A gardener plunges their spade into fresh, damp soil.

Cooperative Gardens Not Faring Well Under Washington MMJ Laws

Despite being among the first states to legalize medical cannabis, Washington state has backpedaled in recent years. Particularly, patients who rely on cooperative gardens are not faring well, according to a document obtained by Ganjaprenuer through a Freedom of Information Act.

Washington’s medical cannabis system evolved for fifteen years following the passage of I-692 in 1998. The system was founded on an innovation in cannabis production known as Collective Gardens — these gardens were based on the old adage “many hands make light work.” Under the state’s medical cannabis law, patients could form a cannabis garden together and subsidize each other to produce the sometimes large amounts of cannabis needed to treat some qualifying conditions, such as cancer. This system was officially put into statute in 2011, but no regulatory framework ever emerged. Eventually, legislative inaction led to a vast, unregulated network of collective gardens across Washington. Some of these, but not all, would eventually make the leap into brick and mortar storefronts — it’s estimated that there were once thousands of these small businesses scattered throughout the state.

After last year’s merging of the recreational and medical markets, however, patient collective gardens were phased out along with the majority of medical cannabis shops. Under the new system, group grows are now known as “cooperative gardens” — and though the name has only slightly changed, cooperative gardens are very different from collective gardens. These new grows can include only four patients or designated providers (down from the collectives’ limit of ten). Participants also must be over age 21, registered on the Marijuana Authorization Database, and must have obtained a medical cannabis recognition card.

Patients are allowed to grow up to sixty plants per co-op, which must be located at a member’s home. Lawmakers also added the barriers that no member can live within one mile of a recreational cannabis store and all gardens are subject to the same geographic restrictions regarding schools and playgrounds as cannabis shops.

Cooperative gardens are required to track their cannabis from seed to consumption, submit monthly reports, and agree to random home inspections by the Liquor and Cannabis Board (LCB). According to the LCB, these inspections can be held between the hours of 8 am and 8 pm and are legal under the 4th Amendment and Washington’s statute.

According to the Freedom of Information request carried out by Ganjaprenuer, the number of cooperative gardens in Washington has been dramatically reduced. The document reveals that only nine applicants out of fifty have been “Set for Final Process.” Thirty-seven of the applications have been withdrawn, with the reason for withdrawal listed as “Local Authority Restriction” or “Too Close to a Restricted Entity”. The restricted entity type is not noted, which could be a school, playground, or even a recreational cannabis store. Only eleven of the withdrawals are from applicant request or documents not received. Four applications are still in process.

Currently, there are only 36 patients out of 20,224 registered on the Marijuana Authorization Database being served by these cooperative gardens. That is only 0.02% of the registered medical cannabis patients in the state.

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A shelf stacked with medical models of the human brain.

Study: Cannabis Could Help Reverse Brain Aging

Researchers at Germany’s University of Bonn, along with colleagues from the Hebrew University of Jerusalem in Israel, report that low doses of THC can help reverse some of the effects of brain aging and assist in restoring memory, according to a study published in the journal Nature Medicine. The studies were performed on mice, and found that old animals were able to regress to the state of two-month-old mice with prolonged low-dose THC treatments.

“The treatment completely reversed the loss of performance in the old animals,” Andreas Zimmer, from the Institute of Molecular Psychiatry at the University of Bonn and member of the Cluster of Excellence ImmunoSensation, said in a Neuroscience News report. “With increasing age, the quantity of the cannabinoids naturally formed in the brain reduces. When the activity of the cannabinoid system declines, we find rapid aging in the brain.”

Mice have a relatively short lifespan and show cognitive deficits often after one year. The researchers administered small quantities of THC to mice aged two, 12, and 18 months over a four-week period testing their learning capacity and memory performance with mice given a placebo. The mice given a placebo displayed normal age-dependent cognitive losses, while the 12 and 18-month-old mice given THC were found to have cognitive functions as good as the two-month-old control animals.

Researchers hope to next perform human trials.

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Viewing palm trees from below on a sunny day.

Florida Legislature Fails to Pass MMJ Expansion Bill, Moves to Health Department

After a failure by Florida’s legislature to compromise on legislation that would enact the state’s voter-approved medical cannabis amendment, the implementation responsibility now moves to state health officials who have long been criticized by patients, industry operators, and lawmakers for their handling of the current regime, according to an Orlando Weekly report.

Ben Pollara, executive director for Florida Care and campaign manager for the political committee that backed the expansion, said that the legislature “chose political gamesmanship over the will of 71 percent of voters.”

“The will of the people was thwarted again today by Tallahassee politicians, but they can’t deny us forever,” Pollara said in the report. “Florida for Care will continue fighting to implement the Constitution and bring a compassionate medical marijuana law to this state’s patients.”

The legislative deal fell apart when the House amended its proposal to expand the number of retail outlets permitted for each of the state’s medical cannabis operators to 100; the Senate had proposed setting the limit at 10.

The Senate decided not to take up the House plan before the session ended at midnight.

Sen. Rob Bradley, the Senate bill sponsor, said the chambers “just couldn’t bridge the gap.”

“That’s a real concern,” Bradley, a Republican, said. “The Legislature at some point in time needs to have a bill that implements Amendment 2. It’s disappointing that we didn’t get it done this session.”

Mara Gambineri, a spokeswoman for the Department of Health, said the agency “is committed to quickly moving through the rulemaking process” to create a regulatory structure for the expanded industry.

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Maggie Widlund: Experiences From a National Cannabis Law Firm

Maggie Widlund is an attorney at 7 Point Law, a leading national law firm dedicated to the protection of cannabis entrepreneurs and the betterment of the industry.

Passionate about cannabis and the evolving industry, Maggie comes from a background in corporate litigation, having learned to mitigate legal battles in the tech world of Silicon Valley; Maggie’s other specializations include intellectual property and corporate transactions. Before joining 7 Point Law, she had worked with a wide variety of clients including investors, startup companies, as well as mature companies being traded on public markets.

Maggie recently joined us for the following interview, wherein she shares advice for aspiring ganjapreneurs in newly legal states, identifies useful knowledge and skills for a law student interested in working for cannabis companies, discusses the industry in terms of a potentially hostile presidential administration, and more!


Ganjapreneur: What was your specialization prior to joining 7 Point Law, and how has it come into play while working for the industry?

Maggie Widlund: Prior to joining 7 Point Law (formerly NWMJ Law), I was a corporate litigator in the Silicon Valley for nearly ten years. My clients ranged from business-savvy, high-net worth individuals and lean, VC-funded start-ups to established public companies, boasting household names. As a litigator, I was in the unique position of viewing the aftermath of corporate agreements — prosecuting and defending deals gone wrong — which imbibed me with insight into universal conflicts that arise in the context of entrepreneurial business relationships. The cannabis industry is no different than the tech industry, or any other emerging industry, in this way. The same issues and conflicts that are prominent among tech companies commonly arise between business partners and investors in the cannabis industry. In fact, due to the current start-up phase of the cannabis industry, much of my practice centers around resolving conflicts and disputes between business partners and investors in the pre-litigation stage of a case.

Why did you decide to bring your expertise to cannabis?

The piecemeal legalization of cannabis throughout the country has spurred lawmakers and legislators to define a new area of law—which is a rare thing — and an amazing opportunity for attorneys generally. I was drawn to the practice of cannabis law because it offers the opportunity to work in a burgeoning area of American legal jurisprudence, where each case or client has potential to shape and define the regulation of and theory behind the industry. This potential exists in an environment that is constantly evolving and changing, giving the industry a thrilling but almost ruthless and wild sensibility. What is more, being on the forefront of such a fast-paced industry has the added benefit of working toward a sea of change in the prevailing cultural and social attitudes toward cannabis, locally and nationally.

With more and more states choosing to forsake the federal prohibition of cannabis, what preparations should ganjapreneurs be making if they live in a freshly legal state?

