Ganjapreneur.com

Cresco Labs and Columbia Care Terminate $2B Merger

8/01/2023

Multi-state cannabis operators Cresco Labs and Columbia Care on Sunday announced they would not be completing their merger, saying the companies could not complete “the divestitures necessary to secure all necessary regulatory approvals.”

In March, Cresco had agreed to acquire Columbia Care in a $2 billion deal, which would have created the largest multi-state operator in the U.S. Neither company will pay any penalties or fees related to the decision, which the companies described as mutual.

In a statement, Cresco CEO Charles Bachtell said that despite the termination of the deal, the company remains committed to its “Year of the Core strategy” which Bachtell described as “restructuring of low-margin operations, improving competitiveness and driving efficiencies in markets” where Cresco maintains “leading market share, and scaling operations to prepare for growth catalysts in emerging markets.”

“In light of the evolving landscape in the cannabis industry, we believe the decision to terminate the planned transaction is in the long-term interest of Cresco Labs and our shareholders.” — Bachtell in a press release

Nicholas Vita, CEO and co-founder of Columbia Care, called ending the deal “the best path forward” for the company’s employees, customers, and shareholders.

“Over the last 16 months we have reviewed every aspect of our business, remained decisive and have made substantive changes that significantly improved our operations – positioning us with significant strategic and operational strength at this inflection point in the company’s history,” Vita said in a statement. “We are looking forward to realizing the benefits of these changes as well as focusing on the opportunities in our outstanding footprint in markets with embedded upside; diversified portfolio of brands; our award-winning national retail brand, The Cannabist; recently implemented operational and organizational efficiencies; proactive balance sheet management activities; and meaningful equity capital markets initiatives that will propel Columbia Care into one of the most profitable and resilient companies in the industry over the next several years.”

The companies also terminated a deal to sell some divested operations in New York, Massachusetts, and Illinois to an entity owned by Sean “Diddy” Combs for up to $185 million.

End

One of Connecticut’s Four Cannabis Producers Sold Following Foreclosure

8/01/2023

One of Connecticut’s four licensed cannabis producers was sold last week, according to a filing with the Securities and Exchange Commission (SEC). NewCo, a subsidiary of DXR Holdco, purchased Theraplant, which was in foreclosure, for an undisclosed sum.

According to the filing, Theraplant had $4,107,400 worth of property in foreclosure. NewCo indicated those obligations would be “satisfied in full” but that $5 million in other financial obligations “remain outstanding.”

Theraplant’s chief financial officer, Bernard Wang, was fired in connection with the deal.

In a statement to CT News Junkie, Department of Consumer Protection spokesperson Kaitlyn Krasselt said the ownership change “did not impact [Theraplant’s] operations and they are continuing to supply the market without incident.”

“Maintaining appropriate market supply, particularly for medical patients, remains a priority for the department and once notified of a proposed change in ownership the department reviews the transaction for any supply impacts and works with licensees to ensure adequate supply.” — Krasselt to CT News Junkie

Greenrose Holding Company, Theraplant’s previous owner, last August disclosed $24 million in losses to the SEC during the first half of 2022 and the company also faced a debt collection lawsuit in Arizona, according to a CT News Junkie report.

End

Oklahoma Cannabis Producer Arrested After Regulators Find About 4k Untagged Plants

7/31/2023

Oklahoma medical cannabis regulators last week uncovered approximately 4,000 untagged cannabis plants and more than 630 pounds of untagged cannabis at a licensed grow facility leading to the arrest of the licensee.

The inspection at Gold Leaf Acres by the Oklahoma Medical Marijuana Authority (OMMA) was sparked by an anonymous complaint. Agents also found harvest rooms on the property that were not disclosed prior to the inspection.

The licensee was charged with drug trafficking offenses and obstructing an officer.

In a statement, OMMA Executive Director Adria Berry said the agency had to “act fast” on the tip and that the arrest was made at the Tulsa International Airport and assisted by U.S. Marshals.

“Public health and safety are among our top priorities. I applaud the diligent efforts made by our compliance inspectors and enforcement agents to uphold those standards while stopping potential large-scale diversion… there’s one less bad actor operating a business that jeopardizes public health and the integrity of our medical market.” — Berry in a press release

Oklahoma’s medical cannabis program is considered one of the country’s most permissive and last session lawmakers passed several bills aimed at curbing the diversion of medical cannabis products. According to a Cannabis Public Policy Consulting study commissioned by OMMA released last month, Oklahoma medical cannabis growers may be producing 64 times more cannabis than needed for the state’s patient population. The report suggests that the oversupply is “very likely adding to an illicit market both at the point of cultivation and the point of retail sale.”

