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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Former DNC Political Operative Sued for Fraud by South Dakota Cannabis Companies

2/24/2023

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A former political operative for the Democratic National Committee (DNC) is being sued in South Dakota, accused of defrauding two medical cannabis companies and their investors of about $1.7 million, the Star Tribune reports. Dakota Natural Growers, 605 Cannabis, and more than 20 of their investors filed the lawsuit last month against Will Hailer, eSt Ventures LLC, Badlands Fund GP LLC, and Badlands Ventures LLC claiming that Hailer and the three funds, which Hailer manages, solicited a total of $3.5 million in investments with the “intention of stealing and/or misappropriating most of the money.”

Hailer has served as a senior advisor for the DNC, as a campaign manager for current Minnesota Attorney General Keith Ellison, and as executive director for the Texas Democratic Party.

According to the lawsuit, the cannabis firms had found investors who would invest $3.5 million into the companies but Hailer approached the owners early last year and allegedly promised if they entrusted him with that $3.5 million, he could raise another $10 million to equally invest in Dakota Natural Growers and 605 Cannabis. The capital raise was controlled through eSt Ventures and the investors.

The investors obliged and put the $3.5 million into the Badlands Ventures fund, according to the lawsuit. In court documents, the plaintiffs argue that “the defendants never secured any other investor, for any amount.” Hailer and Badlands GP ultimately returned $1.8 million but the remaining balance was never returned. The parties reached a settlement agreement last year that would have had Badlands Ventures pay about $1 million to Dakota Natural Growers and about $600,000 to 605 Cannabis, and a document filed in court shows the agreement was signed by Hailer but the money was never sent, according to the lawsuit.

The plaintiffs are seeking the return of $1.68 million plus attorney fees and unspecified “punitive damages.”

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Dr. Greenthumb’s Ends Los Angeles Partnership with LAHC Inc.

2/24/2023

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Dr. Greenthumb’s Worldwide, founded by legendary hip-hop artist B Real of Cypress Hill, and LAHC Inc., a multi-year partner at Dr. Greenthumb’s dTLA dispensary location, have mutually decided to part ways, according to a recent press release.

The shift is due to the quickly changing landscape of California’s cannabis industry, the press release said, as both parties have sought more control over the brand’s direction and operations. After finding themselves unable to negotiate an agreeable path, both parties elected to move forward each focused on their own enterprises.

Going forward, customers should see a gradual change at DTLA’s 2019 Pasadena Ave. Los Angeles store. Furthermore, Dr. Greenthumb’s Worldwide has begun construction at a new Van Nuys dispensary, opening later in the spring of 2023, and a location in Oxnard, expected shortly after the Van Nuys site.

Dr. Greenthumb’s Worldwide representatives said the brand was grateful for the ongoing support of the store’s employees and the service provided to the brand’s fanbase.

“LAHC has played an integral part in the overall brand’s success and we wish them the best as they step in a different direction.” — Dr. Greenthumb’s Worldwide statement

B Real announced plans to build a more active and hands-on managerial model to continue scaling his enterprise and vision, with the mission of amplifying and extending a “culture that honors individuals who are unapologetically themselves.”

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Massachusetts’ Harpoon Brewery Launches its First THC Beverage

2/24/2023

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Harpoon Brewery has launched its first THC-based beverage, Rec. Weed, in partnership with Novel Beverage Company. The company describes Rec. Weed as “hop-forward yet approachable.” It contains no alcohol, 5 milligrams of THC, real passionfruit puree, green tea, and hops. 

Dan Kenary, CEO and co-founder of Harpoon, said it partnered with Novel on the product because of its “vast knowledge” of the cannabis industry and “strong New England roots.” Both companies are based in Massachusetts.

“The adult beverage space is constantly evolving. With THC now legalized in states across much of the country – especially here in the Northeast – we saw not only high demand for a THC-based beverage, but an opportunity to experiment in a way that would uniquely leverage our strengths in the beer world.” — Kenary in a press release 

Rec. Weed is the second cannabis-inspired product from Harpoon’s parent company, Mass. Bay Brewing Company, after previously launching Long Trail’s CBD Seltzer. The CBD Seltzer is available in Connecticut, Massachusetts, New Jersey, Rhode Island, and Vermont.  

