A young cannabis plant flourishing in an outdoor garden.

South African Study Finds CBD an Effective Cervical Cancer Treatment

10/07/2016

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Researchers from Potchefstroom, South Africa’s North-West University’s biochemistry department, suggest that CBD extracts inhibit cell growth and induce cell death in cervical cancer cells, according to an outline of the study by Motherboard. The study’s authors concluded that the disease is “the most lethal cancer amongst black women” in Africa as over a quarter of a million women die from cervical cancer each year.

“Results obtained indicate that both cannabidiol and Cannabis sativa extracts were able to halt cell proliferation in all cell lines at varying concentrations,” the authors determined in the article, published in the BMC Complementary and Alternative Medicine journal. “In conclusion, these (sic) data suggest that cannabidiol rather than Cannabis sativa crude extracts prevent cell growth and induce cell death in cervical cancer cell lines.”

The study was conducted through in vitro, or test tube/petri dish analysis using CBD supplied from biochemistry firm Sigma-Aldrich. The cannabis used in the study was collected from Nhlazatshe 2, in the eastern Mpumalanga province. In South Africa, over 80 percent of the population is still dependent on medicinal plants, the researchers noted.  

This is the second such study looking at the possibility of using cannabis as a cervical cancer treatment. A 2004 French study, published in the journal Gynecologic Oncology, had similar findings, which concluded “endogenous cannabinoids or synthetic molecules offers attractive opportunities for the development of novel potent anticancer drugs.”       

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How Dispensaries Can Pursue Positive Local News Coverage

10/06/2016

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Opening a new business in an emerging and often controversial industry can present all kinds of challenges, but a positive write-up in a local publication can do wonders to break the stigma that your neighbors may have about the cannabis industry while bringing new customers or patients through your doors in the process.

In order for a news outlet to consider writing about you, first you’ll need to have a newsworthy story. With that in mind, attracting positive press as a dispensary or producer/processor can be done the same way that it can be done for any kind of local business: participating in local charity events, announcing noteworthy partnerships or promotions, or becoming a member of your local chamber of commerce and other community organizations. After deciding what your company can do to attract positive attention, take the following steps to increase the odds that a journalist will be interested and announce your news to the community:

1. Research local media outlets in advance

Come up with a list of local media outlets (newspaper, radio, TV, news sites or blogs) and observe the way that their reporters cover local business or lifestyle news, especially related to cannabis. Note the writing style, length of story, type of story, etc. so that you can provide a press release written in a similar style, lessening the amount work the journalist will need to do to cover your news. Chances are, if you read the local papers, you already know which ones will be most likely to show interest in your story.

2. Compile a list of reporters to contact

From each outlet, make a list of all of the journalists that would make sense to contact based on the previous stories you can find that they have covered. Look for the journalists who specialize in local business, culture, events, or whatever topics pertain best to your announcement. You can usually find a journalist’s preferred mode of contact on the contact or about pages of the outlet’s website, or at the end of an article they have written.

3. Write a press release announcing your news

After selecting your top prospective journalists, write a press release matching the tone of the outlet you wish to target. Keep your most important and timely messaging at the top of the press release, include a quote or two from someone at your company, and list your contact information at the bottom of the release. For more on the art of press release writing and to download a template, check out this Hubspot article.

4. Send a personalized email to each journalist with your press release attached

Personalizing the email you send to each journalist will show them that you have taken the time to do your homework and that you’ve contacted them for a reason. Feel free to reference past articles that they have written while mentioning that their audience would benefit from knowing your company’s news. Attach a document containing your press release, as well as some high-resolution photography related to your announcement.

5. Follow up with the journalist if needed.

In some cases the journalist will reach out to you with follow-up questions, so be prepared to speak over the phone or meet in person with the reporter. If you don’t hear from a journalist or see a story profiling your company’s news, it is okay to follow-up with the journalist a few days later. Be polite and remember that if they like you and what your company is doing, it could mean much more positive press in the future.

Overall, outreach to the local press should be a big part of your marketing efforts. Obtaining local press coverage can be time-consuming, but it is free and more trustworthy to the public than advertisements. Spend the time building up a comprehensive outlet and journalist database, crafting effective press releases, and maintaining communication with journalists, and you could see large amounts of positive press and new business.

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Anchorage, Alaska at night from across the water.

First Cannabis Retailer in Anchorage, Alaska Receives City Approval

10/06/2016

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The Anchorage Assembly voted on Tuesday to approve the Arctic Herbery — a cannabis cultivation and retailer enterprise proposed by entrepreneur Bryant Thorp — as the city’s first licensed, retail marijuana shop. Thorp was issued his cultivation license by the city back in July, and has already received state approval for both aspects of his operation.

According to a report by Alaska Dispatch News, no members of the public showed up to testify against Thorp’s retail shop, and the Assembly voted unanimously to approve the licensing without prior discussion among Assembly members.

“I’m shocked. That was easy,” said Thorp, who now estimates his opening date will be “around the first of November-ish.”

Several conditions were attached to the licensing, however: the store must be closed between the hours of midnight and 8 a.m., and any cannabis odors must be contained at the property line.

With a cultivation and retail license in hand, the final obstacle blocking the Arctic Herbery’s launch — besides a few minor building upgrades that Thorp says are still needed — is for cannabis testing labs in the state to be fully operational, as every batch of recreational cannabis must be tested for consumer safety before it can be sold.

“I just wanted to note that with breathtaking speed we blew by the first approval of a retail marijuana establishment in Anchorage,” said Assemblyman John Weddleton, chairman of Anchorage’s land use committee that oversees cannabis applications. “We haven’t made it easy on everyone but I wish him luck, I hope they do a great job.”

“Go forth and do good,” Assemblyman Tim Steele told Thorp.

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A doctor organizing their work via a touchscreen tablet.

Study: Doctors Generally Unconcerned by Cannabis Use, GOP Docs Less Likely to Recommend MMJ

10/06/2016

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According to a study published in the Proceedings of the National Academy of Sciences, Republican doctors are less likely to recommend the use of medical cannabis than their Democratic counterparts, but the study also discovered that, in all, doctors cared less about cannabis use than they did other “risky” behaviors such as tobacco use or sex with a prostitute.

