New York Judge Extends Injunction Against Processing and Licensing New Cannabis Retailers

8/21/2023

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A New York judge on Friday ruled that the state Office of Cannabis Management (OCM) cannot process or approve any pending Conditional Adult-Use Retail Dispensary (CAURD) licenses pending the outcome of a hearing this week, Spectrum News reports. The injunction was first imposed on August 7 and applies to all licenses new or pending on that date.

The lawsuit, filed by service-disabled military veterans, argues that OCM created a licensing system that runs afoul of the state’s adult-use cannabis law and improperly limits initial licenses to people with cannabis convictions rather than a wider category of social equity applicants. The lawsuit claims that the cannabis regulators overstepped their authority by creating the licensing category for people with convictions because that decision was not approved by the Legislature and that the decision violates the state constitution.

In a statement, the veterans said the legal fight is about “equal access to this new and growing industry.”

“We believe in a robust, accessible, and thriving adult-use cannabis sector for New York State and today’s decision-by correctly recognizing the irreparable harms we are facing through the Board’s and OCM’s failures to follow the law-will help put the State back on track toward achieving this goal. OCM has resoundingly failed to create the legal cannabis market envisioned by New York’s Marihuana Regulation and Taxation Act (MRTA), in large part by keeping licenses out of the hands of service-disabled veterans and other minority groups the law prioritizes. Every day that the adult-use program was limited to only the CAURD program was another day the MRTA-designated priority groups and New York State farmers were left out in the cold. We remain steadfast in our responsibility to fight for all the social equity priority groups being overlooked right now by the OCM through the CAURD program.” — The plaintiffs, in a statement, via Spectrum News

Officials plan on opening a licensing application window for service-disabled veterans in October, Law.com reports. The action would likely end the lawsuit and associated injunction.

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Cannabis Tax Revenues Outpace Other ‘Sin’ Taxes in Colorado

8/21/2023

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Cannabis tax revenues in Colorado are outpacing those of cigarettes, and other tobacco and nicotine products, and alcohol, according to an August 16 analysis from the Colorado Legislative Council Staff (LCS). In the 2022-2023 fiscal year, Colorado collected $282.3 million in cannabis tax revenue, compared to $233.9 million from cigarettes, $60.5 million from tobacco products, $56.4 million from nicotine products, and $56.1 million from alcohol. 

Adult-use cannabis sales in the state carry a 15% excise tax, 15% special sales tax, and 2.9% general sales tax; the general sales tax also applies to medical cannabis sales.  

Colorado cannabis taxes are used for a number of programs, including:  

  • $55.9 million for school construction; 
  • $52.4 million for school funding; 
  • $30.7 million for the general fund; 
  • $21.9 million got local governments; 
  • $16.6 million for substance use disorder services; 
  • $15.3 million for affordable housing construction grants and loans; 
  • $15 million for school health and professionals grant program;  
  • $6.1 million for mental health services;  
  • $4.4 million to combat the illicit market and for the state toxicology lab;  
  • $1.2 million for pesticide control; 
  • $1.1 million for a cannabis impaired driving awareness campaign;  
  • $1 million for school bullying prevention and education. 

Additionally, the revenues are distributed among state agencies including: 

  • $57.5 million for the Department of Human Services; 
  • $23.6 million for the Department of Public Health and Environment; 
  • $17.5 million for the Department of Local Affairs 
  • $11 million for the Department of Higher Education; 
  • $7.6 million for the Department of Public Safety; 
  • $14.1 million for “other,” which includes a number of smaller agencies.

The state has seen its cannabis-derived tax revenues from their fiscal year 2020-2021 peak of $425 million to $366 million in fiscal year 2021-2022 and $282 million in fiscal year 2022-2023.  

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Tilray Acquires Truss Beverage Co. From Molson Coors Canada

8/21/2023

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Cannabis company Tilray Brands Inc. last week acquired Truss Beverage Co. from Molson Coors Canada. Tilray said the deal positions it as a “leader in adult-use cannabis beverages in Canada, with a combined pro-forma market share of about 36%.”

In a statement, Blair MacNeil, president of Tilray Canada, said the “acquisition further strengthens Tilray’s number one cannabis market share position in Canada and positions the company at the forefront of the adult-use beverage sector.”

“We are excited to build upon our leading portfolio of beloved cannabis brands and to further diversify our product offerings while broadening our consumer reach and enhancing consumer’s lives.” — MacNeil in a press release 

The company added that, in Canada, cannabis beverages are a nearly $100 million sector and that they are expecting “the regulatory landscape for beverage distribution to evolve, with authorities re-evaluating their consumer policies.” 

Tilray’s expanded cannabis portfolio now includes the beverage brands XMG, Mollo, House of Terpenes, and Little Victory. 

Tilray had been a part owner in the beverages firm, but the deal saw the company acquire the remaining 57.5% equity ownership in the brand. 

The company estimates that, in Canada, there are more than 10.6 million potential cannabis beverage customers that remain untapped.  