Rec. Weed is currently only available at adult-use dispensaries in Massachusetts. Novel products are available at adult-use cannabis dispensaries in Maine and Massachusetts. Novel has also worked with Shipyard Brewing and Sea Dog Brewing on cannabis beverages.  

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Dr. Dabber XS Mini-E-Rig Review

2/24/2023

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The Dr. Dabber XS is the latest offering from a leader in the E-rig space that takes portable dabbing to the next, but smaller, level. Known for their Boost Evo and Switch rigs, Dr Dabber’s latest piece puts filtered concentrate consumption in your pocket or hand bag. But, don’t be fooled, the devices’ minimal size does not take away from the unit’s functionality, however.

The Dr. Dabber XS is made up of four pieces: a spill-proof glass bubbler attachment, a ceramic atomizer, the glass carb cap, and the battery unit/base. The XS fits together easily — just screw in the atomizer to the battery; place the glass bubbler, after adding the water, over the atomizer, noticing the tight seal; and lastly, add the carb cap, another tight fit, and the Dr. Dabber XS is just about ready to fire. There are a few more accessories that make the unit complete: a dab tool, a silicon collar to hold the carb cap, a handy tiny funnel — it’s so cute — to fill the bubbler, and even some alcohol-infused cotton q-tips to clean the atomizer and glass bubbler.

Once it’s all put together, the bubbler is bubbling, and the concentrate is loaded, it only takes five clicks on the power button and then a five-second hold before the vape gets flowing. The XS has four temperature settings: 475°, 525°, 575° and 625°. Three quick taps on the power button will change the temp, which is indicated by different colors with green being the hottest. The XS takes about 20 seconds to heat up and is hot just long enough for a tasty dab hit.

There are lots of things I like about the Dr. Dabber XS. Besides the great vapor production, ergonomic heavy base/long-lasting battery unit, and glass bubbler, it is extremely easy to add concentrates, a great feature for patients like myself, blind, who have trouble using traditional concentrate devices. The battery heft gives the XS a solid feel, and if it tips over, the no-spill bubbler saves the day. The alcohol-soaked q-tips will come in handy pretty quickly though, so be ready to keep the XS cleaned up.

Visit the company website to find out more about the Dr. Dabber XS or to purchase an XS for yourself.

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California Launches Grant Program to Expand Retail Cannabis Access

2/23/2023

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The California Department of Cannabis Control (DCC) last week launched a $20 million grant program to expand consumer access to regulated cannabis, which the agency is calling “a national first-of-its-kind.”

The grant will prioritize areas where national surveys find high cannabis consumption but have little to no access to cannabis retailers, the DCC said in a press release. The program “seeks to incentivize local best practices by prioritizing programs that support equity operators and utilize existing licensing and permitting practices,” the agency said.

In a statement, DCC Director Nicole Elliott called expanding access to retail cannabis sales “an important step towards protecting consumer safety and supporting a balanced market.”

“The retail access grant program ultimately seeks to encourage legal retail operations in areas where existing consumers do not have convenient access to regulated cannabis.” — Elliott in a statement

The DCC indicates that more than 60% of California jurisdictions do not offer local licensing for adult-use cannabis sales and that the grants “can provide much-needed assistance to cities and counties.”

The DCC said that of the 33 counties in California that currently do not offer cannabis licenses, there are nine where the rates of cannabis consumption are substantial despite only having zero or one licensed retailer. In four of the nine counties – Butte, Glenn, Madera, and Sutter – there are no licensed cannabis retailers.

Localities can use the funds to support equity applicants and licensees, for environmental reviews, permitting expenses, and personnel costs. The agency will initially award up to $10 million in grants by June 20, 2023 and after June 30, 2023, an additional $10 million will be available to previous awardees as they issue licenses.

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Washington Senate Passes Ban on Cannabis-Related Hiring Discrimination

2/23/2023

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The Washington Senate voted 28-21 in favor of a bill on Wednesday that would block employers in the state from refusing to hire someone because they tested positive for cannabis on a drug test, the Seattle Times reports.

The bill’s sponsor, Sen. Karen Keiser (D), introduced a similar bill last year but the proposal never reached the floor for consideration. The proposal moves next to the Washington House of Representatives.

