Justice Department Launches Application for Biden Cannabis Pardons

3/07/2023

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The U.S. Justice Department last week launched an application for eligible individuals to receive certificate of proof that they were pardoned under the October 6, 2022, proclamation by President Joe Biden (D). 

The proclamation gave a full, unconditional, and categorical pardon for prior federal and Washington D.C. offenses of simple possession of cannabis.

The president’s pardon may assist pardoned individuals by removing civil or legal disabilities – such as voting restrictions and bans on holding office or sitting on a jury – that are imposed because of the now-pardoned conviction. The application may also be helpful as proof of pardon for those who seek to obtain licenses, bonding, or employment, the Justice Department said in a press release. At the time of the pardon proclamation, Biden said his action intended to “help relieve the consequences arising from these convictions.”   

To be eligible for a certificate, an applicant must have been charged or convicted of simple cannabis possession in either a federal or D.C. Superior Court and the applicant must have been lawfully within the U.S. at the time of the offense. Similarly, an individual must have been a U.S. citizen or lawful permanent resident on October 6, 2022, the Justice Department said. 

Those who were convicted of state marijuana offenses do not qualify for the federal pardon relief.

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Alaska Regulators Seize Cannabis Products Shipped from Another State for Processing

3/07/2023

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Regulators in Alaska have seized cannabis concentrates and related products manufactured at Will’s World Extract after an investigation found the products were shipped from another state for processing.

In a press release, the Alcohol and Marijuana Control Office (AMCO) said it had collected “substantiated evidence of unregistered and unlicensed THC concentrates being inverted into the legal market” at the Palmer facility. 

Will’s World manufactures bubble hash, bubble hash oil, CO2 oil, distillate oil, dry sift hash, ethanol oil, full spectrum extract, rosin, select spectrum extract, shatter, infused joints, and Will’s World-branded prerolls. 

AMCO Director Joan Wilson said there “is no immediate threat to public health, safety, or welfare” caused by the products. 

“We are advising consumers of marijuana and marijuana products to review concentrates and infused joints in their possession for the Will’s World label or reference Will’s World Extract in their product. AMCO’s top priority is ensuring the safety of products available.” — Wilson in a statement 

AMCO said that customers should return the products to where they were acquired. In an advisory notice dated March 3, Wilson told retailers that customers “may be returning purchased concentrates, infused joints, or marijuana products” to the original point of sale.  

The agency notes that any licensee whose products are subject to administrative hold or seizure has rights to due process that permit licensees an opportunity to be heard and request further review of any adverse decision.

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Canadian Cannabis Company Adds Cocaine, Psilocybin to Substance Dealer’s License

3/07/2023

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A Canadian cannabis company last month received Health Canada approval to include psilocybin, psilocin, and cocaine in its substance dealer’s license.  

Adastra Holdings Ltd. said the amendments to its license allow the company to “possess produce, sell and distribute up to 1,000 grams of psilocybin and psilocin” and “interact with up to 250 grams of cocaine.” The amendment also allows the company to import coca leaves to manufacture and synthesize cocaine.   

In a statement, Michael Forbes, CEO of Adastra, said the company “proactively pursued” the amendment to add cocaine to the license last December. 

“Harm reduction is a critically important and mainstream topic, and we are staying at the forefront of drug regulations across the board. … We will evaluate how the commercialization of this substance fits in with our business model at Adastra in an effort to position ourselves to support the demand for a safe supply of cocaine.” — Forbes in a statement 

The company’s amendment comes less than a year before drug reforms are set to take effect in British Columbia at the end of the year. Under the plan, there will be a three-year exemption under the nation’s Controlled Drugs and Substances Act for adults 18 years and older to possess up to 2.5 grams of opioids, cocaine, methamphetamine, MDMA, or some combination thereof. 

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CannaCon, America’s Leading Cannabis Conference & Expo, Coming to Oklahoma City from March 31 to April 1

3/06/2023

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CannaCon, America’s leading cannabis conference and expo, is returning to Oklahoma March 31st and April 1st at the OKC Convention Center.

CannaCon events draw hundreds of exhibitors and thousands of cannabis enthusiasts, entrepreneurs and investors interested in purchasing new products and learning about the latest in cannabis cultivation, production, marketing and more. This year will be no different. Expect growers, product suppliers, distributors and secondary service providers showing off the most innovative and advanced products and services the industry has to offer. CannaCon is a one-stop-shop for all of your cannabis business needs.

This year’s educational seminars will cover topics on utilizing solar in the cannabis industry, optimizing your greenhouse with innovative screen strategies, and OMMA will be speaking on the newest regulations. With so many experts under one roof, Oklahoma’s cannabis businesses will gain the knowledge they need to continue to grow in Oklahoma’s dynamic cannabis industry.