“Republican [physicians] are more likely to discuss health risks of marijuana [with their patients], urge the patient to cut down, and discuss legal risks,” the authors wrote.

Democrats, on the other hand, were more concerned about how a patient who owns firearms stores their weapons if they have children than they were about the patient’s cannabis use.

In the study, conducted by Yale University researchers, 233 doctors were asked to rank nine hypothetical patient behaviors on a 10-point scale. The behaviors included a range of issues – including cannabis use, previous abortions, depression, not wearing a helmet while riding a motorcycle, etc. – in an effort to determine their attitudes based on their political affiliation.

Marijuana use garnered a 5.7 rating, along with previous abortions. Not wearing a motorcycle helmet and sex with prostitutes ranked at the top of the list, with an 8.4 score. Tobacco use and depression ranked slightly second at 8.2; alcohol and obesity had an average score of 7.8; and firearms in the home got a 7.4 score.

Tennessee Congressman Rep. Phil Roe, a retired obstetrician-gynecologist and chairman of the GOP Doctors Conference, said that “party affiliation should have nothing to do with patient care.”

“I never once treated a Republican or Democrat cancer in my life,” Roe said in a Washington Post report. “When a patient walked into my office, I didn’t know if they were a Republican or a Democrat, and I honestly didn’t care.”

Roe said most patients will seek out the best care regardless of a physician’s political affiliation.

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Contemporary blue home theater with couch.

Pro-64 TV Ad Campaign Debuts in California

10/06/2016

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Ads supporting Proposition 64 in California have started airing on broadcast and cable channels in the state, according to a blog posted on the Californians for Responsible Marijuana Reform website. The spots highlight the restrictions of the program and how it will keep children from accessing the drug as well as the revenue expected under the plan.

In the ad titled “Safeguards,” a narrator outlines the keystones of the bill aiming to protect children — customers must be 21-years-old and advertising to young populations is banned, including edibles that appeal to children.

“Revenue” attempts to dispel the myth that the Adult Use of Marijuana Act would permit cannabis sales at grocery and convenience stores, and outlines the potential proceeds that could be gained under the measure.

“Prop 64 generates $1 billion in new tax revenue for California to fund after-school programs and job training and placement initiatives,” the ad states.

The Yes on 64 media buy is funded by Californians to Control, Regulate and Tax Adult Use of Marijuana While Protecting Children; which includes “major funding” from entrepreneur Sean Parker and Drug Policy Action.

Brian Brokaw, campaign manager for Yes on 64, said Californians “overwhelmingly support” a “smarter, safer approach” to cannabis policy.

“Proposition 64 is the most comprehensive, thoughtful marijuana policy in the nation and reflects the input of the hundreds of organizations and experts – and these ads are designed to straightforwardly communicate the vast safeguards and benefits of Proposition 64 to every voter in the state,” he said in the post.

Yet, some California growers are opposing the measure over fears that it will create too much red tape and onerous oversight.

California is one of five states voting on the legalization of recreational cannabis next month.

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A calculator and pair of reading glasses sitting on top of paperwork.

Cannabis Packaging Company Files Chapter 11 in Colorado

10/06/2016

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High Supply, a Denver-based cannabis packaging company, has filed for Chapter 11 bankruptcy as the result of “severe financial stress” caused by “theft and corporate espionage by former employees,” according to its CEO Paul Lufkin, as reported by the Business Den.

Lufkin is currently embroiled in a lawsuit against a former co-owner of the company and other employees, claiming the cohort tried to start another packaging firm in violation of a non-compete agreement.   

Through their lawyer, Tobin Kern, the former co-owners and employees contend that the bankruptcy is the result of the High Supply’s new owners’ “own poor customer service and decision-making since the sale was completed.”

In the bankruptcy filing, the company outlined debts of $245,000.

Lufkin, along with investors from Green Leaf Acquisitions purchased High Supply from founders Justin Walker and Aaron Israel last year for $400,000 including stock. Walker remained president of the company while continuing to run his printing business, Pressroom 2.0. As part of the sale, Walker signed the non-compete clause.

About a year later, Walker and Israel claimed that they had not been paid for their ownership stake in full, and in February 2016 Pressroom 2.0 sued High Supply alleging that the owners locked them out of the shared space used for the printing business operations.

Green Leaf countered, claiming that Walker and several employees conspired “to establish new competing operations” in Denver — in violation of the non-compete clause.

In that case, a Denver County District Court barred Walker from owning or working at any packaging firm that supplies cannabis companies. Walker was allowed to continue running Pressroom 2.0 under the condition that High Supply be its only cannabis packaging client. Additionally, the judge ordered Green Leaf to pay the former co-owners $150,000 in stock under the original sale agreement.

In a court filing, Kern argued that Green Leaf could not “stretch” Walker’s non-compete order to include other individuals and marijuana packaging business’ names in the suit. He says that Walker is complying with the terms of the agreement and the former employees are not subject to non-compete agreements.

This is at least the second time Lufkin has filed bankruptcy for a company. In 2012 Lufkin purchased e-payment company eFusion, which filed for bankruptcy a year later due to claims that the former owners plundered the company’s profits for themselves.  

This is also not the first time he has been locked in litigation with former associates. In 2005, he purchased a majority stake in eCashFlow Systems, a Denver-based e-checking business. Lufkin was subsequently sued by its founder, who claimed he was never paid his full equity shares by Lufkin. Investors also sued, claiming Lufkin had mismanaged company funds.            

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The cola, or top-most nug, of a medicinal cannabis plant.

Illinois MMJ Sales Reach Nearly $4M in Sept.

10/06/2016

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Medical marijuana sales in Illinois topped more than $3.8 million in September, bringing the total of cannabis sales to $23.5 million since the program was launched in November last year, according to a report from the Associated Press.

Under the program, 11,100 patients are registered to buy medical cannabis in the state; 85 of which are teenagers and children. There are now 44 licensed dispensaries in the state.

