New Hampshire to Study State-Owned Cannabis Retail System

8/10/2023

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New Hampshire Gov. Chris Sununu (R) on Tuesday signed the bill to create a cannabis legalization study commission, the New Hampshire Bulletin reports. The commission will evaluate how, and whether, cannabis could be sold through state-owned shops rather than private retailers. 

Cannabis use and possession is currently not legal in New Hampshire. In 2017, the state decriminalized possession of up to three-quarters of an ounce and anyone caught with less than that may be fined but not arrested.   

Sununu, who is not running for reelection next year, has long opposed cannabis legalization reforms in the state but in May said he would sign a legalization proposal into law if the bill included government control of sales, like how the state handles liquor sales. Were the state to approve such a system, New Hampshire would be the only state in the country to sell cannabis at state-run shops. Sununu has criticized nearby Maine and Massachusetts for, what he calls, “Marijuana Miles” or high concentrations of cannabis dispensaries. 

The commission will include five senators and five House representatives, as well as members representing the Attorney General’s Office; the New Hampshire Association of Chiefs of Police; the New Hampshire Bankers Association; the New Hampshire Liquor Commission; the American Civil Liberties Union; the New Hampshire Medical Society; and Communities for Alcohol and Drug-Free Youth. The commission will be required to consult with the state’s Alternative Treatment Centers, which currently dispense medical cannabis in the state, and the New Hampshire Cannabis Association, which has advocated for broad legalization. 

Under the law, the commission must file a report with its findings and recommendations by December 1.   

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New York’s First Cannabis Growers Showcase Opens Today

8/10/2023

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New York’s first “Cannabis Growers Showcase” is set to open today in a municipal parking lot in New Paltz, the Times-Union reports. The showcases are similar to a farmer’s market and New York is the first and only state to allow cannabis sales via such a program.  

Office of Cannabis Management (OCM) officials said the event will operate weekly for the rest of the year or until the first retail cannabis store opens in New Paltz. The showcase is being organized by High Falls Canna, a family-owned cannabis cultivation company, and will feature products from four farms and a processor. 

Rick Weissman, High Falls Canna founder and president, told the Times-Union that his company has distributed products to a handful of retail dispensaries but that they still have “quite a bit to sell” and thousands more plants in the ground this year. He said they are participating because they “want the ability to sell” the product they grew last year. 

New York regulators approved the showcases last month as the state has been slow to license retailers, leaving growers and processors with excess product. The logjam could get worse as a state Supreme Court justice on Monday temporarily blocked the state from issuing and processing of new retail cannabis licenses following a lawsuit by veterans who claim that officials have failed to follow social equity provisions in the state’s cannabis legalization law.  

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Gallup Poll: Half of Americans Have Tried Cannabis

8/10/2023

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Half of Americans have tried cannabis at some point, according to a new Gallup poll. Another 17% of those polled said they “smoke marijuana” – a new high recorded by the pollster but similar to the 16% found in the Gallup Consumption Habits survey a year ago.   

The proportion of Americans who say they smoke cannabis has more than doubled since 2013, when Gallup first asked the question, when 7% of respondents said they did. Between 1969 and 1977, the number of Americans who said they had tried cannabis jumped 20 percentage points, from 4% to 24% and the share rose another nine points, to 33%, by 1985, but then stalled at under 40% until 2015, when it rose to 44%. It remained at about that level through 2019 but then ticked up to 49% in 2021. 

Over that same period, Gallup recorded a significant increase in the U.S. public’s support for cannabis legalization, which has grown from 12% in 1969 to 68% today. 

The survey found that a majority of Democrats (57%) and independents (52%) had tried cannabis at some point, compared to 39% of Republicans.  

According to the poll, current use is highest among adults aged 18 to 34 – at 29% – and the cohort is more than three times as likely as adults 55-and-older (9%) to be current cannabis consumers. Current use among adults aged 35-54 (17%) matches the national average. 

Similar percentages of men and women say they consume cannabis, while adults without a college degree are about twice as likely as college graduates to smoke it. Democrats (21%) are nearly twice as likely as Republicans (12%) to smoke cannabis, while independents’ use (17%) falls in between. 

The majority of respondents said they are “not too” (32%) or “not at all concerned” about the effects of cannabis on adults (23%), while less than half said they are “very” (19%) or “somewhat concerned” (26%). Respondents were more likely to express concerns about cannabis’ effects on young adults or teens, with 40% saying they are “very” concerned and 35% saying they are “somewhat” concerned.   

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Adult-Use Cannabis Sales in Maine Set Another Record in July

8/09/2023

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Adult-use cannabis sales in Maine set another new record in July, totaling $20.9 million, according to Maine Office of Cannabis Policy data. The previous record of $18.4 million was achieved in June, which surpassed the then-record $17.4 million total realized in May. 

