.

In order to open a cannabusiness in the state, operators must obtain these host community agreements. Under the law, those agreements are capped at either 3 percent of gross sales or must not last longer than five years.

“The costs and impacts of hosting a Marijuana Establishment will understandably vary from municipality to municipality and negotiated HCAs should reflect the particular impacts on the host community,” the Cannabis Control Commission notes in guidance issued last year.

Cannabis Control Commission Chairman Steven Hoffman said in September that the agreements “give a disproportionate advantage to bigger companies that can afford to throw in a fire truck on top of their 3 percent.”

Easthampton Mayor Nicole Lachapelle told the Gazette that she had been in contact with the U.S. Attorney’s office and that city officials “know of no wrongful conduct, or even an allegation of such conduct, by any current or former City of Northampton official or employee or by any business in connection with the cannabis industry in Northampton.”

Last year Lelling said that while his office would not provide a blanket exemption from federal laws related to cannabis, he would focus his enforcement efforts on the overproduction and diversion of products into other markets, “targeted” distribution to minors, organized crime, and the office’s resources were “primarily focused on combating the opioid epidemic.”

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Indian Cannabis Advocacy Group Challenges Federal Prohibition

An Indian cannabis legalization advocacy organization is challenging the nation’s cannabis prohibition as unconstitutional, according to a Bar and Bench report. The Great Legalisation Movement India Trust is not seeking to completely deregulate cannabis, rather arguing that cannabis should be regulated and those rules should have “reasonable” restrictions.

The group argues that cannabis is not on par with other more harmful and lethal chemicals and that its status alongside those prohibited chemicals is arbitrary, unscientific, and unreasonable. The group argues that Parliament did not take into consideration the effects of cannabis on human health when it passed the Narcotic Drugs and Psychotropic Substances Act in 1985 and mounting evidence shows “…medicinal use of Cannabis can help to reduce the acute health crisis, which the country is currently facing.” The petition pointed to the relief cannabis provides for HIV patients – of which India sees about 82,000 reported cases annually – Parkinson’s disease patients, and that “cannabis is an effective analgesic and helps in cases of chronic pain.”

The Legalisation Movement also argues industrial hemp cultivation would “immensely benefit” the nation’s farmers.

The lawsuit also calls it “unfathomable” that the government runs bhang shops while, simultaneously, outlawing cannabis. In 2004, the High Court in Chandigarh ruled that bhang – a milky, sweet drink laced with cannabis – is not, technically, cannabis but is a “cannabis plant,” according to Legally India.

Legally India explains that bhang is allowed due to a loophole in the 1985 drug law that allows consumption of cannabis leaves and only flower and resin (hash and concentrates) fall under the purview of the law.

The court will take up the case in February.

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Massachusetts College Offers Cannabis Certificate Program

Springfield, Massachusetts-based American International College is now offering a certificate program in legal cannabis, according to a MassLive report. The program has three classes planned but currently just one – Cannabis Entrepreneurship – is set to be offered in the spring 2020 semester.

Additionally, the college has created an undergraduate initiative in the School of Business, Arts and Sciences called Micro-Emerging Markets: Cannabis Certificate Program. The school plans to expand the certificate program with a minor and graduate school program.

“The goal of the program is to dip our toe into this area that is growing by leaps and bounds. There are hundreds of jobs created by it. All sorts of research. Businesses in the field and all sorts of ancillary businesses are growing.” – Mika Nash, AIC executive vice president of academic affairs, to Masslive

The entrepreneurship class will cover customer groups, products, and services in the adult-use market; how price, quality, competition, and other factors can impact a business; the legal background and different business models; and marketing.

For non-matriculated students, each course is $395 with a $30 registration fee, bringing the total for three credits to $1,215. Matriculated students are also eligible to take the classes but all students must be 21 or older since the courses might involve tours of cannabis cultivation facilities, and dispensaries.

Last week Holyoke Community College announced plans to open the state’s first cannabis education center with the first classes being offered this month, according to MassLive.

Colleges and universities throughout the U.S. have begun offering cannabis education programs since states began to legalize cannabis medically and recreationally, including in California, Illinois, Nebraska, Pennsylvania, Maryland, and Connecticut.

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NYPD Seizes 106 lbs of Legal Hemp After FedEx Tip

A FedEx tip to the New York Police Department led to the seizure of 106 pounds of legal hemp, the New York Post reports. On Sunday, police at the 75th Precinct lauded the bust on Twitter the day after arresting Ronen Levy, whose brother Oren owns GreenAngels CBD, for drug-related crimes.