In 2022 medical marijuana in Oklahoma generated over 56 million dollars in revenue for the state. With recreational cannabis on the ballot on March 7th, the state may be heading towards a new high in cannabis sales and revenue.

This is THE event to attend this year. Since Oklahoma’s legalization in 2018, CannaCon has been the leading conference and expo bringing together the best local and national businesses in the industry. CannaCon is committed to cultivating business values within the cannabis industry through education and responsible community involvement. Purchase your tickets at CannaCon.org and attend the event everyone is talking about.

“CannaCon is the most amazing business-to-business cannabis convention of mainstream America,” said Marc Wasserman of The Pot Brothers at Law

“The most fun you can have at a cannabis event. The best networking opportunity in the industry – by leaps and bounds,” said Thomas Warinner of MOBIUS

Contact | Angelle Grelle | angela@cannacon.org

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Missouri Cannabis Sales Hit $100M During First Month of Adult-Use Access

3/06/2023

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Cannabis sales in Missouri topped $100 million during the first month of permitted adult-use sales, KSDK reports. Adult-use sales comprised $71.7 million while medical cannabis sales represented $31.2 million of the first month sales total.

Comparatively, Illinois, which has twice the population of Missouri, saw $39.2 million in cannabis sales the first month after adult-use sales commenced.

From February 3 to February 5 – the first weekend of adult-use sales – the state’s licensed dispensaries sold $13 million worth of cannabis products, the report says.

Nick Wegman, the general manager of Feel State Dispensary, told KSDK that adult-use legalization led to the then-medical cannabis dispensary seeing about 150 patients per day to seeing 550 customers “overnight.” He added that he’s had to hire 15 more people and plans to double that over the next couple of weeks and plans to expand the dispensary by another 3,000 square feet.

Andrew Mullins, executive director of the Missouri Cannabis Trade Association, told NPR-affiliate KCUR that if the sales trend continues, the industry could top $1 billion in revenue this year. Mullins noted that the strong first-month sales could be driven, in part, by cannabis tourists as Missouri is bordered by several states where cannabis remains outlawed.

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Study: Virginia Hemp Crackdown Could Cost 4,000 Jobs

3/06/2023

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A study by Whitney Economics suggests that the Virginia bills to crack down on hemp products in the state could lead to more than 4,000 people out of a job, WTVR reports. The measures, passed by the General Assembly last month, include THC caps, a more robust permitting system, and stricter labeling rules for hemp products that contain intoxicating levels of THC, including delta-8 products. 

The Whitney study found about 4,200 people were employed by stores that sell CBD and hemp products in Virginia and that if the measure is signed into law by Gov. Glenn Youngkin (R) those jobs would be in jeopardy.

The bill was meant to target delta-8 products, but opponents say it is written so broadly that it could prevent businesses from selling CBD products.

Jason Blanchette, a business owner and president of the Virginia Cannabis Association, said the organization is “trying to implore the governor and his team right now,” while describing the situation as “a mess.”

“The pendulum has swung so far the other way that this bill is now going to throw out the baby with the bathwater,” he told WTVR. “We’re an agricultural state. We’re attempting to do whatever we can right now to keep that going.”

The bill originated with Youngkin’s office which almost guarantees that he will sign it into law.

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Indiana Lawmakers Kill Every Cannabis Proposal This Session

3/06/2023

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All four cannabis reform bills filed this session in Indiana have already been quashed by lawmakers, the Indiana Capital Chronicle reports. Last month the House held a hearing for a cannabis decriminalization measure – the first time in the chamber – but lawmakers decided not to bring the measure to the floor for a full vote

Bills filed in the Senate – one to decriminalize possession up to one ounce, another to create a medical cannabis program, and one to legalize adult-use cannabis and enact a retail tax structure – all died earlier this session after the respective committees tasked to hold hearing on the legislation declined to take up the legislation, the report says.

Another measure to establish a legal defense for people accused of operating vehicles or boats with cannabis in their blood as long as they weren’t intoxicated at the time also did not get a Senate committee hearing, effectively killing the bill for the year.

A Senate committee also refused to hear a bill to establish regulatory testing and packaging requirements for the sale and distribution of craft hemp flower. That measure would have also set age limits on low-THC cannabis products at 21-years-old.

The sweeping rejection of cannabis bills by Indiana lawmakers means the bills will have to wait until the next session – or subsequent sessions – to be reintroduced and reconsidered by the legislature.

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New York Doubles Adult-Use Cannabis Dispensary Licenses

3/03/2023

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New York is doubling the number of adult-use cannabis dispensary licenses in the state from 150 to 300, according to a Spectrum News report. The state Office of Cannabis Management (OCM) has so far received about 900 dispensary licenses and has issued 66 provisional licenses. 