In all, Maine dispensaries completed 360,886 transactions in July; about 40,000 more transactions than the previous month. 

Flower comprised the bulk of sales at Maine dispensaries last month with just over $12.2 million in sales. Infused products were the second most popular category with $3.5 million in sales, while concentrates represented $5.1 million in sales. 

The average price per gram in July was $7.79. Which was up slightly from June’s average price of $7.69. 

So far this year, Maine dispensaries have completed 2,033,596 transactions, totaling $118.3 million, according to OCP data. 

John Hudak, director of Maine’s Office of Cannabis Policy, told Maine Public Radio that customers are getting “comfortable with the businesses across Maine, in terms of how they’re conducting themselves and the products that they’re putting on their shelves.” 

“People see the products that are on the shelves in Maine as ones that meet their needs,” he said. 

There are currently 222 licensed cannabis retailers, 148 cultivators, 115 manufacturers, and four testing labs currently operating in the state. 

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New York Judge Halts Cannabis Licensing After Lawsuit by Military Veterans

8/09/2023

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A New York Supreme Court justice on Monday temporarily blocked state officials from issuing retail cannabis licenses following a lawsuit by military veterans who claim the state is not following the cannabis law’s social equity provisions, the Associated Press reports. 

The order by Justice Kevin Bryant also prohibits the Office of Cannabis Management (OCM) from processing adult-use licenses.  

The veterans’ lawsuit argues that the 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.   

Under the law, social equity applicants are defined as people from communities disproportionately impacted by the enforcement of cannabis prohibition, ethnic minority groups, women-owned businesses, distressed farmers, and service-disabled military veterans. The MRTA initially set aside 150 CAURD licenses; however, last month OCM approved an additional 212 CAURD licenses, bringing the total to 463.   

In a court filing, the attorney general’s office cautioned that halting the program will hurt retailers financially who are spending money to set up shop under provisional licenses. 

Oral arguments in the case are scheduled for Friday. 

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Tilray Brands Acquires 8 Beer and Beverage Brands from Anheuser-Busch

8/09/2023

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Cannabis company Tilray Brands Inc. on Monday acquired eight beer and beverage brands from Anheuser-Busch, including Shock Top, Breckenridge Brewery, Blue Point Brewing Company, 10 Barrel Brewing Company, Redhook Brewery, Widmer Brothers Brewing, Square Mile Cider Company, and HiBall Energy. 

The deal includes current employees, breweries, and brewpubs associated with the brands and is expected to generate pro forma revenue of $250 million. 

The expected sales volume of the acquired brands will elevate Tilray Brands to the fifth largest craft beer business position in the U.S., up from the ninth, with current brands SweetWater Brewing Company, Montauk Brewing Company, Alpine Beer Company, and Green Flash Brewing Company.  

In a statement, Irwin D. Simon, chairman and CEO of Tilray Brands, said the deal solidifies the company’s “national leadership position and share in the U.S. craft brewing market and marks a major step forward” in its diversification strategy.  

“We are excited to work with the teams behind these iconic brands that command great consumer loyalty and have a history of delivering strong award-winning products with tremendous growth opportunities. Tilray is fully committed to invest in and champion the future of the U.S. craft beer industry by fueling new innovation that excites and further accelerates the growth of its consumer base.” — Simon in a press release 

Simon added that once the U.S. legalizes cannabis federally, the company will use its “leadership position in the craft beer industry” and “wide distribution network and portfolio of beloved beverage and wellness brands to include THC-based products and maximize all commercial opportunities.”  

Ty Gilmore, president for U.S. Beer at Tilray Brands, said, with the transaction, the company’s beer business “is expected to triple in size from 4 million cases to 12 million cases annually.” 

“Looking ahead,” Gilmore said, “we will further capitalize on the potential of these brands through product innovation, retailer partnerships and expanded distribution into key markets, including the Pacific Northwest and California.” 

The purchase price will be paid in all cash and the transaction is expected to close in 2023.

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Cannabis Retailers Association of Vermont Announces Two-Day Music Festival Higher Calling to Support Cannabis Businesses

8/08/2023

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The Group Hopes the Superb Lineup Will Help Raise Significant Funds for Businesses Impacted by the Recent Flooding

Winooski, Vermont – The Cannabis Retailers Association of Vermont (CRAV) announced a two-day music festival – Higher Calling – that will be a fundraiser for cannabis businesses in Vermont. On July 10th, Vermont suffered from devastating flooding that has affected businesses across the state including numerous cannabis businesses. CRAV is currently seeking sponsors for the event which will consist of two days of both national and local performers as well as numerous other activities and entertainment.

