Ganjapreneur.com

Indiana Sen. to Propose Bill Legalizing Medical Marijuana

12/18/2014

Indiana State Sen. Karen Tallian, a Democrat from Portage, is getting ready to propose a limited legalization bill that would make medical marijuana available for citizens suffering from particular debilitative conditions.

The push for medical legalization comes following many attempts in recent years by Sen. Tallian to pass legislation reforming her state’s marijuana policies. Bills to decriminalize the drug, however, did not receive much love from other Indiana lawmakers. “I’m trying something a little different,” Tallian said. “I’m hoping to get a little more sympathy to getting a hearing.” Indiana is often considered one of the nation’s most conservative states on the issue of marijuana.

“In spite of our rugged individualism, I don’t anticipate us being too early on that [legalization] process,” said Andy Downs, the Director at the Mike Downs Center for Indiana Politics. “We are one of two states that doesn’t allow Sunday alcohol sales. There are certain things that we accept as the way we operate and don’t accept changes just because others have.”

Tallian, however, is far from discouraged. “I have a lot of people on the other side of the aisle who are interested in this issue. I think people are just a little afraid to put their names out there,” she said. “I’m working on it.”

Sources:

http://www.indystar.com/story/news/politics/2014/12/17/indiana-senator-plans-medical-marijuana-proposal-karen-tallian/20523759/

Photo Credit: nathanmac87

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Danielli Martel: The World’s First Cannabis Day Spa

12/18/2014

by Ganjapreneur

Since the inception of Colorado’s recreational cannabis industry, the market has grown and thrived. Apart from growers, processors, and retailers, the industry has created opportunities for all types of niche businesses. One such business is Primal Wellness, the world’s first day spa offering cannabis-infused products and related services, located in Englewood, Colorado. The spa offers a variety of massages, manicures, pedicures, yoga classes, and other services to tourists and local residents who want to experience the physical (non-psychoactive) benefits of cannabis products.

We recently interviewed Danielli Martel, the founder of Primal Wellness, about her experience growing the business in Colorado, what she believes the future holds for cannabis and hemp-infused cosmetic products and lotions, and some of her plans for new ventures in the industry.

Read the full interview below:

Ganjapreneur: When was Primal Wellness founded, and when did you know that you wanted to make a career in the cannabis industry?

Danielli Martel: Primal Wellness Company opened on October 1, 2014. In 2009 I became a medical cannabis user in a state in which it is still illegal. After a few years of skirting the law we knew, as a family, that it wasn’t worth risking our children or business there and made the decision to move to Colorado. The goal wasn’t specifically to have a career in cannabis but more to create an experience for others that would allow an opportunity to educate about the benefits of cannabis. We arrived in the Denver area in February of 2014 with the intent of opening a “bud and breakfast” in Evergreen. Unfortunately, due to banking regulations we weren’t able to pull it off. The conception of the spa was a marriage of a previous spa idea in my “entrepreneurship” folder, personally using cannabis on my skin and seeing amazing results, and research about how cannabinoids increase the benefits of massage and other spa treatments.

What was your career before starting the company?

My background is in Sales and Marketing. I started in real estate at the age of 19, went into mobile phone sales during the ought’s, and then found a career in insurance. My personal career goal is to mentor others and help them reach their goals. I currently own and operate two traditional brick and mortar businesses, two online businesses, and am working on bringing some new concepts to life. Not bad for a stoner, right?

Not bad indeed! Can you give any hints about your upcoming projects, or are they still under wraps?

Thank you! Seriously, we really need to shed this “stoners don’t get anything done” nonsense. I’m doing more now than I ever did before I was a consumer. Primal Wellness Company is working on formulations for a custom product line that would include industrial hemp and we are also beginning on our expansion by opening a second location in Eagle-Vail in January of 2015. For myself, I have an awesome restaurant concept that I would like to take to Brazil, my second country. If there are any restauranteurs out there interested in a partnership, hit me up!

What were some of the greatest obstacles you faced while growing the business?

The greatest obstacle to getting the business off the ground was location, location, location. It was challenging to find something centrally located, friendly toward the business model, in a community that would allow it, and with parking. We got lucky and found a location that is only 15 minutes from the center of Denver, located near shopping and dining, right off the RTD line, we have ample parking, and we are just enough off the beaten path to provide privacy and serenity.

How many people does Primal Wellness currently employ?

We currently have contracts with almost 20 therapists and yoga instructors. Additionally, in keeping with the idea of mentoring, my partner and I have recruited three up and coming young women who are passionate about health, wellness, and business, and have given them an ownership opportunity. While they will be responsible for the daily operations of the Spa and Studio, we will be supporting them through our roles as CEO and CFO and as mentors.

What percentage of your clientele would you say are coming as tourists, or for the “novelty” of a cannabis spa treatment?

90%, so far, have been tourists. We’ve had people visit from Boston, San Diego, San Antonio, Kansas City, Vegas, and even a few other countries. While the initial boost has been tourists, we are starting to see more activity from the local community. The yoga studio membership is quickly growing and as the members learn about the benefit of infused treatments, we are starting to see crossover. Additionally, we have partnered with several medical care providers, both MMJ on non-MMJ related, who are starting to refer patients for care. Our building is fully wheelchair accessible, most of our therapists come from medical backgrounds, and our yoga instructors are trained in wheelchair friendly yoga. We also offer treatments featuring teas, gold and minerals, papaya, cucumber, mud, chocolate and so much more. Our focus is wellness and healing through luxurious indulgence.

What is the most popular service that you offer?

The Companion Services are, by far, the most popular. Our companion rooms are designed so that we can accommodate any two services in the same space. For example, we can do a couples massage or we can do a facial on one guest while the other has a massage, which is growing in popularity.

How do you source your cannabis-infused lotions, oils, and other topicals? Is there a large selection on the market right now?

There are many options within the market now. In Colorado one can purchase salves, oils, and lotions from most dispensaries and there are many brands making great names for themselves. There are also recipes online for making your own cannabis infused massage oils and facial treatments. What we have found within our spa is our guests want something they can take home with them, wherever they live. To accommodate that need we have partnered with Kannaway. Kannaway produces infused products from industrial hemp which means it is legal to use and ship in all 50 states. During spa treatments within the spa, we incorporate whole plant extraction for even deeper treatment.

Do you think that mainstream cosmetic brands will embrace hemp and cannabis as ingredients, or do you think infused topicals will remain a niche product?

I believe mainstream cosmetic brands will embrace hemp and cannabis as ingredients within the next decade. One day it will be an ingredient as commonly listed as jojoba and aloe are.