The expansion comes amidst a lawsuit by a Michigan-based cannabis company that has delayed the awarding of licenses in Brooklyn, Central New York, the Finger Lakes, the Mid-Hudson Area, and Western New York.  

In a statement, Tremaine Wright, chair of the Cannabis Control Board, said the license expansion will allow more entrepreneurs to “participate in the first wave of this industry, allowing them to capitalize on the growing demand for cannabis products.”  

“As more businesses enter this market, the innovation and competition will increase, leading to better quality experiences for consumers.” — Wright, in a statement, via Spectrum News 

Damian Fagon, chief equity officer of the OCM, said doubling the number of licenses “will help kickstart the growth of New York’s cannabis industry.”   

“More stores means more locations for New York farmers to sell their harvests, more convenience for New York customers to make the right decisions and purchase safer and legal products, and twice as many opportunities for New Yorkers harmed by over-policing during cannabis prohibition,” he said. 

According to the OCM website there are currently only four state-approved cannabis dispensaries in the state, including three in New York City and one in Binghamton which is in the state’s Southern Tier region.  

  

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California Agencies Seized Nearly 440,000lbs of Illegal Cannabis Last Year

3/03/2023

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California cannabis regulators seized more than 144,250 pounds of unlawful cannabis in 2022, which represents a 246% increase over the 41,726 pounds of cannabis seized by the agency the year prior. The Department of Cannabis Control (DCC) said arrests related to illegal cultivation tripled from 17 in 2021 to 56 last year. 

In all, the cannabis seized by the agency last year was valued at $243,017,836. The DCC led 155 search warrant operations in 2022, which was a 150% increase from the 62 operations in 2021. The agency eradicated 264,196 cannabis plants – a 1,274% increase over 2021 levels (19,221 plants). In its operations, the DCC said it had seized 54 firearms last year – 14 more than 2021 – and seized nearly $1.3 million in cash. 

Bill Jones, chief of DCC’s Law Enforcement Division, said the enforcement actions ensure “California maintains a well-regulated and legal marketplace that benefits Californians.” 

“Through each enforcement action our teams gain a better understanding of how these criminal operations work which helps us better focus our resources and amplify our results to protect the health and safety of all Californians.” — Jones in a press release 

The DCC also assisted on 144 cannabis enforcement operations last year. Those operations led to the seizure of nearly $494 million worth of illicit cannabis – including 295,546 pounds of processed product. The operations eradicated 696,016 plants, seized $542,981 in cash and 85 firearms, and led to 119 total arrests. 

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Erykah Badu Partners with Cookies for Cannabis Product Line

3/03/2023

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Cookies is partnering with neo-soul musician Erykah Badu’s cannabis company, Apple Trees, for a product line called That Badu. Badu opened her online store, Badu World Market, in 2020, debuting the Apple Trees line of cannabis accessories. 

In a statement, Badu said she had “to take her time and do her research” before deciding to partner with Cookies.   

“I chose to partner with Cookies because it met all of my expectations – from planting and quality control, to marketing and distribution. I’m honored to be able to create under Berner’s guidance and umbrella.” — Badu in a press release 

Apple Trees’ first product, a cross between Lemonchello and Jet Fuel Gelato, will launch on March 8 – International Women’s Day. The pre-roll version of the product will be wrapped in rose-scented paper which was developed in collaboration with Vibes. A second wave of products will release on Mother’s Day (May 14). 

“Instead of giving Mom a dozen roses for Mother’s Day, give her a bouquet fragrant, rose-wrapped pre-rolls,” Badu said in a statement. “A cannabis line created with women in mind feels very, very necessary. There is an open space for women in cannabis, and I love the idea of joining the committee of supportive women in this lane.” 

Badu added that she frequently uses cannabis when she serves as a doula for births and end-of-life care. 

“This collaboration with Erykah felt right and necessary for so many reasons. I was raised by my mother who was a powerful woman and I was mentored in the cannabis space by a powerful woman, so I think it’s extremely important for more women to be in the industry,” Berner, the co-founder and CEO of Cookies, said in a statement. “What Erykah represents is extremely unique and I believe it will elevate women in the space drastically. Plus, she is such a vibe and pleasure to work with, we took our time on this project and I’m beyond impressed with how hands-on she has been with everything.” 

The May product drop will include Badu x Cookies SF apparel, topical creams, edibles, and a non-psychoactive mushroom tea. 

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Keith Burkard: Bringing Cannabis-Infused Comfort Foods to Consumer Kitchens

3/02/2023

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Many companies are working to revolutionize cannabis edibles but California-based LastLeaf takes a particularly unique approach: rather than the usual snacks-oriented products, LastLeaf prioritizes infused comfort foods like macaroni and cheese, and plans to release an infused olive oil later this month.