“My brother was falsely arrested,” Oren wrote on Instagram. “Those bags were all hemp. All documents were in each box. The farm also called them to give them all there (sic) paperwork proving it’s all hemp.”

Paperwork provided to the Post showed the THC content of the plants was 0.14 percent – well below the 0.3 percent federal and state thresholds. Oren told the Post the company is out “up to $30,000” since the confiscation.

Andrew Subin, a lawyer for the Vermont farm that grew and sold the plants, said a detective from the precinct didn’t know the legal THC limits for hemp.

“He was claiming that he didn’t know the legal limit. He said that he needed to do his own test. We have a test by a certified lab, so I don’t understand why they need to do their own test. This is having a real impact on our client and the buyer.” – Subin, to the Post

Ronen was released without bail by a Brooklyn judge on Sunday. The police have not issued any statements about whether they will hold the plants and press charges but told the Post the investigation is active and ongoing.

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Study Finds Cannabis Could Reduce PTSD Symptoms

Research published in the Journal of Psychopharmacology suggests that “cannabis use may contribute to reducing the association between post-traumatic stress disorder and severe depressive and suicidal states,” according to a Newsweek outline of the study.

The research used data from the 2012 Canadian Community Health Survey on Mental Health which involved 24,089 people aged 15 and older. Of the respondents, 420 of the participants had been diagnosed with PTSD. Of the PTSD patients who took part in the research, 106 – or 28.2 percent – said they had used cannabis in the past year, versus 11.2 percent of participants without the diagnosis.

Respondents with PTSD who didn’t use cannabis were about seven times more likely to have experienced depression and 4.7 times more likely to think about suicide compared to people who didn’t have PTSD or use cannabis.

Stephanie Lake, a research assistant at the British Columbia Centre on Substance Use and PhD candidate at the University of British Columbia who led the study, called the research “the first time that results from a nationally representative survey have shown the potential benefits of treating the disorder with cannabis.”

“We know that with limited treatment options for PTSD, many patients have taken to medicating with cannabis to alleviate their symptoms,” she said in the report.

“We’re only just beginning to understand what the therapeutic potential of cannabis may be for a variety of health conditions. These findings are promising, and merit further study in order to fully understand the benefits of cannabis for people living with PTSD.” – M-J Milloy, UBC professor of cannabis science and study co-author, in a statement, via Newsweek

In June, the Minnesota Department of Health reported that 70 percent of PTSD patients enrolled in the state’s medical cannabis program said their symptoms were reduced when using cannabis, compared to just 4 percent who said they received little benefit from cannabis for their PTSD symptoms. Another study published in June in the American Journal of Drug and Alcohol Abuse found two-thirds of California military veterans were using cannabis to treat chronic pain, anxiety, PTSD, depression, and insomnia instead of prescription medication.

The study found 63 percent of respondents indicated they used cannabis to replace “any substance,” while 47 percent said they had replaced prescription medications with cannabis. Another 30 percent replaced alcohol with cannabis and 24 percent said they had replaced tobacco with cannabis. Another 12 percent of veterans said they used cannabis as a replacement for other illicit drugs.

In all, 23 states include PTSD as a qualifying condition for medical cannabis use.

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Columbia care acquisition

Columbia Care to Acquire The Green Solution in $140M Deal

Columbia Care, which holds cannabis licenses throughout the U.S. and Europe, has entered an agreement to acquire Colorado-based The Green Solution in a stock and note deal worth $140 million, the company announced on Tuesday. The deal will increase Columbia’s U.S. footprint to 93 total facilities, including 74 dispensaries and 19 cultivation facilities.

The Green Solution currently operates 21 dispensaries, with two under development, three indoor grows totaling more than 225,000 square feet, 16,000 square feet of greenhouse capacity, and a 140-acre outdoor cultivation complex. In 2018, Green Solution generated more than $73 million in revenues.

Kyle Speidell, co-president of The Green Solution, said that the firm had been approached “by nearly every serious operator” in the industry about a potential deal and that Columbia is the “ideal partner to trust with [the] family business.”

“This deal allows us to provide Colorado consumers with Columbia Care’s unique portfolio of pharmaceutical-quality products, and also enables us to quickly expand our TGS brands into 14 new U.S. jurisdictions. Additionally, we can now bring Columbia Care’s market-leading advancements, including its CNC credit card, home-delivery service and e-commerce capabilities, to our customers in Colorado, further improving the concierge experience and the exceptional standards of customer service that we have worked so hard to establish.” – Speidell, in a statement

Nicholas Vita, Columbia Care CEO, indicated it is the “first major acquisition” for the firm, adding that The Green Solution founders “built their company on the core principles of market depth, differentiated products, brands and capabilities, consumer satisfaction, and scalable infrastructure.”