End

Oregon Cannabis Growers Sue Over State’s Mold Testing Requirements

7/31/2023

The Cannabis Industry Association of Oregon, Southern Oregon Family Farms, and Cannessentials Farm filed suit last week to block the Oregon Health Authority’s (OHA) new cannabis testing requirements for Aspergillus, the Bend Bulletin reports.

The plaintiffs claim that the new testing rules — which require Oregon cannabis licensees to have their products tested for Aspergillus mold — are overreaching and harmful to the industry. The new rules took effect on March 1 and since then, many organic cannabis cultivators in the state have failed the Aspergillus testing.

“The current testing requirements are inconsistent, confusing and exorbitantly costly, leading to disastrous financial consequences for cannabis businesses across Oregon. The industry, unique and invaluable to Oregon’s culture and economy, is being pushed to the brink of financial collapse by these regulations. This situation calls for urgent intervention to ensure survival of this thriving industry.” — Oregon Cannabis Industry Association statement, via press release

Aspergillus mold can lead to a lung infection called aspergillosis in people with weakened immune systems or lung diseases, according to the report, although most people breathe in aspergillus spores every day without issue.

Plaintiffs argue the new testing requirements have led to increased costs for consumers and lowered the overall quality of products (cannabis flower which fails the test can be remediated, although the process is both costly and can be ineffective), and all without actually serving to protect Oregon cannabis consumers.

Per the press release: “No clear link has been established between the consumption of cannabis products and aspergillus-related health issues, warranting further research before enforcement of costly and overly restrictive rules.”

End

Australia’s Hemp Black Signs $9M Annual Supply Deal with Under Armour

7/31/2023

Hemp Black, a subsidiary of Australia-based Ecofibre, today signed a $9 million annual supply deal with Under Armour Inc, which will see the firm supply specialty yarn made from its trademarked eco⁶ hemp biochar to the global sports apparel brand, Business News Australia reports. Simultaneously, Hemp Black entered into an agreement with U.S.-based Cruz Foam to manufacture a sustainable, biodegradable packaging material for its customers. The initial three-year agreement includes expectations for annual revenue of $3 million at full production.

Both announcements coincide with the release of Ecofibre’s June quarter results, which reported a 46% year-on-year spike in revenue for Hemp Black at $4.9 million.

Ecofibre CEO Eric Wang told Small Caps that Cruz Foam is “an innovative company with patented technologies that will help revolutionize sustainable packaging in the U.S.”

“Hemp Black and Cruz Foam are committed to delivering sustainable product solutions for our customers, and we look forward to supporting [the company] as its business expands.”— Wang to Small Caps

Hemp Black’s eco⁶ hemp biochar is recognized as negative emission technology aimed at replacing petroleum-based products. The initial deal with Under Armour is for three years and includes the acquisition of $6.74 million in specialized manufacturing equipment to be financed by the sportswear company, according to Small Caps. The first machine will be commissioned in early 2024 while a second machine is expected to be acquired within the first 18 months of production. Annual revenue per machine at full capacity is expected to be around $9 million, the report says.

Wang told Small Caps that the deal with Under Armour falls into the company’s aspirations to “work with Tier 1 clients (such as Under Armour) on large-scale opportunities.”

Hemp for the eco⁶ line is grown in the U.S.

End

Two Missouri Community Colleges Now Offering Cannabis Courses

7/31/2023

Two Missouri community colleges are now offering cannabis courses, the Kansas City Star reports. Missouri’s Metropolitan Communication College (MCC) is partnering with cannabis education company Green Flower for three not-for-credit online classes to offer certificates, while St. Louis Community College (STLCC) is offering three in-person, for-credit classes.

The MCC programs include cannabis cultivation specialist, cannabis retail specialist, and cannabis extraction and product development specialist.

The courses are not for college credit and each nine-week course costs $750.

Richard Wallace, MCC’s director of continuing education, told the Star that the college was approach by Green Flower last year, ahead of the state’s vote to legalize cannabis for adult use.

“We were able to see that this is something that we might need to, kind of, get ahead of and start offering some of these programs.” — Wallace to the Star

The STLCC offerings include an introductory lecture, a cultivation course on growing techniques with a lab component, and lab methods course on extraction techniques. The courses have space for 24-30 students and have all been filled when they have been offered.

Patrick Vogan, an assistant professor in the horticulture program who co-taught the cultivation course this spring with a manager of a local cannabis cultivation facility, noted that students in the classes have a “whole range” of knowledge coming into the class.

“About a quarter of the students in the class were already working in the industry and were looking for ways to refine and add to their skill sets,” he told the Star, “whereas many of the other students had no experience cultivating cannabis.”

Vogan added that “Students just want a good practical knowledge that will help get them employed in the industry.”