In this written Q&A, LastLeaf’s CEO and Founder Keith Burkard shares his story about transitioning to the cannabis space, discusses the company’s prioritization of certain foods and consumer experiences, and explains LastLeaf’s research and development process. This interview also covers how the company processes consumer feedback, challenges encountered during the creation of its unique products, and more!

Scroll down for the full interview.

Ganjapreneur: What was your career path before launching LastLeaf, and why did you ultimately turn to cannabis infusions?

Keith Burkard: Prior to launching Last Leaf, I worked in the financial services industry in NYC alongside capital market structurers learning all dynamics of institutional finance with some very credentialed individuals. My main area of focus was team lead on multiple projects ensuring all financial transactions were executed and organized with all parties. Working in investment banking teaches you discipline and a deep understanding of the micro and macro global marketplace. When COVID hit, there was substantial risk as we all faced obstacles, and I wanted to take a step right to an ever evolving industry – Cannabis. The space is rich in opportunity but comes with very challenging obstacles and red tape to scale. We are slowly ramping up but understand the market is state by state.

Why focus on comfort foods with LastLeaf?

Comfort foods are the epicenter of cuisine in the United States and globally, but more so in the states. We want to focus on the highest ‘touch’ products in the kitchen to enhance and elevate the consumer experience. This is a key ingredient to our path to success.

Cannabis is a very complicated marketplace as it was initiated from black market initially. I am enjoying converting consumers to the new age of cannabis but understand it will take time, and trial and error.

What challenges are there in making infused comfort foods that you might not encounter with more common infusions like gummies, chocolates, and beverages?

The number one challenge to fusing together a deliciously tasty product is how to blend the THC and the main spices, oils and base ingredients. All of our products are rich in flavor and show no signs of chalky or THC aftertaste. Tinctures are also part of the process and we have focused more time in designing these as we progress in the product roll-out.

How does LastLeaf R&D a new product?

We start by putting down all the nutritional information at the base level and create multi-level scenarios and then test, test, test. The upside in using primary food group products is that we have FDA approved ingredients and decade long track records on blends and recipes which translates to easier science and final recipe books. I would say R&D is one of the most exciting pieces to LastLeaf. We are limitless in the products we can make, but need to make sure the market is ready to accept them.

Can home cooks of all levels follow LastLeaf cooking tutorials?

Yes! We make all of our products with the consumer in mind. In addition, our olive oil can be used in virtually all dishes known to the human species. Our goal is to have our products in the kitchen for all to use.

How has customer feedback been so far, and has it influenced LastLeaf’s direction?

The largest obstacle LastLeaf has faced is customer education and consumer habits. If the consumer’s default is gummies and chocolates they are inclined to stay on the same purchasing path unless aware of alternative products achieving the same result(s). We have nothing but exceptional reviews on the Mac N Cheese and are extremely excited to continue growth!

Where can people find LastLeaf mac and cheese? Do you have a release date for LastLeaf classic olive oil?

LastLeaf products can be found in California in the LA Metro area — a list of locations can be found on our website (lastleaf.com). We are finalizing the first batch of the olive oil and it is set to be released in late-March. There are great dispensaries that plan on carrying to support the launch.

What advice can you offer to entrepreneurs who are either just getting started in the cannabis space, or are perhaps transitioning into it from another industry?

The best piece of advice is to audit yourself as a person. Do you have strong personal discipline, routine and skin the game for your venture? It is extremely hard to go outside of the box and your daily comfort zone. I always tell entrepreneurs you need to have experience in chaotic situations to see how you will prevail. We can all get better day-by-day but instilling core values and work ethic is what it takes. With that being said you might be the hardest worker but the market is not ready for your product. You did not fail, it was just bad timing. So being able to bounce back is key at all times.

On transferring into a new sector here is my perspective. You only know what you know. I am a huge believer in learning from the ground up to know how things can be improved/streamlined and how employees might slack off or cut corners. We all have to clean the house as it is what it represents you and your company. Learn, learn, learn the internet is FREE, use it and watch videos and read articles on other entrepreneurs on the do’s and don’ts. Finally, ask questions and call people in the industry, a phone call is free and the knowledge is invaluable to you and your endeavor.

Thanks, Keith, for answering our questions! Readers can visit LastLeaf.com to learn more or get in touch.

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Adult-Use Cannabis Sales in Michigan Hit $1.8B Last Year

3/02/2023

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Adult-use cannabis sales in Michigan topped $1.8 billion during the 2022 fiscal year, according to the Michigan Department of Treasury. Municipalities that have opted into sales – 224 in all – will receive a share of $59.5 million from cannabis excise taxes collected on sales. 

