The Kentucky medical cannabis reforms implemented via an executive order by Gov. Andy Beshear (D) took effect January 1, allowing individuals with a medical provider’s statement to possess up to eight ounces of cannabis for medical purposes if purchased legally in another state, Kentucky Health News reports.
Kentucky borders three states with medical cannabis programs – Illinois, Ohio, and West Virginia – but neither Ohio nor West Virginia allow medical cannabis access to non-residents. During his end-of-the-year press conference, Beshear admitted the executive order wasn’t “going to make it convenient for anyone.”
“What it will ensure is that they’re not a criminal. … I don’t want them to have to drive to Illinois, but that takes an act of the legislature. I want our people to be able to get it close to home.” – Beshear via Kentucky Health News
The state Senate has twice refused to act on medical cannabis bills passed by the House, which prompted the governor to issue the executive order. The state’s upcoming legislative session is just 30 days, giving lawmakers a smaller window to pass legislation.
Under the plan, law enforcement officers in the state will be given a card instructing them how to handle cases in which they find eight ounces or less of cannabis possessed by someone allowed to possess it under the order.
The 21 qualifying conditions include cancer, HIV or AIDS, multiple scleroisis, muscular dystrophy, epilepsy, intractable seizures, intractable pain, severe and chronic pain, severe arthritis, neuropathy, Parkinson’s disease, fibromyalgia, glaucoma, Crohn’s disease, sickle-cell anemia, post-traumatic stress disorder, hepatitis C, cachexia (wasting syndrome), Huntington’s disease, amytrophic lateral sclerosis (Lou Gehrig’s disease) or other terminal illnesses.
Medical cannabis sales in Iowa reached more than $10 million in 2022, according to Iowa Cannabidiol Board data outlined by the Des Moines Register. By November there were nearly 15,000 active patient cardholders in the state, while the number of registered caregivers rose to 2,300.
The majority of patients – about 10,000 – were registered for a qualifying medical condition while more than 2,800 were registered for post-traumatic stress disorder.
Last August, medical cannabis sales in the state topped the $1 million mark for the first time; comparatively, sales in December 2021 were $587,000. In all of 2021, the state reported $6.2 million in sales, up from the more than $3.5 million in sales in 2020. In 2019, the first year of the program, there were just over $2 million in sales, the report says.
As of November 2022, there were 1,920 medical practitioners authorized to recommend patients for the program.
In their year-end report, the Cannabidiol Board recommended excluding medical cannabis products from the state’s sales tax. The board said eliminating the tax would reflect the standard practice for medications and “reduce the cost burden of medical cannabidiol products on patients.” The board also recommended decoupling Iowa’s tax rule from federal rules for businesses that sell Schedule I or II drugs.
The board also called for the state to license more dispensaries as, currently, there are just five operational.
Legendary rapper and cannabis industry entrepreneur and investor Snoop Dogg, legal name Calvin Broadus, announced he is launching a new cannabis brand, HipHopDX reports. The brand is linked to the Death Row Records music label which Snoop Dogg acquired in early 2022.
The announcement was made on the Death Row Records Instagram page on Thursday:
Death Row Records cannabis products will become available in California in early January with the products coming first to select dispensaries operated by Cookies, founded by rapper Berner. The brand will initially be offering flower products but plans to later release diamond-infused cannabis pre-rolls.
Death Row Records holds a historic role in cannabis culture history as the record label was behind the release of Dr. Dre’s The Chronic and Snoop Dogg’s Doggystyle, the report said.
Although the Death Row Records cannabis brand is unrelated to his previous cannabis ventures, Snoop Dogg was one of the earliest celebrities to enter the legal cannabis industry with the launch of Leafs By Snoop, a Colorado cannabis brand. He is also a partial owner of Casa Verde Capital, a cannabis venture capital fund that pulled $94.7 million in 2020 during its second round of investment funding.
There were more than 4,300 scientific papers covering cannabis published in 2022, the most ever recorded in a single year, according to a report by cannabis advocacy group NORML.
This year’s expansion of peer-reviewed cannabis studies means that researchers have published more than 30,000 such studies since 2010, the report said, while there were fewer than 3,000 cannabis studies in the 1990s and fewer than 2,000 studies during the 1980s. The majority of modern cannabis research has looked to investigate the plant’s therapeutic properties.