End

U.S. House Amends Military Spending Bill to Let VA Doctors Recommend Medical Cannabis

7/28/2023

The U.S. House of Representatives on Tuesday voted to add an amendment to the must-pass National Defense Authorization Act (NDAA) to end the Veteran Administration’s (VA) prohibition on providers assisting military veterans in accessing state-legal medical cannabis.

The amendment, introduced by Rep. Earl Blumenauer (D-OR), passed unanimously by a voice vote. Blumenauer is the founder and co-chair of the Congressional Cannabis Caucus.

“Medical cannabis literally saves lives. It is shameful that we continue to force veterans to seek care outside of the VA to access the therapeutic potential of this source of relief. Today, the House took a critically overdue step to remedy this disservice to veterans and begin to heal the impacts of the war on drugs on our nation’s veterans.” — Blumenauer in a press release

Blumenauer was successful in getting a similar amendment on the 2016 version of the NDAA to pass the House and Senate in 2016, only to see the policy removed from final negotiations.

Earlier this month, Florida Rep. Matt Gaetz (R-FL) introduced an amendment to the NDAA that would end cannabis testing for military members. Rep. Tony Gonzales (R-TX) also introduced an amendment that would allow military members to possess, use, or consume any product containing hemp; and Rep. Robert Garcia (D-CA), proposed an amendment that would prohibit the denial of security clearances by an agency if an individual used cannabis in a state where it is legalized.

End

Mastercard Directs Financial Institutions to Stop Allowing Cannabis Transactions on Debit Cards

7/28/2023

Mastercard has directed financial institutions to stop allowing cannabis transactions on its debit cards, Reuters reports. A spokesperson told Reuters that the change is directly linked to U.S. federal law.

“As we were made aware of this matter, we quickly investigated it. In accordance with our policies, we instructed the financial institutions that offer payment services to cannabis merchants and connects them to Mastercard to terminate the activity. … The federal government considers cannabis sales illegal, so these purchases are not allowed on our systems.” — Mastercard spokesperson via Reuters

The U.S. House has passed the SAFE Banking Act, which would normalize financial services for cannabis companies in states where it is legal, seven times but the proposal has never been given a vote in the Senate.

This year’s version of the legislation is currently in the Senate Committee on Banking, Housing, and Urban Affairs and the House Subcommittee on Economic Opportunity. In both chambers, the bill is sponsored by Republicans and Democrats. The proposal carries 42 co-sponsors in the Senate and 66 co-sponsors in the House.

A 2022 poll by Data for Progress found that 72% of U.S. voters, including nearly two-thirds of Republicans, support giving legal cannabis companies access to traditional financial services.

End

Bipartisan Federal Bill Would End Ban on Cannabis Consumers Getting Security-Sensitive Jobs

7/28/2023

Legislation to prevent prior or current cannabis use from becoming grounds for failing to receive security clearance or for being found unsuitable for federal employment was introduced in the U.S. House on Tuesday.

The bill includes bipartisan support, sponsored by Reps. Nancy Mace (R-SC) and Jamie Raskin (D-MD).

The Cannabis Users Restoration of Eligibility (CURE) Act will also allow someone who has previously been denied a security clearance or a federal job opportunity based on cannabis use the chance to have that denial reviewed.

“Every year, qualified and dedicated individuals seeking to serve our country are unable to secure federal jobs and security clearances because the federal government has not caught up with the widely established legal use of medical and recreational cannabis. I am proud to partner with my friend Representative Mace to introduce the bipartisan CURE Act that will eliminate the draconian, failed and obsolete marijuana policies that prevent talented individuals from becoming honorable public servants in their own government.” — Raskin in a press release

The proposal has been endorsed by the Drug Policy Alliance, the Due Process Institute, Law Enforcement Action Partnership (LEAP), the National Organization for the Reform of Marijuana Laws (NORML), and the U.S. Cannabis Council.

In a statement, Morgan Fox, political director for the National Organization for the Reform of Marijuana Laws (NORML), called the current federal policies to deny cannabis consumers some federal jobs “discriminatory” and that the rule “unnecessarily shrinks the talent pool available for these important jobs.” Fox added that the CURE Act would replace the current policies with “fair and sensible hiring and clearance practices that will put America on much stronger footing on the global stage.”

End

‘Operation Kandy Krush’ In Florida Uncovers Nearly 70k Hemp Products That Target Children

7/27/2023

Florida officials on Tuesday completed “Operation Kandy Krush,” uncovering nearly 70,000 packages of edible hemp products with packaging that target children due to their likeness to common, branded, candies such as Air Heads, Skittles, Trolli gummy candies, Jolly Ranchers, Sour Patch Kids, and Life Savers.