As the program expands, other Illinois patients are seeking to gain access to medical cannabis in the state, and seven lawsuits have been filed to expand the list of qualifying conditions.

In June, lawmakers chose to extend the pilot program until 2020 and added post-traumatic stress disorder and terminal illness to the qualifying conditions list. The following month, Cook County Circuit Court Judge Rita Novak ordered the Department of Public Health to reconsider adding migraines to the list after Health Director Nirav Shah overturned a vote by the Cannabis Advisory Board to add the condition. Last month, Novak’s colleague, Judge Neil Cohen, ordered Shah to allow post-operative pain as a qualifying condition.

In July, Republican Gov. Bruce Rauner signed legislation to decriminalize possession of small amounts of cannabis. According to the Chicago Tribune report, the law also expunges records for some marijuana-related offenses twice a year.

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Brandon Cassens, founder of My Urban Greenhouse.

Brandon Cassens: Bringing Home Grow Options to Urbanites

10/05/2016

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Brandon Cassens is Founder of My Urban Greenhouse — an urban gardening solution for folks who lack the yard space typically needed for a personal garden, but who still want to take advantage of cannabis home-growing laws in Oregon, Colorado, and other normalized states. My Urban Greenhouse manufactures automated, hydroponic growing systems and ships them around the U.S.

In the following interview, we speak with Brandon about how he has kept the hydroponic growing process sustainable, the differences between targeting consumer vs. commercial cultivators, what My Urban Greenhouse has planned to scale into the future, and other interesting topics.

Keep scrolling down to read the full interview!

Ganjapreneur: Could you describe how My Urban Greenhouse originally came about?

Brandon Cassens: My Urban Greenhouse started in 2011 with the concept of sustainable, urban farming. Steven, Andrew, and I were excited by the huge potential for indoor plant cultivation. We built a robust indoor recirculating aquaponics system with flood and drain grow beds, raft systems, and traditional HID lighting. The high electric cost of running that indoor system with HID lighting resulted in the building of a 640 square foot aquaponics greenhouse. In the process of these builds, we experimented with every variation of hydroponics and did extensive research on energy efficient LED lighting solutions. When cannabis laws started changing in Oregon, we utilized our experience developing hydroponic systems to produce the HomeGro system.

What type of grow systems does the company provide? Which is your most popular product?

My Urban Greenhouse systems are automated, hydroponic growing systems that include everything a person needs to get growing. Designed for indoor growing, our smallest system is only 2ft wide, 2ft deep and 4ft tall. It’s a perfect solution for urban dwellers with limited space. All of our systems include energy efficient LED Lighting with a customized spectrum specifically for the cannabis plant. Our LED lights will grow all plants successfully, but the cannabis plant requires unusually high levels of the red spectrum to produce high quality flower. This is the reason our lights have one switch for vegetative growth that provides a full spectrum of light and a second switch for the bloom/flowering stage that pumps a huge amount of additional red light on to the plants.

Our most popular product is the HomeGro. The HomeGro requires 10 minutes of maintenance per week, costs less than $10 per month in electricity, and will easily provide new growers with more than 1 ounce of dried flower per month. We have had experienced growers producing over 16 ounces in a 3 month grow cycle. The HomeGro footprint is 2ft deep, 4ft wide and 7ft tall so it still easily fits against a wall indoors.

How does My Urban Greenhouse work to offset the potentially negative environmental effects from an indoor grow op?

The largest impacts of an indoor grow operation on the environment are high levels of water and energy consumption. We developed all of our systems with sustainability in mind. We only utilize recirculating hydroponic systems which reduce water consumption by 90% compared to traditional agriculture. Our LED lighting solutions reduce electrical energy consumption by up to 70%. These LED lights use less energy to provide the same amount of light to the plants. They also produce very little heat which reduces the need for energy consuming fans and air conditioning units that are required when using traditional HID lighting. By minimizing the required water and electric inputs, we provide an environmentally conscious way for home growers to produce their own herb.

Have you experienced any pushback from law enforcement or regulators?

No, we have not had any negative experience with regulators. Our systems allow people to start growing with only 2 plants, which is under the 4 plant limitation set in Oregon. We want people to stay within the regulations and I’d hope that law enforcement would appreciate the products we’re bringing to citizens that allow them to do just that.

How many employees does My Urban Greenhouse have?

My Urban Greenhouse currently has 4 full time employees: The 3 founders/owners (Steven, Andrew, and Brandon) and our newly hired sales person Camden. We’re expecting to generate enough sales to grow our team to 10 employees over the next 12 months.

Have the products you offer today changed from the products you offered shortly after the company’s launch? If so, how?

Great question. The answer is a big YES here. Our product at the time of launch was a $1500 version of the HomeGro system we sell today. It included a complicated metal structure with telescoping legs that allowed the light to be raised as the plants grew. It also included an off the shelf LED grow light that we were purchasing as retail. Our consumer interactions in the first month gave us critical feedback on the direction we needed to go with our products. We focused on two critical areas: Cost reduction and LED Lighting. The HomeGro evolved to include our own line of LED lights and the cost was reduced to $995. People also expressed the desire to grow the full 4 plants they’re legally allowed to grow in Oregon. That resulted in the development of a Sea Of Green style system that allows for a truncated growth of 4 plants. The SOG unit provides more frequent harvests and a smaller footprint that is perfect for apartments and other small living spaces. We’ve even had a customer living in an RV purchase an SOG unit that fit right in their closet!

How far can you ship your products? Is there much out-of-state demand for your products?

We currently ship our products anywhere in the U.S. However, it will cost a bit more if you live in Alaska or Hawaii. We’ve seen a big increase in out of state orders recently. I would say Alaska is definitely our biggest out of state market, but we receive regular inquiries from states in the Midwest and East coast.

What inspired you to focus on indoor cultivation at the consumer level, as opposed to commercial growing?