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Germany’s Cabinet Passes Adult-Use Cannabis Reforms

8/18/2023

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Germany’s cabinet on Wednesday passed a bill to legalize adult cannabis use and cultivation, Reuters reports. The measure still requires approval from parliament. 

Under the proposal, adults would be allowed to possess up to 25 grams, grow up to three plants, and acquire cannabis as associates of non-profit clubs. Young adults would be allowed to purchase up to 30 grams per month, while older adults would be able to purchase up to 50 grams. 

During a press conference, Health Minister Karl Lauterbach indicated that the reforms would include a risk awareness campaign, which would help curb cannabis consumption. According to the Health Ministry, the share of adults in Germany between 18 and 25 years old that consumed cannabis at least once nearly doubled in 2021 from the previous decade to 25%. 

“With the current procedures we could not seriously protect children and young people, the topic has been made a taboo. … We have rising, problematic consumption, we couldn’t simply allow this to go on. So this is an important turning point in our drug policy.” — Lauterbach via Reuters 

Originally, the government planned on allowing dispensaries throughout the nation; however, under the revised plan, a pilot program would first allow a limited number of licensed shops in some regions to test the effects of a commercial supply chain of cannabis over five years, the report says. Germany’s hemp association told Reuters that the regulations outlined in the proposal were “unrealistic” and the illicit market could only be beaten by allowing cannabis sales in retail shops. 

If approved, the German law would be Europe’s most liberal cannabis-related reforms. In 2021, Malta became the first in the European Union to legalize cannabis for adult use. Under Malta’s law, adults can legally possess up to seven grams of cannabis and cultivate up to four plants. 

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NIH Survey Finds Cannabis Use Among Adults Highest Ever Recorded by Agency

8/18/2023

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The National Institutes of Health (NIH) 2022 Monitoring the Future survey found past-year and daily cannabis use among adults 19-30 years old are at the highest levels ever recorded by the agency. The survey found 44% of the cohort consumed cannabis in the past year, while 11% consumed cannabis daily. 

Comparatively, past-year cannabis use among 19- to 30-year-olds was 35% in 2017 and 28% in 2012, while daily cannabis use among the cohort was 8% in 2017 and 6% in 2012.

Reports of past-year cannabis use among adults aged 35 to 50 also reached an all-time high of 28% in 2022; an increase from 25% in 2021, 17% in 2017, and 12% in 2012.

Past-year cannabis vaping was reported by 21% of adults 19 to 30 years old in 2022, the highest levels found in the survey since the question was first added in 2017 (12%). In 2021, that figure was 19% and 12% in 2017. Past-year nicotine vaping among the younger adult group also reached a historic high of 24% in 2022, nearly double the rate (14%) reported in 2017, when the NIH first added the question to the survey.

Among adults aged 35 to 50, reports of past-year cannabis vaping remained at similar levels (9% in 2022) since 2019, when these questions were first available in this age group. Prevalence of past-year nicotine vaping has also remained steady in this age group since it has been reported, with 7% reporting in 2022.

The survey found that, among adults aged 19 to 30, 8% reported past-year use of hallucinogens. Five years ago, the share was 5%, and in 2012 the share was 3%. Types of hallucinogens reported by participants included LSD, MDMA, mescaline, peyote, psilocybin mushrooms, and PCP. Most of past-year use in 2022 reported by adults in this age group involved hallucinogens other than LSD (7% in 2022).

Past-year hallucinogen use reached historically high prevalence among adults 35 to 50 years old, reported by 4% in 2022. In 2021, the share was 2%, and five and 10 years ago the share was no greater than 1%.

Over the past decade, the survey has found rates of alcohol use – including past-month use, daily drinking, and binge drinking – declined for adults 19 to 30 years old; however, past-year drinking slightly increased for this age group in 2022 (84%) compared to five years ago (82% in 2017).

The survey also found that alcohol use among adults aged 35 to 50 has shown a gradual increase over the past 10 years, with past-year drinking increasing from 83% in 2012 to 85% in 2022. Binge drinking in this older group reached its highest levels (29% in 2022), and increased over the past year, five years, and 10 years (26% in 2021; 25% in 2017; 23% in 2012).

The study also suggests that past-year use of cigarettes, sedatives, and non-medical use of opioid medications showed a 10-year decline for both adult age groups and reported past-year amphetamine use continued a 10-year decrease among 19- to 30-year-olds and a 10-year increase among 35- to 50-year-olds.

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Alabama Medical Cannabis Licensing on Hold, Again

8/18/2023

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Alabama’s medical cannabis licensing process is on hold, again, after a judge on Thursday granted a temporary restraining order after several cannabis companies claimed the Alabama Medical Cannabis Commission (AMCC) violated the state’s open meetings law, WSFA reports. The lawsuit, brought by Alabama Always LLC and six other firms, was filed last month and alleges that the AMCC improperly erased recordings of its meetings.