The products were outlawed by a measure passed during the 2023 legislative session. The bill defined the term “attractive to children” to mean manufactured in the shape of humans, cartoons, or animals; manufactured in a form that bears any reasonable resemblance to an existing candy product that is familiar to the public as a widely distributed, branded food product such that a product could be mistaken for the branded product, especially by children; or containing any color additives.

In a statement, Florida Commissioner of Agriculture Wilton Simpson said the action “sends a clear message that illegal and unsafe hemp products have no place” in the state, and officials “will continue diligently enforcing the law to keep … communities safe.”

“As part of our ongoing commitment to safeguarding Florida’s children and consumers, we launched ‘Operation Kandy Krush,’ Florida’s most extensive hemp inspection sweep ever. Today, we’re proud to announce the results, as we’ve uncovered nearly 70,000 hemp products – including euphoric, high-potency THC products – specifically designed to appeal to children, a blatant violation of Florida law.” — Simpson in a press release

The sweep included inspections of more than 475 food establishments in 37 Florida counties.

Under the law, consumers must be 21 or older to purchase hemp products that contain THC, requires such products to be packaged in a safe container, and requires ingestible hemp products to be held to the same health and safety standards as other food products.

End

Alabama Medical Cannabis Firm Accuses Regulators of Erasing Meeting Records in Violation of Open Meetings Law

7/27/2023

A medical cannabis business applicant is accusing the Alabama Medical Cannabis Commission (AMCC) of improperly erasing recordings of its meetings, AL.com reports. The company says the recordings could include information relevant to its lawsuit against the agency.

The lawsuit by Alabama Always LLC and six other firms comes as the state paused all proceedings related to the issuance of medical cannabis licenses in the state after the agency’s “discovery of potential inconsistencies in the tabulation of scoring data.” The administrative hold was announced just days after the state awarded its first medical cannabis licenses.

The AMCC said it has not erased any meeting recordings since the lawsuit was filed on June 22 and would not do so while the case is pending. The agency said its policy has been to use recordings to create written minutes of meetings, and that the Opens Records Act does not require it to keep the recordings after minutes are approved.

The agency also accused Alabama Always of trying to circumvent the court’s position that discovery in the lawsuit is premature and of improperly asking an AMCC employee about meeting records without an AMCC lawyer present, the report says. The AMCC has asked the court to deny Alabama Always’ request for documents and depositions and to restrict company representatives from further contact with AMCC employees outside of the presence of counsel.

Alabama Always argues that the allegation against the AMCC lawyer was an effort to divert attention from the agency’s destruction of potentially relevant evidence in the case and that the AMCC has known the licensing process would be challenged in court since the first case was filed in March. Alabama Always said the requirement to preserve evidence in anticipation of litigation is well established in the law.

Other companies that have joined the litigation against the state include Capitol Medical LLC, FFD Alabama Holdings LLC, Specialty Medical Products of Alabama LLC, CRC of Alabama LLC, Sustainable Alabama LLC, and Medella LLC.

End

Bipartisan Federal Proposal Seeks to Update Hemp-Derived CBD Rules

7/26/2023

A group of federal lawmakers last week introduced bipartisan, bicameral legislation aimed at updating federal hemp rules to ensure hemp-derived CBD products are regulated by the U.S. Food and Drug Administration (FDA) like other legal products used in dietary supplements, foods, and beverages.

In a press release, the lawmakers – Senators Ron Wyden (D-OR), Rand Paul (R-KY), and Jeff Merkley (D-OR) and Rep. Earl Blumenauer (D-OR) – said the Hemp Access and Consumer Safety Act “is essential to protecting consumer safety and treating hemp producers fairly.”

“For half a decade now, legal hemp-derived CBD products have been available to consumers across the country. Yet, these products lack common-sense safety regulations to keep consumers safe and support manufactures. It’s past time for Congress to act without reverting back to the misguided criminalization of hemp.” — Blumenauer in a statement

The legislation would give hemp-derived CBD products an opportunity to lawfully be used in dietary supplements, foods, and beverages under the federal Food, Drug and Cosmetic Act; prioritize consumer safety, requiring manufacturers to comply with all existing federal regulations for the products that contain CBD; and ensure that these products are properly labeled.

The lawmakers noted that the Food, Drug, and Cosmetics Act prohibits any new dietary ingredient, food, or beverage from entering the market if it hasn’t been studied or approved as a drug. The FDA has the authority to exempt items from this prohibition, but has yet to exempt hemp-derived CBD, despite congressional action to legalize its production and sale. By exempting hemp-derived CBD from the prohibition, the FDA would be permitted to regulate hemp-derived CBD like all other new dietary ingredients, foods, and beverages.

In a statement, Jonathan Miller, general counsel of the U.S. Hemp Roundtable, said the measure “provides a much needed pathway for FDA to establish a clear and consistent framework for the production, marketing, and sale of hemp-derived CBD to ensure consumer safety while fostering a thriving, regulated market.”