“Despite claims by some that marijuana has yet to be subject to adequate scientific scrutiny, scientists’ interest in studying cannabis has increased exponentially in recent years, as has our understanding of the plant, its active constituents, their mechanisms of action, and their effects on both the user and upon society. It is time for politicians and others to stop assessing cannabis through the lens of ‘what we don’t know’ and instead start engaging in evidence-based discussions about marijuana and marijuana reform policies that are indicative of all that we do know.” — Paul Armentano, NORML’s Deputy Director, in a statement
U.S.-based cannabis researchers received a boon in early December when President Joe Biden (D) signed into law the Medical Marijuana and Cannabidiol Research Expansion Act, which will allow researchers to more easily investigate the medicinal properties of cannabis. That proposal — sponsored in the House by Reps. Earl Blumenauer (D-OR) and Andy Harris (R-MD), and in the Senate by Sen. Dianne Feinstein (D-CA) — was the first-ever standalone cannabis reform bill approved by Congress.
I recently got the opportunity to check out and use the all-in-one home grow kit by BudClub USA. It arrived in a discreet plain box on a Thursday afternoon —unexpected, I might add. It was an awesome surprise!
Although I’ve been growing a medical cannabis garden at home for a while now — complete with all of its ups and downs and challenges — the BudClub USA kit included a few items I did not have.
For one, the five-gallon grow bag was really nice. I went ahead and put a plant that was ready to be transplanted into the bag along with some homemade organic soil mix to make room for the included auto flower seeds, which I will be growing soon. I have used larger cloth bags, 20-gallon cloth bags from the grocery store on an outdoor grow, before, and they really help with root growth. But this bag is much more durable and is made specifically for growing. So far, the plant has loved its new container and is just about ready to put into flower.
The kit also included commercial-grade trimmers, a bug trap (if needed), and three types of veg and bud-boosting nutrient packs. Add in the rubber gloves for trimming and limb ties, and this kit covers all the bases when it comes to a do-it-yourself cannabis grow kit.
Lastly, something I’m really excited about is the above-mentioned three Gnome Automatics auto-flower seeds that came with the box. I have not grown auto flowers before and am looking forward to trying my hand at growing their Forge strain. I’ll be starting these as soon as there is room in my growing area.
But you don’t have to wait for the daylight to get just right or for space in a grow room like me. According to BudClub, their kit allows you to grow cannabis anywhere with no tent. The auto flowers planted directly in the cloth bag really would make that possible — a powerful LED bulb on an 18 on, 6 off cycle or a well-lit, discreet window should give great results. Or outside this summer, but I will report back on how my indoor attempt goes in the coming months.
BudClub USA is currently wrapping up its holiday season give-one, get-one special. Surprise a home grower you know and love with one of these grow kits — check out the selection of bundles at the BudClub USA website.
Colorado Gov. Jared Polis (D) ratified the state’s voter-approved psilocybin legalization measure this week, making Colorado the latest state to end the prohibition of magic mushrooms and other psychedelics, KDVR reports.
Proposition 122, which voters passed last month with 54% approval, will allow Coloradoans aged 21 or older to grow, forage, possess, consume, and share psilocybin, DMT, ibogaine, and mescaline in the state. The commercial distribution of psychedelics remains prohibited.
Josh Kappel, the co-author and campaign leader for Proposition 122, said the measure “puts the wellbeing of patients and communities first, removing harsh criminal penalties for personal possession and employing a multi-phase implementation process that will allow time to develop an appropriate safety and regulatory structure.”
“Our goals include creating an accessible and balanced facilitator training system, an effective equity program, a first-of-its-kind ESG screen, and safe access to natural psychedelic therapies. In the meantime, adults in Colorado can begin to have more open and honest conversations about these medicines with their doctors. Adults who can benefit from these substances will finally be able to engage in psychedelic therapies without fear of arrest and prosecution.” — Kappel, in a statement via KDVR
Colorado is only the second state to pass a psychedelics decriminalization measure, following in the footsteps of Oregon where voters approved the legalization of medicinal psychedelics in 2020.
New York’s first licensed cannabis dispensary will be opening its doors to customers for the very first time today at 4:20 pm local time, CBS New York reports.
Housing Works is a charitable nonprofit located in the East Village neighborhood of Manhattan, New York City. In addition to selling adult-use cannabis products, the company will continue to offer nonprofit services to individuals experiencing homelessness as well the formerly incarcerated and/or justice-involved individuals.
Even more shops will be opening next year — 36 retail licenses have already been issued for the state’s adult-use industry and regulators are set to start issuing cannabis delivery licenses next month, the report said. The state prioritized applicants with social equity status for the first round of cannabis retail licensing.
New York’s first adult-use cannabis dispensary is coming!