In preparation for a thriving cannabis industry in states recently joining the growing list of jurisdictions to legalize, ganjapreneurs should borrow roadmaps from other successful start-up industries. A successful approach requires both keen business-mindedness, and a passion for cannabis. Bearing in mind that the cannabis industry is a highly-regulated, intensely scrutinized industry, ganjapreneurs need to do their research and educate themselves thoroughly about all aspects of new business ventures including start-up costs and funding, potential locations and markets, demand in the community, and municipal regulations impacting state-wide statutory schemes. Furthermore, with stringent licensing and compliance requirements, business owners must be diligent about screening the partners, investors, employees and contractors they choose to work with and complying with all licensing and taxation requirements established for their businesses.

How has the new presidential administration affected your interactions with clients?

Initially, I received a bevy of calls from clients reacting to the White House press secretary Sean Spicer’s comments regarding a potential increase in federal enforcement efforts and did see one or two deals abandoned due to concerns over Spicer’s statements. However, the fact of the matter is that it would take a major shift at a policy level, require the diversion of substantial federal resources, and a lengthy judicial challenge process to any proffered change in enforcement before the cannabis industry would be impacted in a significant way. The bottom line is that cannabis is a revenue source for both states and the federal government, and even the current White House would be hard-pressed to rationalize gutting such a lucrative industry.

What actions can business owners take to prepare for, or help prevent, an increase in federal enforcement?

Given the cultural momentum and revenues generated from the growing cannabis industry in the United States, it is unlikely that an increase in federal enforcement will occur. However, should enforcement become more likely, the best defense is a good offense. This industry was founded by activists and pioneers. Business owners should strive to maintain that tradition of activism by promoting the cannabis industry at the local, regional and national level, and being vocal about issues that impact the industry.  As an additional measure, business owners should always ensure that they are in keeping with applicable licensing and compliance requirements at all times. Business taxes should be paid on-time, annual licensing renewal fees should be paid promptly, corporate governance statements and filings must be maintained, and all business and financial records should be kept current.

What’s the most rewarding aspect of working alongside cannabis entrepreneurs?

The most rewarding aspect of working with cannabis entrepreneurs is the innovation and creativity that they bring to the industry — it’s invigorating. Clients often come to 7 Point Law for guidance on establishing and protecting their brands, bringing new products to market and facilitating collaborations with other businesses in the industry. Discussing the fast-paced evolutions of the industry with clients while advising them on the legal issues surrounding their conceived innovations inspires me to strive for more creative approaches to legal challenges faced by my clients. In short, interacting closely with my clients makes me a better advocate.

What’s been the biggest obstacle you’ve faced so far since becoming a cannabis specialist?

I am not sure I would consider it an obstacle, but I have encountered misconceptions among non-cannabis law practitioners and others unfamiliar with the industry regarding the scope of work that cannabis attorneys perform; as the industry evolves, so does the complexity of the legal services demanded. I do my best to dispel that misconception by striving for excellence in the representation of my clients on a daily basis and informing others about the comprehensive nature of legal services 7 Point Law provides to its clients.

How do you expect the cannabis industry to change over the next 5-10 years?

There are growing pains associated with every start-up industry and the cannabis industry is no different. In the next five to ten years, we will witness the weeding-out of under-funded and unsophisticated businesses in favor of enterprises run by individuals who recognize that longevity is to be achieved through innovation founded on time-tested, traditional business principals. With the industry on-point to mature and flourish on a national scale as more and more states legalize recreational schemes, ganjapreneurs need to evolve their business practices in kind in order to remain competitive.

What recommendations would you offer a law student who wants to specialize in the cannabis sector?

Law students looking to get into cannabis practice should focus their studies on contract law, business lawyering and administrative law courses. Due to the highly-regulated nature of the cannabis industry, service of cannabis clients demands a working knowledge of specific statutory schemes and the rules and procedures of the state administrative agency tasked with licensure, regulation and enforcement of the state-specific laws governing the industry. In addition, a strong foundation in contracts, entity formation and corporate governance will enable young lawyers to provide comprehensive guidance to clients in this nuanced area of law.


Thank you, Maggie, for sharing your stories and insights with our audience! If you happen to have any questions for Maggie or want to learn more about 7 Point Law and the work they do for the cannabis industry, you can seek more information or contact the firm here.

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The Vermont Statehouse in Montpelier, Vermont.

Vermont Senate Passes Compromise Cannabis Bill, House Extends Session

Vermont’s legislature could take up cannabis legalization before this session ends after all, as the Senate passed a compromise bill on Friday which could be taken up by the House on Wednesday, the Associated Press reports. Last week, the chambers passed separate measures that were too far apart – the House version would allow adult possession and cultivation, while the Senate version would implement a taxed and regulated regime.

The legislature was set to adjourn on Saturday, leaving both bills in limbo, however Democratic House Speaker Mitzi Johnson said the chamber would reconvene on Wednesday. It’s not clear whether the House will take up the compromise legislation; which would legalize possession of small amounts and limited home grows by adults beginning in July 2018. In the meantime, a commission would develop a tax-and-regulate scheme and present it to the legislature next year.

Sen. Dick Sears, a pro-legalization Democrat, called the compromise “a way for Vermont to join two other New England states (Massachusetts and Maine) to have a legalized, regulated seed-to-sale system at some point in the hopefully near future.”

The measure passed the chamber 20-9. However, Gov. Phil Scott, a Republican, has not supported any plan legalizing cannabis and there is no guarantee he will sign the measure if it makes it to his desk.

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Hemp seeds are quickly taking their place as one of the latest, popular "super foods."

Australia and New Zealand Approve Hemp Food Sales

The Australian and New Zealand Ministerial Forum on Food Regulation has approved the sale of hemp as food but also imposed strict guidelines around the products’ marketing and labeling, according to Grain Central, an Australian grain industry publication.

The guidelines ban any references to the presence of CBD in the product and prevent any branding linking the products to illicit cannabis or suggesting that the products have psychoactive or therapeutic effects. Hemp food contains high levels of protein and near-perfect ratios of Omega 3 and Omega 6.

New South Wales Minister for Primary Industries Niall Blair said the approval will allow “Australians to reap the benefits” of both hemp food – which is legally sold in 21 nations – and an expanded hemp industry.

“Low THC hemp is legally already grown in NSW under strict licensing conditions and it is a hardy and sustainable crop that has enormous potential for both domestic and export markets,” Blair said in the report.

Currently, Australian hemp cultivators are working to develop drought resistant hemp varieties for both domestic and export markets. Under New South Wales regulations, legal hemp crops contain less than 1 percent THC. Australia legalized industrial hemp production nationwide in 2008.

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A commercial grow room in Washington state.

Cannabis Industry Lobbying in Maine Tops $140,000 in 4 Months

Cannabis industry clients in Maine spent more than $140,000 in lobbying fees between Dec. 1 and Mar. 31 in their efforts to influence how the voter-approved adult-use cannabis industry will be regulated in the state according to a Portland Press Herald report. So far, lawmakers have only taken up a handful of the 50 bills circulating the legislature related to the industry.

Leading the pack are Maine Professionals for Regulating Marijuana, who have, so far, spent $54,338 on lobbying, according to expenditure reports filed with the Maine Ethics Commission. Remedy Compassion, the next highest spender, spent $24,000; Wellness Connection of Main spent $23,250; Legalize Maine dropped $15,000; and Crockett and Crockett LLC rounded out the top five with $12,000.

Paul McCarrier, a Legalize Maine lobbyist who worked on last year’s legalization campaign, called it “interesting” that some of the groups now lobbying for regulation “had no interest” in the ballot initiative last November. He said that some groups are spending money in an effort to “stifle the competition and keep the little guy out.”

“When you have one business employing 100 people, there’s no competition,” McCarrier said in the report. “When you have three businesses employing 33 people each, you have a lot more competition.”