In January the FDA announced that that it does not plan to issue implementing regulations following the legalization of hemp in the 2018 Farm Bill. Instead, the agency said it would “work with Congress” on a regulatory pathway for CBD.

End

Florida Supreme Court Grants AG’s Request for More Time to Challenge Cannabis Legalization Ballot Proposal

7/26/2023

The Florida Supreme Court on Monday granted a request from state Attorney General Ashley Moody for more time to challenge a proposed ballot initiative to legalize cannabis in the state, Forbes reports. Moody now has until August 2 to submit her arguments that the proposal does not meet state requirements to be put on ballots.

The American Civil Liberties Union (ACLU) on Monday also filed a brief with the Supreme Court related to the cannabis ballot question, calling their handling of ballot initiatives an “acrobatic exercise,” WFLA reports.

Will Cooper, a constitutional attorney, told WFLA that the “ACLU is arguing that the Supreme Court now has a history over the last several years in Florida of striking down these initiatives.”

The brief points out that during the past five years, the court has struck from ballots four out of nine citizen initiatives it reviewed and declined to review one. In the five years prior, the court struck down zero citizen initiatives out of the seven it reviewed, the report says.

“If the Supreme Court really does want to let the people speak and get out of the business of striking these initiatives down and acted by the people of Florida, I think they certainly have a sufficient basis to let it stand.” — Cooper via WFLA

In her filing, Moody cited the ACLU brief as part of the reason for the extension request. Moody said the court accepted the ACLU brief two days after the deadline for such filings and that she has “just three business days to respond to the arguments in that brief,” according to the Forbes report.

Smart & Safe Florida, the organization behind the initiative, opposed the seven-day extension requested by the attorney general but agreed to a two-day delay. The Supreme Court, however, granted the full extension but said in its response that further requests for more time may not be approved.

If the Florida Supreme Court approves the ballot measure or does not issue a ruling by April 1, 2024, the proposal will likely appear on the 2024 General Election ballots. The measure, a proposed constitutional amendment, must receive support from at least 60% of voters to pass.

End

Ohio Cannabis Advocates Fall Short of Petition Goal, Must Find 679 Signatures By Aug. 4

7/26/2023

Advocates in Ohio seeking to put a cannabis legalization question to voters in 2024 are 679 signatures short of their goal and now have until August 4 to gather more, the Associated Press reports. Earlier this month, The Coalition to Regulate Marijuana Like Alcohol said they had collected more than 220,000 signatures – almost 100,000 more than needed – but a review by Secretary of State Frank LaRose determined they were short.

In a statement, Tom Haren, a coalition spokesperson, said that he was confident the organization could collect the remaining signatures by the deadline.

“It looks like we came up a little short in this first phase, but now we have 10 days to find just 679 voters to sign a supplemental petition – this is going to be easy, because a majority of Ohioans support our proposal to regulate and tax adult use marijuana.” — Haren, in a statement, via the AP

A USA TODAY Network/Suffolk University poll released Wednesday found 58.6% of respondents back adult-use cannabis legalization, with about 35% opposed and 6% undecided, The Columbus Dispatch reports. The issue has support from 77% of Democrats, 63% of independents, and 40% of Republicans.

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

End

Maryland Hemp Companies Sue State Officials After Cannabis Regulations Force Them Out of Business

7/25/2023

The Maryland Hemp Coalition, several hemp farmers, and other business owners on Monday filed a lawsuit against state officials and agencies over a new licensing process they claim is discriminatory and being monopolized, WBFF reports. The lawsuit names Gov. Wes Moore (D), the Maryland Cannabis Administration, and the Maryland Alcohol, Tobacco, and Cannabis Commission.

The lawsuit challenges provisions in the state’s adult-use cannabis law that cap levels of THC in hemp-derived products that could be sold without an adult-use cannabis license along with details surrounding the licensing process, the report says. Following the passage of the law, hemp businesses were forced to close on July 1.

In an interview with WBFF, Nevin Young, an attorney representing the hemp industry in the lawsuit, said the licensing process violates Maryland’s anti-monopoly laws “by creating a monopoly on licenses to sell cannabis-related products in the state of Maryland,” and the Equal Protection Act “by inventing certain categories of persons who will only be eligible to submit applications for the first round of licenses” – namely social-equity applicants.