The Senate-approved ban would not apply to positions where on-duty impairment could carry “substantial risk of death,” such as in the airline and aerospace industries. Other positions that are exempt from the ban include those which require federal background checks or security clearances, the report said. Additionally, the bill only applies to drug tests performed during the hiring process and would not affect employers’ ability to drug test current employees.

“If your employer wants to test you every week after you’re hired, they’re still able to do that. This is simply opening the front door of getting into a job. Because too many people who see that they have to take a drug test to even apply, don’t even apply.” — Keiser, via the Seattle Times

Sen. Derek Stanford (D) — one of the bill’s co-sponsors — told KOMO News that, ”When people are using legal substances like cannabis away from work, we don’t think that should be a barrier to just applying for the job.”

In 2019, Nevada became the first state to prohibit employers from drug testing applicants for cannabis use during pre-employment.

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Vermont Cannabis Sales Reach $5.7M in January

2/23/2023

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Cannabis sales in Vermont reached $5.7 million in January, according to Agency of Administration data released last week. The state collected more than $1 million in tax revenues from cannabis sales.  

Vermont collected $799,102 from the 14% excise tax on cannabis sales and $342,472 from the state’s regular 6% sales tax. Under the state’s adult-use law, cannabis excise tax revenues are used to “backfill” any deficit in the Cannabis Control Board’s budget and, after that, 70% is sent to the state’s general fund with 30% earmarked for substance misuse and prevention programs. Cannabis-derived sales taxes are used for after-school and summer education programs.      

There are currently about 40 licensed cannabis retailers in the state. 

The state legislature’s Joint Fiscal Office estimated that annual cannabis-derived taxes would range from $3.3 million to $9.1 million, according to a Seven Days report, which equates to monthly excise tax revenues between $275,000 and $758,000.  

The Cannabis Control Board projects the state will make about $16 million from the cannabis excise tax in its first full fiscal year, WCAX reports. According to state data outlined by Heady Vermont, retail cannabis sales surpassed $6 million last year. 

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Connecticut Bill Would Create Cannabis Ombudsman Position

2/23/2023

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A bill proposed in Connecticut would create the position of Cannabis Ombudsman – an independent person that would serve as a liaison between medical cannabis patients and the state to address concerns, NBC Connecticut reports. The move comes about a month after adult-use cannabis sales commenced in the state which has caused complaints among registered patients of reduced choices for medical cannabis products.

House Majority Leader Jason Rojas (D), who sponsored the legislation, said the measure would improve quality and safety for medical cannabis patients.

In a statement, Department of Consumer Protection Commissioner Michelle Seagull said the agency is “aware some patients have expressed concerns regarding the availability of certain products following the opening of the adult-use market and the increase in the allotment for medical marijuana patients to five ounces per month.”

“The department is monitoring and evaluating the information in the seed-to-sale tracking system, complaints, and the medical preservation plans, as well as communicating with the producers as necessary.” — Seagull in a statement

Medical Cannabis Patient Advocate Lou Rinaldi told NBC Connecticut that oversight in the state “so far has largely not been in service to patients.”

“They do not have a voice in the program,” he said.

The proposal is currently in the Connecticut– House and Senate committees on General Law.

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North Carolina Medical Cannabis Bill Passes First Senate Committee

2/22/2023

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The North Carolina Senate Judiciary Committee on Tuesday approved a proposed medical cannabis bill, moving it next to the chamber’s Finance Committee, the News & Observer reports. It’s the first vote for the measure that was introduced last month. 

The legislation would allow patients with qualifying conditions to access medical cannabis in the state. The qualifying conditions list 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. 

State Sen. Bill Rabon (R), one of the bill sponsors, told the News & Observer that the legislation’s goal “is to only make changes to existing state law that are necessary to protect patients and their doctors from criminal and civil penalties and would not intend to change current civil and criminal laws for the use of non medical marijuana.” 

The Judiciary Committee amended the measure to allow law enforcement agencies to contact the Department of Health and Human Services to confirm a medical cardholder’s identity if they are unable to do so through the registry system.  

Last year, a medical cannabis bill passed the Senate with bipartisan support but died in the House.  

If approved by the Finance Committee, the bill would move next to the Senate Rules and Operations Committee.  

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Connecticut AG Sues Over Delta-8 Products that Mimic Child-Friendly Products

2/22/2023

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Connecticut Attorney General William Tong is suing five retailers over the illegal sale of delta-8 THC products that mimic products that appeal to children under the state’s Unfair Trade Practices Act. Tong is also sending letters to all vape products retailers in the state warning them of selling such products without the proper license. 