What benefits do you personally see from cannabis-infused topicals?

I personally use cannabis-infused topicals to manage carpal tunnel and I use it in my nightly “fix my face” routine. I go to sleep looking like the Hulk as my face is so green! The affect that it has had on my skin has been incredible. My break-outs are greatly reduced and I am regularly complimented on my skin.

What is the best thing about your job?

It doesn’t feel like work.

What is your biggest frustration with the cannabis industry in Colorado?

The beauty and challenge of cannabis is that it runs the gamete from being a fun, recreational plant to a lifesaving and very serious plant…all in the same grow. People are extremely passionate about the plant and especially passionate about their specific messages surrounding the plant. So, for me, I find the biggest challenge among consumers and people within the industry to be acceptance and understanding of each others messages. The business part of the industry is typical of any business model I’ve been a part of. There are no clear answers, you have to figure stuff out yourself, the governing authorities aren’t clear on how to interpret the guidelines and as a result the legality of many issues are “in the gray” (a very common phrase here in Colorado), and if you ask three attorneys or government representatives the same question, you will get three different answers. So, like with most things in life, do what feels right, use common sense, and constantly educated yourself as things change daily. It is scary and challenging opening up a cannabis related business, but, I believe if your intentions are pure and your goal is to educate people, bring them a great product or service, and you are passionate about the plant, the power of the plant will be with you and you will succeed.

What advice can you offer to aspiring ganjapreneurs?

Meditate every day. Have a business plan but be malleable within it. Don’t take “no” from people who aren’t in a position to tell you “yes.”

Thank you for sharing your insight and experience, Danielli!

To learn more about Primal Wellness and schedule a session for your next trip to the Denver area, click here. Questions? Comments? Feel free to post them below!

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Alaska Only Able to Meet a Fraction of Demand for Marijuana

12/18/2014

Alaskan voters approved a ballot measure legalizing marijuana earlier this month. A proposal to ban commercial marijuana was shot down in the Anchorage Assembly this week, which is lucky for Alaska ganjapreneurs as outlawing dispensaries in Anchorage would be a huge blow to the state’s ability to keep up with it’s citizens’ demand for marijuana. Alaska has the second highest amount of stoners per capita of any state in the U.S.

“Just like in Colorado and Washington, demand is unlikely to be met in the early stages of the recreational market,” says Adam Orens, an economist with the Marijuana Policy Group, who recently conducted a study on the demand for marijuana in Alaska. “It takes time to set up the regulatory system and for businesses to find and equip their grow operations. It ultimately depends on the characteristics of the regulatory system and whether enough entrepreneurs start marijuana grows and retail centers.”

The Marijuana Policy Group found that between all of Alaska’s 21 and older marijuana smokers there is a collective demand for 17.8 metric tons of cannabis. Assuming the price-range is similar to Colorado’s immediately following legalization ($14 a gram), this would equate to $55.6 million in sales, and $7.1 million in total tax revenues (if Alaska levies a $50 an ounce unit tax). Though MPG estimates that once retail operations are approved, they will only be able to produce 0.4 tons of marijuana — a paltry 22.4% of the market demand.

Colorado has experienced an even worse disparity, according to a study Orens conducted earlier in the year, which found that the state demand was at 130 tons, yet legal markets could only supply 77 tons. Yet Colorado already had a regulated medical marijuana system that was firmly established and functioning going into recreational sales. Whereas Alaska MMJ patients have never had brick and mortar stores to purchase their cannabis in, only caregivers with small grow operations, or the black market. (There has also evolved a “grey market” in the state, where caregivers grow more than their allotted amount of marijuana and sell it on the side.)

“Colorado relied heavily on its medical system to set up the regulated retail marijuana system,” says Orens. “Washington did not have a robust medical system and their retail system has been slower to be implemented and slower to mature. I think that in the long term, the lack of an established medical system could contribute significantly to the success of the retail system.”

While the demand for cannabis in Alaska is significant, it remains to be seen what kind of system state and local governments will set up for the sale, taxation, and regulation of grow sites. All of which will have a significant impact on whether enough of the state’s pot-smoking citizens can get their hands on legally purchased marijuana in order for the market to thrive.

Photo Credit: laurascudder

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Anchorage Lawmakers Shoot Down Proposal to Ban Marijuana Sales

12/17/2014

Citing concerns over city finances and being disconnected from conversations regarding legal marijuana at the state level, the Anchorage Assembly voted 9-2 against a proposal that would have banned marijuana sales in Alaska’s largest city.

The proposal was introduced by Assembly member and mayoral candidate Amy Demboski as a “wait and see” approach to commercial cannabis. After four hours of public testimony and debate, even the proposal’s co-sponsor Dick Triani ultimately voted against it. In the end, Demboski and Assemblyman Paul Honeman were the only votes in support of the proposal.

Demboski said her proposal was not a move to stifle the push for legal marijuana, but was an attempt to spark conversation about overarching local, state, and federal concerns over marijuana’s regulation.

Voicing his concerns over the proposal, Assemblyman Bill Starr explained, “I’m fearful the message on ‘opt out’ will send key legislators in Anchorage to the sidelines. That will make my work harder.”

In November, 53 percent of Alaskan voters decided to approve Ballot Measure 2, which legalizes recreational marijuana and calls for the establishment of a regulated market for the substance across the nation’s largest state.

Sources:

http://www.adn.com/article/20141216/assembly-kills-proposal-ban-marijuana-sales-anchorage

Photo Credit: Paxson Woelber

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Washington Cannabis Tours: Educating the Public and Making a Difference

12/16/2014

Many experts predicted the rise of ancillary businesses around the new legal marijuana experiments happening in some states. Some obvious start ups are in marijuana consumption products, marijuana growing supplies, legal services and security. One of the more unexpected trends is in marijuana transportation services and tourism.

Chronic Carriages is a Seattle-based cab service. Chuck, the owner, was working as an Uber driver and said he got the idea one day when he had the opportunity to help an elderly woman. “It was in that moment I was helping her up that our slogan ‘A lift up after you have landed’ popped in my head.” After that chance inspiration, Chronic Carriages was born.

Nicole, Chuck’s wife and co-founder of Chronic Carriages says, “We want to educate the public about marijuana, have fun, help feed and clothe the homeless. The caring car service is a socially aware business.”

Chuck started first helping low income and disabled patients to and from dispensaries. He has quickly expanded to doing airport pickups and marijuana tours. “We did our first group tour last week,” he said. “Since the passengers had their medical licenses we took them to a member’s only smoking club, and later a glass shop in Seattle.” With their sights set on Washington DC’s possible new legal market, Chronic Carriages is looking to expand. Chronic Carriages has also started a “Hemp for the Hungry Food Bucket Challenge” to help feed homeless individuals in the Seattle area.