Over the years, we’ve spent a fair amount of time in our local hydroponics shops. When the laws in Oregon established a 4 plant limit per household, we recognized that most hydroponic systems currently being sold were built to grow 6 or more plants. There weren’t off the shelf options for people that just wanted to grow 2 or 4 plants at home. We saw this gap as an opportunity for us to provide systems that comply with Oregon recreational laws. We’re always developing new products and have solutions available now that will address the larger medical and commercial system needs.

What would you say is the biggest obstacle so far that you have faced while building up My Urban Greenhouse?

I’d say our initial focus on consumer level grow systems created a huge challenge in reaching that consumer base. Building awareness for our brand and what we stand for is a constant task that requires time, energy and funding. It’s tough, as a startup company, to get in front of thousands of individuals that are interested in our products. We’ve found some great media partners with Dope and NW Leaf magazines. But we’re still spending as many weekends as possible attending cannabis industry shows like THC Fair and Indo Expo to build brand awareness and attain valuable face to face interactions with the public.

What’s the next step for you in terms of scaling up the company?

Right now we’re focusing our efforts on expanding our distribution network. Sales through our showroom, online store and exposure at the fairs has been great to get started, but we’re ready for volume and we’re seeking hydroponic shops and other industry partners to help get our products in the consumers hands.

If you could give one piece of advice to someone considering joining the cannabis space, what would it be?

Growing cannabis is not the only way to prosper in this industry. Traditional services such as packaging, marketing, accounting, and web design are just a few of the products/services finding a home in the cannabis space. Think about the skills you already have and how they could apply to this exciting new industry.

Thank you, Brandon, for answering our questions about your entrepreneurial journey. If you have more questions for Brandon, or would like to learn more about My Urban Greenhouse, you can reach out through the company’s website at MyUrbanGreenhouse.com.

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Danish MMJ Activist Faces 10 Years in Prison for Selling Cannabis

10/05/2016

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A Danish activist is facing up to 10 years in prison for supplying cannabis to other Danes suffering from serious medical conditions, according to a report from The Local. Currently, there is no medical cannabis program in the Scandinavian nation.

Claus “Moffe” Nielsen has been outspoken about providing the drug to his clients — who he said suffer from such ailments as cancer, fibromyalgia, and sclerosis — and knew that one day he might be arrested for it.

“It should be laboratory technicians, chemists and doctors who do it under controlled conditions,” he said in the report. “I’m no trained expert but I have some principles and I stand by them.”

Nielson pleaded guilty during his initial appearance in court. His wife, who was also charged, denied any guilt. According to the couple’s lawyer, Erbil Kaya, Nielsen “hasn’t hidden” what he does and knows it was illegal, noting that there is a documentary being filmed about him and he has nothing to hide.

“But he hasn’t done it to make money and be a criminal mastermind,” Kaya said. “He has done it in broad daylight and been open and honest about it.”

Danish voters largely support medical cannabis use — with one Gallup poll showing as much as 88 percent support. Last month, the Region of Southern Denmark’s Board of Health agreed to move forward on a plan to seek funding for a medical cannabis program, and Health Minister Sophie Løhde is considering a four-year national trial program. However, the country’s three largest parties – the Social Democrats, Venstre, and the Danish People’s Party — remain opposed to medical marijuana.

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View down an Oakland city street.

Oakland’s Equity Cannabis Licensing Plan Could Scuttle Legal Industry

10/05/2016

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The cannabis licensing plan in Oakland, California — which would see half of the city’s permits go to individuals jailed for marijuana convictions in the last 10 years, or to those who have lived in one of six police beats with high concentrations of marijuana arrests — could go up in smoke because state law permits the denial of those very same individuals, according to a San Francisco Chronicle report.

The equity permit program, passed unanimously by the City Council in May, was designed as a form of reparations for the war on drugs; now, however, four of the eight council members are proposing changing the program and a Modesto-based attorney contends that it’s unconstitutional to begin with.  

Under the plan, equity applicants must own at least a 50 percent stake in the business seeking a city permit, but companies need permits from both the city and the state. State regulators can deny licenses to people who have committed a crime related to the business they are looking to enter.

Laurel Goddard, spokesperson for the Bureau of Medical Cannabis Regulation, said the body would review all applications on a case-by-case basis, but indicated that their rules do permit for denials based on felony convictions related to cannabis.

The lead author of the Medical Marijuana Regulation and Safety Act, Assemblyman Rob Bonta, said he could “definitely see” a permit being issued by the city of Oakland but not by the Cannabis Bureau.

“It’s one thing to be permissive and say, ‘Hey, a felony won’t count against you because we don’t want to carry forward wrongs of the past,’” Bonta said in the report. “It’s another to say, affirmatively, that you’re going to get something because you had a felony conviction.”

It’s that affirmation that could cause legal problems, according to Naresh Channaveerappa, a lawyer that represents canna-businesses.

“Anyone who is harmed by this preferential treatment has legal ground to challenge it,” he said.

Other critics argue that few people will qualify under the equity program, leaving the city with just half of the number of dispensaries that would be permitted without the equity rules.

Terryn Buxton, a cannabis industry consultant and member of the city’s Cannabis Regulation Commission, says that licensing programs in other cities that use past convictions as a “barrier to entry” are unfair, but the rules must be inclusive.

“Whether you’re a street dealer or you run a farm in Humboldt, you shouldn’t be frozen out,” he said.     

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Maryland MMJ Commission Meets with Legislative Black Caucus over Licensing Process

10/05/2016

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Maryland’s Legislative Black Caucus has met privately with members of the Maryland Medical Cannabis Commission, after meeting with Gov. Larry Hogan last month, to discuss their method for awarding the state’s 15 preliminary medical cannabis cultivation and processing licenses, Fox45-WBFF reports.

The meeting is the latest in the saga of Maryland’s medical cannabis program rollout, which is marred by lawsuits and claims of favoritism.

Much like the lawsuit plaintiffs, members of the Black Caucus are claiming the commission broke their own rules in awarding the lucrative licenses.

“The language was in the law that says that the commission shall actively seek racial, ethnic and geographic diversity,” Baltimore City Delegate Cheryl Glenn said in the report. “They didn’t do either.”