CRAV is working to cover the expenses of Higher Calling with sponsorship funding. If they are able to raise more money than is necessary to cover the expenses, any excess sponsorship revenue will go directly to cannabis businesses impacted by the recent flooding. In addition to those funds, CRAV will contribute a minimum of 50 percent of the ticket sales to the Higher Calling fund. They are expecting at least 1500 people to attend the two-day music festival.

“We had been planning this music festival for weeks but once the flooding occurred we immediately shifted gears, knowing our community was going to need financial support. Between our pre-roll fundraiser and the music festival we hope to raise at least $150,000 for the people in our community who are trying to recover and get back to business after suffering significant losses due to flooding” said Todd Bailey executive director of CRAV.

The organization launched its Higher Calling fund and subsequent efforts last week starting with a pre-roll fundraiser. Participating retailers will contribute funds received by offering the profits from the pre-rolls going back to the fund to be distributed to qualified cannabis businesses. The Higher Calling music festival will be the culmination of these efforts and will take place on September 15 and 16 at Pransky Farm in Cabot, Vermont. Zenbarn – located in Waterbury, Vermont – will produce the music festival.

“We had musicians from around the country asking us how they could help… even though it was last minute we’ve had artists adjust their busy schedules to support this cause” – Noah Fishman, Zenbarn

In working with Zenbarn as well as Loose Leaf Talent Agency, CRAV has secured a spectacular and diverse line-up that will appeal to music lovers alike. Performances throughout the weekend include, long-time and legendary funk legends, The Motet as well as the eclectic, genre-bending lespecial on Friday night. Saturday will feature the NYC based and internationally touring Bluegrass/HipHop band, Ganstagrass as well as MTV VMA Award winner, Supaman, a one of a kind hip hop artist who stands true to his Native Culture. Marcus Rezak’s Shred is Dead feat. members of Cool Cool Cool, Particle and more, round out the evening with Gentleman Brawlers, La Lovo, as well other Vermont local talent to supply amazing entertainment throughout the entire day.

Tickets are on sale now at Seven Days Tickets for $50 for Friday night only, $85 for Saturday only and $125 for both days. All the ticket prices include camping.

Recovery from the devastating flooding on July 10th in Vermont is still ongoing. It may be several more weeks before many of the businesses in the state can reopen.

“The North Branch was cresting and we needed to drive to safety before we could save everything. We have received dozens of emails, calls and texts from our customers, and friends and partners in the cannabis community, offering help…even when some are facing their own challenges and losses. That has been the silver lining…knowing we are part of a caring community that looks out after each other. In order for us to get back to business and serve our customers we’ve opened a temporary location at the Central Vermont Marketplace formerly known as the Berlin Mall,” aaid Lauren Andrews, owner of Capital Cannabis in Montpelier.

To learn more about the event, the pre-roll fundraiser or CRAV, you can visit their website at CRVT.org. Or to buy tickets go to: Higher Calling Tickets

About CRAV
The Cannabis Retailers Association of Vermont’s mission is to create a thriving, diverse and sustainable cannabis industry in the state of Vermont that supports our working landscape and small business owners while providing the highest quality products possible to our customers from near and far. And help ensure Vermont becomes a destination for the best cannabis products in the world.

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Arkansas Businesses Sue State Over Hemp-Derived THC Ban

8/08/2023

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Four Arkansas businesses are suing the state of Arkansas over its ban on hemp-derived THC products, THV11 reports. Abtin Mehdizadegan, an attorney for the plaintiffs, said the law violates the federal Farm Bill of 2018 and federal protections of interstate commerce.

“I believe all of our clients support reasonable regulation of these substances. This law doesn’t do that.” — Mehdizadegan to THV11

State Sen. Tyler Dees (R) told THV11 that the law aims to keep THC products out of the hands of children. He said he is “not surprised to see a lawsuit by those worried more about their profits than the protection of children and other consumers.”

Arkansas Attorney General Tim Griffin told THV11 that he supports the law and plans to defend it in court.

Mehdizadegan said he believes “the entirety of the act needs to be enjoined and set aside” and that lawmakers need “to come back and come up with something workable that treats hemp for what it is as an agricultural commodity.”

The ban took effect August 1. It covers hemp-derived delta-9 THC, delta-8 THC, and delta-10 THC and each is now included on the state’s controlled substances list. The law also includes provisions requiring any retailer that wishes to sell any hemp-derived consumable products to get a permit from Arkansas Tobacco Control.

The lawsuit was filed in federal court.

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Jesse Ventura Considering Launching Cannabis Brand in Minnesota

8/08/2023

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During a cannabis expo in late July, former Minnesota Gov. Jesse Ventura said he is interested in launching a cannabis brand. Ventura, a former professional wrestler, actor, military veteran, and longtime cannabis advocate, said he wants “to be the first major politician in America who puts his likeness, face and everything behind cannabis.” 