South of Seattle in Tacoma, the Duchess of Downtown – Angela Jossy – has expanded her successful tour and event promotion business to include a cannabis tour.

Angela, whose tour includes information on medical marijuana and the availability of recreational marijuana, said, “On our first tour we had many people who were curious about the new law, and some who were getting reacquainted with marijuana.” Two of the main attractions on her tour are Silica’s, a glass shop located in the heart of downtown Tacoma, and Mary Mart, a recently opened recreational marijuana shop.

The tour later leaves downtown for two other retail marijuana stores, Rainier on Pine and Clear Choice Cannabis. “I really see the tour as a way to… educate the public on the topic of marijuana, which has been vilified for so many years, in addition to helping small businesses.” She continues, “We are helping what many see as the heart of Downtown Tacoma, Opera Alley, remain a thriving part of our city, and helping [other] businesses all around Tacoma and Pierce County.” Angela hosted the 2nd Cannabis Tour on December 6th, and plans to put on a 3rd tour in February.

As curious cannabis consumers learn more about the world’s most misunderstood plant, we can begin to undo the damage done by the War On Drugs. Businesses like Chronic Carriages and the Duchess of Downtown are leading the way to a more fact-based outlook on cannabis. Other businesses can take a page from their playbook, and give back to the local community and neighboring businesses. As other states legalize and liberalize the use of marijuana, these types of educational tours will be important to keep the public properly informed about cannabis.

Photo Credit: Oran Viriyincy

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Federal Spending Bill Grants Historic Support to MMJ and Industrial Hemp

12/15/2014

The controversial federal spending bill passed by Congress last week grants historic support to industrial hemp cultivation and medical marijuana in states where such industries have been legalized.

The $1.1 trillion spending bill will block the Department of Justice from using funds to target medical marijuana businesses operating within state laws, and also will prevent the Drug Enforcement Administration from going after state-legal industrial hemp programs.

The measure to protect MMJ was originally passed by the House in May earlier this year. The move was meant to keep federal agents from undermining local medical marijuana businesses with taxpayer dollars during a time when the majority of Americans think the federal government should butt out of such state-legal MMJ operations. Many advocates wondered, however, how the measure would fare when introduced to the Senate.

“This is great news for medical marijuana patients all across the country,” said Rep. Sam Farr (D-CA), who co-authored the House measure with Rep. Dana Rohrabacher (R-CA). “This amendment protects patients while the federal government catches up with the views of the American people. Patients will have access to the care that is legal in their state without fear of federal prosecution.”

Rep. Rohrabacher was equally proud, and in a statement to the Huffington Post explained, “The enactment of this legislation will mark the first time in decades that the federal government has curtailed its oppressive prohibition of marijuana and has instead taken an approach to respect the many states that have permitted the use of medical marijuana to some degree.”

“This is a victory for so many, including scores of our wounded veterans, who have found marijuana to be an important medicine for some of the ailments they suffer, such as PTSD, epilepsy and MS,” Rohrabacher added.

President Obama has indicated he will sign the bill, despite several controversial political riders that were added at the last minute. One such attachment is Rep. Andy Harris’ (R-MD) highly-publicized attempt to block Washington D.C.’s Initiative 71, which voters passed during November’s midterm elections to legalize recreational marijuana in the District of Columbia.

These new marijuana policies will draw into question many ongoing federal prosecutions of MMJ patients and growers, such as the infamous and widely-publicized Kettle Falls Five case in Washington State. Numerous civil asset forfeiture cases against MMJ dispensaries in Berkeley, Oakland, San Francisco, and Orange County will also be affected. Advocates believe that these federal prosecutions will be ultimately derailed, and with their nullification so also goes the threat of future federal retaliation against the medical marijuana industry.

“For the first time, Congress is letting states set their own medical marijuana and hemp policies, a huge step forward for sensible drug policy,” said Bill Piper of the Drug Policy Alliance. “States will continue to reform their marijuana laws and Congress will be forced to accommodate them. It’s not a question of if, but when, federal marijuana prohibition will be repealed.”

Currently, more than half of U.S. states have legalized medical marijuana in some form or another. Meanwhile, eighteen states have legalized industrial hemp production and more than a dozen others have introduced legislation to address the issue. Four states and the District of Columbia have passed legislation to legalize recreational marijuana.

Sources:

http://www.huffingtonpost.com/2014/12/10/congress-blocks-feds-from_n_6302530.html

http://www.thedailychronic.net/2014/39406/patients-applaud-restrictions-on-federal-medical-marijuana-enforcement/

Photo Credit: Dank Depot

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Brief: Federal Law Regarding Marijuana No Longer Applies to Native American Reservations

12/12/2014

The Justice Department ruled on Thursday that prosecutors shall generally avoid taking action against the growing and selling of marijuana when its done on Native American reservations.

The decision came in a memorandum on Thursday. “The tribes have the sovereign right to set the code on their reservations,” said Timothy Purdon, a North Dakota federal prosecutor and chairman to the Attorney General’s Subcommittee on Native American Issues.

This change in policy will be implemented on a case-by-case basis for tribes wishing to take advantage of the ruling (they will still need to adhere to a set of federal guidelines regarding the business of marijuana). According to the LA Times, Purdon believes “the majority of Native American tribes, mindful of the painful legacy of alcohol abuse in their communities, appear to be against allowing marijuana use on their territory.”

This development follows a recent trend of the U.S. government slowly realizing it has no right to interfere at local levels over an issue as inconsequential as marijuana.

There are eight offenses federal agents are still reserving the right to prosecute for on Native American lands. According to an article by the Associate Press, these are:

“Sales to kids, marijuana proceeds going to criminal enterprises, shipping marijuana to states where it is illegal, illegal sales, firearms and violence, drugged driving and other public health issues, growing marijuana on public lands and possession of marijuana on federal property.”

Sources:

http://www.latimes.com/business/la-fi-marijuana-indians-20141211-story.html

http://www.huffingtonpost.com/2014/12/11/native-american-tribes-marijuana_n_6311738.html

Photo Credit: Interiorrain

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Founder of Marijuana Tracking App Interviewed by Ganjapreneur

12/11/2014

As cannabis legalization has gone recreational, the demand for more regulation and oversight has grown significantly. In Washington State as well as other markets, authorities have stipulated that plants produced under the regulated market need to be tracked from the individual seed all the way to the point of purchase, to ensure that no black market products are being sold. This process has become known as “Seed-To-Sale Tracking.”

