Delaware House Approves Bill to Legalize Cannabis for Adults

3/09/2023

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The Delaware House on Tuesday approved a bill to eliminate penalties for the use or possession of cannabis by adults, WHYY reports. A similar measure was approved by both legislative chambers last year but was vetoed by Gov. John Carney (D) and the House failed to override him.   

In that veto message, Carney said he had “been clear about” his position on cannabis legalization prior to taking office and has “articulated” his “concerns many times.” Before the start of this year’s session, Carney reiterated his opposition to the reforms to lawmakers.  

Rep. Ed Osienski (D), the bill’s prime sponsor, said that new members in the House may provide the votes to overcome Carney’s veto this session if the bill passes both chambers. The bill passed the House 28-13 – three more votes than needed to override a governor’s veto.

“Sixty percent of Delawareans believe that the recreational use of marijuana should be legal. It is time for us to listen to our constituents and make Delaware the 22nd state to legalize adult use, recreational marijuana.” — Osienski on the House floor via WHYY 

On Thursday, House lawmakers are expected to debate companion legislation that would create a regulatory structure for adult-use sales, allow up to 30 retailers, and impose a 15% tax on sales.  

The use and possession bill moves next to the Senate. 

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Milan Patel: Transforming Microbial Testing Services for Cannabis

3/09/2023

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Lab testing services constitute one of the key cornerstones of the cannabis industry and companies like PathogenDx — whose simple and effective microbial testing kits have transformed molecular testing standards for cannabis labs — are working to both streamline and improve the process.

In this written Q&A, we ask company CEO and founder Milan Patel how PathogenDx has altered the cannabis testing landscape, their work to standardize pathogen testing procedures, the implications of their technology beyond the cannabis space, the company’s hiring process and other growth strategies, and more!

Find the full interview below.

Ganjapreneur: Could you describe the major events, experiences, and opportunities that led to the founding of PathogenDx?

Milan Patel: I invested in the parent company to PathogenDx, which was focused on organ transplant diagnostics and was generally a very complex market to understand from an investor perspective. I felt we were not thinking “big enough.” I kept seeing continual outbreaks occurring across the food, agriculture, water and environmental sectors, and of course, within people – and that’s when a light bulb went off! The world is at war with pathogens and this company has the capability to make a real impact.

The original company was focused on research more than product development and commercialization. I felt that with such ground-breaking technology, the world needed to benefit from it. So, we licensed the technology and founded PathogenDx – “pathogens” are bacteria, viruses and molds, “Dx” is short for Diagnostics.

How has PathogenDx’s technology changed the cannabis testing landscape?

The technology that PathogenDx has invented and developed is now commercialized for the cannabis testing industry, and has reset the standard of molecular testing in that sector. Our technology delivers results to those who use our platform on the same day the sample is delivered, without the need for enrichment – almost four to eight times faster than qPCR technologies. In addition, we have simplified the ability to test all the pathogens in a single well test, whereas other tests either have to do it single-plex (meaning one bug at a time, like plate culture/petri dish testing), or a limited number of organisms in a single test like qPCR. The benefits include higher throughput (meaning more samples processed per time), more efficiency in terms of reduced waste, and lower cost of testing per target. Basically better, faster and cheaper.

What was your biggest challenge in bringing PathogenDx to market?

When you are bringing something completely new and innovative to the table, getting others to accept and adopt it can be the hardest thing to do. With respect to the topic of testing for bacteria, viruses or fungal organisms, the world is used to enriching the sample, which has been going on for almost 120 years with Petri dish testing or plate culture. This practice is even done for qPCR technologies, so we are made to believe that enrichment is the only way. The reality is that enriching the sample takes a lot more time; it is very cumbersome and not always accurate. When a new technology comes along like PathogenDx’s D3 array technology which eliminates the need for enrichment, people say “I don’t believe it. There is no way.”

So we’ve focused on proving our technology’s success, with independent study after independent study, and certification by independent lab tests. Our technology was recently published by AOAC as a peer reviewed scientific paper to show that the technology does what it says – it is equivalent in identifying results the same or better than enrichment based qPCR technology.

The point to all of this is: innovation through time changes the playing field. Science and technology can advance innovation, and we are able to solve problems and challenges today that inventors back in 1890 could not solve because the technology of molecular science simply was not developed. Now, that level of molecular science and biology is being taught in high schools, and knowledge translates to new ideas and new ways of solving problems.

How have the reactions and feedback from your testing lab partners influenced your business?

It has influenced us significantly in understanding the challenges they are going through. We actively accept feedback from testing lab partners and use it to improve and simplify the experience of running our technology – reducing the number of steps, improving throughput, reducing cost per test, minimizing waste and automating the process where we can. We believe if we can’t improve the lab customer user experience, we are at risk of somebody else doing it. So continuous improvement is… no pun intended… in our DNA.