“I want involvement in this, I want involvement in the state of Minnesota. Minnesota grown, Minnesota produced, and promoted by Minnesota’s governor – or former.” — Ventura, Canna Connect MN, 7/29/23 

Ventura testified in front of lawmakers as they considered the bill to legalize cannabis, which ultimately passed. Provisions of the law took effect August 1, but retail sales are not expected until 2025.  

“This is an ego thing for me. I want to have my name considered with cannabis,” Ventura said during his remarks. “…One of the things that’s important for me, is I want to see Minnesota succeed here. … I would prefer … to put my name with Minnesota companies and make cannabis a prosperous business in Minnesota, by Minnesotans, keeping the money in Minnesota.”   

Ventura served as Minnesota governor from 1999 and 2003 and had floated the idea of legalizing cannabis during his tenure. He was present during the signing of the legalization bill by Gov. Tim Walz (D) in May. 

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Ohio Advocates Submit Additional Signatures to Put Cannabis Legalization Question to Voters

8/08/2023

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The Ohio group seeking to put a cannabis legalization question to voters says it has collected nearly 10 times the number of additional signatures it needed to put the issue to voters, WOSU reports. The Coalition to Regulate Marijuana Like Alcohol was told last month by officials they were 679 valid signatures short of the goal and had an August 4 deadline to gather the remaining signatures.   

Tom Haren, spokesman for the coalition, told WOSU the group collected 6,545 more signatures and submitted them to the Ohio Secretary of State to be verified.  

“This submission validates what we’ve said all along: regulating marijuana is popular in Ohio.” — Haren, in a statement, via WOSU 

The Secretary of State’s office still has to verify the signatures and if at least 679 are validated, the question will appear on special election ballots in November. 

The ballot measure proposes allowing adults 21-and-older to buy and possess up to 2.5 ounces of cannabis and to grow plants at home. A 10% tax on cannabis sales would support administrative costs, addiction treatment, municipalities with dispensaries, and social equity and jobs programs. 

If approved by the Secretary of State’s office, the cannabis legalization question would require only a simple majority to pass. 

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Florida AG’s Court Filing Says Cannabis Legalization Question ‘Misleads’ Voters to Benefit Trulieve

8/07/2023

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In a new brief filed with the Florida Supreme Court challenging the proposed constitutional amendment to legalize cannabis in the state, lawyers for Attorney General Ashley Moody said the proposal “misleads” voters to benefit Trulieve, the state’s largest medical cannabis company, the Tampa Free Press reports. Trulieve has contributed most of the $40 million to the Smart & Safe Florida political committee, which is leading the legalization campaign. 

In the brief, Solicitor General Henry Whitaker said the ballot summary “misleads in ways that, though sometimes subtle, are likely to influence voters – and to do so in a way that entrenches the sponsor’s monopolistic stranglehold on the marijuana market to the detriment of Floridians.” 

In a statement, Trulieve defended the ballot language as “clear, states the chief purpose of the amendment and – without a doubt – covers one and only one subject.”  

“For these reasons, we trust the court will agree that the voters of Florida should have the opportunity to vote to allow adults in Florida the freedom to use cannabis for their personal consumption.” — Trulieve, in a statement, via the Free Press 

Moody is asking the state Supreme Court to toss the question. The state Supreme Court will ultimately determine whether the ballot initiative covers only a single subject and is not confusing to voters and whether it will put to voters. 

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New York Veterans Claim State Not Following Cannabis Law’s Social Equity Provisions

8/07/2023

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A lawsuit filed last week by New York-based military veterans claims the state Office of Cannabis Management (OCM) has kept Conditional Adult-Use Retail Dispensary (CAURD) licenses from disabled veterans and other minority group that the state law “prioritizes,” Spectrum News reports. The lawsuit was filed in the state Supreme Court. 

“The [Marijuana Regulation and Taxation Act] had already established a goal to award 50% of all adult-use licenses to social and economic equity applicants,” the veterans said in a press release. “But instead of following the law, OCM and [Cannabis Control Board] created their own version of ‘social equity’ and determined for themselves which individuals would get priority to enter New York’s nascent adult-use cannabis market.” 

In the press release, co-plaintiff Carmine Fiore said the veterans felt “used” to get the law passed. 

“Then, once it was passed, we were cast aside for another agenda,” Fiore said in the statement.  

The plaintiffs seek to prevent the state from continuing the CAURD program’s planned expansion “because it has no basis in the MRTA.”   

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. 

The MRTA initially set aside 150 CAURD licenses; however, last month OCM approved an additional 212 CAURD licenses, bringing the total to 463. 

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Former Adelanto, California Mayor Sentenced to 14 Months for Cannabis-Related Bribes

8/07/2023

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The former mayor of Adelanto, California was sentenced on Friday to 14 months in federal prison for taking bribes from cannabis interests, the Los Angeles Times reports. Richard Kerr. 66, was charged in 2021 for taking more than $57,000 in bribes and kickbacks while mayor for approving ordinances and securing permits for cannabis-related businesses.  