In defending the commission’s decision to grant licenses to two companies initially ranked outside of the top 15, Commissioner Buddy Robshaw cited the “geographic diversity” requirement contained in the law. The re-ranking allowed a license to be granted to Holistic Industries, who counts the son-in-law of a powerful Annapolis lobbyist among its equity investors. Holistic also paid the lobbyist, Gerald Evans, $90,000 from November 2015 through April 2016.   

However, when the commission shuffled the rankings, they did not move any minority-owned businesses into the top 15, fueling the claims that the commission failed to meet the racial and ethnic diversity requirements outlined in the law.

“Understanding the fact that you have several lawsuits that have been filed based on your flawed process, and as the Legislative Black Caucus of Maryland, we’ve gone through two hours where everybody collectively expressed their own outrage at different factors,” Glenn said.

After the meeting, Robshaw said the commission is “committed” to working with the legislature to come up with a solution. The Caucus has asked the licensing process be suspended until the situation is remedied.  

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Picture looking across a valley at Pinnacle Mountain near Palmer, Alaska.

Cannabis Ban Defeated in Alaska’s Cultivation Capital

10/05/2016

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An attempt to outlaw commercial cannabis operations in Alaska’s Matanuska-Susitna Borough — the state’s biggest marijuana cultivation hotspot, located north of Anchorage — has been rejected by voters, the Alaska Dispatch News reports.

Higher-than-expected voter turnout helped defeat the measure, opponents said. Proponents said they had expected turnout to range from 9 percent to 13 percent; however, early indictors show 23 percent showed up at the polls. Last year, 14 percent turned out for the regional elections in October.

“We’re celebrating,” Tel White, a Wasilla business owner who created M Thunderfund Inc. to oppose local cannabis bans, said in the report “I’m surprised. I feel a lot of gratitude for all the people that worked on this campaign. I think we’re all really happy about the voter turnout for the Mat-Su Borough.”

The ban would have outlawed cultivation, testing, retail sales, and the production of edibles; while allowing for industrial hemp. The anti-campaign had collected nearly 2,000 signatures to get the initiative on the ballot but did little to no campaigning for their position.

Voters in the region also approved a 5 percent sales tax on retail cannabis sales, providing a 3 percent exemption for cities that already have a cannabis sales tax in place. Voters in the city of Fairbanks and the Fairbanks North Star Borough also approved marijuana taxes in their own elections.    

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Gold coins in stacks next to a line graph.

New Data Shows Double Digit Growth in Legal Cannabis Industry

10/04/2016

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According to a new report from Convergex, dispensaries in Colorado and Washington posted double-digit growth from 2015 and Oregon retail sales in June and July reached $42 million, compared to the $102 million seen all last year.

Colorado dispensary sales reached $458.7 million through July — just $100 million from the total cannabis sales from all of last year, CSP Daily News, a convenience store trade publication, reports, outlining the data.

Washington has already surpassed its 2015 total of $357.6 million in 2016, reporting revenues of $415.8 million from January through August — during which a new sales record of $130 million in sales was reported by the state Liquor and Cannabis Board. However, Washington’s medical program was decimated by the passage of the recreational measure.

Oregon dispensaries began selling recreational cannabis in October, but the state reports the industry is responsible for $33.5 million in taxes from January through July – and the revenues are only expected to climb as more dispensary licenses are awarded in the state; another 26 are expected by Saturday, according to a report from CPA Practice Advisor.

In Colorado, where a sales record was set in July, retailers are facing falling wholesale and retail prices, forcing them to employ discounting tactics — which is partially to blame for the retail falloff.

Ancillary industries, such as hydroponics and security businesses, are also seeing upticks in revenues. In the Practice Advisor report, the owner of an Oregon company specializing in security for canna-businesses says his business has quadrupled since last year.

According to an Arcview Market Research and New Frontier analysis, if the nine states voting on marijuana ballot initiatives pass their proposals, it could be worth $7.8 billion to the national economy by 2020.

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Indoor commercial grow filled with plants in the pre-flowering stage.

Growers’ Opinions of Prop 64 Mixed Month Before Vote

10/04/2016

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Some California growers are opposing Proposition 64, the Adult Use of Marijuana Act, over fears that the measure will cause too much red tape and onerous oversight, with some saying the required regulatory inspection are akin to warrantless searches, according to a report from Reuters.

Hezekiah Allen, director of the California Growers Association and a third-generation cannabis farmer from Northern California, worries that the regulations outlined in the proposal welcomes big business, which could wipe out independent and small farms.

“I don’t want to replace a criminal injustice with an economic injustice,” Allen said in the report.

In a recent poll of the 750 farmers, distributors, and retailers who are members of the association, 31 percent supported the initiative, 31 percent were opposed – and the majority, 38 percent, was undecided. The split vote forced the group to formally take a neutral stance on the measure.

Steve Dodge, CEO of the Humboldt Growers Collective, said that the law “is setting up the state for failure.”

“We are asking farmers to come out from behind the curtain, but not providing the assurances they need,” he said.

Another trade group, the Humboldt Sun Growers Guild, is split over the measure due to concerns that it will make the industry vulnerable to big agriculture and open them to increased taxes and harsher penalties.

Stephen Dillion, a guild member, said the split is largely due to their desire to have illegal growers, who often fail to respect the environment, punished. Such grows reportedly drain creeks for irrigation and pour pesticide-spiked runoff back into the water supply. He said that while the law would revoke the licenses of any bad actors, the environmental regulations outlined in the initiative could cost $20,000 to $100,000 per farm to meet.

Another guild member, Chrystal Ortiz, said she supports AUMA because it erases most prior marijuana convictions and reduces the majority of criminal penalties which primarily affect “black and brown underprivileged people.”

According to our poll aggregate, 61 percent of Californians approve of Prop 64, while 36 percent are opposed.     

End

Large, cured cannabis nug lying on its side.

Pro-Legalization Campaigns Release First Ads in New England

10/04/2016

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Pro-legalization television commercials for the campaigns in Massachusetts and Maine hit the airwaves yesterday, according to a report by Reuters. The commercials are a sign that opponents and proponents are gearing up for a contentious run up to the general election in November.