In the most recent hearing, the plaintiffs contend that the AMCC also met behind closed doors for four hours during its latest meeting. The state’s lawyer argued that it would have been impractical to discuss the issues otherwise.

John McMillan executive director of the AMCC told WSFA that the board “had a number of pass, fail issues, background checks, and issues” that were all part of the decision to hold the closed-door session.

“And those are the kinds of things you know, you, you hate to just lay it out there. But they keep insisting so they may get their wish. … We hate any delays because there are patients suffering every day that need these products.” — McMillan to WSFA

Will Somerville, a lawyer for the plaintiffs, told WSFA that the delays are caused by the AMMA’s “refusal to follow the law at every turn.”

“They keep on doing things they shouldn’t do,” he said. “And they keep on being stopped from it.”

McMillian was unable to say how long until medical cannabis would be available to patients in light of the litigation. The licensing process was previously paused in June after the AMCC said it had found “potential inconsistencies in the tabulation of scoring data.” New licenses were awarded last week.

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Missouri Auditor to Investigate Adult-Use and Medical Cannabis Industries

8/17/2023

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The Missouri Auditor is investigating the state’s adult-use and medical cannabis programs to make sure they are operating legally, KCTV reports. Auditor Scott Fitzpatrick’s office said the review will cover a five-year period from 2018 through June 30, 2023. 

Voters approved a constitutional amendment to legalize medical cannabis in November 2018 and another to legalize adult-use cannabis in 2022.  

“The medical and recreational marijuana programs created by these amendments are responsible for establishing a new industry in our state which has already generated more than $1 billion in sales. The rules and regulations promulgated for these programs govern hundreds of marijuana facilities all across Missouri that cultivate and sell cannabis products to hundreds of thousands of Missourians each year. Considering the enormous impact they have had on our state, it’s important that we conduct a thorough assessment of these programs to ensure they are operating in a manner that is efficient, accountable, and transparent.” — Fitzpatrick in a statement to KCTV 

Fitzpatrick noted that the cannabis legalization amendments “represent some of the most substantial changes” to the state’s constitution “in recent memory” and “now make up more than one-fifth of the language” in the state constitution. 

The audit comes as the state is preparing to license its first round of microbusiness licenses and following the recall of more than 63,000 products that were not tracked in the state’s seed-to-sale inventory system.     

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Workers at Connecticut’s Largest Cannabis Grow Facility Join Union

8/17/2023

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Workers at Connecticut’s largest cannabis cultivation facility have joined United Food and Commercial Workers Union (UFCW) Local 919, the News Times reports. More than 70 workers at CTPharma’s facility in Rocky Hill voted to join the union on June 13 and the contract was ratified later in the month. 

CTPharma is owned by Verano, which is based in Illinois. 

The CTPharma workers are the second cannabis cultivation facility employees to join a union in the state – in May workers at Advanced Grow Labs voted to join Local 919, becoming the first cannabis cultivation employees in the state to do so.   

In a statement, UFCW Director of Organizing Emily Sabo said the workers joined the union because they wanted “to make sure that they have a voice that matters at work and that this industry is equitable for the workers, too.”  

“So whatever that looks like, with how automation changes will end up affecting the cannabis industry inevitably, just like every other industry, they want to have those workplace protections and those conversations and the ability to talk about those things with their employer.” — Sabo via the News Times 

Under Connecticut law, cannabis business licensees are required to have a labor peace agreement in place. Sabo explained that while every cannabis business in the state is required to have such an agreement, that does not mean a union will form, though it’s more likely to happen.   

“A labor peace agreement means that an operator will remain neutral and fair if workers want to form a union,” she told the News Times. “In return, the union agrees and the workers are agreeing not to picket, no work stoppages, strikes, etc., in exchange for the neutrality.” 

The union includes workers in all areas of the facility. 

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Study: Cannabis Legalization in Ohio Could Be Worth Up to $403M in Tax Revenues

8/17/2023

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A study published this month by Ohio State University researchers suggests that adult-use cannabis sales in the state could generate between $275 million and $403 million by the fifth year of operations.

The analysis, “What Tax Revenues Should Ohioans Expect If Ohio Legalizes Adult-Use Cannabis?,” uses cannabis tax data from Michigan fiscal year 2021 as its focal point for Ohio cannabis tax revenue estimates “given the demographic and tax structure similarities.”  

The researchers use three different scenarios for rate of diminishing retail sales growth through year five of an operational legal adult-use program; state population figures as the basis for calculating per capita cannabis tax revenue rates; and model for three different Ohio pricing scenarios. 

Ohio advocates are seeking to put the issue on 2024 ballots and earlier this month submitted an additional batch of petition signatures after state officials said they were short in their initial batch.  

State lawmakers have also introduced legislation to enact the reforms, but that bill has not been introduced in the full House and remains in the chamber’s Finance Committee. 

Ohio voters first considered adult-use cannabis legalization in 2015 but ultimately rejected the proposal, which had drawn criticism for containing monopoly-like elements that would have kept cannabis cultivation rights exclusive to a handful of anonymous donors.