Kerr was voted out of office in 2018 after the Federal Bureau of Investigation (FBI) raided his home as part of the corruption probe. He was first elected in 2014.  

In February, Kerr pleaded guilty to one count involving wire fraud. According to his plea agreement, the illegal payments from Kerr’s “co-schemers” – described as an attorney and various business people – were disguised as donations to a charity fund or to his election campaign, the report says.  

U.S. District Judge John W. Holcomb imposed a lighter sentence than the 46 months sought by prosecutors. Holcomb said he took into account Kerr’s age, health, his service as a U.S. Marine, and family obligations in his sentencing.  

The judge ordered Kerr to surrender to federal custody in November to begin serving his sentence. 

Last year, a jury convicted Jermaine Wright, Adelanto’s former mayor pro tem, of taking a $10,000 bribe from an FBI agent posing as a cannabis entrepreneur. Wright was sentenced to five years in prison. 

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Raekwon’s Cannabis Company Approved to Renovate Historic Newark Building for Consumption Lounge

8/04/2023

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Newark, New Jersey’s Central Planning Board on Tuesday approved plans by Architect Rachael Grochowski and Hashstoria to renovate a historical building in the city – the former home of engineering firm A.R. Meeker & Co and Stoutenburgh & Co. Newark Clothiers – for a cannabis consumption lounge.    

Hashstoria is co-founded by Raekwon of the Wu-Tang Clan, civil rights attorney Bakari Sellers, and radio, tv personality, and mental health advocate Charlamagne tha God. Hashstoria currently has locations in Astoria, Gladstone, and Springfield, Oregon. 

The building, located at 799-805 Board Street, dates back to 1839 and is in Newark’s Four Corners Historic District and has undergone several modernizations throughout the years. revival. The Landmark and Historic Preservation Commission greenlit the plans to renovate the facade of the building in February. 

In a statement, Grochowski, of RHG Architecture + Design, said the project “represents an exciting opportunity to merge history, community, and innovation.” 

“Design plays a crucial role in elevating the overall cannabis experience, and we are committed to creating an environment that offers a sophisticated, inclusive, and enjoyable experience. The cannabis industry is undergoing a remarkable transformation, driven by the vision and creativity of innovative designers and creatives, leaders from across the industry who are revolutionizing cannabis consumption. We are so excited to craft a space that harmonizes aesthetics, functionality, and sensory engagement, ultimately enhancing the journey of both seasoned cannabis enthusiasts and the cannabis-curious alike.” — Grochowski in a press release 

New Jersey passed a bill in December 2022 to allow cannabis consumption lounges but has not yet developed regulations or issued licenses and there are currently no lounges operational in the state.  

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Vermont Cannabis Retailers Launch Fundraiser for Businesses Impacted by Floods

8/04/2023

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Members of Vermont’s cannabis industry are launching fundraising efforts to raise money for business owners affected by severe flooding in the state last month, Vermont Public Radio reports. Due to the federal criminalization of cannabis, Vermont’s cannabis companies are ineligible for federal disaster aid for losses caused by flooding; they are, however, eligible for state grants. 

The fundraising program, called A Higher Calling, is led by the Cannabis Retailers Association of Vermont and people who donate can get a pre-rolled joint made of donated flower. It will include a two-day fundraising music festival next month in Cabot. Half of the sales from the concert will go directly toward cannabis recovery, according to a Valley News report. 

Todd Baily, the association’s president, told VPR that the flooding affected more than three dozen cannabis businesses in the state, with losses in the tens of millions of dollars. 

“We’ve heard as high as 20,000 square feet of canopy. For the cultivators that has been lost. That’s significant. We have not even concluded year one of the legal market. So not only were they impacted by this flooding, they’re impacted by the fact they’re a small business that’s still in startup phase.” — Baily to VPR 

Baily said that anyone operating a cannabis business that was impacted by the floods can apply for funds and that if the organization can raise enough funds, they “will support everyone.” 

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RAW Donates $100K to JUSTÜS Foundation

8/04/2023

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RAW Rolling Papers has donated $100,000 to the JUSTÜS Foundation, a nonprofit that facilitates the entry of legacy cannabis operators into the legal market. The donation, part of the RAW Seeds Fellowship grants, will be awarded to three legacy operators who were negatively impacted by the justice system due to cannabis laws. 

To be eligible to apply for the fellowship, a legacy operator is defined as, “An individual who commercialized cannabis for the majority of their income, or sacramentally or ceremonially distributed cannabis, outside of the legal framework, during the period of prohibition, predating legalization by 5 years.” The three grants will be up to $20,000 per awardee and will be used to start legal cannabis businesses. 