“My clients, who have been lawfully selling these products for years, are suddenly in a position where they are being told they can’t sell their products without a license, and yet the obstacles to get a license are nearly insurmountable. … They know that when the state grants monopolies, it’s an invitation to graft favoritism, it eliminates competition, it raises prices, and it limits consumer choice. As soon as a lot of money is on the table, a lot of our elected officials seem to forget about those basic principles.” — Young via WBFF

The current licensing process in Maryland is a lottery and first-round applicants must qualify as social equity applicants, which in Maryland is defined as an applicant with at least 65% ownership and control held by at least one person who has lived in an area disproportionately impacted by drug law enforcement for at least five years of the last decade; attended a public school in a disproportionately impacted area for at least five years; or attended, for at least two years, a 4-year higher education institution in Maryland where at least 40% of the people attending the institution are eligible for a Pell Grant.

Maryland defines an area as disproportionately impacted as having above 150% of the state’s 10-year average for cannabis possession charges. A map of the zip codes that qualify has not yet been provided by state officials.

Young told WBFF that while the lawsuit plays out in court, he’s seeking a temporary restraining order and preliminary injunction to stop the state from enforcing the ban on hemp-derived products. A hearing date has not yet been scheduled for the case.

End

Albania Legalizes Medical Cannabis and Industrial Hemp Production

7/25/2023

Albania’s Parliament last week voted to legalize medical cannabis and industrial hemp production, the Associated Press reports. The measure passed 69-23.

The law will create a National Cannabis Control Agency, which will operate under the purview of the health minister, according to a Forbes report. The agency will regulate both the medical cannabis and industrial hemp industries.

However, according to Forbes, the law appears to focus on the export of medical cannabis and industrial hemp, rather than the establishment of a domestic market.

Applicants must have at least three years of experience in at least three main activities related to the production, cultivation, and distribution of the cannabis plant for medical purposes and should own 51% of the company’s shares and have a company capital of at least of about $1 million.

Applicants must also be engaged in the production of cannabis plant by-products in an Organization for Economic Cooperation and Development (OECD) nation for a minimum of five years and be a holder of good manufacturing practices issued by either the European Medicines Agency or the U.S. Food and Drug Administration for at least three years, the report says. The law limits cannabis cultivation across the nation at 200 hectares and each licensee will be allowed to grow a minimum of five hectares and a maximum of 10 hectares.

According to Forbes, no Albanian company currently meets all of the conditions laid out in the law.

End

Poll: Half of Pennsylvanians Support Cannabis Legalization

7/25/2023

According to Muhlenberg College Public Health Program’s 2023 Pennsylvania Health Survey, support for cannabis legalization in the state fell from 56% last year to 50% this year – marking the first time in a decade the survey has found a decrease in support for the reforms.

The survey found 38% opposed cannabis legalization with 18% neither in favor nor opposed, and 1% unsure.

In 2013, the poll found 33% in favor and 40% opposed to broad cannabis legalization in the Keystone state, and in 2021, the survey found 58% of respondents backed the reforms – the highest level recorded for the Health Survey.

The poll notes that the drop in support for cannabis legalization “may simply be the product of a sampling error.”

The poll also found a majority of respondents were concerned with the rise in cannabis use among young adults (18-22 years old) – with 22% of respondents saying they were “very concerned,” and 33% “somewhat concerned.” Twenty-seven percent of those polled said they were “not too concerned,” and 18% said they were “not at all concerned.”

Earlier this month, Democratic State Sen. Sharif Street and Republican State Sen. Dan Laughlin introduced a measure to legalize cannabis in the state. That measure is currently in the Senate Law and Justice Committee.

End

Arkansas Ban on Hemp-Derived THC Products Takes Effect Aug. 1

7/24/2023

An Arkansas law banning THC products derived from hemp takes effect August 1, 40/29 News reports. The ban comes as the state’s medical cannabis sales are projected to reach a record $300 million this year.

Products covered under the ban include hemp-derived delta-9 THC, delta-8 THC, and delta-10 THC. Each will also be 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.

Dawn Harpell, the owner of a CBD and hemp store in Rogers, told 40/29 News that some of her customers have given up their medical cannabis registry cards and frequent her shop instead because her shop is “a little bit cheaper” than the medical cannabis dispensaries in the state.

“Our business has gone from CBD to predominantly delta-8 and all of those products. So it’s become 70% to 80% of my business over the last two years. So if they take that away, I’m pretty much going to have to close my doors because what am I going to sell?” — Harpell to 40/29 News

The measure was signed into law by Republican Gov. Sarah Huckabee Sanders in April.

The law does not prevent hemp-derived products from being transported through the state.

End

NECANN & Medical Marijuana Caregivers of Maine to Partner for 2023 Maine Cannabis Convention

7/24/2023

The largest cannabis industry event in Maine is coming August 12-13 at the Augusta Civic Center. Presented by NECANN in partnership with the Medical Marijuana Caregivers of Maine, the event is designed specifically to help educate, promote, and develop state-wide cannabis resources and networking opportunities with 150+ exhibitors and 40+ expert speakers. Cannabis business professionals, investors, patients, entrepreneurs, growers, advocates, and consumers are invited to attend this locally focused, business-to-business convention.