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Delta-8 THC Derived from CBD is Illegal, According to DEA Email

8/16/2023

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A letter written in 2021 by the U.S. Drug Enforcement Administration’s Drug & Chemical Evaluation Section Chief Terrence Boos has revealed that DEA considers delta-8 THC, when synthesized from CBD, to be federally illegal. The letter was revealed late last week by attorney Shane Pennington via his “On Drugs” Substack.

“Arriving at delta-8-THC by a chemical reaction starting from CBD makes the delta-8-THC synthetic and therefore, not exempted by the [Agriculture Improvement Act]. Any quantity of delta-8-THC obtained by chemical means is a controlled substance.” — Boos, via the “On Drugs” Substack

The Agriculture Improvement Act, better known as the 2018 Farm Bill, allowed states to implement their own hemp programs. Since then, companies selling hemp-derived cannabinoids have sprung up around the country, but some have gone even further in synthesizing the hemp-based cannabinoids — which are generally nonintoxicating — into more psychoactive cannabinoids such as delta-8 or even delta-9 THC.

The letter puts plainly what many experts have suspected for months — DEA communicated during a May 4 conference presentation that the agency supported adding all synthetic cannabinoids that contain THC, including hemp-derived delta-8 THC, to the list of federally controlled substances. Additionally, in February, Boos wrote to another attorney that minor cannabinoids including delta-8 THC-0 and delta-9 THC-0 are illegal because they can only be synthesized and do not appear in nature, Marijuana Moment reports.

Notably, delta-8 THC does appear naturally in cannabis plants but only in trace amounts, but the vast majority of consumer delta-8 products are made using delta-8 THC that was synthesized from hemp-derived CBD.

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Lawsuit Seeks to End Connecticut’s Cannabis Programs

8/16/2023

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A lawsuit filed last week in Connecticut Superior Court is challenging cannabis legalization in the state and asking a judge to stop cannabis sales, CT News Junkie reports. The complaint was filed by the Stamford Neighborhoods Coalition and more than a dozen individual plaintiffs and names Mayor Caroline Simmons and the city’s Zoning Board as defendants. 

The group is seeking an injunction to ban cannabis business operations in Stamford and the state as a whole on the grounds that the 2021 law legalizing cannabis possession and commercial sales was preempted by the federal Controlled Substances Act.

In the complaint, attorney David Herz argued that “Under federal law anyone involved in the growing, manufacturing, distribution or dispensing, or possession with intent to manufacture, grow, distribute or dispense marijuana is marijuana trafficking subject to federal prosecution under the federal Controlled Substances Act.”

“It is therefore unconstitutional and can not be relied upon by the City of Stamford or its Zoning Board to permit the illegal enterprise that is every Cannabis business.” — Herz, in the complaint, via CT News Junkie

The lawsuit also claims that the social equity provisions in the cannabis law violate an equal rights provision of the state constitution. The law created a Social Equity Council intended to ensure that the retail market benefited the Connecticut communities most impacted by the enforcement of cannabis prohibition. The complaint refers to the creation of the council as a “scheme” that is “impermissibly selected based on race.”

“The purpose of the Social Equity Counsel is to entitle a certain set of people to exclusive public emoluments,” the lawsuit argues.

A Congressional Research Service report published in March found that while the federal government has taken a largely hands-off approach to cannabis reforms enacted by the states, “The Department of Justice (DOJ) has nonetheless reaffirmed that marijuana growth, possession, and trafficking remain crimes under federal law irrespective of states’ marijuana laws.”

“Federal law enforcement has generally focused its efforts on criminal networks involved in the illicit marijuana trade,” the report says.

Adult-use cannabis sales in Connecticut reached $13 million in July. 

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Cannabis Industry Exchange-Traded Fund to Shut Down this Month

8/16/2023

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One of the leading exchange-traded funds in the cannabis space will see its final day of trading this month, CNBC reports. The Poseidon Dynamic Cannabis ETF, managed by AdvisorShares, plans to stop trading on August 25 and will liquidate assets and pay shareholders by September 1.   

In a statement to CNBC, co-founder Morgan Paxhia said the fund was not “immune to the broader macro-economic environment and, more specifically, the dramatic shift in investor sentiment that has impacted the cannabis industry.”

Poseidon Investment Management started in 2013 as one of the first cannabis-focused hedge funds in the U.S. but it has seen its ETF lose roughly 74% in value since it was founded, versus a 1.7% decline in the S&P 500, the report says. On Tuesday, the day of the closure announcement, it was trading at under $1.00 and its value has fallen 65% in the last year. 

The fund’s downturn is due, in part, to the U.S. government’s inaction on cannabis law reforms – it remains a Schedule I drug, and cannabis businesses still do not have access to traditional financial services. Additionally, cannabis wholesale prices have declined, and publicly-traded cannabis businesses have struggled to scale profits. State-legal cannabis companies, meanwhile, must also persevere through high excise taxes, additional tax complications from Section 280E of the Internal Revenue Code, and competition from the generally unregulated sale of hemp-derived THC products, as well as from the illicit cannabis marketplace.