“This transaction further advances Columbia Care’s promise to maximize shareholder return by making us even stronger, both financially and operationally, as we expect to see the majority of our existing markets transition to less regulated, legalized operating environments,” he said in a statement.

The terms of the deal include $110 million in Columbia Care stock, $15 million in secured debt, a $15 million seller’s note with the potential for an additional milestone payment in 2021. It still requires regulatory approval, which the firms expect next year.

Columbia reported $22.1 million in third-quarter revenue this year, which they say represents a 123 percent increase over the same period last year.

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California Continues Unregulated Cannabis Busts

California law enforcement officials have eradicated 953,000 cannabis plants from 345 grows throughout the state as part of their Campaign Against Marijuana Planting Program, the City News Service reports. State Attorney General Xavier Becerra said the crackdown has also led to the seizure of 168 weapons.

This year, the CAMP teams – which includes federal, state, and local law enforcement agencies – have served more than 120 search warrants. As of July, the California Bureau of Cannabis Control and state law enforcement agencies had seized a combined $30 million in cannabis products, cash, and weapons.

“Illegal cannabis grows are devastating our communities. Criminals who disregard life, poison our waters, damage our public lands and weaponize the illegal cannabis black market will be brought to justice.” – Becerra, during a press conference on Monday, via the City News Service

Becerra’s announcement came the same day as the Kern County Sheriff’s Office said they eradicated more than 10 million cannabis plants in the county valued at $1 million. The sheriff’s office said the plants were “grown under the guise of legitimate hemp production” on 459 acres.

“Preliminary testing showed the levels of THC in these fields were well over the legal limit for industrial hemp production and were in fact cannabis,” the agency said in a Facebook post.

A September United Cannabis Business Association report found that there are about 2,835 unlicensed cannabis companies in California, with just 873 licensed operators and the state’s legalization market has been marred by lower-than-anticipated sales – partly due to high tax rates – all of which has led to officials cracking down on illegal and unlicensed operators.

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Study: Using ‘Cannabis’ Over ‘Marijuana’ Doesn’t Change Perceptions

Using the term ‘cannabis’ instead of ‘marijuana’ does not influence the public’s perception of or attitude toward the plant, according to research published in the journal PLOS One. The study did find differences in perception when the word ‘medical’ is used in conjunction with ‘marijuana’ or ‘cannabis.’

About 43 percent of respondents said that both ‘marijuana’ and ‘cannabis’ were “morally acceptable” compared to about 26 percent who said ‘marijuana’ was “morally wrong” and about 20 percent who felt the same about ‘cannabis.’ The remaining respondents said they were “not sure.”

Comparatively, near 60 percent of participants said ‘medical marijuana‘ was “morally acceptable” along with about 63 percent who felt the same about ‘medical cannabis.’ About 15 percent said ‘medical marijuana’ was “morally wrong,” and about 12 percent said ‘medical cannabis’ was “morally wrong,” the rest of the field were “not sure.”

“The name frame (‘marijuana’ versus ‘cannabis’) has no impact on opinion toward the drug. Our results thus undermine the notion — widely espoused by policy advocates — that abandoning the word ‘marijuana’ for ‘cannabis’ by itself will boost the prospects for reform or soften public attitudes toward the drug.” – “Has the ‘M’ word been framed? Marijuana, cannabis, and public opinion,” Oct. 31, 2019, PLOS One

The researchers note an increase in news stories using the word ‘cannabis’ since 2013 – which coincides with a spike in stories with ‘marijuana’ to over 25,000 by 2014 – and a sharp decrease over three years in stories using ‘marijuana’ to a little over 20,000, while ‘cannabis’ stories rose from about 3,000 in 2014 to about 6,000 in 2017.

The study also found that 23 of the 33 states with some form of legal cannabis access are using ‘marijuana’ in their legislation over ‘cannabis.’

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Industrial Hemp Fiber Processing Facility Opening in Virginia

A Virginia firm is opening an industrial hemp processing center in Wythe County estimating to invest $894,000 into the site and purchase more than 6,000 tons of hemp over the next three years for processing, the governor’s office announced last week. The facility will be the first industrial hemp fiber processing center in the state following the passage of the federal Farm Bill last year, which removed hemp from the Controlled Substances Act.

The Appalachian Biomass Processing facility will create 13 jobs and will receive a $25,000 grant from the Governor’s Agriculture and Forestry Industries Development fund which will be matched by the county.

Gov. Ralph Northam (D) said the hemp industry “opens up a wealth of opportunity to bring new jobs and new businesses” into the state. He added that the facility “will play a key role in helping to create a highly-anticipated market for our farmers and industrial hemp growers.”