“If you offer delta-8 THC products for sale in your establishment that exceed .3 percent THC on a dry weight basis and you do not hold such a license, you are in violation of Connecticut law. For your information, we have included below photographs of products that were recently purchased from retailers in Connecticut that purport to contain delta-8 THC. The sale of such products may expose you to criminal and civil liability. Please remove any such products from your shelves and dispose of them immediately.” — Tong in the letter 

In a statement, Tong said that, “Any unlicensed Connecticut retailer selling delta-8 THC products that purport to contain high levels of THC is breaking the law and may be subject to both criminal and civil penalties.” 

Tong said the letter and lawsuits follow an undercover investigation that “revealed widespread sale of untested, unregulated, delta-8 edibles mimicking popular youth snacks” and that the five retailers served with lawsuits “offered some of the most egregious look-alike edibles posing the worst risks for accidental youth poisoning.”

The attorney general’s investigation uncovered products that mimicked popular candies and snacks such as Skittles, Warheads, Lifesavers Gummies, Nerds Rope, Gobstopper Chewy, Sour Patch Kids, Airheads, Fritos, Rice Krispies, and Cocoa Pebbles.

The lawsuits were filed against Raheem Mini Mart and AZ Smoke Shop and Wireless in Manchester, Smokers Paradise and 7 Puff in East Hartford, and Anthony’s Service Station Inc. In Plainville.

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Iowa Democrats Unveil Adult-Use Cannabis Legalization Bill

2/22/2023

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Iowa House Democrats on Tuesday unveiled legislation to legalize cannabis for adult use, Iowa Capital Dispatch reports. Lawmakers, however, stopped short of formally introducing the measure which would legalize cannabis products with up to 500 milligrams of THC for adults 21-and-older. 

House Minority Whip Rep. Lindsay James said the proposal “will keep Iowans safe” while preventing tax dollars from “going to neighboring states.” She said the measure would also “improve the quality of life for Iowans suffering from chronic illnesses and stop wasting state resources to unfairly punish Iowans.”  

Iowa is bordered by Illinois which legalized adult cannabis use in 2020 and Missouri where adult-use cannabis sales launched this month.   

Iowa does have a low-THC medical cannabis program. In 2022, medical cannabis sales in the state reached $10 million. 

The legalization bill includes a 10% excise tax on cannabis sales and counties would have the option of imposing an addition 1% surcharge on state and local taxes derived from cannabis sales. Under the measure, cannabis excise taxes would be used for education, mental health services, and local public safety. 

The measure faces an uphill battle as Republicans control both legislative chambers and the governor’s office. Last year, Rep. Steven Holt, chair of the House Judiciary Committee, said he would “never support” cannabis legalization, according to the Capital Dispatch. 

A poll released in 2020 found 53% of Iowans support the reforms. 

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Is Spain Likely to Pass Cannabis Reforms In 2023?

2/22/2023

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Editor’s note: This editorial was contributed by Johnny Green, Media and Content Director for the International Cannabis Business Conference.

Cannabis reform is on the move across the globe, with the European continent being particularly ripe for adult-use cannabis legalization right now. It is no secret that lawmakers in Germany are pushing for legalization and that a measure is expected to be formally introduced in the first quarter of this year. When that happens, it will likely set off a cannabis reform butterfly effect in many countries across Europe. Will that extend to Spain?

Spain is home to one of the best cannabis communities on earth, with Barcelona in particular serving as the social cannabis use capital of the world. You will be hard-pressed to find a better place on the planet to be a cannabis consumer than in Spain, with hundreds of private cannabis clubs operating in a legal grey market. However, the current situation in Spain has yielded a populace that is seemingly complacent about cannabis reform, and that has historically complicated legalization efforts.

What Is The Current Status Of Cannabis Policy In Spain?

Cannabis policy in Spain is unique in many ways, with the current approach to cannabis regulation being very limited despite commerce being so commonplace. Private cannabis activity is not prohibited in Spain per se, which is why private cannabis clubs have become so popular. Yet it’s a situation that is not likely sustainable and it would greatly benefit consumers, patients, entrepreneurs, investors, and taxpayers if Spain updated its cannabis laws and regulations.