Patricia Rosi, CEO of Wellness Connection, said she’s spending money on lobbying because her organization feels “a responsibility to the thousands of people” they serve daily.

“Yes, we are here every week and lobbying is a priority because our voices must be heard,” Rosi said. “All of us dispensaries have a vested interest in participating.”  

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Insurance Company Refuses to Cover Cannabis Candy Manufacturer Linked to Colorado Murder

The insurance company for a Colorado cannabis candy company has filed a lawsuit against their client claiming they have no obligation to defend the manufacturer in a separate suit stemming from the case of a Denver man who killed his wife after ingesting one of the company’s products, according to a Courthouse News report.

The case stems from the shooting death of Kristine Kirk by her husband Richard on Apr. 14, 2014, which caught national headlines. Kirk claimed that the “Karma Kandy Orange Ginger,” which contained 101 milligrams of THC, triggered a psychotic episode that led to the killing. He pleaded guilty on Apr. 7 to second-degree murder and was sentenced to 30 years in prison.

Subsequently, through their guardians, his three sons filed a lawsuit against the candy manufacturer, Gaia’s Garden, and the distributor Nutritional Elements, seeking damages for negligence, wrongful death, failure to warn, deceptive trade, breach of implied warranty, strict liability, misrepresentation, and consumer law violations. The lawsuit on behalf of United Specialty Insurance says that the “bodily injury occurred after the distribution and sale of the product…Therefore, it was not a covered hazard under the policy.”

“The policy specifically did not cover, and was not intended to cover, bodily injury arising out of one of Gaia’s products where the injury occurred after Gaia’s had ‘relinquished possession’ of the product — i.e., after the product was sold and distributed,” the complaint argues.

Further, the company says the policy has an endorsement excluding “any bodily injury ‘which would not have occurred, in whole or in part, but for the actual … ingestion of, contact with, exposure to … or presence of psychotropic substances.’”

The United Specialty lawsuit is believed to be the first of its kind in the recreational cannabis industry. Nutritional Elements already settled out of court.urtis

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Many cannabis companies rely on stale or unoriginal content to drive their audiences, so why should you?

Standing Out From the “Smoke” on Social Media

Social media isn’t only a way for people to connect with each other — it is also a way for people to connect with brands. More and more, it is actually consumers’ preferred way of interacting with and learning about companies. Cannabis-based businesses are not excluded from this social revolution.

But, if you’re like most businesses, you’re contributing to the “smoke” on social media, rather than standing out. Social media is noisy, active, inundated with meaningless content and a lack of strategy.

Do you want to be another puff in the cloud, or are you ready for your cannabis brand to stand out on social media?

There are three key practices you can use to stand out from the “smoke” on social media. These practices give your cannabis business the opportunity to stand out from the crowd. This way, you can reach more customers, gain more exposure, and create more revenue.

Be Social

It’s called social media for a reason, right? All kidding aside, this is a huge area of failure for so many businesses, including cannabis companies.

When consumers are on social media, they are looking to build relationships, and not just with their friends and family. They’re looking to get that personal connection with brands and companies.

This means your dispensary or cannabis business needs to be super responsive on platforms like Facebook and Twitter. Respond to all messages (consumers really don’t like it when you ignore them) and be active in the comments of your posts. Answer questions. Be helpful. Listen to the problems or questions that are coming up related to your cannabis business. How can you do more to help?

And above all…

Be authentic. Be genuine! This goes along with staying true to your cannabis brand. Today’s consumers can smell phoniness from a mile away. The quickest way to turn away potential customers is by being robotic, fake, or insincere.

A woman typing information into a Facebook page.
With laptops and other mobile technology, it’s become very easy to stay connected with your audience.

Use Video

There are tons of amazing video marketing statistics that business owners can’t ignore. The bottom line is: Video is very powerful. Video easily cuts through the social media “smoke”. This is because platforms like Facebook and Instagram favor video. Plus, how many dispensaries do you see using Facebook Live to show off a new product? Next to none, if any at all.

Before giving you a few creative video marketing ideas, let’s make sure one thing is clear: You have to be a rule-follower on social media. The last thing you want is the Facebook police shutting your page down because you slipped up. Check out these guidelines to make sure you’re compliant.

Here are some video marketing ideas for your cannabis business that will help you stand out on social media:

  • Unboxing or “first look” of new products
  • Give a tour of your dispensary
  • Cleaning Tips 101
  • Interview your staff
  • Give a “behind the scenes” look
  • Cannabis Tips and Tricks
  • Share your mission
  • Promote an upcoming sale or event
Person holding a phone with the YouTube app open.
YouTube may be the most popular video sharing website, but remember that it’s not the only option.

Share Value

If you’re a cannabis business, you won’t want to be posting about what you ate for breakfast on Facebook. Not only is that a silly idea, but your audience wouldn’t get any value out of it. That’s key to standing out on social media: posting valuable content.

You want the content you post to be engaging and share-worthy. You should aim for retweets, likes, shares, new followers, and all the other little social media gains. If the content you’re sharing doesn’t promote this kind of activity, then you need to stop, regroup, and re-think your strategy.

Here are some of the most valuable kinds of content you can be sharing on social media:

  • Infographics
  • Interactive content, like quizzes and questions
  • Content that is positive in nature
  • Videos
  • Content with images
  • Blog posts, specifically list posts and how to’s
  • Newsworthy articles

The other key component to delivering value to your cannabis audience is being present. Being active in a social way. That means you can’t disappear and not post on Facebook for two months. That does nothing for your cannabis business. Maintain an active presence and post regularly, at least 3-4 times a week.

Managing your social media does not need to be a full-time job, but posting at least 3-4 times per week should be considered the bare minimum for an active social media presence.

The “smoke” on social media lacks that social, human component. It lacks video content, and it definitely lacks value in the eyes of cannabis consumers — and those are the consumers who you are trying to attract to your business. Being social, using video, and sharing value will help you to stand out on social media.

When you, as a cannabis business owner, take these three practices and apply them, there is no limit to the social media growth you can achieve.

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How to Find Cannabis Employment: Be Proactive and Put Yourself Out There

The rapid rise of employment opportunities generated by cannabis legalization is revealing just how great cannabis is for the US economy. Recently, Forbes reported that the marijuana industry is on pace to create more jobs than manufacturing by the year 2020. From retail, to cultivation, to lab science, startups across all sectors of the industry will continue to grow as legal markets expand and mature, and will need to keep hiring new employees along the way.

Given the popularity and cultural following surrounding cannabis, there is no shortage of people who want to find a career in this movement. This means that competition is tough among job-seekers, and to get a foot in the door many professionals may need to settle for a lower salary than they would otherwise, or relocate to a new city or state. For those who are willing to make the necessary sacrifices and put in the work, however, getting in on the ground floor now is a once-in-a-lifetime opportunity to learn and hone skills while accumulating experience that will be invaluable when the market is fully normalized and canna-business is booming throughout the country.

But with so much competition for placement in an industry that is still controversial and often closed off to outsiders, how can an individual job-seeker hope to stand out from the crowd and get discovered by businesses who are hiring? This is exactly the question we have attempted to answer with our new job board for cannabis professionals, which we built to help companies and prospective employees find and connect with each other.

Here is a screenshot of some recent job openings we have posted:

How to get a job in the cannabis industry
Recent job postings via the Ganjapreneur.com job board

How it works

For as little as one dollar per month, anyone can create a profile, upload a copy of their resume, and list their skills and experience in a directory that is only visible to cannabis industry employers. Business owners who are looking for talented professionals to fill open positions can post job listings for a small fee and browse professional profiles to find the perfect candidate for any given role. For companies who have recurring recruitment needs, a subscription plan is available which allows for the creation of unlimited job postings.

Why us?

For the past few years, we have been providing daily grassroots coverage of an industry that has continually been ignored, ridiculed, and demonized by mainstream media outlets. Our mission is to help the cannabis industry thrive: by providing a platform to help talented professionals find placement at reputable businesses in our industry, while keeping costs low enough to allow anyone the opportunity to put themselves out there, we hope to create opportunities for professionals and business owners alike.