For the state’s 2022 fiscal year, each eligible municipality and county will receive more than $51,800 for every licensed retail store and microbusiness located within its jurisdiction, the Treasury Department said, noting that some municipalities host more than one licensed cannabis business.  

Recipients of the tax revenues include 81 cities, 26 villages, 53 townships, and 64 counties. 

In a statement, Cannabis Regulatory Agency (CRA) Executive Director Brian Hanna said that the funding that makes its way to local governments “is an important benefit of the regulated cannabis industry and the CRA is committed to doing our part in supporting our law-abiding licensees.”  

In all, $198.4 million from excise taxes is available for distribution. In addition to the $59.5 million headed to municipalities and counties, $69.4 million was sent to the School Aid Fund for K-12 education, and $69.4 million was sent to the Michigan Transportation Fund, according to the Treasury Department. 

The revenue was collected from 574 licenses throughout the state. 

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North Carolina Senate Passes Medical Cannabis Bill

3/02/2023

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The North Carolina Senate on Tuesday passed a medical cannabis legalization bill, WRAL reports. It marks the second year in a row the chamber has approved a medical cannabis bill; however, the measure died in the House in 2022.

The bill received bipartisan support, passing by a 36-10 margin. The legislation is largely the same as the measure that passed the Senate by a 36-7 vote last year.

Republican state Sen. Bill Rabon, the bill’s lead sponsor, told WRAL that he believes the reforms have more support in the House this year. The measure was never brought up for a vote in 2022.

“The purpose of the bill is to allow for tightly regulated use of medical cannabis, only by those with debilitating illnesses … The recreational sale or use of marijuana remains, under this legislation, illegal.” — Rabon, during the Senate debate, via WRAL

The qualifying conditions list to allow patients to access medical cannabis includes cancer, epilepsy, HIV, AIDS, amyotrophic lateral sclerosis (ALS), Crohn’s disease, sickle cell anemia, Parkinson’s disease, post-traumatic stress disorder (PTSD), multiple sclerosis, cachexia or wasting syndrome, severe or persistent nausea in a person who is not pregnant that is related to end-of-life or hospice care, or who is bedridden or homebound because of a condition, terminal illness when the patient’s remaining life expectancy is less than six months, and conditions resulting in the individual receiving hospice care, according to the bill text.

The Senate-approved version includes stricter rules on marketing than the previous version, allowing 10 companies to sell medical cannabis with a maximum of eight stores each. The measure moves next to the House after a second, confirmation vote on Wednesday.

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New Mexico Cannabis Bill Filed

New Mexico Bill Would Create Two New Funds for Cannabis Tax Revenues

3/02/2023

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A bill in New Mexico would create two new programs funded by cannabis excise tax revenues, including a community reinvestment grant fund and a substance use disorder prevention and treatment fund, KRQE reports. Currently, all cannabis excise tax revenues are sent into the state’s general fund. 

Under the measure, a third of the taxes collected from adult-use sales would be used for those programs. State Rep. Andrea Romero (D), one of the bill’s sponsors, noted that the current version of the bill does not specify that the money would come from the state’s share of revenues, not cities or counties, and that the changes would be made to the bill in committee before it moves to the floor for a vote.  

“This was always the intent of the cannabis legislation was to reinvest into these programs but now that we have this incredible funding coming into the state as new revenue, we can finally make good on that promise to New Mexicans about what we care about investing in.” — Romero via KRQE 

New Mexico is currently collecting slightly more than $2.5 million a month from the 12% excise tax on adult-use cannabis sales. 

The measure was tabled in committee but will be considered in the next session. 

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California Cannabis Sales Decline for First Time Since Adult-Use Launch

3/01/2023

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Cannabis sales in California declined in 2022 for the first time since the launch of the adult-use market in 2018, according to Department of Tax and Fee Administration (DTFA) data outlined by Forbes. In all, sales dropped 8.2% to $5.3 billion from the $5.77 in sales last year. 

California still represents 20% of the nation’s $26 billion legal cannabis industry, the report says. 

The wholesale price for cannabis in California was down last year by 26% year-over-year to $665 a pound. Since 2017, the year prior to the launch of legal sales, California cannabis wholesale prices are down about 50%, according to a New Leaf Data Services report outlined by Forbes.  

Pablo Zuanic, an analyst at Cantor Fitzgerald who covers cannabis, told Forbes he believes that mature markets like California saw a revenue boost in 2020 and 2021 due to increased consumption during the Covid-19 pandemic and that the end of pandemic-era policies, including stimulus checks, paired with rising inflation, have added to the decline. He noted that there was “only” an 8% drop after a 23% increase in 2021 and a 68% increase in 2020.   