Cannabis reform efforts in Spain are set to be a very popular topic at the upcoming International Cannabis Business Conference in Barcelona, taking place on March 9.

Attorney Bernardo Soriano Guzmán, from the leading cannabis firm S & F Abogados, will serve as the moderator for the ‘Squaring The Circle Of Industrial Hemp In Spain’ panel at the event. I recently reached out to Bernardo Soriano Guzmán leading up to the conference to get the real scoop about what is going on in Spain.

“During this legislative term, four laws have been presented in the Congress and Senate to regulate adult-use cannabis. One of them has been drafted by S&F lawyers along with other collaborators. A law that fully regulates the production and distribution cycle of cannabis and non-psychoactive cannabis. Despite this intense legislative activity, none of the laws currently have the necessary majority for approval. So, without a doubt, this electoral year that we begin, the regulation of cannabis will be an important point in the political programs and possible electoral alliances for the formation of the next government of Spain, as has happened in Germany in 2021 with the coalition of the traffic light.” — Bernardo Soriano Guzmán, in a statement

Medical Cannabis In Spain

Medical cannabis is already legal in Spain to some degree, and medical cannabis industry licenses are already on the books. With that being said, the regulated medical cannabis industry in Spain is focused on exports and research. Updated domestic safe access provisions and regulations are desperately needed, and fortunately, various lawmakers and advocates are pushing for them.

“Last year 2021, a resolution in the form of a report of conclusions was approved in the Congress of Spain to give access to patients of medicinal cannabis,” Guzmán said. “This report is pending to be implemented once the Spanish Medicines and Health Products Agency (AEMPS) proposes how to do it. The regulation proposed is quite restricted to strictly pharmaceutical channels, with flowers of cannabis not having a predominant role, rather finished products and magistral formulas.”

“Self-cultivation for medicinal use is also not allowed. Additionally in Spain for years licenses for research and production of medicinal cannabis have been granted, a total of 21 licenses having been granted to date December 2022.

In terms of industrial hemp: “The position of the Spanish authorities is very restrictive beyond the classic industrial uses of hemp (production of fiber and seeds). The use of hemp flowers is prohibited, even for the extraction of unregulated cannabinoids (Cannabidiol, cannabigerol, cannabidiol…),” Guzmán said.

“This situation has generated a multitude of proceedings in the courts that have made the Supreme Court recently confirm in a ruling the restrictive vision of the Spanish authorities. This situation clashes quite with the wave of positive changes regarding hemp that are taking place in Europe, especially as a result of the position of the Court of Justice of the European Union. Countries such as France which recently, in a completely contrary line to that of the Spanish authorities, has finally authorized the use of hemp flowers for all uses,” Guzmán concluded.

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SC Labs Expands into Southern California, Opening a New Cannabis Testing Lab in Los Angeles

2/21/2023

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SC Labs, the leading cannabis and hemp testing company, has officially opened its new lab in Southern California.

The 12,000+ square foot facility, located in the Van Nuys neighborhood of Los Angeles, conducts both R&D and compliance cannabis testing – similar to its Santa Cruz counterpart – providing faster turnaround times to process samples for customers south of Santa Barbara. The new lab offers the full suite of California compliance testing (potency, pesticides, heavy metals, residual solvents, microbials, water activity, filth and foreign material) as well as terpenes. Shelf stability testing will soon be available in the lab to help customers determine the expiration date of their products. By opening this new state of the art facility, SC Labs will deliver added testing capacity to meet the needs of Southern California’s regulated cannabis market.

Similar to SC’s operations in Santa Cruz, the new lab will maintain the same technology stack (Laboratory Information Systems and the SC Client Services Portal) and chemometric reporting for customers conducting both Cannabinoid and Terpenoid assays.

“We are thrilled to bring more high-quality testing to a wider swath of the Golden State,” said Jeff Journey, CEO of SC Labs. “With this expansion, we are doubling down on California as a leading market that we believe has the regulatory oversight to enforce proper testing requirements. We’re excited to get to work in Southern California supporting even more customers with the high-quality, accurate testing they need as this market continues to mature and grow.”

“Our customers have been asking us to open a Southern California lab for years and we’re excited to finally deliver on that ask,” added Jeff Gray, Co-Founder and Chief Innovation Officer of SC Labs. “This new state of the art lab more than doubles our California testing capacity, enabling us to do more R&D, and more importantly, provides ample and excess testing capacity for all of our customers.”