How to get started

Visit the Ganjapreneur job board today to create a profile, post a job, or browse current openings around the country! Comments or questions? Please don’t hesitate to reach out and one of our representatives will gladly assist you.

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Federal SAFE Banking Act Would Normalize Banking for Canna-Businesses

The dangers, inefficiencies, and potential for loss due to the cannabis industry’s cash-dominated system are well documented – and while there are memos from both the Justice Department and the Financial Crimes Enforcement Network that provide a path for financial institutions to provide services to the industry, a federal bill filed last week would provide sweeping reforms, allowing state-approved cannabis businesses to freely open bank accounts and engage with other financial institutions without the institution fearing reprisal from federal agencies.

The measure, introduced in the House by Democratic Colorado Rep. Ed Perlmutter, would allow the industry to utilize credit cards and obtain loans – you know, normal business practices. It carries 28 bi-partisan co-sponsors from states both with and without legalized regimes.

“Allowing tightly regulated marijuana businesses the ability to access the banking system will help reduce the threat of crime, robbery and assault in our communities and keep the cash out of cartels,” Perlmutter said in a statement announcing the filing of the Secure and Fair Enforcement (SAFE) Banking Act. “With the majority of states now allowing for some form of recreational or medical marijuana, we have reached a tipping point on this issue and it’s time for Congress to act.”

In January, a group of bi-partisan lawmakers sent a letter to FinCen urging them to explicitly allow financial institutions to do business with legal canna-businesses, noting that their 2014 memo has resulted in less than 3 percent of banks choosing to serve the industry. The dissociation between federal and state laws force cannabis companies to rely primarily on cash for their day-to-day operations, to pay employees and tax responsibilities, as well as for products and services; even non-cannabis ancillary products and services such as contractors.

Geoff Doran, co-founder and vice president of Tradiv, a Colorado-based cannabis wholesaler platform, identified banking as a “top three” issue for canna-business owners, noting that he has at least one daily conversation with an owner about banking. He said the passage of the act would allow operators to be treated like a “true industry;” access to banking would enable businesses to make capital improvements, the ability to accept credit cards would increase their bottom lines – which means more money for state and federal coffers.

“It’s called the SAFE Act for a reason,” Doran said in an interview with Ganjapreneur.com. “It’s a huge component in adding efficiencies to our industry, ultimately making it a safer industry for all of the players involved.”

Echoing the sentiments of Perlmutter, Doran said businesses are potential robbery targets when “hundreds-of-thousands-of-dollars’ worth of product and millions-of-dollars in cash is rattling around in each state,” adding that business owners can – and have – had their families’ assets frozen and their bank accounts closed for their legal cannabis dealings.

Tradiv connects product suppliers to dispensaries and have to employ couriers who accept “cash on delivery” when making cash and cannabis transfers. Sometimes it can take up to a week for the cultivator to get paid. Doran said the passage of the SAFE Banking Act would help streamline the company’s services and would likely put an end to payment delays.

“If [banking] is not the biggest it is one of the biggest [issues],” said Eric Fraser, chief operating officer of Wurk, a payroll solution service for the cannabis space, agreeing that it’s likely a top three concern for dispensary owners and growers. “An average dispensary would either probably be first concerned with the ease and clarity of the licensing scheme in their state and local municipalities, but after that banking would be a major one.”

Wurk provides payroll solutions to more than 50 companies in 12 states; which includes making some tax payments.

“If they don’t have access to banking then this brings them back to the world of cash or money orders,” he said, adding that there are “technological options” for even those without any banking access but the SAFE Banking Act “will increase the ease” with which these cannabis companies can get access to financial tools. Even Wurk’s services can “sometimes be constrained by the specific access the employer has to banking and financial services.”

Fraser explained that, in its current form, the law should provide enough security for banks and other financial service providers to be comfortable working with cannabis clients.

“Even with those memos from the Department of Justice and FinCen a lot of banks are still sitting on the sidelines saying, ‘That’s not enough protection for me to feel safe,’” Fraser said. “So the act intends to address those people who are saying, ‘The memos aren’t enough for me to feel safe. I need legislation.’”

For Wurk, the legislation would make their service “faster, a little safer, and easier” allowing them to become more like a traditional payroll company.

Doran admitted that he has reservations about what the bill might look like when it emerges from the House Judiciary and Financial Services committees but any codified federal protections would be welcome.

“If you want us to be taken seriously as an industry then let us play like any other industry,” Doran said. “At the end of the day it’s going to make lives safer and if we can do that, the quicker the better.”

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Marino Withdraws Name from ‘Drug Czar’ Consideration

Pennsylvania Rep. Tom Marino has withdrawn his name from consideration to lead the Office of Drug Control Policy “due to a critical illness” of a family member, according to U.S. News & World Report. Marino was nominated as the Trump Administration’s “drug czar” last month.

“I thank the President for the enormous honor of considering me for this lead role in the effort to address one of the most pressing issues facing our nation and my state today: the opioid epidemic,” Marino said in a statement, following speculation that he may have failed a background check. “I will remain in Congress and continue to support President Trump in whatever way I can.”

According to the report, the Republican Representative was completing the final paperwork ahead of the official nomination. Marino is well known as a hardline drug prohibitionist who opposes state-sanctioned medical cannabis programs and once quipped he’d like to see nonviolent drug offenders put in a “hospital-slash-prison.”

Richard Baum, a Georgetown University professor, will continue serving as the acting director of the ODCP. The Administration did not release a statement regarding Marino withdrawing his name and has not yet made any hints about who would be chosen to replace him.

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Two crystal-coated cannabis colas inside of a licensed cultivation center.

Vermont House Passes MMJ Expansion Bill, Moves to Gov.

Vermont’s House has passed a measure that doubles the number of medical cannabis dispensaries allowed in the state and expands the qualifying condition list. The measure passed the Senate in February and will next move to the desk of Republican Gov. Phil Scott.

The bill (SB.16) adds post-traumatic stress disorder, Chron’s disease, and Parkinson’s disease to the list of conditions approved for medical cannabis therapies, and increases the number of dispensaries allowed to operate in the state t to eight. The measure also increases the amount of cannabis allowed to be possessed by a registered patient from two to three.

The legislation also eliminates some of the red tape that might prevent some patients from accessing the program. It removes language that requires a patient’s initial application be notarized and requirements that a physician provide a statement that other medical efforts had been made “over a reasonable amount of time without success to relieve symptoms.” Additionally, the bill adds language to protect recommending physicians, requiring their recommendation to include a statement that they are not prescribing cannabis, but rather confirming that the patient has the qualifying, debilitating, condition.

If the bill is signed by the governor, the Department of Public Safety will begin accepting applications for the additional four dispensaries on July, 1.

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Several cannabis plants shortly after being cut down for harvesting.

Report: Wholesale Cannabis Prices Rise in First Quarter of ‘17

Wholesale cannabis prices are on the rise in the first quarter of the year, reaching $1,613 per pound, after dropping from $1,953 to $1,487 in 2016, according to a Cannabis Benchmarks report outlined by Forbes.

Jonathan Rubin, of Cannabis Benchmarks, indicated he has seen evolving patterns in the wholesale cannabis price and that the products are behaving like a typical commodity.

“You see this spike in prices in the August time frame because all the outdoor harvest has been used up,” Rubin said in the report. “The outdoor growers tend to dump their product in fall and recoup some money to pay bills. Then they back off sales and let the prices rise as they slowly bring more product to the marketplace.”

Rubin thinks that the trends point toward a saturated market that is currently in a bust cycle and that, eventually, the market will even itself out.

“As prices decline, larger, more efficient players can sell close to the cost of production and wait for weaker growers to go out of business,” he said. “Fewer players means less supply and then prices go up again,”

Overall, Cannabis Benchmarks reports that wholesale prices are down 17.4 percent year-over-year.