Susan Moore, owner of Appalachian Biomass Processing and Wythe County native, said in a statement the state and county business development grants will help the company “create an entirely new industry for the region.”

The company will use a specialized stripping machine to process bales of hemp stalks into two raw agricultural products – bast fiber for the textile industry, and the hurd, for use as animal bedding.

Secretary of Agriculture and Forestry Bettina Ring noted that there are more than 1,100 registered hemp growers in the state and said that having the processing infrastructure “and strong markets in which to sell it are critical to seizing its potential.”

Virginia legalized hemp production in 2017 – prior to the federal reforms – and last week the U.S. Department of Agriculture released draft rules for the industry. Once finalized the agency will be able to begin the review and approval process for individual state-approved hemp programs.

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Professional Sports Slow-Walking Cannabis Reforms

The Pro Golf Association (PGA) recently suspended Matt Every, a two-time tour winner, for 12 weeks for violating their conduct policy after failing a drug test. Although the tour would not say which drug he tested positive for, Every said in a statement that he tested positive for cannabis.

The PGA does not test for cannabis often but does have strict penalties for failing their random drug tests, ranging from shorter suspensions like Every’s to lifelong Tour bans for continued violations.

“I tested positive for cannabis, a drug I do not abuse and a drug I have a legal prescription for in the state of Florida. I have been prescribed cannabis for a mental health condition by my physician whom has managed my medical care for 30 years. It has been determined that I am neither an acceptable candidate to use prescription “Z” class drugs nor benzodiazepines. Additionally, these classes of drugs can be highly addictive and harmful to the human body. For me, cannabis has proven to be, by far, the safest and most effective treatment.” — Matt Every, in a statement 

This is the second time this year that the PGA has suspended a player for cannabis use — in March, Robert Garrigus was suspended for 12 weeks after failing a drug test.

The PGA is not an exception. Unfortunately, most professional sports leagues today have cannabis policies rooted in the last century.

Where the other leagues stand 

Despite cannabis legalization polling at an all-time high, most professional sports leagues have strict anti-cannabis policies. The NFL has announced an effort to study the potential of cannabis for pain treatment, but current players are subjected to at least one random drug test in the offseason and ten players per team are selected for random drug tests each week. Penalties range from drug treatment to a year’s suspension.

The NBA did not test players for cannabis until 2000 and players can expect up to four random drug tests each season. Failing a drug test can get players suspended — suspensions start at one game and go up from there — and fined up to $35,000. Unlike the NFL, the NBA does not test in its offseason. 

Major League Baseball’s drug policies, meanwhile, were sadly brought into the spotlight following the recent death of Angels pitcher Tyler Scaggs, who reportedly had Fentanyl, Oxycodone, and alcohol in his blood at the time of his death. In response, the league is apparently in discussion with the players Union about testing for opiates and loosening its cannabis policies, according to the LA Times. Although the MLB does not test for cannabis often, it does have some of the strictest penalties for a positive drug test, ranging from drug rehab to a complete ban from the league after the fourth positive test.

The Ultimate Fighting Championship, meanwhile, maintains a ban on THC-rich cannabis products, but several high-profile fighters have embraced and even endorsed CBD as part of their recovery process. The league has also partnered with Canada’s Aurora Cannabis to conduct clinical trials studying the efficacy of CBD on wound care, recovery, injury, pain, and inflammation.

The World Anti-Doping Agency removed CBD from its list of prohibited substances in 2017.

A runner participates in the 420 Games, a cannabis-friendly marathon event, in 2015. Photo credit: Richard Haick

Is there a place for cannabis in sports?

Not all sports leagues treat cannabis like it’s 1937 in the height of “Reefer Madness.” The National Hockey League (NHL) is a model for cannabis testing reform, according to Jim McAlpine, a California cannabis entrepreneur who founded the 420 Games.

McAlpine took the time recently to speak with Ganjapreneur despite dealing with California wildfires. “The NHL is doing it right,” he said. “They test for cannabis, but don’t penalize the players. It’s more to keep their finger on the pulse of what’s happening in the league. The other leagues are caught up in the negative stigma attached to cannabis and still base their policies on out of date information. And, we can’t forget many of the leagues have sponsorships with large pharmaceutical companies and big alcohol.”

McAlpine, who has been working with NFL star Ricky Williams to launch a cannabis-focused gym and speaks around the country about cannabis and sports, believes cannabis helps athletes to recover and focus.

“I find a lot of people get how cannabis can help with sports recovery, but many athletes use it to focus. Many people find it helps with concentration and the mind-body connection. Instead of focusing on the negative stigma of the plant, I started the 420 Games to show how cannabis can help athletes up their game,” he said. 