California has about 1,000 dispensaries serving the state’s more than 40 million residents but 60% of California jurisdictions – or 33 counties – do not allow adult-use cannabis businesses within their borders. Last month, officials launched a $20 million grant program to increase legal cannabis access throughout the state. The grant will prioritize areas where national surveys find high cannabis consumption but have little to no access to cannabis retailers, officials said, adding that the program “seeks to incentivize local best practices by prioritizing programs that support equity operators and utilize existing licensing and permitting practices.”

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Utah Officials Warn of Medical Cannabis Scam

3/01/2023

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The Utah Department of Agriculture and Food (UDAF) is warning about potential medical cannabis program scams. The agency pointed to an ad found in a newspaper from Planted which claims Utah “is offering cannabis dispensary licenses to persons convicted of a cannabis offense.” 

Utah does not allow cannabis sales at dispensaries and medical cannabis products are only available through licensed pharmacies.

In a press release, Utah Department of Agriculture and Food (UDAF) Medical Cannabis Division Director, Dr. Brandon Forsyth said that “any offers stating that individuals can create their own dispensaries are false and considered scams.” 

“It has been brought to our attention that there is a scam, or potentially multiple scams, being shared throughout the state making false claims that the individuals may be eligible to open their own cannabis dispensary.” — Forsyth in a statement 

The UDAF is urging residents not to call any numbers or visit any websites associated with the ads and to contact UDAF officials if they come across any similar ads with the fake claims.  

The Planted website listed on the ad does not contain any additional information. The website includes the same text used in the Utah ad along with a short questionnaire. The phone number included on the website has an Idaho area code and is different from the phone number featured in the Utah ad.    

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Tennessee Medical Cannabis Legalization Bill Dies in Senate Committee

3/01/2023

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The bill to legalize medical cannabis in Tennessee died in the Senate Judiciary Committee on Tuesday on a nearly party-line vote, WKRN reports. The measure, sponsored by Republican Sen. Janice Bowling, got support from only one Republican – Sen. Kerry Roberts. 

The bill’s failure is the second cannabis-related legislation to be rejected by a legislative panel this session after a measure to add three nonbinding cannabis poll questions to general election ballots in 2024 was quashed by the House Elections and Campaign Finance Subcommittee last week. That bill would have asked voters whether medical cannabis should be legalized, whether possession of less than one ounce of cannabis should be decriminalized, and whether adult-use cannabis should be legalized, according to a WKRN report.   

There is still one medical cannabis bill that could be considered by lawmakers in the General Subcommittee of the Senate Judiciary Committee. That measure, sponsored by Democratic Rep. Jesse Chism, was taken off the House calendar last month but could be revived if it is approved by the Senate subcommittee.  

In an interview with WKRN, Chism said that from his district, which includes Memphis, “you can throw a rock and hit either Mississippi or Arkansas,” which both allow medical cannabis access. 

“So, you have so many people who are leaving the state of Tennessee to go have access to medical help that they cannot have in Tennessee,” he said. 

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USDA Report: Hemp Planting Off to Slower Start Than in 2022

2/28/2023

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Hemp planting in the U.S. is off to a slower start this year compared to the same period in 2022, according to the U.S. Department of Agriculture’s (USDA) National Weekly Hemp Report. So far this year, less than 10 acres of hemp have been reported to the Farm Service Agency (FSA), down from about 100 acres reported to the FSA last year. 

According to the report, most of the hemp planted is being cultivated for seed production and cannabinoid extraction.  

The agency said that retail ad totals for hemp products were up 12% from last week and 14% from 2022 while the number of hemp items advertised fell by only one item. Hemp item prices were reportedly down overall in the weekly report, except for a 25% increase in the price of 16 oz. organic hemp seed. Price decreases were “only slight,” the report notes, except for a 19% decrease for 7 oz. organic hemp seed. Hemp prices remained stable in Hawaii.

The USDA launched the weekly National Hemp Report late last month. The report contains retail advertised prices of hemp products nationally and by region, along with volumes and cost, insurance, and freight values of hemp imports into the U.S.

In a statement announcing the new report, Under Secretary for Marketing and Regulatory Programs Jenny Lester Moffitt said the USDA “has recognized the hemp industry’s need for timely market information” and the report “will equip stakeholders with weekly price and volume information to help guide smart business decisions.” 

The report will be issued every Wednesday.      

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Virginia Lawmakers Pass Bill to Limit Hemp Product THC Levels

2/28/2023

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Virginia lawmakers last week passed a bill to cap THC levels, create a more robust permitting system, and enact stricter labeling rules for hemp-derived products with intoxicating THC levels, such as delta-8 products, the Virginia Mercury reports. The measure passed both the House and Senate last Friday. 