Ganjapreneur, a website which launched in July and has since published a large body of original news articles, videos, podcasts, and interviews related to the business side of cannabis, recently published their newest interview featuring Steven Siegel, the CEO of BioTrackTHC, one of the world’s leading providers of seed-to-sale tracking software.

BioTrackTHC, which earned the Washington State Liquor Control Board’s contract for Washington’s legal market, is also used in several other states and countries to track both medical and recreational cannabis production, processing, and retail sales. The interview with Siegel covered a wide variety of topics.

Describing the process of moving from well-established industries to the legally ambiguous marijuana industry, Siegel says the word he would use is “Frightening. Normally, there’s data that you can research, even in a ditch market, to try to minimize risk and become an educated entrepreneur. With cannabis there was no data and it was just a gut feeling that me and my partner had. I also knew there was plenty of opportunity to provide leadership to help create an industry that works the right way and follows best practices. This industry is under particular scrutiny because of the differences between federal and state laws, so it was incumbent on those of us who were early in the sector to hold ourselves and each other to very high standards.”

Siegel was also asked about what he envisions the future of the cannabis industry will look like. “A federal law to legalize will of course hasten the process, but even if that has not occurred five years from now there will be many other legal states and the business in current states will have matured and provided tremendous economic and job growth for those regions. There will also be many real life stories of people being helped by cannabis, which will be tremendously beneficial to the industry.”

The full interview is available on Ganjapreneur’s website, and via their app for Android devices. Ganjapreneur has announced that their app will be available in the Apple App Store soon, and also recently launched an open-source slang dictionary, a business service provider directory for “ganjapreneurs,” and a marijuana industry “Freelancer’s Network” that will cater to independent professionals who wish to offer their services to cannabis businesses.

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Brief: OLCC Requests Budget for Implementing Marijuana Legalization

12/11/2014

On Monday, the Oregon Liquor Control Commission (OLCC) asked for a $583,000 budget from state lawmakers to cover the salary expenses, professional services and travel costs of implementing the initiative Oregon voters passed in November to legalize recreational marijuana, Measure 91.

Funding requested by the OLCC is intended to pay for staff and services until July, the end of this fiscal year.

Many lawmakers are proving hesitant to take action regarding Measure 91, This is indicated by the fact that the OLCC’s funding request did not receive a recommendation from the Joint Subcommittee on Education when it was referred to the Emergency Board for approval.

“I would recommend we begin the work to implement the will of the voters,” said Rep. Peter Buckley, a Democrat from Ashland. Buckley expects a legislative committee will soon be addressing issues that pop up during the implementation of Oregon’s new marijuana law.

Regarding the OLCC’s funding request, Buckley said, “I would like to give them the resources they need to do the work they need to do.”

Sources:

http://www.oregonlive.com/marijuana/index.ssf/2014/12/oregon_liquor_control_commissi.html

Photo Credit: Jessica Paterson

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Congress Defies Will of D.C. Voters, Moves to Block Cannabis Legalization

12/10/2014

Despite many expert predictions that the new GOP-controlled Congress wouldn’t tamper with the District of Colombia’s voter-approved marijuana legalization, a last-minute addition to Tuesday’s spending bill aims to do exactly that. According to a summary from the House Appropriations Committee’s website, the spending bill “prohibits both federal and local funds from being used to implement a referendum legalizing recreational marijuana use in the District.”

Due to ridiculously unbalanced racial disparities in the policing of such issues, the push for marijuana policy reform has been a popular political movement in the U.S. capital city. Initiative 71 passed in the November midterms with an overwhelming 70% approval. The District also passed a decriminalization bill earlier this year — this, however, ultimately failed to address the racial disparities of marijuana enforcement (77 percent of marijuana tickets issued in D.C. so far have been in communities of color). Initiative 71 was meant to correct that disparity once and for all, but implementation is about to hit a serious obstacle.

According to Tom Angell of the Marijuana Majority, there may yet be hope for Initiative 71: “It all hinges on the definition of the word ‘enact,'” he explained. The question is whether or not the bill’s ‘enactment’ occurred on Election Day, or if ‘enacting’ the bill means actually sending the initiative to Congress for review (which hasn’t happened yet). “Some advocates I’ve spoken with aren’t so sure,” Angell said. “I’ve heard good arguments on either side, and I think it’s up in the air now, especially since press reports from earlier on Tuesday quoted unnamed congressional staffers as saying the bill would allow D.C. to move forward with legalization. Ultimately, it may take a court case to decide what ‘enact’ means.”

Mason Tvert of the Marijuana Policy Project pointed out that it was “disappointing that some members of Congress are actually fighting to ensure authorities have no control over marijuana.”

“In light of recent events in Ferguson and New York, it would be particularly disturbing if Congress has chosen to overturn the will of the voters in a majority black city,” said Dr. Malik Burnett, Policy Manager for the MPP and Vice-Chair of the D.C. Cannabis Campaign (the organization behind the passage of Initiative 71). “D.C. voters chose to reform their marijuana laws, which have a direct impact on how communities of color interact with police. Congress should not undermine that.”

The District is no stranger to Congress interfering with its voter-approved marijuana laws: a D.C. medical marijuana bill passed in 1998 was stalled by Congress in a similar manner for more than a decade. This is possible due to the Home Rule Act of 1973, which dictates that Congress must review and approve any D.C. law passed at the local level, and gives them the right to oversee how the District spends its locally-raised money.

Meanwhile, four states have legalized recreational cannabis and 23 states have passed some form of legislation that allows options for medical marijuana.

Sources:

http://www.huffingtonpost.com/2014/12/09/dc-marijuana-blocked-congress_n_6298584.html

http://appropriations.house.gov/uploadedfiles/finserv_press_summary.pdf

http://thestonedsociety.com/2014/12/10/congress-medical-marijuana-laws/

Photo Credit: www.GlynLowe.com

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Americans Want Federal Protection for States’ Marijuana Legalization, Report Indicates

12/09/2014

For generations, the drug war has been an international campaign — sparked by the U.S. government — that targets drug consumers, peddlers and producers. It has resulted in the systematic conviction and imprisonment of countless nonviolent offenders and the inception of widespread criminal organizations that flourish off satisfying the demands of a repressed and voracious black market. Time has demonstrated the utter failure of the War On Drugs, and the American public is beginning to realize the extent of the damage its caused.

According to a recent report released by Third Way, a centrist think tank, a majority of Americans believe that marijuana legalization on the state level should have the full protection and recognition of the U.S. federal government.