Pure US Cannabis ETF, another fund in the cannabis industry managed by AdvisorShares, has also lost about 60% of its value in the last year. 

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Combined Cannabis Sales in Missouri Top $123M in July

8/16/2023

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For the sixth consecutive month, combined medical and adult-use cannabis sales in Missouri topped $100 million, totaling $123.2 million in July, Greenway Magazine reports. Since the launch of medical cannabis sales in October 2020, cannabis sales in the state have exceeded $1.35 billion. 

Adult-use sales in July were $98.7 million while medical cannabis sales totaled $24.5 million. Combined sales in July represented a 1.57% increase over the previous month. 

This year, cannabis sales in the state are projected to exceed $1.4 billion; year-to-date adult-use sales have reached $542.70 million, while medical cannabis sales to July have totaled $209.8 million, the report says. 

Those projections, however, could be negatively impacted by a recent recall of nearly 63,000 products produced by Delta Extraction, LLC. The recall was implemented by the Missouri Division of Cannabis Regulation (DCR) on Monday because they were not tracked by METRC, the state’s seed-to-sale tracking system. DCR said in a press release that because METRC was not used, the agency could not “verify that the products came from marijuana grown in Missouri or that the product passed required testing prior to being sold at dispensaries.” DCR added that “no adverse reactions for this product have been reported” to the agency. 

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Federal Appeals Court Rules Gun Ban for Cannabis Consumers Is Unconstitutional; DOJ Contests Decision

8/15/2023

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In a brief filed on Friday, the Justice Department informed a federal appeals court that it believes a separate court’s recent ruling that the federal ban on cannabis consumers owning or possessing firearms is unconstitutional was “incorrectly decided,” Marijuana Moment reports. The DOJ shared its opinion with the U.S. Court of Appeals for the Eleventh Circuit while preparing for another lawsuit related to the gun ban for cannabis consumers.

The decision in question — which was announced last week by the U.S. Court of Appeals for the Fifth Circuit — marked the latest in a string of victories for advocates seeking to normalize gun ownership laws for cannabis consumers. District courts have also ruled that the ban on cannabis consumers owning guns violates the Second Amendment but the Fifth Circuit is the most powerful court yet to reach the decision.

According to the report, legal arguments for ending the ban generally hinge on a 2022 Supreme Court ruling that found restrictions on firearms must be consistent with the historical context of the Second Amendment.

In the Fifth Circuit’s ruling last week, U.S. Circuit Judge Jerry Smith wrote that U.S. drug laws have historically “regulated the combination of guns and intoxicating substances.”

“But at no point in the 18th or 19th century did the government disarm individuals who used drugs or alcohol at one time from possessing guns at another. In short, our history and tradition may support some limits on an intoxicated person’s right to carry a weapon, but it does not justify disarming a sober citizen based exclusively on his past drug usage.” — Smith, excerpt from the opinion for the U.S. Court of Appeals for the Fifth Circuit

If the U.S. Court of Appeals for the Eleventh Circuit were to uphold the gun ownership ban — contradicting the decision by the Fifth Circuit court — it could set the stage for the Supreme Court to intervene, the report said.

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Fort Lauderdale and Aspen Public Relations Firm Durée & Company Wins ‘Best Use of PR’ Award at Cannabis Marketing Association Seven Awards in Denver

8/15/2023

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Durée & Company is Sole Winner in PR Category for its Work on Columbia Care/Cannabist’s Launch in West Virginia, a New Cannabis Market

Aspen, Colo. — August 15, 2023 — Award-winning Fort Lauderdale- and Aspen-based full-service public relations and marketing agency Durée & Company, Inc. is the sole winner of the inaugural Cannabis Marketing Association Seven Awards’ “Best Use of PR” award. The firm won for its work with Columbia Care/Cannabist’s Launch in West Virginia, a new cannabis market.

Firm President and Founder Durée Ross accepted the award in person at the Cannabis Marketing Association Seven Awards Show, held at the 2023 Cannabis Marketing Summit in Denver, Colorado. Ross was present at the conference to deliver a presentation on crisis communication, by way of special invite from the event organizers. Launched in 2023, Cannabis Marketing Association’s Seven Awards aim to highlight and uplift successful marketing campaigns that are advancing the image of cannabis within the regulated industry. There are 20 unique award categories, including “Best Use of PR”, which focuses on public relations campaigns and crisis communications. Entries were judged by independent jurors who considered a number of criteria in making their final selections.

Durée & Company’s established cannabis practice and multifaceted work with brands in the cannabis space laid the groundwork for a highly successful partnership with multi-state operator (MSO) Columbia Care and the expansion of its Cannabist brand in a number of U.S. markets. The PR/awareness campaign, with a goal to increase medical card holders as well as advancement of medical cannabis use in West Virginia, took place from February–March 2022.