The bill limits THC in hemp-derived THC products at 2 milligrams and also includes a provision requiring topical products containing hemp-derived cannabinoids to include bittering products to prevent people from consuming them to get high.  

Brad Wynne, co-owner of hemp skincare company Veg Out Organics, told WAVY that adding the bittering chemicals to their products will render them almost useless.

“The THC cap is a problem, and what affects really us is they want us to put bittering agents, toxic chemicals into topicals because they think people will take these cleansers, moisturizers and chug it – eat it for the little bit of THC, which doesn’t make any sense.” — Wynne to WAVY 

Katie Wynn, Veg Out co-owner, said the new rules are going to “put hemp farmers, growers, processers, businesses all out of business.” 

“I know it’s a vote to some of them,” she told WAVY, “but for us, it’s our livelihood.” 

Sen. Scott Surovell (D) said during the debate that a provision in the bill that splits cannabis regulatory oversight between the Virginia Department of Agriculture and Consumer Services and the new Virginia Cannabis Control Authority “is the first step toward a complete mess.” He said the bill was introduced and passed “because somebody upstairs doesn’t want to talk about it”; likely referring to Republican Gov. Glenn Youngkin.  

Youngkin was elected after lawmakers passed an adult-use legalization measure and has led efforts to block implementation bills to create the market. The bill approved on Friday originated with Youngkin’s office which almost guarantees that he will sign it into law. 

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South Dakota Bill Aims to Raise THC Levels for Hemp Processing

2/28/2023

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A South Dakota bill that would raise the THC levels allowed for hemp transported between processors in the state from 1% to 5% passed the Senate Agriculture and Natural Resources Committee last week on a 4-3 vote, KELO reports. The measure would not change the THC levels – .3% – allowed in retail hemp products.     

Rep. Oren Lesmeister (D), the bill sponsor, testified to the committee that raising the THC threshold to 5% would allow for another processor to extract THC as it develops more uses for hemp after the initial process is completed. Hemp often contains between 1% and 5% THC and those levels can increase during processing. 

Katie Sieverding, of the South Dakota Industrial Hemp Association, told the panel that other states that don’t implicitly allow a 5% THC threshold while processing are ignoring the facts and that raising the threshold would allow more hemp processors to be licensed in the state. 

If approved, the hemp would be transported between processors in containers marked “not for human consumption,” according to the bill text.  

The measure is expected to be heard next by the full Senate, who deferred hearing the bill on February 24. The measure has not yet been heard by any House committees.  

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Cannabis Sales in Arizona Top $1.4B in 2022

2/27/2023

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Cannabis sales in Arizona topped $1.4 billion last year with adult-use sales comprising about 70% of the total, AZ Mirror reports. The total was nearly identical to Arizona’s 2021 sales; however, in 2021 medical cannabis sales made up about 55% of the state’s total cannabis sales.  

Arizona adult-use cannabis sales reached their peak in December with about $86.6 million, an increase of nearly $1 million from the $85.8 million the previous month. Meanwhile, medical cannabis sales from November to December dropped from $31.9 million to $31.1 million. 

Since the launch of adult-use sales in Arizona in January 2021, cannabis sales from both adult-use and recreational markets have reached $2.9 billion, the report says. The lowest full month total of adult-use cannabis sales in the state was about $40 million in February 2021, the first full month of adult-use sales.  

Medical cannabis sales have declined nearly every month since April 2021, when sales reached $73.2 million, the report says. In July 2021 sales hit $71.6 million after a $5 million decrease the previous month and medical cannabis sales have never come close to that total again and the last time medical cannabis patients spent more than $50 million in a month was April 2022, the report says. 

The state collects 16% excise tax on adult-use sales along with the state’s standard sales tax. Medical cannabis patients pay roughly 6% in state sales tax and municipalities can charge an additional 2% or so for all cannabis sales that occur within their jurisdictions. 

A third of adult-use taxes collected are earmarked for community college and provisional community college districts; 31% to public safety, 25% to the Arizona Highway User Revenue Fund, and 10% to the justice reinvestment fund. 

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Yale School of Medicine Launches Cannabis & Cannabinoids Science Center

2/27/2023

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Yale School of Medicine last month announced the creation of the Center for the Science of Cannabis and Cannabinoids. The center will be led by Deepak Cyril D’Souza, MD, of the Albert E. Kent Professor of Psychiatry and a leading expert on the pharmacology of cannabinoids. 

In an interview with Yale News, D’Souza said one of his goals as director is “to bring people together.”  

“An important aspect of a center is to bring people who might have complementary interests and skillsets together in a way that may not have been previously possible. I’d like to create a forum where on a regular basis people can come together to discuss ongoing projects and avenues for collaboration.” — D’Souza to Yale News 

Additionally, D’Souza said, he wants to ensure the center is “self-sustaining.” 