End


AusCann Granted MMJ Cultivation License for Western Australia

Australia’s Office of Drug Control has granted a medical cannabis cultivation license to AusCann – believed to be the first license issued in Western Australia, Perth Now reports. The company, led by former federal Liberal Member of Parliament Mal Washer, will partner with Canada’s Canopy Growth Corporation to import medical cannabis from Chile until their cultivation facility is online.

Elaine Darby, Auscann managing director, said there would be a focus on educating physicians about the potential therapeutic uses of medical cannabis.

“We’re not saying it is suitable for all patients but there is good evidence about the use of cannabinoid medicines for indications such as chronic pain,” Darby said in the report. “There are a considerable number of people who could benefit from a treatment where the side effects are quite low.”

Australian Medical Association Western Australia president Andrew Miller indicated he was skeptical about the demand for medical cannabis because he believes only a small number of patients would find benefit from it.

“People have to understand that it’s not cannabis, it doesn’t have the THC that gives people a high,” Dr Miller said. “We’re not prudes, we’re just scientists.”

Daniel Schecter, a Canadian medical cannabis expert, will be giving an educational talk on medical cannabis at the University of Western Australia Club later this month.

End


Large cannabis colas lying sideways on a table after harvest..

NFL Union Official Announces Plan for ‘Therapeutic Approach’ to Positive Cannabis Tests

In an interview with ESPN Outside the Lines, National Football League Players Association executive director DeMaurice Smith said the union intends to present a proposal to the league “that has probably a more therapeutic approach” to players who test positive for cannabis.

“The idea is simply to make sure that we understand whether a player is suffering from something other than just a desire to smoke marijuana,” Smith said. “I think all of us would want to have a process where if there was truly a problem, we’re treating the problem instead of just treating a symptom.”

Smith didn’t elaborate on what he meant by “a more therapeutic approach.”

According to a report from Deadspin, both the NFLPA and the team owners desire to remove cannabis from the league’s banned substance list; however owners are keen to use the issue as a bargaining chip in labor talks which, depending on the concession, might not be worth the fight.

Under the current collective bargaining agreement, which doesn’t expire until after the 2020 season, the threshold for a positive cannabis test is 35 nanograms – the strictest limitation in professional sports.

NFL Commissioner Roger Goodell seemingly has no interest in reforming the league’s cannabis policy, referencing the “health and safety” of players when discussing the alleged dangers of cannabis use.

End


The Vermont capitol building surrounded by snow on a sunny, winter day.

Vermont Legislature Approves Competing Cannabis Legalization Measures

Both houses of Vermont’s legislature have passed competing cannabis legalization bills but no further advances are expected as the measures are too far apart and the state’s session ends on Saturday, according to a Vermont Press Bureau report.

The House measure, which reportedly passed 74-68 at 11:30 p.m. on Wednesday, would allow adults 21-and-older to possess up to 1 ounce of flower and cultivate two mature and four immature cannabis plants. The Senate proposal, which passed the body April 20, is a tax-and-regulate scheme that would create a contemporary cannabis industry in the Green Mountain State.

An amendment to the House bill by Democratic Rep. Jean O’Sullivan would have put the measure more in line with the Senate bill; that amendment, however, was rejected 42-99. Other amendments to the House measure were also rejected, including a provision to retain civil penalties for possession but removing criminal penalties for possessing cannabis plants; one that would delay implementation of the law until law enforcement has a test to check for cannabis impairment; and another that would have created cannabis education programs in schools.

House lawmakers did approve an amendment that would add cannabis to the law prohibiting open alcohol containers in vehicles.

It’s likely that the proposals will be taken up again by the legislature during the second half of the legislative biennium but it’s unclear whether Republican Gov. Phil Scott would sign any bill legalizing cannabis use.

End


Mature cannabis plants in an indoor grow site.

Nevada Tax Dept. Proposes Early Start Regulations for Rec. Program

Nevada’s director of the Department of Taxation told lawmakers on Wednesday night that the agency has drafted temporary regulations to allow for “Early Start” of recreational cannabis sales, according to a News 4 report. Early Start will allow current medical dispensaries the first chance to participate in the adult-use industry.

Application fees for the program range from $20,000 to $30,000 and will be used by the Department of Taxation to roll out the voter-approved regime.

“For the first 18 months that we issue those licenses, they can only be issued to medical marijuana establishments,” Deonne Contine, director of the Tax Department said in the report.

Officials indicated there would be plenty of licenses left for new operators but they would likely not be available for two years.

Will Adler, executive director of the Sierra Cannabis Coalition, said “it would be too hard to start a whole new license process” and that it was more efficient to build on the current network of cultivators, producers, dispensaries, and labs in the state.

“At the end of the day the new licenses are twice the number of current medical dispensaries,” he said.

Last month Nevada’s Senate passed four cannabis-related bills ranging from a ban on cannabis-infused “candy” and approvals for businesses and special events to obtain permits allowing on-site cannabis use. Adler said licensees would be affected by those rules if they are passed before Early Start.

“It’s not so much what Taxation is doing or what local governments are doing, but if something changes at the legislative level, that needs to be adopted,” he said.

The state Tax Commission will vote on the Early Start proposal May 8.

End


The Maryland Statehouse in Annapolis.

Audit of Maryland MMJ Commission Finds Regulators Overpaid for Application Evaluations

Maryland’s Department of Legislative Audits criticized the state’s Medical Cannabis Commission for using Towson University’s Regional Economic Studies Institute to evaluate medical cannabis applications in an audit outlined by City Paper. The reports concluded that the deal between the MMCC and the Institute circumvented “competitive procurement” standards, resulting “in a lack of assurance that these services were obtained at the most advantageous cost to the State.”

The audit focused on the application review process, and did not investigate some of the purported equity issues that have led to Gov. Larry Hogan ordering a diversity study of the medical cannabis program and lawsuits against the commission by companies who claim they were unfairly denied licenses.    

“MMCC significantly understated the number of applications to be evaluated, resulting in an increase in the value of the agreements from $545,000 to $2.4 million,” the auditors write, noting the contracts increased by a factor of four; “MMCC relied on Towson University’s Regional Economic Studies Institute to renegotiate prices with the hired evaluators without ensuring the cost increases were reasonable.”

According to City Paper, the auditors believe an independent accountant working with state agencies could have saved the state money on the deal.

The commission contends that the lawful “use of interagency agreements here does not reflect any intent to circumvent state law” and that they are reviewing their application procedures “for a more cost effective and timely system.”

“The Commission has renewed its commitment to the competitive procurement process,” the agency said.

End


Spark the Conversation: Michael Katz, Evoxe Laboratories

Michael Katz is the owner and founder of Evoxe Laboratories, a family business that offers innovative vaporizer technology combining cannabinoids with organically grown essential oils.

Michael joined Spark the Conversation podcast host Bianca Green for an interview at the Emerald Cup in December. In this episode, Michael and Bianca talk about the cannabis industry’s dwindling stigma, moving from the East to the West coast to start a family business in cannabis, making the change from a media-focused career in videography to owning and operating a company providing an actual, tangible product, and more!

Listen to the episode below or continue scrolling down to read a full transcript of the interview.


Listen to the podcast:


Read the transcript:

Bianca Green: Welcome to the Spark the Conversation podcast in partnership with Ganjapreneur.com, it’s a part of the Emerald Cup Series. We are interviewing today Michael Katz, a.k.a. Mr. Hollywood. I love Michael, the minute I met him he’s just a connector, a go-getter, and an awesome human being. Also the owner of Evoxe vape pens, a partner in the Emerald Exchange Farmer’s Market that happens in Malibu that is one of the best events that I have attended in the cannabis industry, very intimate bringing Mendocino County to Malibu. Really great, awesome human being.