Both ads feature ex-law enforcement officers but take different approaches in their appeal to voters.

In the ad running in Massachusetts, former Boston Police Department Officer and current Merrimack College criminal justice professor Tom Nolan, outlines how the measure takes steps to protect children from accidental ingestion and bars advertising aimed at young populations. He says legalization will be an economic boon to the state and provides funding for education.

“It will tax and regulate marijuana for adults 21-and-over, bringing millions in revenue for schools and law enforcement,” he says in the spot.

The commercial is the start of a $650,000 ad campaign paid for by the Yes on 4 campaign; whose top contributors include the Marijuana Policy Project, New Approach PAC, 4Front Ventures, Happy Valley Ventures, and author Rick Steves.

The 30-second spot in Maine features current state Rep. Mark Dion, who is also a 32-year law enforcement veteran. In the ad, Dion says that legalizing cannabis would free up police resources to investigate violent crimes.

https://www.youtube.com/watch?v=jKI6GFfl1M4

“In Maine there were over 1,700 citations given to adults for marijuana — that takes time — time better spent solving murders, sexual assault cases, finding missing children,” he says. “The system is broken.”

The group behind the ad, The Campaign to Regulate Marijuana Like Alcohol, has budgeted $1 million for their media blitz.

In both states, the campaigns are facing opposition from powerful lawmakers, including Boston Mayor Marty Walsh and Gov. Charlie Baker in Massachusetts, and Gov. Paul LePage in Maine.

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Old building in Annapolis, Maryland.

Company Approved for Maryland MMJ License Has Family Ties to Top Lobbyist

10/04/2016

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One of the companies initially ranked outside of the top 15 rankings for a preliminary cultivation license by the Maryland Medical Cannabis Commission that was awarded a license is represented by top Annapolis lobbyist Gerard E. Evans and counts his son-in-law Richard Polansky among its equity investors, the Baltimore Sun reports.

Holistic Industries was awarded the contract despite its initial low-ranking after the commission reconsidered an earlier vote and removed two companies ranked higher on “geographical diversity” grounds. The decision sparked a lawsuit by GTI Maryland and Maryland Cultivation and Processing — two companies who ranked within the top 15 but were pushed out by the commission vote.

Evans claims neither he nor his daughter Hayley Evans, Polansky’s wife who is registered as a Holistic lobbyist, lobbied any of the commissioners or their staff. The patriarch said he only monitored legislation and helped prepare the company’s application, adding that his daughter only registered as a lobbyist for Holistic out of “an abundance of caution.” Mr. Evans billed Holistic $90,000 from November 2015 through April 2016, according to State Ethics Commission filings. Mrs. Evans did not report any earnings from Holistic.

“It was a great opportunity for [Polansky] and he took it,” Mr. Evans said in the report. “He’s a businessman on his own.”

In a statement, MMCC Chairman Dr. Paul Davies said it would be “unacceptable for any commissioner to have ex parte discussions” with associated of potential licensees, “particularly discussions that could provide unfair guidance or an advantage.” Commissioners also signed sworn affidavits promising that they would not discuss any of the information contained in the applications during their review, under penalty of perjury.

“Safeguarding the objectivity of the Commission’s application process is always a priority,” he said.    

The Legislative Black Caucus is also seeking a review of the licensing process due to the lack of minority and women-owned businesses approved by the body.       

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Reviewing the 2016 Los Angeles CWCB Expo

10/03/2016

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The cannabis industry continues to progress towards a greater sense of sophistication as demand increases for quality control and smart regulations. As this happens, there will be new opportunities for ancillary industries to provide hand-in-hand support to both the medical and recreational cannabis markets. At the Cannabis World Congress & Business Exposition (CWCBExpo), investors, regulators, and business operators can extend their knowledge about the equipment and procedures involved in producing safer, more consistent, efficient, and refined cannabis products.

The LA CWCB Expo took place on September 7-9, 2016 at the Los Angeles Convention Center. The first day featured a mix of educational add-on workshops, while the exhibition floor was open to exploration on the second and third day. Featured during the event were more than a hundred different companies providing everything from auto-trimmers, seed-to-sale software, extraction equipment, packaging materials, facility development, and even educational, tax, insurance, and media specialists.

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Keynote speakers included Montel Williams, Ted Chung, and special guest moderator Melissa Etheridge, who offered their insights on the developing industry. Additionally, there were several well-recognized cannabis companies who attended as model examples of current product progression. These included groups such as Kushy Punch, W-Vapes, Know Label / Canna Vine, Xanders Green Goods, and a wide array of agricultural hemp CBD product providers such as Hemp Meds, Charlotte’s Web by the Stanley Brothers, Plus CBD, Elixinol and even True Leaf Pet, which featured a line of healthy hemp-based products for dogs.

It wasn’t all business, however. As the Exhibit Hall closed, guests were treated to a Thursday networking event in which attendees could mingle with each other and enjoy a cannabis-themed film with appetizers and refreshments. For those seeking an opportunity in the fast-paced evolution of the cannabis industry, Vangst Talent Network held a special cannabis career fair on Saturday, September 10, 2016. Whether you were a beginner looking to start a new career or an expert looking to expand your horizons, this was an event that was definitely worth checking out.

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With a growing number of states adopting and implementing new laws and regulative practices that permit the use and distribution of cannabis products, it is up to the industry to continue its trend of efficient and reliable products that are both ethically produced and safety screened, just like any other conventional, consumable product. At the CWCB Expo, one can certainly attain new insights and appreciation for these developing companies, who continue to progress the cannabis industry in its journey toward complete legalization and normalization.

We’d like to say thank you to all the sponsors, exhibitors, and attendees who helped make this a memorable, educational, and enjoyable event. For more information on the Cannabis World Congress & Business Exposition and any of its upcoming events, you can visit their website at: http://www.cwcbexpo.com/

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Cannabis branches hanging out to cure after harvest season.