With Cannabist’s plans to enter the new medical market of West Virginia in five cities across the state, the firm devised a campaign to position Cannabist as the go-to resource for a friendly, uncomplicated shopping experience for medical marijuana patients. Because medical cannabis was a new industry in the state, and Cannabist was one of the first dispensaries in each county it serves, the firm worked to dispel any preconceived notions among media and the public, and communicate how Cannabist is committed to the local communities it serves.

Among other efforts, the firm proactively pitched media for story opportunities and publicized educational events to help patients better understand the state’s medical cannabis program, how to obtain a medical card, how to select products, and connect prospective patients with licensed medical providers.

Durée & Company garnered more than 64 million media impressions in just over two months. The media coverage helped to establish Columbia Care/Cannabist as a leading player in the cannabis industry in West Virginia, and helped raise awareness about the benefits of cannabis products and to educate the public about the safety and legality of using them.

“We are honored to be the sole recipient of Cannabis Marketing Association Seven Awards’ ‘Best Use of PR’ award,” said Ross. “Working to launch this new cannabis market was an opportunity for us to use our cannabis PR expertise to lay the groundwork in a state that is newly medical.

“This award is a testament to our established and esteemed cannabis PR practice, through which we work with clients from multi-state operators to labs to cannabis lawyers and more, up and down the cannabis supply chain,” she continued.

For more information about Durée & Company’s cannabis practice, visit its microsite https://cannabismarketingpr.com/, dedicated to its practice providing PR and marketing for clients in the booming CBD, hemp and cannabis industries. Also for more information, call the firm’s Fort Lauderdale office at 954-723-9350, or its Aspen office at 970-452-2195.

About Durée & Company, Inc.
Founded in 1999, Durée & Company is a full-service, well-respected and highly creative public relations and marketing agency serving a diverse client base of local, national and international consumer brands, landmark industries, business leaders and philanthropists from its offices in Fort Lauderdale, Florida and Aspen, Colorado. Practice areas include nonprofit, hospitality, business, lifestyle, health and wellness, legal, real estate, yacht and marine as well as cannabis, psychedelics, and other emerging industries. Durée & Company is a member of some of the nation’s most elite professional organizations including PR Boutiques International™ (PRBI), The Florida Hemp Council, Cannabis Marketing Association and is a corporate partner of Cannabis LAB. To learn more, call 954-723-9350; go to dureeandcompany.com; cannabismarketingpr.com; or psychedelicpr.com. Join the social conversation and follow Durée & Company on Facebook, Instagram, Twitter, YouTube and LinkedIn at @DureeCoPR.

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Nearly 63k Cannabis Products Recalled in Missouri

8/15/2023

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The Missouri Division of Cannabis Regulation (DCR) on Monday issued a recall of products manufactured by Delta Extraction, LLC because they were not tracked by METRC, the state’s seed-to-sale tracking system.

DCR said in a press release that because METRC was not used, the agency could not “verify that the products came from marijuana grown in Missouri or that the product passed required testing prior to being sold at dispensaries.” DCR added that “no adverse reactions for this product have been reported” to the agency.

The recall covers nearly 62,800 products produced by Delta extraction, according to the list provided by state regulators.

The recall notice followed a hearing at the Administrative Hearing Commission in which Delta Extraction challenged the state’s immediate suspension of its license, according to a St. Louis Post-Dispatch report. Earlier this month, state cannabis regulators suspended the licenses of three cannabis facilities over “potential product safety concerns,” according to the Post-Dispatch.

During the hearing, Jack Maritz, a manager for Delta Extractions testified that during the distillation process, hemp-derived THCa may be used from out-of-state sources. Delta argued that previous regulations allowed the out-of-state hemp product to be used, while the state countered that using out-of-state products is not allowed and that more recent regulations clarified that.

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Cannabis Beverage Bar Opens in South Carolina

8/15/2023

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A bar specializing in nonalcoholic, cannabis-infused cocktails opened last week on South Carolina’s James Island, WCBD reports. The ‘Cannabis Dry Bar’ is within the Charleston Hemp Collective and is in partnership with High Rise Beverages.

Co-owner Chris Long told WCBD that he quit drinking alcohol six years ago and after that, “wasn’t able to have some of the social…enjoyment” he had when going to bars.

“I feel like this space has just created that social environment where you can come out and enjoy yourself again without having the alcohol aspect.” — Long to WCBD

High Rise Beverage Founder Matt Skinner told BevNet in March that the goal of the dry bar is “to create a more elevated experience for those seeking nonalcoholic alternatives.”

The bar serves a variety of spirit-free cocktails, combining natural ingredients with the customer’s choice of CBD, delta-8 THC, or delta-9 THC. Patrons can also add THC-infused gummies to their order.

Skinner described the bar to Eater as “cannabis themed” but “a wellness bar.”