To give you a little bit of his background, he has fifteen years experience in the entertainment industry. He’s produced content for some of the biggest brands in the world including Apple, NFL, Hewlett Packard, Tylenol. For three and a half years he ran the design, motion graphics, and VFX departments at Ant Farm one of the largest and most awarded entertainment marketing agencies in Los Angeles, producing brand content for Activision titles including Call of Duty and theatrical trailer campaigns for all of the major motion picture studios. And then in 2014, he founded Raise the Bottom Line, a nonprofit organization advocating for federal job guarantee program. And Katz is a member of the Producer’s Guild of America and ASPCA. Oh wait, ASCAP, sorry. Michael, you should become a member of ASPCA, too, though. But he’s just awesome. Everything Michael says and does is build with joy and love and again, as an entrepreneur in this new cannabis industry, he’s got a lot of information and knowledge that he’s learned and acquired over the years of building his own brand Evoxe, and we talked to him a lot about that today. It’s a really interesting conversation.

What’s up? We are here with Michael Katz, live from the Emerald Cup. The owner and founder of Evoxe vape pens, choose the mood. What’s up, Michael?

Michael Katz: Hey, Bianca. Thanks for having me.

Bianca Green: Michael, a.k.a. Mr. Hollywood.

Michael Katz: I will appreciate if you don’t keep calling me that.

Bianca Green: I know, but coming from somebody who is super Hollywood, that’s a super compliment.

Michael Katz: Well, I appreciate if the compliment is the intention. That means a lot.

Bianca Green: You know, Hollywood is the place that people shake and get shit done. So from my perspective is it definitely is a compliment. You are a go-getter, from the first minute I talked to you on the phone I was like, “I just need to know this person.”

Michael Katz: Aw, well thanks.

Bianca Green: Obviously you have a great product, a kind heart, and you’re a networker. And I think that those are all great components to success in the cannabis industry.

Michael Katz: Well, I’ve been fortunate. I do come from a background of Hollywood work which …

Bianca Green: Oh, now the truth comes out, okay.

Michael Katz: Well, I’ve lived there for a long time. I was in advertising and entertainment but I left intentionally Hollywood because a lot of the way that business is done there and the approaches that are taken to communications and the kind of products that are handed to the population, I just never really agreed with. So I was fortunate enough to go through all that and learn a lot of the techniques that are used and so now I feel really fortunate in the cannabis space that I’m able to use that for good and to be able to help other members of the community that maybe don’t have as much experience in that arena be able to see certain steps they can take to make themselves more communications friendly as things progress.

Bianca Green: I agree, I used to say, coming from the fashion world, I would see people getting so upset about dresses not arriving in time for Oscar events, just the most strange things that you could actually get upset about. And I would say, “I’m in a field where people act as if they’re curing cancer.”

And now, ironically, I’m in a field where people are curing cancer.

Michael Katz: … When you spend a lot of time, like you said, there’s so much self importance given to a lot of these industries internally where they feel like they are this group that is super influential and they take all this self importance on but ultimately a lot of that is the inflation of the value of media and just this cultural situation where we’ve really taken a lot of substance and things that matter and activism out of the just traditional commercial process. That absence is something that when you get into a space like cannabis, you really see because it’s so present here. And to be able to not just create products that are actually bringing relief and positive change into people’s lives but be able to speak for an industry as a whole that can really take this plants and take it and use it in so many amazing ways. … I feel so fortunate and think so many of us feel so fortunate to be able to use what we’ve learned in the world and now take it to really advance the cannabis community in the cause that we all so strongly believe in.

Bianca Green: What got you into the plant?

Michael Katz: Well I started being a cannabis consumer when I was in college. I was actually very anti-cannabis as a high school student and not for any reason then, I just was told that drugs were bad and I still to this point, I do believe that age appropriateness is something that’s very important to talk about because while brains are developing it’s not necessarily a great idea to give those brains access to substances when they still haven’t figured out how to operate in the world yet and make their own intelligent, unbiased decisions. So in terms of keeping cannabis out of the hands of children, I still very strongly agree with that.

Bianca Green: Unless they have seizures and need it as a medicine.

Michael Katz: Of course, absolutely in terms of that. But as when kids run around and go drink when they’re fourteen or they go get drunk, granted I would way prefer that they’re gonna use cannabis to alcohol because we all know how terrible alcohol is for the body. But at the same time, educating kids, and I see kids in cannabis families, kids who come from the community, they don’t care about cannabis. Most of them don’t even ingest it, they see it as just part of their family’s livelihood in their culture and a lot of them had been taught, “This is medicine.” And they ask their friends like I know kids who say to their friends, “Well, why would you smoke pot, you’re not sick?”

And that’s the kind of education that I think that we need to provide for children in general in that when you say that there’s no medical value for cannabis as our potential US Attorney General has been known to say, that message is not gonna be effective in creating the kinds of change that we want to see on a societal level. We’ve seen for decades that that approach does not work and it sends people into the hands of worse substances and down dangerous roads. As an industry, we have the solution to all of that and we just want to be put in a position where we can really do what’s best for our community as we grow and the people who are gonna want to come into our community as it becomes more acceptable for them.

Bianca Green: So after college when you were a consumer then what led you to actually get into the industry?

Michael Katz: Well, interestingly enough, Evoxe started as a family business in the sense that my family, they all live in southern Florida. We all came from New Jersey, Staten Island, then made the migration.

Bianca Green: Jersey Shore.

Michael Katz: Yeah. That was me, I was on that show, you don’t recognize me because I lost some of the muscles. But that was me. No, that was not me. I was already living in California when that happened and I was glad-

Bianca Green: My mom’s from the Jersey Shore.

Michael Katz: It was a different thing when I was a kid. … It wasn’t quite Boardwalk Empire but it was like there was this idyllic like, “We’re going to the Shore.” I grew up in a very rural area. All the shit that people talked about New Jersey just never resonated with me. But when you go out in the world it makes you strong when people are just talking shit about your state all the time, just, “Oh, New Jersey? Oh you’re from New Jersey? I’m sorry to hear that.” It’s like, “Oh yeah, that’s great.”

Bianca Green: I have a grandfather named Guido, okay? So it’s not just a location that I get, it’s a slang for a type of person.

Michael Katz: I know. I grew up in Jersey in the eighties and the early nineties so I could identify all these sub-cultural groups that were very unique to the … You know, the huge hair and the big bangs and the stone-washed denim. We were a cultural mecca for a certain group of people.

Bianca Green: So you migrated down to Florida.

Michael Katz: They migrated to Florida as I migrated west to California and both of my cousins are in the home healthcare business down there and so after a family dinner a couple of years ago, my cousin’s husband, who’s a registered nurse, said, “I want to get into the medical cannabis business. I think we should get into the medical cannabis business as our thing that we do.” I guess they had a little chat about it as a family and then my mom called me and she said, “Your cousin Jesus thinks we should go into the medical marijuana business.” And I said, “He’s absolutely right. We totally should do that.” And she said, “Well, I think that might be something I might be interested in.” And I was shocked, obviously, because my mother’s never ingested can- even to this day with this company, she is not a cannabis user. And she obviously lives in Florida.

But I was like, “Well, are you sure that this is something that you think you’d want to pursue?” And she said, “Yeah. I think so.” I’m like, “Well, if you’re sure and I’ll ask you again. If you’re sure, then I don’t know what it’s gonna look like but I’m gonna hang up the phone. I’m gonna call the rest of the family and we are going to start a business with the focus of getting into cannabis.” And she said, “Okay.” I’m like, “All right. I’m gonna do it right now so last chance to change your mind.” And she’s like, “No, okay. Go for it.” So I hung up and I called both of my cousins and I called her sister and that weekend we had a conference call and we decided that we would start a company and do discovery into the space.

… And this was 2014 so there was the ballot was coming up in Florida that would’ve potentially made it medicinally legal beyond just the CBD that they had. And so the idea originally was we would set up a dispensary there because we already had the family in the home healthcare business working with all of the seniors in the community, working actively with Alzheimer’s groups and Parkinson’s groups. One of my cousins was given an award from an Alzheimer’s foundation, another of them does a walk and was on the local TV station. So, very active in the community. When it didn’t pass, we had gotten so excited about what the opportunities were that we said we wanted to keep going.