“You need resources to support a center and while the dean’s office and chair of psychiatry have generously contributed funding to start a pilot program, we’d like to submit a large grant application in two to three years,” he said. “That kind of grant would sustain the center over a greater period of time.” 

D’Souza indicated that the center’s “broad interest” right now is “the impact of cannabis on the developing brain and on mental health” but that as the center greenlights pilot projects, “the center’s goals may become more focused.”  

“But we’ll approach questions from different angles. For instance, there are observational studies we can do with humans and experimental studies that we cannot,” he said. “So that’s where complementary approaches come in, where animal studies or studies in brain organoids become relevant and complementary to human work.” 

He said the center would not take a pro- or anti-cannabis legalization stance and that researchers “just want to collect information on the science of cannabis and cannabinoids.”  

Yale is located in Connecticut, where adult-use sales launched last month. 

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Future Files Trademark Applications for Cannabis Brand

2/27/2023

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Hip-hop artist Future may be launching a cannabis brand. Trademark attorney Clarissa Harvey on Twitter last week revealed the rapper’s legal team filed six intent-to-use trademark applications for “EVOL BY FUTURE” that would be used in connection with consumption lounge services, vape pens, and medical cannabis products. 

The applications were filed on February 17. 

The filing also includes a website that would feature “health information in the field of medical marijuana and cannabis.” EVOL is the name of Future’s 2016 album.  

One of the applications outlines plans for a line of “herbal tinctures for medical purposes; medicated oils; medicated oral sprays, namely, medicated oral sprays for pain relief; medicated creams and lotions, namely, medicated pain relief creams and lotions,” according to the filing. Other applications in the filing are for a variety of smoking accessories, and clothing including hats and shirts.   

None of the trademark applications associated with the filing have been approved by the U.S. Patent and Trademark Office. The applications were filed on Future’s behalf by Joel R. Feldman of Greenberg Traurig, LLP of Atlanta, Georgia.

Other rappers, including Snoop Dogg, Jay-Z, Wiz Khalifa, B. Real, Berner, Run the Jewels, Rick Ross, and Xzibit, have ties to the cannabis industry either as investors or with their own brands.  

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Michigan Suspends Processor’s License for Using Illicit Cannabis in Production

2/24/2023

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Michigan regulators have suspended the medical and adult-use cannabis licenses of TAS Asset Holdings after it found its products were combined with unregulated cannabis product before being sold in the regulated market. 

The affected products were marketed under the “Fwaygo Extracts” brand and produced between November 10, 2022, and November 17, 2022. 

Cannabis Regulatory Agency (CRA) Executive Director Brian Hanna said regulators are seeking revocation of TAS’ licenses.

“The conduct alleged in the formal complaints is a significant risk to the public health and safety of marijuana consumers in Michigan. … It is vital that all licensees throughout the state realize that the CRA will continue to do what it takes to protect the public from bad actors in the regulated market.” — Hanna in a press release 

The CRA’s formal complaints allege that on September 16, 2022, two packages of vape cartridges failed safety compliance testing for Bifenthrin, a chemical banned from use in Michigan’s regulated cannabis market, and before they were transferred to and processed by TAS, both packages had passed full safety compliance testing with no Bifenthrin detected. 

The CRA investigated the cause of the safety compliance test failure and video surveillance footage showed that the product used to make the vape cartridges was not the same product recorded in Metrc, which had passed compliance testing. The product used to make the vape cartridges had not been processed or entered into Metrc as being a part of the regulated market, the CRA said.

During the investigation, CRA staff noted that the business had many areas that were dirty and cluttered and had leaking containers of various process stages of cannabis and waste. CRA investigators also reported an unapproved, unlicensed warehouse being used as a part of the licensed business and observed various untagged products including flower, distillate, concentrates, and THCa powder in the unapproved warehouse. Additionally, CRA investigators uncovered three barrels of an unknown substance that were wrapped in plastic, two black totes of an unknown substance, and several mason jars of oil. No surveillance cameras were in the unapproved room, and none of the cannabis products found in that room had Metrc tags, the CRA said. 

A TAS representative admitted to regulators that the business’s signature product, “Space Rocks,” was produced using the untagged THCa powder and the investigation found that TAS was storing and interchanging unregulated cannabis products with regulated products found at the business. A safe on the premises contained three jars of distillate and five jars of concentrate that did not have Metrc tags. A review of video surveillance footage showed that TAS employees were bringing additional unregulated, untagged product into the business from their personal vehicles which could not be tracked to a licensed business. 

In all, TAS was hit with 23 regulatory violations.

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