“We’re going through a big NA movement right now,” Skinner said. “A lot of Generation Z isn’t drinking anymore, and we are getting more and more educated on the medicinal benefits of the hemp plant.”

The business is the first of its kind in the state.

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Nebraska Gov. Rejects Bid to Reform Rules Around Cannabis Use for Law Enforcement Applicants

8/15/2023

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Nebraska Gov. Jim Pillen (R) has nixed a proposal that would have reduced the number of months that a law enforcement officer recruit could have used cannabis before training from 24 months to 12 months, the Nebraska Examiner reports. The new rules were proposed by the Police Standards Advisory Council, but Pillen said the reforms would be seen as “watering down” the standards. 

The council had recommended the changes as part of its effort to qualify applicants to work in law enforcement in Nebraska. 

In a letter last month rejecting the proposal, Pillen said he didn’t think it was “prudent” to adopt the change without data showing “a significant number” of applicants are being rejected due to the current drug-use standards, the report says.   

“It is therefore imperative that we have the necessary data before making a policy change that could be perceived as watering down the standards to become a law enforcement officer in the State of Nebraska.” — Pillen, in the letter, via the Examiner 

Brian Jackson, the president of the council and an assistant chief with the Lincoln Police Department, told the Examiner that he and others are working on obtaining and providing the necessary data to Pillen. The rules also disqualify applicants that have used a “dangerous drug” within the last five years. Jackson said that it was impossible to know how many people decided not to apply for law enforcement positions after learning about the drug use rules. 

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Cannabis Sales in Michigan Reach All-Time Monthly Record in July of $275M

8/14/2023

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Combined cannabis sales in Michigan reached a new record in July, totaling $275 million, according to Cannabis Regulatory Agency (CRA) data. Adult-use sales in July topped $270 million – a 43.3% increase from June 2022. 

The total puts cannabis sales in Michigan on pace for $3 billion this year. If it reaches that goal, Michigan would join California as the only states to net $3 billion in annual cannabis sales, according to MI Tech News. Through July, adult-use sales in the state neared $1.6 billion, according to CRA data. 

Through the first seven months of the year, Michigan’s dispensaries sold more than 571,000 pounds of cannabis flower, combined for adult and medical use. The total represents a 107% increase from the approximately 276,000 pounds sold during the first seven months of 2022, according to the CRA data. 

Through July, cannabis sales by month averaged $243.3 million. 

Flower comprised the bulk of adult-use sales in Michigan last month, topping $126,000, followed by vape cartridges ($51.8 million), infused edibles ($27.3 million), inhalable compound concentrates ($24.7 million), shake and trim ($23.4 million), and concentrates ($15.1 million).

As of July 31, Michigan has 2,080 active cannabis licensees, including 704 adult-use cannabis retailers. Michigan legalized cannabis for adult-use in 2018. 

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California Officials Eradicate 67k+ Plants in ‘Largest Ever’ Cannabis Enforcement Action

8/14/2023

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California’s United Cannabis Enforcement Taskforce (UCETF) last month eradicated 67,045 illegally cultivated cannabis plants and seized 8,019 pounds of processed cannabis as part of its crackdown on illicit cannabis operations. In all, the plants and processed cannabis were worth an estimated $68.5 million 

The operation, from July 11-13, included 24 search warrants and also uncovered a dozen firearms. The warrants were served in Whitney Creek, Harry Cash, and Shasta Vistas areas in Siskiyou County. The UCETF describe the enforcement action as its “largest ever.”  

“The operation targeted illegal cannabis cultivation sites that threaten the environment, workers, and other members of the public,” the UCETF said in a press release. “The sites in question were associated with suspected environmental violations, including the use of unlawful pesticides and other toxic chemicals. These dangerous chemicals not only degrade California’s natural resources, but also endanger workers and others exposed to them.” 

Gov. Gavin Newsom (D) created the multiagency task force in October 2022. In May, the UCETF said that from January 1 through March 30 it had seized more than $52 million in unlicensed cannabis and cannabis products despite serving nine fewer warrants than the previous quarter.  

From October 2022 to May 2023, the UCETF seized $84,652,875 in unlicensed cannabis through the serving of 51 search warrants, while eradicating 82,216 plants and seizing 13 firearms. 

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South Dakota AG Releases Draft Ballot Explanation for Cannabis Legalization Bid

8/14/2023

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South Dakota Attorney General Marty Jackley last week released a draft ballot explanation for a proposed constitutional amendment to legalize cannabis in the state. The proposal would allow adults 21-and-older to “possess, grow, sell, ingest, and distribute” cannabis and related paraphernalia.

Under the measure, adults could possess up to two ounces of flower and cultivate six plants, with a maximum of 12 plants per household. The document explains that, under the proposal, driving under the influence of cannabis would remain illegal, cannabis possession and use would be restricted at schools and “where tobacco is prohibited,” employers could restrict cannabis use by employees, and property owners could regulate cannabis use.