Combined U.S. medical and recreational cannabis sales are estimated to be upwards of $52.6 billion by 2026 – and California is currently the largest legal cannabis market in the world. In regulated cannabis markets like California, products for sale are required to undergo a series of tests by a state-accredited lab to help ensure that products are safe to consume and accurately labeled. SC Labs is allowing its customers to meet those requirements and ultimately help them meet the demand in the market.

In addition to L.A., SC Labs currently has cannabis testing labs in Santa Cruz, CA., Colorado, Michigan, and Oregon. With this growth, SC Labs is hiring for both California locations.

About SC Labs
SC Labs is the nation’s leading cannabis and hemp testing laboratory with more than 12 years of experience helping companies deliver safe products to the emerging marketplace. Focused on establishing new testing standards and methodologies designed for speed, efficiency, and safety, SC labs helps its clients navigate complex regulatory requirements while providing them unmatched scientific expertise and state-of-the-art resources. SC Labs is licensed and accredited in California, Oregon, Colorado, and Michigan with a growth strategy designed to serve quality cannabis and hemp brands across the nation and around the world. To learn more, visit SCLabs.com.

 

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Texas Bill Seeks to Allow Municipalities to Legalize Cannabis

2/21/2023

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A bill proposed in Texas would allow municipalities to legalize cannabis within their borders and direct the state Commission of Licensing and Regulation to adopt all necessary rules for the administration and enforcement of this bill, including licensing, regulation, testing standards, and transportation. 

Under the measure, adults 21 and older would be allowed to possess and transport up to 2.5 ounces of cannabis and up to 15 grams of concentrate. At their homes, adults would be allowed to possess or process no more than 10 ounces of cannabis and if any more than 2.5 ounces is in a person’s home, the excess must be securely stored. 

In a statement announcing the legislation, State Rep. Jessica González (D) said the bill would allow “local communities to make the best decision for themselves regarding cannabis legalization.” 

“Twenty-one states in America have legalized cannabis, and 27 states have decriminalized the use of cannabis. In a recent study, a majority of Texans supported some form of legalization of cannabis use. While Texas has made progress with the Compassionate Use Act, we have been left behind on a potential revenue source that would increase investments in public education, stop unnecessary arrests for cannabis possession, and create jobs in our state.” — González in a press release 

The measure would impose a 10% tax on cannabis products and direct the revenue to cannabis regulation (10%), testing and quality control (10%), to participating local governments for oversight purposes (20%), with the remainder earmarked to the Foundation School Fund. 

During the midterm elections, five Texas cities – Denton, Elgin, Harker Heights, Killeen, and San Marcos – voted to decriminalize cannabis possession within their borders. Last year, voters in Austin passed similar reforms. 

 

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Vermont Cannabis Regulators Investigating Curaleaf’s Ties to Russian Oligarch

2/21/2023

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Cannabis regulators in Vermont are investigating the links between Russian oligarch Roman Abramovich and multi-state cannabis operator Curaleaf, VT Digger reports. The inquiry follows a report by Vice that found Abramovich invested $130 million and provided $194 million in loans to US cannabis firms between 2016 and 2018, with Curaleaf as the main beneficiary.  

In Vermont, Curaleaf owns Phytocare Vermont in Bennington and Vermont Patients Alliance in Montpelier. 

According to the Vice report, which come from the leak of 30,000 files from Cyprus-based accounting company Meritservus, of which Abramovich was a customer, onto the non-profit Distributed Denial of Secrets website last month, Abramovich allegedly invested $225 million into Curaleaf, then known as Palliatech, between 2015 and 2017 via a British Virgin Islands-registered company called Cetus Investments. Abramovich was allegedly referred to by Cetus staff as “Mr. Blue.” Abramovich owns Chelsea Football Club which is nicknamed the Blues. 

Vermont Cannabis Control Board chair James Pepper told VTDigger that he was unaware of the Vice report but following a VTDigger inquiry, he instructed board staff to contact Massachusetts and Connecticut to find out what they had learned. Pepper told VT Digger that Curaleaf had not mentioned Abramovich when it applied for a license to operate in Vermont’s adult-use cannabis market.  