The JUSTÜS Foundation is committed to helping legacy cannabis operators transition into the legal cannabis market. The foundation’s educational programs include: “The Woman Warrior Initiative,” “Safe Smoke Sesh Series,” “Octogacy,” “Mental Health First “The Revolutionary Cannabis Series,” “Cannabis Accounting Roundtables,” and “JUSTÜS JUMP Ins.” 

In a statement, RAW founder Josh Kesselman, said the company takes “great pride in supporting and empowering the pioneers who laid the foundation of this industry.” 

“As the industry undergoes a significant transformation, emerging from the shadows and embracing legality, it is crucial that those who built it from the ground up are the beneficiaries, along with the communities they come from. While major companies are rushing to take advantage of new laws legalizing cannabis, we need to support the small entrepreneurs who are the true lifeblood of this industry.” — Kesselman in a press release 

Scheril Murray Powell, JUSTÜS Foundation COO, described the organization as “in the barrier removal business.” 

“Legacy integration is the fast track to diversifying the legal cannabis market. By giving legacy cannabis operators the tools and resources needed to succeed, we contribute to the creation of a robust, compliant, inclusive, and high performing industry which provides health and wellness to society,” Powell said in a statement. “By empowering these undervalued cannabis business executives, we propel them to the front lines of the health equity movement and the creation of economic growth for jurisdictions around the world. The JUSTÜS Foundation outreach and support of underserved communities such as Rastafari community, social equity participants, and legacy operators is unprecedented.” 

Also included in the program, up to $15,000 may be awarded in smaller grants to multiple legacy operators. This grant will also be used to launch legal cannabis businesses, or to facilitate a career in the legal cannabis industry. 

Steve DeAngelo, founder of The JUSTÜS Foundation, added that “The men and women who carried cannabis through the dark years of prohibition should be treated like heroes – not criminals.” 

“Instead of being excluded from the legal cannabis industry, legacy operators should be warmly welcomed into it. They should be honored as the brave pioneers and accomplished experts they truly are, not ostracized or excluded because they have been convicted for breaking unjust laws that should never have been passed,” he said in a statement. “These grants will help return opportunities to legacy cannabis entrepreneurs that shouldn’t have been taken away from them in the first place. We look forward to seeing our grant recipients thrive and rise, to become leaders of the industry, and to inspire and assist other members of the legacy community to follow their example. Together, we will build a cannabis industry we can truly be proud of.” 

The grant window opened August 1. Those eligible can apply through August 31 at RawJustus.com. 

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First-Month Adult-Use Cannabis Sales in Maryland Near $85M

8/03/2023

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First-month adult-use cannabis sales in Maryland totaled nearly $85 million in July, according to Maryland Cannabis Administration (MCA) data. Flower comprised the bulk of the sales – more than $51.1 million. 

Concentrate sales topped more than $22.1 million, followed by infused edibles at more than $6.3 million, infused non-edibles at more than $4.8 million, shake and trim at $554,104, and plants at $3,535.  

In an interview with Forbes, Ben Burstein, a strategist at wholesale cannabis marketplace LeafLink, said that the sales figures put the state on track to see between $700 million and $800 million annually in cannabis sales. If the sales meet those totals, Burstein said it would make Maryland “one of the top-performing markets this year.” 

So far, the MCA has converted the licenses of 95 medical cannabis dispensaries to allow them to serve adult-use cannabis customers, the agency reported last month. State regulators have also licensed 42 cannabis cultivators and manufacturers to produce adult-use cannabis products. 

Data from the MCA and seed-to-sale tracking firm METRC, show that licensed cannabis retailers realized $84.95 million in sales of adult-use cannabis and medical cannabis between July 1 and July 30, the report says. Comparatively, medical cannabis sales last July totaled just over $43 million. 

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Oklahoma Supreme Court Justice Hears Arguments in Case Challenging Medical Cannabis Business Fees Hike

8/03/2023

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Arguments in the case challenging a recently passed law that hikes medical cannabis licensing fees for businesses were heard by Oklahoma Supreme Court Justice John Kane on Tuesday, the Tulsa World reports. The plaintiffs claim the increases are unconstitutional because the law is a revenue-raising measure, but lawmakers did not follow the rules governing the passage of such measures. 

The lawsuit, filed by Jed Green, founder of Oklahomans for Responsible Cannabis Action, and three companies against the Oklahoma Medical Marijuana Authority on June 30, contends that “The Legislature’s hike in the fee structure represents an extraordinary leap in the amount of revenue that the State will collect through medical marijuana business licensing.” 

Under the new law, annual fees are assessed through a tiered licensing program that ranges from the current $2,500 to more than $50,000. 