According to polls managed by the think tank, 60 percent of Americans think that states should have the right to pass their own laws regarding the legality of cannabis. Additionally, an even larger majority of Americans (67 percent) believe that feds should take action to protect law-abiding cannabis consumers — “A supermajority of Americans believe that federal policymakers… should act to provide a safe haven from federal law for states that have already legalized marijuana and are acting responsibly to strictly regulate it,” reads the Third Way report.

Four states and the District of Colombia have legalized recreational marijuana, and more than half the nation has legalized marijuana for medical purposes, yet there remains minimal federal effort to address the growing discord between the U.S. government and state laws regarding marijuana. In February, the Obama administration issued federal guidelines for the banking industry on how to handle accounts belonging to marijuana businesses — guidelines, however, do not change the law, and the cannabis industry continues to suffer from social stigmas and legal hurdles on many fronts.

To address these issues and the growing concern of the American public, Third Way proposes a federal “waiver” system to allow states to pass legalization programs that would operate outside of federal marijuana laws. Assuming said systems included appropriate regulatory restrictions, the waiver would clear the path for smarter and safer business management in the cannabis industry. “This ‘waive but restrict’ framework would provide consistency and protect public safety more effectively than either current law or the other policy proposals on the table,” reads the Third Way report.

Sources:

http://www.huffingtonpost.com/2014/12/08/marijuana-legalization-federal-law-poll_n_6291022.html

http://www.thirdway.org/report/marijuana-legalization-does-congress-need-to-act

Photo Credit: stixfigure

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Steven Siegel: Pioneering Seed-To-Sale Tracking Systems

12/09/2014

by Ganjapreneur

We recently had the opportunity to interview Dr. Steven Siegel, CEO of BioTrackTHC, a company which has been a leading pioneer of seed-to-sale tracking systems for cannabis markets. According to his website bio, Siegel is a serial entrepreneur who has “founded a health and nutritional products company (startup to $18 million in annual revenue), a chain of medical centers (startup to $7 million in annual revenue), a political auto-dialer technology firm, and a third-party financial clearinghouse.” We asked him about what it was like to transition from well-established industries to the fledgling cannabis industry, and what he predicts the future of legalized cannabis will look like.

Read the Q&A below:

Ganjapreneur: For anyone who doesn’t work in a store that uses BioTrackTHC, can you briefly describe how it helps cannabis businesses operate?

Steven Siegel: Compliance is essential to operating a cannabis business, both with regard to state law and to help avoid federal investigation. BioTrackTHC provides a rock solid means of compliance, from seed to sale, giving cannabis business operators great confidence in the propriety of their business. BioTrackTHC’s standard tracking program assigns unique numerical identifiers to every part of a company’s operations and inventory movements. The same assigned value is extended to cover exact monetary denominations made through the sale of each product, which can then be tied to individual bank, credit card, or debit transactions.

How many different states does BioTrackTHC serve, between recreational and medical markets?

We currently have customers in 16 states as well as three countries.

What was the transition like, as an entrepreneur who had started several successful businesses already, moving from well-established industries to an entirely new industry with virtually no infrastructure and plenty of legal inconsistency?

One word I would use to describe it is frightening. Normally, there’s data that you can research, even in a ditch market, to try to minimize risk and become an educated entrepreneur. With cannabis there was no data and it was just a gut feeling that me and my partner had. I also knew there was plenty of opportunity to provide leadership to help create an industry that works the right way and follows best practices. This industry is under particular scrutiny because of the differences between federal and state laws, so it was incumbent on those of us who were early in the sector to hold ourselves and each other to very high standards. That’s an important legacy that will serve the industry well into the future.

When did you first get involved with BioTrackTHC?

The company was officially formed in 2007, though we started working on tracking marijuana a few years earlier when we saw the industry coming. The company was created out of Bio-Tech Medical Software, which was in the business of tracking pharmaceuticals. This expertise was most helpful in our efforts to create a marijuana tracking technology and company, though it was still a major challenge. We spent several years in research and development to get the capability right for marijuana, which is complex to track.

How many people does the company employ?

We currently have 45 employees, though the number is growing quite rapidly.

A common theme in the cannabis industry is rapid response to opportunity. What was it like applying for Washington State’s seed-to-sale tracking system contract, and what were some of the obstacles you faced along the way?

It was an extreme experience for our team, several of whom moved to Washington state and lived and breathed the contract application process for months. We piled high many cans of energy drinks during that period of time and the biggest obstacles were that everyone was creating a new industry and means of regulation from scratch, both the regulators and our team.

It involved intricate communication to make sure that everyone was on the same page, not only with what we were trying to accomplish, but being certain we had the same understanding of terminology. This is unlike mature industries that have a well-understood and accepted language. A minor difference in meanings of words could have a major impact on the outcome of our mutual work with regulators. It’s a testament to everyone involved at the state and with our company that we collaborated in an effective manner that resulted in BioTrackTHC receiving the contract.

Where do you see the cannabis industry five years from now?

I expect it to be a very mainstream industry by then because there are so many business sectors that are becoming part of the legal cannabis industry. Insurance, law, accounting, marketing, banking, lighting, energy management, edibles, drinks and countless products and services of all kinds are becoming the norm. A federal law to legalize will of course hasten the process, but even if that has not occurred five years from now there will be many other legal states and the business in current states will have matured and provided tremendous economic and job growth for those regions. There will also be many real life stories of people being helped by cannabis, which will be tremendously beneficial to the industry.

Thank you for contributing, Steven! We look forward to seeing BioTrackTHC used by markets around the world as this industry grows.

If you have further questions, please feel free to post them in the comment area below or get in touch with BioTrackTHC via their contact page. Want more updates like this? Subscribe to our newsletter using the form in the sidebar, or download our Android app to get every story delivered to your smartphone or tablet!

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Brief: Houston Police Chief Calls War On Drugs a ‘Miserable Failure’

12/08/2014

Houston Police Chief Charles McLelland, head of the nation’s fourth largest city’s police department, said in a radio interview on Friday that the U.S.-instigated drug war has been a “miserable failure.”

“Most of us understand, we do believe, those of us that are law enforcement executives, that the war on drugs, the 1980 drug policies, was a miserable failure, there’s no doubt about that,” McLelland told interviewer Dean Becker, host of the radio show ‘Cultural Baggage.’