Now known as the “Civilized Games” after being acquired in March by Canadian cannabis media company Civilized, the games continue to bring together canna athletes and sports enthusiasts from across North America. The events are designed to highlight the unique role cannabis can play in a healthy athletic lifestyle.

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Florida Bill Would Require Public Schools to Allow Medical Cannabis

A bill requiring public schools to allow medical cannabis use has been introduced in Florida, according to a Florida Politics report. Under the measure, counties would designate a caregiver to administer medical cannabis to patients. That caregiver would need to be authorized by the patient’s parents or guardian along with a statement explaining why the student is using medical cannabis during the school day.

The bill includes language exempting the caregiver from civil liability of acting as a “reasonably prudent” person would in discharging the duties of the role.

Education Commissioner Richard Corcoran said schools that do not comply face the withholding of grant money and that superintendents or board members who do not conform could be suspended or removed.

“We could withhold salaries of the superintendent. We can withhold funding to the district. We can withhold and make them ineligible for grants. They risk literally – when the law says, as a school board member or a superintendent, do X, and they’re not doing it, they can risk suspension and removal from office.” – Corcoran, to WTSP

Sen. Bill Montford (D), the bill sponsor, said that the law is necessary because some school board attorneys are “reluctant” to allow medical cannabis use in public schools despite state regulations that require schools to allow it. Those attorneys claim that they cannot support the state policy because cannabis remains illegal federally.

Last month, California Gov. Gavin Newsom (D) signed legislation allowing K-12 students to use medical cannabis at schools. Under that plan, parents must bring the products to the campus but prohibits smoking or vaping.

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Iowa Board Approves Removal of THC Limits

The Iowa Medical Cannabidiol Board has approved a set of policy recommendations that include a proposal to remove the 3 percent cap on THC in medical cannabis products and replace it with a purchase limit of 4.5 grams of products containing THC over 90 days, the Associated Press reports. The limit would not apply to the terminally ill and could be increased without board approval by a certifying physician.

Gov. Kim Reynolds (R), vetoed legislation earlier this year that would have removed the THC cap and imposed a 25-gram purchase limit over 90 days. In a statement at the time of the veto, Reynolds said that change was “not recommended by the board,” adding that it would “drastically expand Iowa’s medical CBD program far beyond its original scope of CBD-based treatments and could open the door to significant unintended consequences to the health and safety of Iowans.”

The board also voted to add post-traumatic stress disorder and intellectual disability with aggression and/or self-injury to the state’s qualifying conditions list. According to Marijuana Policy Project data, 23 states currently allow PTSD patients to qualify for medical cannabis access.

The addition of qualifying conditions must be approved by the Iowa Board of Medicine who will set an effective date for the change if it is approved. The THC limits’ removal must be approved by the Legislature and signed into law by the governor.

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Massachusetts Patients Challenge Health Officials’ Right to Regulate Cannabis Vapes

The Massachusetts group representing medical cannabis patients in the legal fight against the state’s vaping ban is arguing that the Department of Public Health has no right to regulate cannabis vaping products, the State House News Service reports. In a memo filed in state Superior Court, the patients’ attorney Will Luzier argues that the 2017 cannabis legalization law transfers “authority to regulate all legal” cannabis from the Health Department to the Cannabis Control Commission.

The patients joined the lawsuit against the state brought by the Vapor Technology Association last month. They argue that the four-month ban – implemented in September by Gov. Charlie Baker (R) – leaves them without a good alternative to ingest their medicine.

“DPH now purports to have the authority to ban the vaporization of all marijuana products based on an alleged public health emergency. With the stroke of its pen, DPH purports to abrogate the Legislative mandate that marijuana vaping oils be legal and regulated by the CCC. This it cannot do.” – Memo to Massachusetts Superior Court

In the initial filing, Luzier, a former state assistant attorney general and advocate who led the 2016 legalization campaign, called the ban “overly broad,” contending that there is “no credible scientific evidence that licensed, regulated medical marijuana has caused vaping problems.”

Prior to the state-wide ban, the CCC announced that the agency would require vape products to include every additive used in the product, including thickening agent and terpenes.

When enacting the ban, Baker declared a public health emergency which gave the DPH commissioner the legal authority to “take such action and incur such liabilities as he may deem necessary to assure the maintenance of public health and the prevention of disease.”

Last week state health officials linked a second death in the state to the vape-related pulmonary illness, according to a Boston Globe report. Public Health Officials have received more than 200 reports of vaping-related illnesses and have reported 61 of them to the Centers for Disease Control.

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