William Flanagan, assistant solicitor general for Attorney General Gentner Drummond, on Tuesday asked the court not to take the case, arguing that the bill is not a revenue-raising measure but that the fees are going to a regulatory purpose and will hemp officials improve public safety and decrease the cannabis supply in the state, the report says. A Cannabis Public Policy Consulting study commissioned by the Oklahoma Medical Marijuana Authority published in June found Oklahoma cannabis growers produced 64 times more medical cannabis than the market demanded. 

“The rapid expansion of the industry has provided opportunities for organized crime, and the boom has made it difficult for regulators to keep up,” the state said in its response to the lawsuit. “To address the oversupply of marijuana in the State, the Legislature enacted House Bill 2179 to raise some of Oklahoma’s uniquely low licensing fees to a level in line with that of other states.” 

Stephen L. Cale, an attorney for the plaintiffs, said the matter is of constitutional and public concern and that the state Supreme Court should take the case because the bill has a statewide impact. 

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Wayne State University Launches Cannabis Chemistry Undergraduate Certificate Program

8/03/2023

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Michigan’s Wayne State University this fall semester will begin offering a cannabis chemistry undergraduate certificate. The 15-credit hour program will focus on instrumentation, standard operating procedures, business and law practices, and science behind the testing and regulation of cannabis.

The certificate program will be housed in the College of Liberal Arts and Sciences and administered by the Department of Chemistry. It will require five classes and a research course.

In a statement, Andrea Matti, assistant professor of teaching in the chemistry department and director of the certificate program, said the program was necessary because the cannabis products sold throughout the state need to be “tested properly and is ethically sound.”

“We’ll teach students how to use the necessary instruments, properly dilute and prepare solutions, and analyze data – all that goes into analytical chemistry. It’s teaching the chemistry of measurements and how they are obtained.” — Matti in a press release

Techniques and instrumentation specific to the cannabis industry will be stressed during the program, and the skills will be applicable to a wide range of areas such as pharmaceutical research.

“It’s a field for our students who like chemistry, but don’t want to go into health sciences,” Matti said. “We’re teaching students the research methods. Testing facilities use a lot of high-pressure liquid chromatography – or HPLC – to test regulations, so we’re ensuring students are well versed in that instrument, the theory behind it and troubleshooting it.”

Currently, there are six accredited independent cannabis safety compliance facilities registered to operate in Michigan, and Gov. Gretchen Whitmer has $4.4 million in her proposed 2024 budget for a state-operated cannabis testing lab.

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Adult-Use Cannabis Sales in Illinois Reach $136M in June, Highest Total This Year

8/02/2023

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Illinois adult-use cannabis sales in June topped $136 million – the highest total of the year and the third highest ever, according to Cannabis Regulation Oversight Officer (CROO) data. In-state cannabis consumers spent $102 million in the month of June, while out-of-state consumers spent $34 million.   

Medical cannabis sales in the state remained flat in June at $27 million, the same total as May and down $1 million from April’s totals.   

Adult-use sales in June were up $3 million from May and $4 million more than April’s sales total. The state saw sales fall from $128 million in January to $120 million in February. The sales drop is likely due to adult-use sales commencing in nearby Missouri, which has the lowest excise tax on cannabis products at 6%, according to Tax Foundation data. Comparatively, Illinois imposes a 7% excise tax of value at wholesale level; a 10% tax on cannabis flower or products with less than 35% THC; a20% tax on products infused with cannabis, such as edible products; and a 25% tax on any product with a THC concentration higher than 35%. 

The price of cannabis flower at dispensaries across Illinois remained at $10 per gram for the third consecutive month. 

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Cannabis Research Company Planning Lawsuit Against DEA for Failure to Follow Federal Law

8/02/2023

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MMJ International Holdings Corp is preparing a lawsuit against the Drug Enforcement Administration (DEA) claiming the agency is violating the law by not responding to its application to grow pharmaceutical cannabis to support its research. MMJ, which has two Food and Drug Administration (FDA) investigational drug applications to research its developed soft gelatin capsule in clinical trials for multiple sclerosis and Huntington’s disease, filed its application nearly five years ago. 

MMJ alleges that the DEA’s inaction on its application is in violation of the Controlled Substance Act (CSA) and the Marijuana and Cannabidiol Research Expansion Act (MCREA), which was signed into law in December 2022. 

Late last month, Megan Sheehan of Sheehan & Associates, representing MMJ, sent a warning letter to DEA Deputy Assistant Administrator Matthew Strait, and DEA regulatory chief Ricardo Quintero, informing them that they were in violation of the law. 

In the letter, Sheehan argued that DEA’s failure to process MMJ’s bulk manufacturing application for almost five years was a violation of both the CSA and the MCREA. She also argued that DEA’s attitude toward the application, which was reported that they “would get to it when they get to it,” was in violation of DEA policies and procedures, MMJ said in a press release. 