McLelland explained how he believes current policies regarding crime prevention, drug rehabilitation and substance abuse have “disproportionately criminalized a certain segment of our population… It has a trickle-down effect, that a lot of young men who are minorities, in their early 20s, have a felony conviction on their resume, and now they’re unemployable. And we wonder why they don’t have jobs, they’re not working, they’re not contributing to society in a productive way, but we’ve put them in a position to where the odds are stacked against them.”

Becker presented McLelland with questions from members of Law Enforcement Against Prohibition (LEAP), such as whether or not McLelland has ever hired a deputy who had used marijuana, or how he felt the growing majority of Americans who support drug policy reform was influencing our elected officials. Other topics included police militarization in light of the recent Ferguson controversy, and the response of other Houston officials to Chief McLelland’s political stance against the drug war.

‘Cultural Baggage’ is a weekly, half-hour radio show aired on Friday evenings that focuses on discussing the war on drugs.

Sources:

http://www.huffingtonpost.com/2014/12/05/houston-police-chief-marijuana_n_6277018.html

http://www.drugtruth.net/cms/node/5119

Photo Credit: Ed Uthman

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Brief: Hemp Bills Approved By Michigan Senate Committee

12/06/2014

The Michigan Senate Agriculture Committee passed a pair of bills on Thursday to allow the cultivation and production of industrial hemp. Both bills passed through the House earlier this year.

HB 5439, sponsored by Rep. Kevin Daley, sets up the necessary criteria for universities and other organizations to participate in the nationally-approved opportunities for pilot hemp programs. This bill passed in the House unanimously in May.

The other bill, HB 5440, was proposed by Rep. Peter Pettalia and was sponsored by 64 different Michigan House Representatives. Pettalia’s bill removes the criminal classification of hemp and scientifically segregates it from cannabis, hemp’s psychoactive cousin. The bill passed in the House with a 108-1 vote.

The Michigan legislative session is slated to end December 18. It remains unknown whether or not lawmakers will be able to pass legislation on hemp this year, or if the issue will have to wait until the next session.

“The Senate is ready to get this done and I am hoping for a unanimous vote in the Senate like we had in the House,” said Steven Sharpe, Board member of the Michigan chapter of the National Organization for the Reform of Marijuana Laws. “It’s what’s best for Michigan,” he said.

Sources:

http://thecompassionchronicles.com/2014/12/04/hemp-bills-pass-michigan-senate-committee/

Photo Credit: David J

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Brief: Majority of Medical Professionals Support Treating Epilepsy With Cannabis

12/05/2014

Survey results published by UCLA on Thursday have revealed that a vast majority of medical professionals in the U.S. consider cannabis treatment to be appropriate for severe cases of epilepsy. The general response from neurologists and epileptologists, however, did not agree with that majority: only 48 percent of such specialists said they would advise the use of medicinal cannabis.

Survey investigators reported 776 responses from participants across North America and Europe.

An 83 percent majority of all physicians, nurses, researchers and other health professionals said that — in the event of severe epilepsy — they would advise medical marijuana treatment. 78 percent of participants agreed that there should be some sort of pharmacological grade CBD compound available as medicine for epilepsy treatment.

More than half of the U.S. has legalized the use of medical marijuana for certain debilitative conditions. Currently, epilepsy is one of the most common conditions for which medical marijuana is prescribed.

Sources:

http://norml.org/news/2014/12/04/survey-physicians-endorse-cannabis-therapy-for-epilepsy

Photo Credit: Fotos GOVBA

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D.C. City Lawmakers Approve Legislation to Regulate Recreational Marijuana Sales

12/04/2014

In November, D.C. voters passed Initiative 71 with nearly 70 percent approval ratings, and legalized the adult possession of up to two ounces of cannabis. Citizens are are allowed to grow up to six marijuana plants in their own home. However, the voter-approved Initiative 71 does not include a system for regulating and taxing recreational marijuana sales.

To address this fact, D.C. lawmakers approved pieces of legislation that would legally regulate and license the production, processing, distribution and sale of cannabis in the District of Columbia. The vote took place following a joint hearing on Tuesday, November 25 by the D.C. Committee on Business, Consumer and Regulatory Affairs and the Committee on Finance and Revenue.

Councilmembers voted to approve various sections of a 2013 bill, the “Marijuana Legalization and Regulation Act of 2013,” which was introduced by Councilmember David Grosso, an Independent. Ten sections of the bill remain unexamined, however, and lawmakers did not finish the process before the Council adjourned this month. Advocates suspect that Councilmembers will resume the push for a regulated marijuana market come January with a similar tax and regulatory bill.

“Today’s vote in support of regulating marijuana like alcohol in the nation’s capital is a validation of the overwhelming support among District residents for an end to the racial disparities and harm caused by marijuana prohibition,” said Grant Smith, deputy director of national affairs for the Drug Policy Alliance. “D.C. lawmakers have a clear mandate from the community they serve to pass a bill that regulates marijuana and restores those communities that have been harmed the most by decades of marijuana prohibition.”

“D.C. lawmakers must act quickly to end decades of failed marijuana prohibition laws that have criminalized tens of thousands and devastated communities of color,” said Smith.

Meanwhile, supporters of Initiative 71 are concerned that the voter-approved bill could still face opposition from the new GOP-led Congress, which reserves the right to tamper with local laws. However, experts have recently argued that such a move would prove too politically risky for Republicans, and many are predicting that the passing of Initiative 71 will not be drawn into question.

Sources:

http://www.thedailychronic.net/2014/39017/washington-d-c-takes-major-step-toward-taxing-and-regulating-marijuana/

http://www.govexec.com/state-local/2014/12/will-congress-let-dc-legalize-pot/100157/

Photo Credit: fortherock

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U.S. Marijuana Legalization Working Against Mexican Drug Cartels

12/03/2014

Curtailing cartel profits has been one of the most popular reasons for legalizing marijuana, and recent developments suggest that such policy reform has been a great success. As NPR reports, Mexican drug cartels are beginning to feel the hurt as more and more U.S. states legalize cannabis for medical and recreational purposes.

NPR interviewed 24-year-old Nabor, a marijuana grower in the northwestern Mexican state of Sinaloa. Nabor, who declined to give his surname because his work is still highly illegal, explained: “Two or three years ago, a kilogram [2.2 pounds] was worth $60 to $90. But now they’re paying us $30 to $40 a kilo. It’s a big difference. If the U.S. continues to legalize pot, they’ll run us into the ground.”

As things currently stand, more than half of all U.S. states have legalized some form of access to medical marijuana, and four states — Washington, Colorado, Oregon, and Alaska — plus the District of Colombia have legalized recreational cannabis use. Additionally, as responsible markets develop locally and cannabis use continues to permeate pop culture globally, the desire for American-made cannabis has increased dramatically.