So I was living in California for a very long time obviously and so it became clear that that would be the best arena to focus the business on. At that time, doing our discovery, we met some people who were looking to sell a vaporizer company. In that process we saw the business model, we understood how the market was, we did some research and what we realized was that there was a ton of products in this space but none of them had really innovated in any real way that we could see. And in addition to that, many of them were not communicating with consumers in the way that people are used to being communicated with. So we saw this really big gap in a very crowded market and decided that that would be the kind of best way to focus our energies.

Bianca Green: So marketing and educating?

Michael Katz: Well, marketing and educating and communicating. … We now learned all of these things about what the plant can do and terpenes in combination with cannabinoids and all things that if you’re in the cannabis space you now take as this is the truth, we understand how this plant works anecdotally, in combination with studies that come out all the time more and more. And in that context we can really lead the charge to creating more purpose driven products which is what has been very lacking from the cannabis space. Both purpose driven products and both products and brands that go beyond cannabis and invite people from outside of the cannabis space into it. Because there’re so many people that still have all of these stigmas and these misconceptions and it’s really up to us to make those misconceptions go away. And the only way to do that is to come out of the current cultural visualization process and reach out to them in a way that’s gonna be comfortable for them and giving them a safe access point. Because without that safe access point, they’re gonna still be thinking of these dirty stoners and I think that’s a terrible-

Bianca Green: And scary drug dealers giving them their medicine.

Michael Katz: Exactly. And so that whole paradigm we can change and have been changing. The freedom to do that in a place like California and with all of these shifts that have been happening in the other states throughout the nation like every time it feels safer for somebody to come out and either become a patient or create a product or people who have been using this for years who have all of this knowledge built up. So in a space where you’re free to experiment with that knowledge and take it to market and provide value, that’s an incredible opportunity for all of us, for all of the future patients and consumers, and for society as a whole. All we can do is continue fighting tooth and nail every day because regardless of the gains that we’ve made, there are a lot of things happening on the federal level that stand to potentially derail a lot of the progresses that we’ve been fighting for and our victories that have happened slowly over time. I think that it’s gonna be a really arduous journey to get to a place where we are able to treat this like a real business.

Bianca Green: What have some of your challenges been since you’ve decided you wanted to get into this space?

Michael Katz: Every single aspect of creating a physical product was totally new to me. Coming from advertising and entertainment, I make videos. I’ve made videos. You can call them whatever, commercials, music videos, feature films, marketing content, brand activation pieces, whatever, it’s videos. When you deliver a video, that’s what you deliver. It’s done. It’s always the same thing, it’s final. It’ll go out in various channels and different people will see it in different ways and maybe it’ll be well received or maybe it’ll just be fluff or whatever it is. When you make a physical product that people are ingesting, personally, the level of responsibility that you have increases exponentially. And with that responsibility comes the need to fine-tune so many parts, so many moving parts, to get that product into someone’s hand and have them have a positive experience every time and that’s, especially for startups with limited resources like family business pulling together the cousins and the aunts and uncles.

It’s like we were able to take our strengths, which in my case were branding and communications and this incredible idea that we developed, but with that every bit of from finding the right hardware producer, finding the right oil partner. Because we’re not cultivators, we don’t have any background in the cannabis space so sourcing individual non-cannabis components is one thing. That’s just you make phone calls, you have meetings, you do testing, you can do that with basically anything. But when you want to get the best product at a price that then enables you to have a sustainable business, you have a lot of work to do. Because cannabis I think of as this circle and when you come in from nowhere, you’re at the very end and at the edge of the circle, there’s no accountability, everybody’s selling you something different, you don’t know who to trust, you don’t know what’s real, and you tend to believe the people because if you’re used to working in different businesses, you have different experiences, you’re like, “Oh, somebody says this, it means this. And somebody says that, it means that.” And generally, if you’re just starting off and you haven’t met the right people who are doing this for the right reasons, they’re gonna give you the runaround because they know that they can.

And that happened to us a lot at the beginning. But if you’re doing this for the right reasons and if you’re expressing yourself correctly and you care about what you’re doing and you’re the activist that this industry requires to be, if you’re going to do it right for the right reasons then there is so much love and open arms and support and collaborative spirit that’s unlike anything I’ve seen as a professional in sixteen years working in Hollywood. And so that collaborative spirit in the cannabis community, that’s a very real thing that’s very different from the cannabis industry. To see that-

Bianca Green: And the cannabis culture. But I feel like the three of them are really melding all into one, right? The consumer, the entrepreneur, and advocate?

Michael Katz: … So yes, there is this … Right now it’s almost like those toothpastes where there’s two barrels and you push it in and then they come into one stream or whatever? So there’s these three streams and that’s happening and then the question is gonna be how much egalitarianism is gonna happen between those three groups? I think that-

Bianca Green: What does egalitarian, say it again?

Michael Katz: Like equality, like the-

Bianca Green: I’ve definitely heard of it, I just really didn’t know.

Michael Katz: I mean in the sense of is there going to be equal parts industry, community, culture? Industry is very powerful and industry historically in our country and in the world has had the power to destroy community and culture. It’s done so efficiently and effectively and at great personal profit to them. That is what industry comes from and so the industry that’s entering now in this space is … There are people who are genuinely interested in it and I’m sure that there are just as many people who are circling the pond, waiting for the real floodgates to open and then getting ready to employ all the tactics that we as progressives in our lives outside of cannabis have been fighting against for decades regardless. And I think that there’s a lot of that spirit in the cannabis industry. Generally there’s a lot of humanism in the cannabis industry, that I’ve seen. I think that those morals and those ethics are the things that we want to expand on and use to help build the foundation. And it’s in the same way that starting a new company is an every day struggle, fighting this battle of the culture of our industry and making sure that we all work together to direct it in the right ways because if we don’t and we don’t maintain that consistent voice like standing up for the community, it’s just gonna get railroaded.

Bianca Green: Well I love your perspective and it’s so spiritual. I believe that the plant is the catalyst to consciousness and the more people who have access to it, the better. To whatever capacity. CBD is changing people’s lives. Heavy THC is helping people that are in chronic pain and serious illnesses and seizures. And then there’s a wellness component that I definitely believe goes into a preventative action that the plant enables people to have.

Michael Katz: Oh yeah. … The exciting thing for us and one of the things that we speak to in just our initial product line is that that’s only beginning. We blend essential oils with cannabis and so what that does is it just creates a more purpose driven experience. It’s like, that’s one thing and it’s only the first thing. But what we’re gonna have the ability to do if we keep fighting for the rights to do it is continue to find out what else can we take cannabinoids and these terpenes and these compounds and other compounds that we’ve already developed — maybe some of them are natural, maybe some of them are pharmaceutical. But I just imagine this world where THC and CBD become regular parts of our health and wellness on a societal scale. And the other cannabinoids as we are able to express them and experiment with them, I just imagine treatments for cancer that if you could combine the restorative powers of cannabis with some of the targeted effective pharmacological solutions. Imagine being able to reduce harm but increase efficiency of targeting these cancer cells.

Bianca Green: It’s amazing. Some of the research and science and technology that people are looking into coming out with, that’s why I’m so encouraged by the fact that we are legal in California and some of the proponents will really start focusing on federal change. ‘Cause it’s a super important thing ’cause that’s where we really get to do the research. We’re doing it in other countries right now but because it’s a schedule one narcotic, we got no shot at having any research even have any value.

Michael Katz: Yeah, the great thing about the cannabis industry is that we know all of that research is happening even if it’s not being approved federally. And it’s not-

Bianca Green: But, it’s hearsay.

Michael Katz: Well, I know but-

Bianca Green: Unfortunately, until it becomes legal.