Is PathogenDx working on any new offerings you could share?

Yes. In cannabis testing, we are standardizing all tests to a single automated platform called Octa, as well as a manual process for labs processing lower volume. So, no matter the state regulations, our lab customers will be able to run the same equipment, tests and protocol, regardless of where they are located. This equalizes the labs standard operating procedures, training, certifications etc. Our competitors will not be able to do that. They have to deal with having to offer two or more different methods, instruments, SOPs, training and reporting into LIMs which introduces more complexity and challenges to testing labs. We believe standardizing on a unified platform is the only way to given the wide and varying disparity in state regulations. We expect be the only technology provider in this space that will meet all microbial testing regulations on one platform.

What were your strategies for assembling the PathogenDx team, and how does the company approach the hiring process?

We want individuals that come to PathogenDx for a purpose. Do you believe in making an impact? Is there a fire in you to drive change and better people’s health and safety? Every person we hire is an individual who believes in the cause, that the company is bigger than they are. Our employees are always willing to go above and beyond. Everybody has a voice, regardless of their position in the company.

Additionally, we have 360-degree interviewing mechanisms – direct reports, peers and the manager of the hiring role all get to know the candidate and see how they will fit in with the team. Hiring decisions are a democratic process, and the hiring manager is empowered based on the different inputs collected.

What’s your best advice to entrepreneurs and other professionals as they enter the cannabis space?

Go in with your eyes wide open. It is very easy to expect that you will dominate the market, and that you have the best product, service, etc. But first, truly understand the market, the industry, the competitors, the regulations, the culture, what amount of capital it takes to be successful and the time to be successful.

Don’t only seek out success stories. Talk to those that have failed and ask what they learned and what they would have done differently. Don’t make a decision until you have done this. Then ask a mentor of yours that has been uberly successful in a completely different industry and ask them to review your assessment. Have them find angles that you may not have seen.

You may feel that this is too much information, too much data, BUT you will most likely make a rational decision going into the cannabis sector versus making an emotional decision that is driven by excitement, hope and ideals. All of these should be emotions you deserve to experience, but it should be an outcome of a rational decision.

Thank you, Milan, for answering these questions and sharing your advice and experience with our audience! Readers can learn more at PathogenDx.com.

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Georgia House Votes to Increase Number of Medical Cannabis Production Licenses

3/09/2023

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The Georgia House of Representatives on Tuesday passed a bill to increase the number of medical cannabis production licenses in the state from six to 15, the Albany Herald reports. The measure is meant to resolve lawsuits against the state by companies that lost bids to obtain cannabis production licenses. 

In all, nine companies had sued the state after being denied licenses. If approved by the Senate, the bill would allow those nine companies to reapply for a production license. 

Georgia legalized low-THC cannabis possession for medical purposes in 2015 but didn’t approve a bill to allow in-state production until 2019. The 2019 law created a state commission to oversee the program by issuing six licenses to winning bidders. The law created two Class 1 licenses, which allow cannabis to be grown in spaces up to 100,000 square feet, and four Class 2 licenses which allow for cultivation spaces of up to 50,000 square feet. The two Class 1 licenses have been awarded but the remaining licenses have been in limbo after the rejected companies sued the state.  

The measure approved Tuesday, sponsored by Republican Rep. Alan Powell, calls for putting the commission that oversees the medical cannabis program under contracting rules set by the Georgia Department of Administrative Services. Appeals would be referred to Georgia’s Statewide Business Court.  

The measure would also increase dispensary counts as the number of medical cannabis patients increases, creating an additional Class 2 license for every 5,000 new patients and a Class 1 license for every 10,000 new patients, the report says. 

The measure moves next to the state Senate.   

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Connecticut Lawmakers Advance Bill Creating Pathway for Hemp Growers to Enter Cannabis Industry

3/09/2023

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The Connecticut Legislature’s General Law Committee on Tuesday approved a measure to allow hemp growers to apply for state cultivator or micro-cultivator licenses which would allow them to sell cannabis in the state’s licensed retailers, CT Insider reports. Under the proposal, growers would pay $12 per square foot of growing space. Micro-cultivation sites would be capped at 10,000 square feet.

If approved by lawmakers and signed into law by the governor, hemp producers could apply for the licenses between October 1 and December 31, giving the Department of Consumer Protection time to prepare for the application process.

During a hearing on the proposal, State Rep. Mike D’Agostino (D) said the state’s adult-use licensing fees – between $1 million and $3 million – priced hemp farmers out of the industry.

“We’re trying to be mindful of a new entrant into the market; still having plenty of square-foot space for other applicants who are out there as part of the regular (application) process; making sure we’re not flooding the market but also still adding to the existing market. That was also based on input from the hemp farmers in terms of, frankly, what they could meet anyway.” — D’Agostino via CT Insider

At one point, there were around 200 hemp growers licensed in the state, but that number has been reduced to fewer than 40 due to reduced demand for, and an oversupply of, hemp-based products, such as CBD, the report says.