German MS Patient is First-Ever Allowed to Grow MMJ

10/03/2016

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A multiple sclerosis patient in Germany has been approved to grow cannabis for personal use by the country’s Federal Institute for Drugs and Medical Devices, marking the first time the body has made such an allowance, according to a report from Deutsche Welle.

The decision comes after the patient filed multiple lawsuits against the institute, claiming that he could not afford the monthly cost of his medical marijuana, which ran more than $1,600 per month. Germany’s Federal Administrative Court ultimately ruled that the man be permitted to “grow cannabis, harvest the drug and use it for the purpose of his treatment.”

Under the ruling, the claimant can grow up to 130 plants a year in his bathroom, up to 20 at one time.

However, a bill is currently circulating parliament that would allow prescription and reimbursement of medical cannabis by health insurers which, if passed, would likely cover the drug costs for the patient and void his growing permit.

In 2005, a Federal Administrative Court ruling gave health policy considerations precedence over a categorical rejection of self-sufficiency — which should have permitted some vulnerable patients to grow their own cannabis if they could not afford to buy it from the pharmacies.

“This is a slap in the face for policy makers who have so far failed to correctly implement the first ruling of the Federal Administrative Court,” a spokesperson for the Association for Cannabis as Medicine said in the report.

The patient’s permit expires in the summer of 2017, or sooner if the parliament passes the health insurance reimbursement bill.

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Large indoor cannabis plant's cola bud.

Prohibitionists in Arizona Have More Cash on Hand than Pro-205 Campaign

10/03/2016

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Arizona’s anti-legalization campaign Arizonans for Responsible Drug Policy have raised a little more than $2 million this election cycle in a bid to defeat Proposition 205 this November, according to a report from the Arizona Daily Star. The amount is short of the $3.2 million raised by proponents, the Campaign to Regulate Marijuana Like Alcohol, but the prohibitionists currently have more cash on hand, likely gearing up for a last-minute media buy.

According to campaign finance filings with the Secretary of State’s Office, the pro-205 campaign has less than $170,000 on-hand — likely due to spending to get the initiative on the ballot in the first place. The anti-205 campaign has about $1.4 million on-hand and the cash differential could be crucial as Election Day approaches.

Adam Deguire, spokesman for Arizonans for Responsible Drug Policy, said they plan on using the funds for television ads in order to try and convince voters that the recreational initiative is far different from the medical marijuana initiative approved in 2010, and that there are things in the proposition that even those who support legalized cannabis might not want. He argues that by making cannabis more accessible to adults, the measure makes it more accessible to minors.

“This isn’t necessarily a fight about marijuana,” Deguire said in the report. “No one’s arguing here whether marijuana has medicinal purposes. We’re arguing whether it should be legalized recreationally.”

Proponents point out that Prop 205 outlaws the sale of cannabis-infused edibles that might be attractive to children, such as candy bars and lollipops, and that taxes collected from the sector will benefit education.

According to our aggregate of polling data, legalization is narrowly supported by more than 50 percent of Arizonans, with 44 percent opposed.

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Charlo Greene Faces 54 Years in Prison for Cannabis Club Proprietorship

10/03/2016

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In 2014, Charlo Greene made national headlines when she said “Fuck it, I quit” as a TV news reporter for KTVA while announcing her plans to push for marijuana legalization in Alaska. Now, as the owner of the Alaska Cannabis Club, she faces 54 years in prison, according to a report by Newser.

Greene, whose legal name is Charlene Egbe, created the club a full six months before Alaska legalized cannabis for recreational use and began receiving “donations” for cannabis through club “memberships;” the club was raided twice by police and undercover detectives made several cannabis purchases. And, although Greene was not directly involved in any of the purchases, as the club owner, she was charged with 14 total offenses which, if convicted, could see the 28-year-old spend more than a half-century in prison.

In August 2015, when she was first arrested, authorities charged her with 10 felonies and four misdemeanors amounting to a possible 24 years in jail. Since then, another six offenses have been added which raised the total of incarceration time possible — all related to “misconduct involving a controlled substance.”

“Each time, the officers acted outside the scope of the warrant, conducting unlawful body searches on patients, threatening all patients and Club volunteers with arrest if they didn’t consent to taking mugshot-like photos on the scene, destroying cameras, seizing vehicles not included in the warrant and not leaving the lawfully required notice behind,” Greene wrote in a blog post last August which appeared on the Weed Blog.

Subsequently, Greene said the prosecutor “blatantly lied” to the grand jury, saying that because the club was a sole proprietorship there was no corporate liability protection.

Greene says that since her arrest she feels abandoned by those that supported her when she walked out of the TV studio two years ago, and that the prosecution feels like “a modern-day lynching.”

“It feels like I’m in this alone and it shouldn’t,” Greene said in an interview with Complex. “I’m supposed to be part of this huge community and it doesn’t feel like it.”

Her trial is scheduled to begin in January.

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Florida Medical Cannabis Campaign Nets $1M Donation

10/03/2016

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The pro-legalization campaign in Florida has received a $1 million cash infusion from New Approach, a committee that has bankrolled other pro-cannabis campaigns in Washington, Massachusetts, and Oregon, Orlando Weekly reports.  

Ben Pollara, campaign manager for United for Care, said the donation – the largest single endowment made to the campaign thus far – is a “big acknowledgment” to their existing donor base and could be “a huge boon” to their fundraising efforts.

“We are obviously very pleased to receive such a generous donation,” he said in the report. “It’s going to be put to good use very quickly, making sure that our message is on television across the state and that Floridians understand this is about putting medical decisions back in the hands of doctors and patients and out of the hands of politicians.”

Fundraising efforts for the Amendment 2 campaign have also been buoyed by Orlando-based trial lawyer John Morgan, the chairman for United for Care, who has contributed more than $2.6 million to the campaign and “given a blank check” to radio stations for commercials supporting the measure.

“I’m spending a fortune right now,” Morgan said. “I don’t know what the number will be until the month’s over.”

The $1 million donation matches that of casino mogul Sheldon Adelson’s to the Drug Free Florida Committee last month. The Anti-2 campaign has also received $1 million from Tampa Bay developer Mel Sembler and $800,000 from the Carol Jenkins Barnett Family Trust.