Michael Katz: Right, but the thing though is that by having that foundation that’s so much larger than just traditional anecdotal. It’s not like if you have chicken soup, you’re gonna get better from a cold. It’s like we have people in multiple states creating products that they’re creating in their facilities that are pharmaceutical grade extractions that are gonna be able to be tested and utilized as soon as the infrastructure becomes available. We know people who are taking all kinds of risks and their freedom to be able to do these experiments and it’s important that we provide them the support to be able to really get out of the closet and the garage and really come into the light and take that value and help provide it to society.

Bianca Green: Well your contribution with Evoxe is a huge step in the right direction and being a part of such an awesome new industry that exists. And your business model’s awesome, your product is awesome, I’m such a huge fan. I guess we can change you from Mr. Hollywood to maybe Mr. Hollyweed. Maybe that would be a better title for you at this point? So tell our listeners where we can find you.

Michael Katz: Okay, great. Well, we’re in dispensaries throughout the state from Sacramento down to San Diego. Check us out on our website at evoxelabs.com, that’s E-V-O-X-E labs-dot-com. We’re also on Instagram, Twitter, Facebook, the interwebs.

Bianca Green: Yeah, you guys are really active.

Michael Katz: There’s some fun videos you there.

Bianca Green: Awesome. Anything you would tell our listeners that are entrepreneurs out there?

Michael Katz: Yeah. Basically there’s only one way to do what you want to do in this world and that is to do it. Nobody is able to do anything completely on their own. And what is really evident in the cannabis industry to me is that finding the right partners to build a broader foundation that allows multiple groups to succeed and thrive at the same time, that collaborative spirit is … Everyone talks about entrepreneurs but they rarely talk about the network that supports the entrepreneur without which the entrepreneur would not be able to get anything done. It’s that community that builds a much larger ecosystem and that’s the kind of thing that can support tons and tons of people to really create value for themselves and for society.

Bianca Green: Awesome. Well thanks so much for being here.

Michael Katz: Thanks for having me.

Bianca Green: Live at the Emerald Cup, if you can hear some background noise it’s from some sound checks going on in the Grace Pavilion. I’m really stoked to have had this time with you.

Michael Katz: Thanks, Bianca.

Bianca Green: Awesome.

Spark the Conversation is really excited to do this partnership with Ganjapreneur.com, creating these podcasts. It’s a resource for cannabis professionals, advocates, business owners, anyone really who’s in favor of responsible growth. So visit Ganjapreneur.com for daily cannabis news, career openings, company profiles, and of course more episodes of this podcast. We’re thankful to them and the partnership that we have with them and we appreciate the fact that they spark the conversation and help ganjapreneurs grow.

End


The leafy ceiling of a large, commercial cannabis grow in Washington state.

Federal Bill Would Remove CBD from ‘Marihuana’ Definition

A bill to exclude cannabidiol and “cannabidiol-rich plants” from the definition of “marihuana” under the federal Controlled Substances Act has been introduced in the House by Republican Rep. Scott Perry and co-sponsored by a bi-partisan cadre of lawmakers from states with both comprehensive and limited medical cannabis programs.

Perry said that while lawmakers in his home state of Pennsylvania have moved to allow access to CBD therapies, access remains restrictive due to federal laws which leave families and children “out of options.”

“I still disagree with the recreational use of marijuana; however, these children and individuals like them deserve a chance to lead a healthy and productive life, and our government shouldn’t stand in the way,” Perry said in a press release. “My proposal is a narrow way to ensure that these kids get the help they need.”

Under the measure products containing CBD with no more than .3 percent THC would be removed from the federal definition of marijuana.

Last July, Nora Volkow, the director of the National Institute on Drug Abuse, penned an op-ed in the Huffington Post concluding that “CBD appears to be a safe drug with no addictive effects, and the preliminary data suggest that it may have therapeutic value for a number of medical conditions.”

The bill has been moved to the House Energy and Commerce, Judiciary, and Financial Services committees.

End


A cannabis worker packages concentrate products for consumption in Washington state.

Australia Receives First MMJ Imports from Canada

The first medical cannabis products to be imported into Australia under the recently enacted federal guidelines have arrived in Melbourne and Perth, which means approved patients no longer have to wait for their medicine to be imported, the Australian Broadcasting Company reports. Until now, medical cannabis was only imported into the country on a case-by-case basis – now pharmacists will be able to have a supply on hand.

Creso Pharma and Health House received three types of cannabis oils from Canada’s CanniMed.

David Russel, Creso Pharma COO, called the deliveries “A ground-breaking moment” for both Australian patients and the medical industry.

“The Australian market has been catching up with community expectations while the regulatory framework around medicinal cannabis was being developed. Now these products will allow patients to have the option of medicinal cannabis treatments if it is prescribed by their physician,” he said in a statement. “This is particularly important given the unmet but often immediate need to access a timely medicinal cannabis supply across Australia.”

Health House was one of the first companies granted a license under the import regime, enacted in February.

Paul Mavor, director of Health House, said the import scheme makes it “far easier for patients to access the products they need when they are prescribed by a doctor.”

“We’re excited to be playing a key part in the Australian government’s efforts to improve access to medicinal cannabis around Australia,” Mavor said. “Being able to supply Australians with some of the world’s best medicinal cannabis oils is a tremendous achievement not just for us, but for the local market.”

Health Minister Greg Hunt has indicated that importation of medical cannabis products would be allowed until local cultivation and processing can catch up to demand.

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National Institute on Drug Abuse Adds MMJ-Opioid Studies to Website

The National Institute on Drug Abuse, a division of the National Institutes of Health, has updated their website to reflect recent NIDA research on the effects of medical cannabis legalization on prescription opioid use outcomes.

The section, updated last month, outlines two NIDA-funded studies “that explored the relationship between marijuana legalization and adverse outcomes associated with prescription opioids.” One study found an association in medical cannabis legalization and a reduction in opioid-related due to prescription painkillers, while another NIDA-funded study by the RAND Corporation showed that states with comprehensive medical cannabis programs see lower levels of opioid prescribing, non-medical prescription opioid use, and less opioid-associated hospital admissions.

“Notably, the reduction in deaths was present only in states with dispensaries (not just medical marijuana laws) and was greater in states with active dispensaries,” the new section states. “Though none of these studies are definitive, they cumulatively suggest that medical marijuana products may have a role in reducing the use of opioids needed to control pain. More research is needed to investigate this possibility.”

The update also includes a brief overview of a study which found that the availability of medical cannabis led to Medicare prescription drug coverage savings of $165.2 million in 2015.

An archived version of the medical cannabis section from Feb. 11 makes no mention of the plant’s role in prescription opioid outcomes.

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The state capitol building of New Hampshire in Concord, New Hampshire.

New Hampshire Senate Committees Approve Decriminalization, MMJ Expansion

Bills that would decriminalize cannabis possession and add post-traumatic stress disorder to the medical cannabis qualifying condition list in New Hampshire passed through key committees in the Senate and will move to the chamber for a full vote, the Associated Press reports.

The decriminalization legislation, approved by the Senate Judiciary Committee, would remove criminal penalties for possessing up to 20 grams of cannabis, downgrading the charge from a misdemeanor to a violation carrying a maximum penalty of $300. A measure that previously passed the House would have raised that limit to 28 grams – or 1 ounce – however, the New Hampshire Association of Chiefs of Police worked with Republican Sen. Jeb Bradley on a compromise between the plans to tighten the legislation.

If approved, New Hampshire would be the final state in New England to pass a cannabis decriminalization law. Republican Gov. Chris Sununu has indicated he would sign a decriminalization bill; something his predecessor, Democrat Maggie Hassan, never vowed.

The bill adding PTSD and chronic pain to the medical cannabis qualifying condition list passed through the Senate Health and Human Services committee, and will likely be taken up by the full Senate next week.

New Hampshire’s medical cannabis dispensaries opened last year.

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