In general, the consequences for violating federal laws and regulations can include fines, penalties, and other legal sanctions. In this case, if the DEA is found to have violated the CSA or the MCREA, it is possible that the agency could face fines or court-ordered injunctions, or the court could order the DEA to process MMJ’s bulk manufacturing application and take other actions to address the agency’s failure to comply with federal law.   

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New Mexico Regulators Seek Injunction Against Cannabis Business Accused of Diverting Product

8/02/2023

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The New Mexico Regulation and Licensing Department on Tuesday filed a petition seeking a preliminary injunction against Sawmill Sweet Leaf, LLC, alleging the company has been diverting cannabis out of state and manufacturing cannabis concentrate without a permit.  

In a statement, Linda Trujillo, superintendent of the Regulation and Licensing Department, said “A key component of compliance actions is the ability to suspend licenses immediately if they pose an instant threat to the health, safety and lives of consumers.” 

“While the licensee in question will still receive due process through a formal hearing, we can now ensure New Mexicans are protected from dangerous products or a life-threatening explosion in the interim.” — Trujillo in a press release 

Regulators are accusing Sawmill Sweet Leaf of operating an unlicensed closed-loop extraction system at its facility in Albuquerque. The business does hold a Cannabis Manufacturer II license which allows it to manufacture edibles or topical cannabis products but does not allow for any type of extraction.   

Evidence obtained by the Cannabis Control Division alleges that the products being sold by Sawmill Sweet Leaf out of state have not been tested. 

As a result of House Bill 384, which became effective on June 19, 2023, a new provision was added to the state’s Uniform Licensing Act allowing licensing agencies to seek a preliminary injunction if a licensee engages in unlawful activity that poses an immediate threat to public health and safety. 

The petition was filed in the Second Judicial District Court in Bernalillo County. A hearing has not yet been set.  

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Adult-Use Cannabis Now Legal In Minnesota

8/01/2023

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Minnesota’s adult-use cannabis law takes effect today, August 1, making it the 23rd state to pass sweeping cannabis legalization reforms. Under the new law, adults in Minnesota aged 21 and older can possess up to two ounces of cannabis flower in public and up to two pounds of cannabis in the privacy of their own homes. Legal cannabis consumers can also home-grow up to eight plants with a maximum of four flowering plants at once.

Additionally, the law includes automatic expungement provisions for cannabis misdemeanors or petty possession charges. There are an estimated 66,000 Minnesotans with misdemeanor cannabis charges eligible for automatic expungement, Minnesota Public Radio reports.

August 1 also marks the first day of recreational sales for NativeCare, a medical cannabis dispensary in Minnesota’s Red Lake Nation that announced last month it would commence adult-use sales once the reforms have formally taken effect. The retailer is expected to be the first operational adult-use cannabis retailer in the state.

The Minnesota Office of Cannabis Management will oversee the licensing of medical and adult-use cannabis operators and set up regulations for the licensed production, manufacturing, and distribution of both cannabis and hemp-derived consumer products. Adult-use licenses for the rest of the state are not expected until sometime next summer, with statewide sales likely launching in January 2025.

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Federal Lobbying Spending by Cannabis Industry Down

8/01/2023

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Federal lobbying efforts by cannabis industry operators is down, according to a Stat News report. Curaleaf spent nearly 40% less on lobbying in Washington, D.C. in the first half of the year than it did at its peak in 2019, the report says, while Columbia Care and Pax Labs eliminated their lobbying teams entirely.  

In a statement to Stat, Aaron Smith, co-founder and CEO of the National Cannabis Industry Association (NCIA), which lobbies lawmakers, called it a “cruel irony” that “businesses are forced to cut back on their government relations spending when in fact that advocacy [is] what’s needed in order for the industry to actually succeed.” 

The NCIA has spent $100,000 on lobbying so far this year, according to federal disclosures outlined by Stat. The group spent $285,000 on lobbying in the first six months of 2019. 

The U.S. Cannabis Council spent $150,000 on lobbying efforts last quarter and plans to spend as much, or more, a spokesman told Stat. The group has also launched a super PAC. David Culver, the group’s senior vice president of public affairs, told Stat the group wants to “be a big tent organization.”  

“Everybody realizes that if we have a singular and unified industry voice … that we’re gonna have a lot more success.” — Culver to Stat 

The American Trade Association for Cannabis and Hemp began lobbying in late 2019 and has also modestly increased its lobbying in recent months, spending $50,000 so far this year on lobbying; in 2022, the firm spent a total of $50,000 for an entire year of lobbying. 

Two firms focused on lobbying for cannabis reforms – the Cannabis Trade Federation and the Global Alliance for Cannabis Commerce – appear to have folded entirely, the report says.  

Adam Goers, the senior vice president of corporate affairs for Columbia Care, told Stat that while “there may be less company spending” on lobbying, what does get spent “is more pragmatic” and “much more focused.”

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