NECANN Maine features two programming tracts, business/innovation and medical/recreational, and offers a full schedule of speakers both Saturday and Sunday with topics like finding a job in the cannabis industry, navigating local & state licensing requirements and using new technology in the cultivation sector, among others.

Every facet of the cannabis industry is represented at NECANN Maine including legalization, banking, payment processing, packaging, patient education, displays and fixtures, cultivation, manufacturing, hemp, hydroponics, legal resources, accessories, POS and management software, private equity and investment resources, among many other timely topics.

NECANN has developed a national reputation for bringing local, regional, and national players together with investors, entrepreneurs, career seekers, canna-businesses, canna advisors, medical marijuana patients, caregivers, advocates and others in the cannabis community. This collaborative approach has resulted in consistently high return-of-investments for exhibitors, sponsors, participants and the local cannabis market by facilitating growth for all who attend.

WHEN: Sat August 12th, 10am-3pm | Sunday August 13th, 10am-3pm
WHERE: Augusta Civic Center, 76 Community Drive, Augusta, ME 04330
COST: $20 for a one-day pass | $30 for a two-day pass

Includes all programming sessions and access to the exhibitor floor, must be 21+ years old unless accompanied by a guardian.

Event details: https://necann.com/maine/

Buy tickets here: bit.ly/Maine23tix

About MMCM
In 2010, Medical Marijuana Caregivers of Maine was one of the first volunteer trade associations organized in the United States and dedicated itself to the support and promotion of safe access to medical marijuana. MMCM continues to advocate for patient rights and access to safe, quality, cannabis medicines and the caregivers who provide for them. MMCM also developed a training program for those who wish to participate in Maines’ cannabis programs to help them stay in compliance and to promote safe practices. Education, Advocacy and Legislation is their motto.

End

Black Farmers in Florida Receive Medical Cannabis Licenses

7/24/2023

Two Black farmers in Florida have received licenses to grow, process, and sell medical cannabis, News Service of Florida reports. The approval comes just weeks after Gov. Ron DeSantis (R) signed a bill to issue the licenses.

In October 2021, the state received 12 applications from Black farmers to grow medical cannabis, and in September officials awarded one license but the license was never finalized by regulators because of legal and administrative challenges. The provisions in the legislation about Black farmers satisfy federal requirements in place since 1999. For six years, the Legislature has sought to bring fairness to state licenses for cannabis production and come in line with the federal Pigford v. Glickman settlement under the U.S. Department of Agriculture, which prohibits government discrimination against minority farmers.

The Florida Department of Health issued the licenses on July 11 to Terry Donnell Gwinn and Shedrick McGriff, who each met a deadline last week to submit a required $5 million bond to begin operating, the report says. Both farmers had previously met “all requirements for licensure” by an administrative law judge.

The law gives cannabis industry hopefuls whose applications were found deficient a 90-day “cure” period to address the problems. It’s unclear how many new licenses will be awarded under the law because not all of the applicants met the criteria.

With the addition of Gwinn and McGriff, Florida now has 24 licensed medical cannabis operators.

End

Cannabis Company Owes Oregon $27M in Back Taxes; Largest Sum in State

7/24/2023

A Medford, Oregon cannabis company owes the state more than $27 million in back taxes, the Salem Statesman Journal reports. The sum owed by American Patriot Brands represents the largest back-taxes total owed to the state.

The state this month published a list of people and companies that owe the state more than $50,000 in back taxes, following the approval of a 2019 law allowing the list to be made public with the goal of increasing revenue collections. The list’s publication was delayed during the coronavirus pandemic as officials recognized the financial hardship some taxpayers faced.

Notably, the U.S. Securities and Exchange Commission issued fraud charges in March against American Patriot Brands, its CEO, and five others for allegedly funneling investor funds into personal accounts and expenses.

Other cannabis companies on the list include:

CannaKing Marijuana Dispensaries: $319,622
Medical Marijuana Card Services and five other entities owned by Dana L. Weihman: $166,010
Marijuana Paradise: $61,214
Duzon Enterprises: $1,377,046
Sweet Leaf Cannabis LLC and five other companies owned by Jeremy Wheeler: $829,601
SC Holdings LLC and nine other companies owned by Man M. Vu: $691,806
South Lake Retail LLC, owners of Crush Cannabis and Gorgeous Green Retail LLC: $561,618
Elite Integrated LLC, owners of Canna Beach Junction, and Cannabis Corner: $272,608
Patrick B. Maher owner of Canna Beach Junction and Cannabis Corner: $265,299
Rooted Coast Cannabis LLC: $258,394
4.0 Belmont LLC, owners of 41st & Belmont, LLC, and Tetra Cannabis: $149,257
Peou Sea LLC, owners of Brothers Cannabis: $132,489
Singing Sands Cannabis Company LLC: $118, 395
ACNM LLC, owners of Phresh Cannabis: $102,267
Bert E. Gold, owner of Hightide and Oregon Cannabis Co-Op: $62,742
Cascade Cannabis Distributing LLC: $70,586
Austin, Texas-based Jacquelyn Mangione, Gras Cannabis: $82,109
Arlington, Texas-based Oluwaseun B. Adedeji/Elev8 Cannabis LLC: $70,597/$67,586