Applicants in Vermont are required to disclose individuals with an ownership interest of 10% of more and that being dishonest could lead to a revocation of a license, Pepper told VT Digger. 

A Curaleaf spokesperson has previously told Barron’s that Abramovich “is no longer a creditor to or investor in Curaleaf.” 

Representatives for Phytocare and Vermont Patients Alliance have not commented on the allegations, while Curaleaf spokesperson Stephanie Cunha told VT Digger that the company has “fully complied with all requirements regarding disclosure of our ownership and financing in the state of Vermont.”   

According to the Curaleaf website, the company operates in Arizona, Connecticut, Florida, Illinois, Maine, Maryland, Massachusetts, Michigan, Nevada, New Jersey, New York, North Dakota, Ohio, Oregon, Pennsylvania, Utah, and Vermont.  

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First-of-Its-Kind Automated Cannabis Vending Machine Debuts in Aurora, Colorado

2/21/2023

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A first-of-its-kind cannabis vending machine is online in Aurora, Colorado, 9News reports. The ACE – Automated Cannabis Experience – was installed by Boulder-based company Terrapin at its retail dispensary.

The machine, was developed in partnership with BMC Universal Technologies, and is the first fully-automated cannabis vending machine on the market to fully package, live label, and dispense cannabis products while meeting or exceeding compliance requirements, the report says. Customers first scan and verify their ID, follow the instructions on the screen and pay to complete the purchase. Customers can watch the packaging process through a window in the kiosk.

Terrapin CEO Chris Woods told 9News that the ACE illustrates the “increasingly mainstream nature of the cannabis space.”

“ACE not only improves sales but also provides unique benefits to consumers, including faster checkouts, expanded education, and the ability to engage in multiple languages. As the cannabis industry evolves, companies must pivot to meet changing consumer preferences and demands. ACE offers a genuinely game-changing way for consumers to purchase cannabis.” — Woods to 9News

Terrapin said the machine will allow faster checkouts, allow budtenders to provide more consultation to other customers, and can be programmed in multiple languages.

Trevor Vaughn, manager of licensing for the city of Aurora, said the city is “happy to support innovation in business and appreciate Terrapin for choosing Aurora to implement” the machine, which he described as “impressive.”

“Our highest priority is public safety,” he said, “and Terrapin acknowledges this with their implementation of this retail option by adding an automated layer of safeguards to human verification to ensure that only those legally allowed to consume cannabis are purchasing those products.”

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Study: Cannabis Has Positive Impact on Sexual Quality

2/20/2023

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A study published last month in the Journal of Cannabis Research suggests that cannabis use has a positive impact on sexual quality. In the study, an online survey of 811 people, more than 70% of respondents reported increased sexual desire and orgasm intensity with cannabis use and more than 40% of the women surveyed indicated an “increased ability to have more than one orgasm per sexual encounter.” 

The majority of study participants identified as female (64.9%), white (78.9%), and college-educated (80.1%). Twenty-three percent of the participants identified as LGBTQ and 73.7% of the participants said they were in a monogamous sexual relationship.

A majority of participants also indicated that cannabis enhanced their pleasure while masturbating (62.5%) and that cannabis enhanced their sense of taste (71.9%) and touch (71.0%). Another 87.7% of respondents reported slight-to-significant increases in relaxation during sex when using cannabis. 

“This study updates the current literature on cannabis and sexuality and provides implications for improving sexual quality. Medical implications of this study include the possible use of cannabis for treating sexual dysfunctions, especially within women.” — “The influence of cannabis on sexual functioning and satisfaction,” Jan. 20, 23, Journal of Cannabis Research 

The researchers note that previous studies have found more than 90% of men report usually experiencing orgasm during sex, while less than 50% of women regularly experience orgasm during intercourse, and just 6% of women reported always experiencing an orgasm during sex. 

A study published last year found similar results, concluding people between the ages of 18 to 30 who use cannabis and alcohol may have better sexual functions and orgasms than those who abstain from the substances.  

A 2017 study found that individuals who consume cannabis have an average of about 20% more heterosexual sex than those who don’t. That study by the Stanford School of Medicine found women who consumed cannabis daily had sex an average of 7.1 times during the previous four-week period, compared to 6 times for women who didn’t consume cannabis in the last year. For men, the rate was 6.9 percent for consumers, compared to 5.6 percent for those who abstain. 

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