Though Nabor has been growing illegal cannabis since he was 14, he sees a time approaching when it won’t be a viable means of supporting himself or his family. “This is dangerous work to cultivate… and to sell [marijuana]. If the army comes, you have to run or they’ll grab you. Look here, we’re only getting $40 a kilo. The day we get $20 a kilo, it will get to the point that we just won’t plant marijuana anymore.”

Meanwhile, across the border, Lt. David Socha of the Austin Police Department’s narcotics section explains that he’s noticed a dramatic shift in the marijuana market. At one point, virtually all weed smoked in the U.S. was imported from Mexico — this, however, has changed. “We’re still seeing marijuana,” Socha said. “But it’s almost all the homegrown stuff here from the States and from Canada.”

NPR hasn’t been the only media group to report on the success of the legal marijuana industry. Last April, the Washington Post ran a story highlighting cartel actions that suggest they are falling off the cannabis drug trade and are investing more into heroin; additionally, VICE published an article in May that describes the steady decline of cartel-grown cannabis being found on the U.S. black market.

Sources:

http://www.npr.org/blogs/parallels/2014/12/01/367802425/legal-pot-in-the-u-s-may-be-undercutting-mexican-marijuana

Photo Credit: MarihuanayMedicina

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Brief: Uruguay’s Legal Marijuana Program Is Safe Under New President

12/02/2014

Uruguay’s nation-wide recreational marijuana program has garnered much international attention since its unveiling earlier this year. Recently, the program faced a possible threat of shutdown depending on the outcome of the country’s presidential elections. Thankfully, that danger has passed.

Former President Tabare Vazquez, who served his initial term as president from 2005-2010, beat his election opponent 53 percent to 40 percent during Sunday’s runoff election.

Vazquez’s opponent, Luis Lacalle Pou, has declared himself staunchly opposed to current President José Mujica’s widely-publicized recreational marijuana program. During the election, Lacalle Pou vowed to halt the program and undo the infrastructure for the nation’s retail marijuana market if he were elected president.

Vazquez, who NBC reports had “promised to continue the plan unless it produced negative results,” is an oncologist who’s first term actions proved markedly moderate. Much has changed in Uruguay’s political climate since then. This is largely a result of President Mujica’s passing of progressive laws on same-sex marriage, abortion, and marijuana.

Uruguay’s program is set to launch in 2015, and all cannabis offered in retail stores will be produced and processed by the country’s federal government.

Sources:

http://www.nbcnews.com/news/latino/uruguay-tabare-vazquez-wins-continues-state-run-marijuana-plan-n259076

Photo Credit: Lisa Cyr

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Minnesota MMJ Licenses Awarded to LeafLine Labs and Minnesota Medical Solutions

12/01/2014

The Minnesota Department of Health announced on Monday the names of the first two businesses to receive state-issued business licenses for the production, processing, and distribution of medical marijuana. The companies, LeafLine Labs and Minnesota Medical Solutions, were chosen from a list of twelve applicants — all of whom paid $20,000 in nonrefundable application fees — to become the state’s first MMJ manufacturers.

Minnesota’s medical marijuana law, which was passed earlier in 2014, only allows for non-smokable forms of cannabis. According to the department’s news release, “The two manufacturers will be responsible for growing the medical cannabis, processing it into pill or liquid form, and distributing the medications through a network of eight distribution sites (four sites per manufacturer) they will establish around the state.”

The companies were selected after a lengthy review process that considered all applicants’ operational stability, financial stability, business strategies, and many other factors. A panel of representatives from related industries — including the agricultural, pharmaceutical, public safety, commercial and financial sectors — oversaw the review process and made recommendations about the applicants.

The businesses were chosen because of their “commitment to the patient experience, technical proficiency in cultivation and the formulation of medicine, rigorous safety and security standards, and sound business planning and resources.”

Ultimately, the final selection was made by Minnesota Commissioner of Health Dr. Ed Ehlinger, who said:

“We are pleased to have two strong partners for Minnesota’s medical cannabis program. Our goal is to safely provide medical cannabis products to patients with qualifying conditions by the deadline of July 1, 2015, and our attention over the next few months will be on working with these two manufacturers to implement the program and safely grow, process and distribute the products.”

LeafLine Labs is a Minnesota company founded by two emergency medicine physicians. Their team brings expertise founded in medicine, law, patient advocacy, business (especially in a regulated environment), and high-quality medication manufacturing. The company’s manufacturing center will be in Cottage Grove, and they plan to open their first distribution center in Eagan on July 1, 2015. Other distribution centers are expected to open within the following year in Hibbing, St. Cloud and St. Paul.

Minnesota Medical Solutions is a group of doctors, pharmacists, scientists, greenhouse operators, building contractors, educators and other professionals. The company will be working with industry experts for training and consulting purposes. Their manufacturing facility is in Otsego and will be functional by the end of this week. Distribution centers will open in July in Rochester, Maple Grove, Minneapolis and Moorhead.

Sources:

http://www.health.state.mn.us/news/pressrel/2014/cannabis120114.html

http://norml.org/legal/item/minnesota-medical-marijuana-law

http://www.startribune.com/lifestyle/health/284327061.html

Photo Credit: Michael Hicks

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Brief: Colorado Health Officials Propose $7M for Clinical Cannabis Trials

11/30/2014

State Public Health Department officials in Colorado have proposed a series of state-funded clinical trials to study the effectiveness and any dangerous side effects of cannabinoid treatment. The proposal includes $7 million in grant money to fund the studies.

The studies would include two clinical trials investigating the use of cannabidiol (CBD) to treat patients with pediatric epilepsy, two trials that will evaluate cannabis treatment for patients suffering from post-traumatic stress, and four other trials designed to test the efficacy of cannabis or CBD in treating Parkinson’s disease, brain tumors, ulcerative colitis, and general pain management.

California once funded a variety of studies into the efficacy of cannabis treatment for many other conditions, and in 2012 researchers concluded: “Based on evidence currently available the Schedule I classification [of cannabis] is not tenable; it is not accurate that cannabis has no medical value, or that information on safety is lacking.”

The proposed studies in Colorado now await grant funding approval by the state Board of Health, which will review the proposal in December. If the $7 million grant is approved, researchers will still require federal permission to move forward with the research.

Sources:

http://blog.norml.org/2014/11/26/colorado-health-officials-recommend-7-5-million-in-grant-funding-for-clinical-cannabis-trials/

Photo Credit: Håkan Dahlström

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Brief: New Hampshire’s First Dispensary Could Open Within a Year

11/26/2014

New Hampshire’s first dispensary under the state legislators’ 2013 restrictive medical marijuana law could be open for business within the next year.