The measure moves next to the House.

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Oklahoma Voters Reject Adult-Use Cannabis During Special Election

3/08/2023

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Oklahoma voters on Tuesday rejected a ballot measure to legalize adult-use cannabis by a 63%-38% margin, the Associated Press reports. The proposal had faced opposition from faith leaders, law enforcement, and prosecutors.  

In a statement, Brian Vicente, founding partner at cannabis law firm Vicente LLP and a member of the steering committee of the 820 campaign, said organizers “knew from the beginning” the initiative “would be an uphill battle” coming during a March special election with no other issues on the ballot.  

“The results still demonstrate there is significant support for legalizing and regulating cannabis for adult use, and we expect it to continue growing until a similar measure passes in the near future. Overcoming a century of anti-marijuana propaganda is no simple task, and there is still work to be done.” — Vicente in a statement 

Legalization supporters spent more than $4.9 million on the campaign, while opponents spent $219,000, the report says.  

Following Tuesday’s vote, Gov. Kevin Stitt (R) lauded the results and called Oklahoma “a law and order state.”   

“I remain committed to protecting Oklahomans,” Stitt said, “and my administration will continue to hold bad actors accountable and crack down on illegal marijuana operations in our state.” 

If passed, the measure would have allowed adults over the age of 21 to purchase and possess up to an ounce of cannabis, plus concentrates and infused products. A 15% excise tax would have been imposed on adult-use sales in addition to the state’s standard sales tax. The excise tax would have been used to help fund local municipalities, the court system, public schools, substance abuse treatment, and the state’s general revenue fund. 

In a statement, Michelle Tilley, campaign director for Yes on 820, noted that nearly 400,000 Oklahomans hold medical cannabis cards.  

“A two-tiered system, where one group of Oklahomans is free to use this product and the other is treated like criminals does not make logical sense,” she said.   

Oklahoma has one of the nation’s most permissive medical cannabis systems and about 10% of the state’s population have a medical cannabis card.  

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Hawaii Senate Votes to Legalize Cannabis

3/08/2023

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The Hawaii Senate on Tuesday overwhelmingly passed an adult-use legalization bill by a 22-3 margin. The measure still requires approval in the House.  

If enacted, the legislation would legalize possession of up to 30 grams by adults, reduce penalties for unlicensed cultivation and sales, allow adults to cultivate up to six plants within their residence, and expunge records for possession.  

The measure would also establish a Hawaii Cannabis Authority and require medical licensees to present a medical preservation plan before they are allowed to convert to dual-use businesses. 

In 2021, a similar measure died in the lower chamber. Earlier this month, during an appearance on the Honolulu Star-Advertiser’s “Spotlight Hawaii” program, House Speaker Scott Saiki (D) said he would rather the state wait on approving the reforms, preferring a working group to analyze the plan over the summer. 

A poll released in January by the Hawaii Cannabis Industry Association found 86% of Hawaii residents surveyed backed the reforms, according to a KITV4 report. 

A report released in January by the Dual Use Cannabis Task Force suggested cannabis tax revenues derived from adult-use cannabis sales could reach between $34 million and $53 million annually.  

During his campaign, Democratic Gov. Josh Green said if elected he would sign a cannabis legalization bill were it to make it to his desk. During a debate in October 2022, Green said the tax revenues would be used “in the development and recreation” of the state’s “mental healthcare system for the good of all,” according to a Spectrum News report. 

“I think that people already have moved past that culturally as a concern,” he said. 

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Arkansas Lawmakers Propose Adding Synthetic THC Products to Controlled Substances List

3/08/2023

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A bill proposed in Arkansas seeks to ban synthetic THC products and add them to the state’s controlled substances list, KATV reports. The measure would specifically outlaw delta-8, delta-9, and delta-10 products that are unregulated in the state. 

State Sen. Justin Boyd (R), one of the bill’s sponsors, told KATC that “a ban is the best way” to keep the products out of the hands of children.  

“I understand the department of health is writing a clarification, not necessarily a new rule altogether, but just to clarify what is already on the schedule six list is the THC products, includes what we’re referring to as Delta-8 and Delta-9.” — Boyd to KATV 

During a January meeting, the Arkansas Board of Health approved proposed amendments to the state’s list of controlled substances including delta-6a, delta-8, delta-9, and delta-10a THC products. 

The legislation comes after a KATV investigative report found the delta-8 products sold throughout the state featured colorful packaging, sugar-coating, and mimicked non-cannabis products that could appeal to children. The news organization sent pictures of the products to Attorney General Tim Griffin who told KATV that it was “the first time” he’s “seen the packaging.”   

“And that’s one of the reasons I thought it would be good to have some lawmakers here to see this,” he said.  

The bill is set to be heard next by the Senate Agriculture Committee. 

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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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