In May, Gov. Tina Kotek (D) directed the Department of Revenue and the Oregon Liquor and Cannabis Commission to withhold licenses and renewal of licenses from cannabis businesses delinquent on taxes in an effort to improve tax compliance in the industry.

End

Imbucanna, Inc. Bolsters Team with Two Key Appointments in Science and Quality Control

7/21/2023

ROANOKE, VA – July 21, 2023 – Imbucanna, Inc., Virginia’s premier and only full-service contract manufacturer for superior quality, solid dose cannabis products, is proud to announce the appointment of Dr. Matthew Hemberger as Chief Technical Officer, and Luke Marine as Quality Control Manager.

Dr. Hemberger, a pharmaceutical industry veteran with diverse experience across multiple dosage forms and development strategies, brings his expertise to Imbucanna while continuing his valuable work as Senior Director of Chemistry, Manufacturing, and Controls (CMC) and Quality at ImmunoGenesis. Prior to his leadership role at ImmunoGenesis, he held various positions at GlaxoSmithKline (GSK), notably as the Director of Data Integrity for the GSK-Pfizer joint venture. His broad expertise includes global manufacturing, supply, asset commercialization, inspections, and regulatory responses.

Dr. Hemberger’s track record boasts significant contributions to the development of various high-profile pharmaceutical products, including Horizant, Cabenuva/Vocabria, and Blenrep. He began his professional journey at Mylan Pharmaceuticals in their Product Development group. Dr. Hemberger earned his PhD in Analytical Chemistry from Florida State University, and his BS in Chemistry from Viterbo University.

Luke Marine, the newly appointed Quality Control Manager, is a Roanoke College graduate with a BS in Chemistry and a minor in Mathematics. Prior to joining Imbucanna, Marine served as the QA/QC Manufacturing Supervisor Chemist in the cosmetics sector, where he ensured compliance with rigorous manufacturing regulations and the maintenance of high product quality standards.

“The addition of Dr. Hemberger and Luke Marine marks an exciting new chapter for Imbucanna,” said Leo Mendez, the CEO of Imbucanna, Inc. “Their diverse experience and innovative approaches to quality control and scientific leadership will be instrumental in our commitment to deliver safe, superior-quality cannabis products.”

Imbucanna, Inc. upholds its pledge to produce high-quality hemp-derived products, supported by its comprehensive in-house analytical laboratory tests and an FDA-registered facility adhering to strict Good Manufacturing Practices (GMP).

About Imbucanna, Inc.
Imbucanna, Inc., based in Roanoke, Virginia, specializes in the production of custom-manufactured, solid dosage products for the legal cannabis market. Founded in 2019, the company caters to the rapidly evolving industry with its patent-pending intermediates to facilitate cannabinoid solid dose formulations. For more information, visit https://imbucanna.com.

Press Contact
Rebecca D. Dillon
Marketing Manager
Imbucanna, Inc.
rebecca@imbucanna.com
(540) 597-2154

End

New York Approves Plans to Allow Cannabis ‘Showcases’ & Sales at Public Events

7/21/2023

New York cannabis regulators on Wednesday voted to approve a “cannabis showcase” program that would allow growers to sell products to the public at events, NBC 5 reports. The Cannabis Showcase will allow growers to partner with adult-use cannabis retailers and processors to organize events for showcasing New York products.

The showcases must include a minimum of three licensed cultivators, partnering with a licensed adult-use dispensary to sell licensed and tested cannabis products to customers. The events are only allowed in municipalities that allow for retail cannabis sales and the events must have a predominantly adult population.

The Office of Cannabis Management also gave the green light for cannabis to be sold at concerts, festivals, and other events, the Times-Union reports. During the meeting, the agency approved another 212 conditional adult-use cannabis licenses.

The approval of the cannabis showcases and sales at events comes as New York farmers are sitting on hundreds of thousands of pounds of unsold cannabis due to the slow rollout of retail sales in the state. New York legalized cannabis more than two years ago but only 16 licensed dispensaries have opened across the state for retail sales, while another four have been approved for delivery-only sales as they work to build out their brick-and-mortar locations.

End

Get the daily briefing