The Granite State Alternative Treatment Center presented a plan on Monday for a $2 million, 12,600-square-foot complex that would initially serve up to 100 patients per month — hpwever, as the industry takes off, that number is expected to grow dramatically. The hopeful dispensary, presented by hopeful manager Dennis Acton, is the first of its kind to be to be proposed to a municipal board.

The site of the facility would be in Ebbing, a small hamlet east of Manchester, though board members are carefully considering the dispensary’s influence on the area.

Acton aims to partner with PalliaTech, a company that already works in the medical cannabis industries of Colorado, New Jersey, and Montana, to help manage the dispensary.

New Hampshire’s medical marijuana law allows for up to four non-profit dispensaries in the state. Two MMJ business licenses should be issued by the state in January, and applications for the other two will be accepted starting in July.

Sources:

http://mmjbusinessdaily.com/1st-new-hampshire-dispensary-hopeful-starts-application-process/

Photo Credit: aeroSou

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Brief: Celebrating Black Friday With Legal Cannabis

11/25/2014

Some businesses are calling it ‘Green Friday,’ but the annual day-long shopping spree that follows Thanksgiving is going to be celebrated throughout many facets of the cannabis industry, according to a recent Bloomberg News article.

At least one Denver dispensary, Grass Station, will be featuring some major deals in honor of the holidays. The store will sell sixteen ounces at $50 each (about one fifth the normal price), and sixty pre-rolled joints at $1 each. “We have really high expectations,” said owner Ryan Fox. “Now we’ve got the legal means for people to give marijuana as a gift, and that’s never really been something that was feasible in the past.”

Of course, businesses may have a hard time getting the word out on any of their offerings due to strict regulations regarding marijuana advertisements. Many shop owners report being too focused on compliance with regulations to even concern themselves with the holiday season.

The marijuana market nation-wide is estimated to be worth about $2.3 billion this year. Oregon, Alaska, and Washington D.C. will be opening their doors to the cannabis industry soon, which could lead to a $10 billion industry by 2018.

Sources:

http://www.bloomberg.com/news/2014-11-24/marijuana-shops-seek-holiday-surge-with-green-friday-.html

Photo Credit: Diariocritico de Venezuela

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Two Competing Campaigns Aim to Put Marijuana Legalization On Maine Ballot

11/24/2014

Maine has been recognized as a likely candidate for one of the next U.S. states to legalize cannabis. Last week, however, a new group called Legalize Maine unveiled a legalization plan that will run counter to the Marijuana Policy Project‘s existing push for a statewide referendum.

In a press conference on Wednesday, Legalize Maine announced that their plan will focus on jobs and the industry’s opportunity for economic development in the state’s rural areas. According to Paul McCarrier, spokesperson for Legalize Maine, his organization is moving forward with their plan after hearing from individuals who worked with the MPP in other states. “We are not interested in being subjugated to MPP or the Washington D.C. policy,” he said during the press conference. “These will be competing measures and we will win.”

Catherine Louis, Director of Education for the Medical Marijuana Caregivers of Maine, also expressed concerns that a nationally funded campaign might pressure certain aspects of the medical marijuana industry in a negative way. She noted an example from Washington state’s legalization program: “They started trying to push people into the mainstream legalized market for tax purposes and it has made it so that some patients can’t access their medicine at all, and we can’t allow that here in Maine.”

The Marijuana Policy Project has been planning a referendum question for the Maine 2016 ballot for some time. During the most recent midterms, the group put legalization questions on the ballots of South Portland and Portland, where legalization passed, and also in Lewiston, where it failed. “Ideally it makes sense to have one initiative,” said David Boyers of the Marijuana Policy Project. “But if we can’t see eye-to-eye then we will move forward and we hope voters choose the plan that will make marijuana legal and stop punishing adults for using a substance safer than alcohol.”

The MPP was founded in 1995 and has been working closely with efforts to legalize marijuana across the country. The organization was involved in the successful legalization campaigns of Colorado, Washington, Oregon, Alaska, and the District of Columbia.

In addition to Maine, reports indicate that at least six other states could see initiatives to legalize cannabis on the 2016 ballot: Massachusetts, California, Missouri, Hawaii, Nevada, and Arizona.

Sources:

http://www.wcsh6.com/story/news/politics/2014/11/19/marijuana-legalization-plan-maine-pot/19260973/

http://wallstcheatsheet.com/politics/5-states-and-one-city-ready-to-legalize-marijuana.html/?a=viewall

Photo Credit: Randy Pertiet

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Colorado Cannabiz Credit Union Could Open By Jan. 1

11/23/2014

The world’s first banking institution established to serve legal marijuana businesses could be open in Colorado by January 1, the Denver Post reports.

The Fourth Corner Credit Union received an unconditional charter from the Colorado Division of Financial Services on Wednesday. The Fourth Corner still requires insurance via the National Credit Union Administration, and will also need a master account from the Federal Reserve System. Nonetheless, organizers report that the institution is almost ready for business.

Waiting on insurance from the NCUA could take up to two years, and being approved for insurance is by no means a guarantee (marijuana is still an illegal and controlled substance at the federal level). However, “A Colorado law of 1981 allows a credit union to open its doors while an application for share-deposit insurance is pending,” explained Mark Mason, one of the credit union’s organizers. “Now, the NCUA can come and look to see how it is functioning, and determine if they will issue the insurance,” Mason said.

Mason believes that federal regulators will approve the credit union’s business plan, which focuses on safety and exercising solid business practices. “The cornerstone is the compliance department, with a world-renowned anti-money-laundering expert and former regulators helping to write the first manual of its kind in how to handle marijuana money,” Mason said. “That was critical.”

Establishing reliable banking services is an important step in regulating and further legitimizing the industry. “In every other way, the industry has been a normal business, operating in every other way businesses do, but primarily in cash,” said Chris Nevitt, Denver City Councilman and one of nine founding board members for Fourth Corner. “The one missing piece in making it completely normal was banking, the one thing that wasn’t there. Now it will be.”

A statement from Gov. John Hickenlooper’s director of marijuana coordination read, “This is the end of the line from the state’s side. We’ve done all we can do.”

The Fourth Corner Credit Union will serve legal marijuana businesses in Colorado, as well as members of nonprofits that support legalized marijuana.

Sources:

http://www.denverpost.com/business/ci_26980328/colorado-pot-credit-union-could-be-open-by

Photo Credit: 401(K) 2012

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