The statement explains that the proposal would affect neither state hemp nor medical cannabis laws in the state and that “judicial or legislative clarification of this measure may be necessary.”

The measure requires 17,509 signatures to appear on the 2024 ballot. Public comments on the proposal will be accepted until August 21. The final explanation is due to the secretary of state by August 31.

During the 2022 midterm elections, South Dakota voters rejected a similar proposal 53% to 47%. It marked the second time voters in the state voted down the reforms, rejecting a legalization ballot question in 2018.

A poll by the School of American and Global Studies at South Dakota State University released in April found voters were split on the reforms with 30% of respondents saying they “strongly” supported broad cannabis legalization, while 19% “somewhat” backed adult-use legalization. Another 30% “strongly” opposed the reforms, with 11% “somewhat” opposed, while just 10% had no opinion.

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Alabama Awards New Medical Cannabis Licenses

8/11/2023

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The Alabama Medical Cannabis Commission (AMMC) on Thursday voided all previously awarded licenses and awarded new ones, WPMI reports. The commission also outlined the errors in the scoring and evaluation of first round licensees which led to the awarding of new permits. 

The AMMC awarded five integrated facility licenses, seven cultivator licenses, four processor licenses, four dispensary licenses, and five secure transporter licenses.  

Applicants who were awarded a license now have 14 days to submit the appropriate license fee and any applicant who has been denied a license may seek an investigative hearing before the AMCC to seek reconsideration of the denial. 

The University of South Alabama was responsible for scoring the medical cannabis license applications but in June the AMCC paused issuing the licenses due to inconsistencies in scoring data tabulation. On Thursday, the AMCC outlined the errors which, according to a WBRC report, included:  

  • A scorer hitting the “submit” button twice for one integrated license, which doubled their score and created errors in the average scores. 
  • Evaluators incorrectly applying the wrong weight to every applicant score in all categories. 
  • Scores in the processor category were sorted/averaged by the evaluator, not the applicant. 
  • Quantitative and qualitative scores were inconsistent in all categories, forcing some scoring changes. 
  • Data-entry errors: some evaluators mis-keyed the numbers and had to be contacted by email to give the correct data, and some of the data they gave was applied to the wrong applicant or not at all. 

The University of South Alabama says it fixed all of the errors and had independent accounting firm KMPG verify the new scoring data, and now is confident in the numbers it’s given the AMCC. 

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New Mexico AG Investigating Alleged Wage Theft and Human Trafficking at Cannabis Facility

8/11/2023

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The New Mexico Attorney General’s office is investigating a cannabis facility for alleged wage theft and human or labor trafficking, KOB 4 reports. While the AG’s office has confirmed the investigation, no arrests have been made.  

“We can confirm that the New Mexico Attorney General’s Office is investigating allegations of potential wage theft and human or labor trafficking at a cannabis cultivation facility in Torrance County. Our special agents, along with state and federal law enforcement partners from multiple agencies, are currently evaluating evidence recently recovered from the facility to determine if there have been any violations of the law. This is an open and active investigation.” — New Mexico Attorney General’s office, in a statement, via KOB 4 

According to the report, there were several signs written in both English and Mandarin at the facility and several Chinese people were transported to Albuquerque for medical care.  

One of the workers, through a translator, told KOB 4 that the raid was a “mistake.”  

“They did have lots of people come over, but they were actually thinking the other, some other people were here, but anyway, it comes out to be a mistake,” the worker said, “so they already leave, so everybody fine, no problem, everybody – nobody arrested or anything so, that’s it.” 

Neither the Torrance County Sheriff’s Office nor Cannabis Control Division have commented on the raid or allegations. 

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Connecticut Adult-Use Cannabis Sales Reach $13M in July; Medical Sales Decline

8/11/2023

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Adult-use cannabis sales in Connecticut reached $13 million in July, while medical cannabis sales totaled $10.6 million, according to Department of Consumer Protection (DCP) data. In July, adult-use consumers purchased 324,177 products, while medical cannabis patients purchased 279,240 products.  

The average product price for adult-use products in July was $39.92 while the average price for medical cannabis products was $39.66. More than half of all sales – 52% – were flower, while vapes comprised 31% of sales and edible products represented 11% of sales. 

Adult-use sales in Connecticut have increased every month since sales launched in January. From June to July, adult-use sales increased by about $500,000 while medical cannabis sales decreased from about $11.4 million to $10.6 million over the same period.

So far this year, dispensaries in Connecticut have recorded about $68.9 million in adult-use sales and about $76.5 million in medical cannabis sales. According to DCP data, medical cannabis sales had been higher in the first four months adult-use cannabis was available for sale in the state; however, adult-use sales have exceeded medical cannabis sales in each of the last three months. 

Medical cannabis sales are exempt from sales and excise taxes. Transaction limits of 7 grams of raw flower or the equivalent remain in effect for all adult-use purchases, while medical cannabis patients may purchase up to 5 ounces per month and are not subject to individual transaction limits. 

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