Florida is one of four states that will vote on medical marijuana measures during the general election. According to our poll aggregates, voters strongly support the initiative 68 percent to 23 percent.

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The scales of justice sitting on a courtroom table.

Second Company Joins Rejected MMJ Applicant in Maryland Lawsuit

9/30/2016

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A second would-be medical marijuana cultivator in Maryland is joining a lawsuit against the state Cannabis Commission on the grounds that they, too, were unfairly denied a license by the commission, the Baltimore Sun reports.

Maryland Cultivation and Processing is asking to join the lawsuit filed by GTI Maryland because they say that they were initially ranked in the top 15 applicants for a preliminary license, but were excluded in order for the commission to grant the licenses to two lower-ranked companies in Southern and Southeastern parts of the state.

Ed Weidenfeld, a partner and lawyer for Maryland Cultivation and Processing, said the two companies “have been deprived of what [Maryland] not only promised, but voted to do.”

“Our interests are affected by the outcome, and we want to be sure that we’ve got a voice in the trial,” he said in the report.

MMCC Commissioner Buddy Robshaw said that the law requires geographic diversity in its license awards and that the commission acted within the confines of the law.

In addition to the lawsuit, the state Legislative Black Caucus is challenging the approvals because no licenses were awarded to companies lead by minorities or women. Ex-Baltimore Raven Eugene Monroe, an African-American and investor in GTI, said the commission’s decision is akin to changing the rules of a game after it has been played.

“One lesson I learned early in life, and it’s followed me throughout my football career, is that you don’t change the rules after the game has been played,” Monroe said in an Associated Press report. “Yet, that is what happened here.”

The caucus is considering introducing emergency legislation to halt the program and force the commission to reassess the candidates.

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Flower Sales Fall, Concentrate and Edible Sales Rise in Oregon

9/30/2016

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In June, edibles and concentrates became legal to sell to recreational cannabis customers in Oregon, and during that first month the products made up nearly a quarter of the state’s cannabis sales, according to a report by BDS Analytics, outlined by Willamette Week. The analysts said the introduction of the products into the market represent a dramatic shift in recreational market trends.  

According to the analysis, the $15.4 million in flower sales represented 62 percent of the state’s cannabis sales in June — down 23 percent from May. Concentrates comprised 17.3 percent of sales and garnered $4.3 million, while edibles ($1.6 million) represented 6.4 percent of sales in the month, during which overall sales reached $24.9 million.

Prefilled concentrate cartridges made up the lion’s share of concentrate sales with $2.3 million in sales, and candies ($600,000) outsold chocolates ($500,000) and infused foods ($200,000).

“Over Washington’s two years of legal adult-use sales, flower’s share declined from 87 percent to 61 percent,” the report states. “Oregon’s flower dropped immediately to a level that Washington and Colorado took more than a year-and-a-half of steadily increasing concentrates and edibles to reach.”

During the month, pre-rolled joint sales also fell from their 10 percent market share to 7 percent.

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New West Summit Coming to San Francisco on Oct. 14-15

9/30/2016

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The New West Summit 2.0 — coming this October 14-15 to the Hyatt Regency hotel in San Francisco — is a cannabis event that focuses on business and investment strategies, advances in technology, and media. The event offers an atmosphere thick with networking and learning opportunities for professionals, entrepreneurs, and/or investors who are currently involved in or eyeing the cannabis space.

Promising to attract hoards of cannabis-minded folks, the New West Summit 2.0 boasts a truly impressive list of panelists. Sir Richard Branson — the English business magnate, investor, and philanthropist — is slotted for the event’s keynote address.

Esteemed cannabis businessman Steve DeAngelo, known for founding Harborside Health Center in Oakland and for his activism on behalf of medical cannabis patients, is a panelist representing the cannabis industry. Additional panelists here include leading MMJ researcher Dr. Sue Sisley, Cy Scott from Headset, Reggie Gaudino from Steep Hill, Ophelia Chong of StockPotImages.com, Aeron Sullivan of Tradiv, and dozens more industry experts.

Sticking to their theme of bringing the cannabis marketplace into the mainstream, however, organizers have brought on several non-cannabis industry representatives to be featured as panelists, including Forbes Magazine journalist Jason Belzer. The Summit has also secured Susan Bennet — whose voice was used to create Siri, from Apple’s iPhone products — as a panelist speaker and to introduce Mr. Branson for his keynote address.

Panel topics at the Summit will tackle the main three aspects of legal cannabis — medical, recreational, and industrial — from every conceivable angle and perspective. “Vape Technologies Forum,” “Business Software,” “Real Banking & Digital Currency,” “Serious Medicine, Serious Research, Serious Business,” and “Edible Innovations” are just a handful selected from the Summit’s promising 25 panel topics.

There will also be a jobs fair hosted at the New West Summit 2.0. This fair, organized by Bloom Farms, aims to connect dozens of potential employers with hundreds of applicants and job-searchers for a four-hour networking session that starts at noon on Saturday, October 15.

For patrons who find themselves desiring a more entertainment-focused experience, event organizers have also arranged for a VIP party on Friday night and an exclusive musical performance by Zepparella, an all-female tribute to Led Zeppelin, on Saturday evening.

“The industry is finally coming to a point where your street cred, or how long you’ve been in the industry, slowly means less and less,” New West Summit Founder Jim McAlpine told Ganjapreneur. “If you’ve been a grower for 25 years but you can’t understand regulation, I’m sorry, your time’s over. That being said, I see a lot of people who have been around the industry for a long time adopting and adapting, so I think adopting or adapting is what will let people stay in this industry.”

“To me, the radical professionalization and a sweeping mindset to run things like a business versus an overnight opportunity is what the future of the cannabis industry looks like,” McAlpine said.

To learn more about the New West Summit 2.0 you can visit the event’s website. To purchase tickets for the event, you can use this Ganjapreneur-specific link to buy passes at a 50% discount for one or both days — as well as any of the extra VIP and entertainment options.

Ganjapreneur will be sending a team to cover the event, so keep an eye out for us and say hello!

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