— NYS Office of Cannabis Management (@nys_cannabis) December 28, 2022
“The opening of the first legal dispensary in our state right here in New York City is more than just a promising step for this budding industry — it represents a new chapter for those most harmed by the failed policies of the past,” said NYC Mayor Eric Adams in a statement celebrating the opening. “The legal cannabis market has the potential to be a major boon to New York’s economic recovery — creating new jobs, building wealth in historically underserved communities, and increasing state and local tax revenue.”
Housing Works’ store manager Sasha Nutgent said previously the launch was a “once-in-a-lifetime moment,” and that the nonprofit was “eager to take the lead as a social equity model for America’s cannabis industry, specifically with our hiring practices and continued support of individuals and communities disproportionately impacted by the unjust War on Drugs.”
Welcome to the fourth and final piece of our 2023 Cannabis Industry Predictions series, this time featuring the voices and opinions of industry experts in cannabis finance, policy, international markets, real estate, and more.
Over the course of this month, we have released predictions and expectations from experts representing every corner of the industry — from cultivation to investing, from hemp and cannabis CPGs to psychedelics, from hiring and employment strategies to data analysis — so we’d like to extend an enormous thank you to the individuals featured in this series who agreed to share their time and expertise with our audience. If you missed them, be sure to check out the first, second, and third installments of our year-capping series!
And lastly, happy New Year! We can’t wait to see what 2023 brings.
Finance
Giadha A. DeCarcer – CEO of CTrust & founder of New Frontier Data
“For the first time since the industry’s birth, we see signs of potential market contraction – decreasing consumption, misalignment between supply and demand, lack of capital access, and consequent increasing business failures. While we await potential regulatory improvements to help the industry mature, the best way to positively and immediately support U.S. and global cannabis markets is with more equitable and cost-effective capital flow. That requires quantifiable, verifiable, systematic, and ultimately trusted visibility into cannabis businesses’ performance. The time for true transparency is now and today is the day we must embrace sophisticated business credit scoring allowing mature access to capital.” Visit website
Patrick Rea – Managing Director of Poseidon Garden Ventures
“A lame duck vote in the Senate on SAFE+ could have the biggest impact on cannabis investment activity in 2023. Inaction in D.C. on federal legalization has suppressed investor interest in cannabis in the last few years, leaving many founders scrambling to raise new funds from a smaller pool of capital allocators. If SAFE+ doesn’t pass, one can reasonably expect the status quo – a capital constrained industry where flat, down, and more structured rounds persist. While advantageous for investors with capital like Poseidon, entrepreneurs are wise to think about creating a path to profitability sooner, rather than later, when going out to raise new rounds.” Visit website
FinTech
Julia Germaine, Operating Partner at Kind Ventures
“The next 12 months will most likely remain a challenge for cannabis businesses to create sustainable profits, without the channels of new investor capital and (non-distressed) M&A activity. To succeed operators must continue to innovate and find more paths to profitability, especially retailers who can finally take advantage of digital payments and consumer subscriptions. These innovations increase average basket sizes and bring a deeper form of customer loyalty. Retailers should break away from the technology stack of yesterday and have an open mind towards higher-ROI options that are blazing the trail towards profitability.” Visit website
Policy
Courtney Davis – Executive Director Marijuana Matters
“The cannabis industry will continue to grow next year and as a part of this maturation process, we can expect more pressure on the federal government to reverse harmful prohibition laws and embrace thoughtful and restorative policies to move the industry forward. Equity advocates will continue to raise awareness about the nuances of legalization and how to expand the social equity ecosystem. I anticipate that equity conversations will be focused on licensing and beyond.” Visit website
International Policy
Anna-Sophia Kouparanis – Bloomwell Group Co-founder
“One of the most positive aspects of the German government’s current legislative proposal for adult-use cannabis is that businesses will have equal opportunities to apply for licenses with minimal limitations. Other positive points in the proposal include the omission of THC limits (at least for consumers over age 21, though potentially for those ages 18-21) and that this proposal would provide amnesty to those who have been convicted of prior cannabis offenses. However, the legislation could be improved even more if it included provisions to assist illicit operators in transitioning into the legal adult-use market.” Visit website
Miles Worne – President of Curaleaf International
“2023 will see players line up on the starting grid for the German recreational legalisation race, due to start in early 2024. Expected to be worth $10B in a few years’ time, Germany is the number one global cannabis opportunity which everyone is watching closely, including other European countries keen not to lose out to their big neighbour.” Visit website
Photo credit: Detlef Gottwald
Niklas Kouparanis – Bloomwell Group CEO and Co-founder
“Germany is making historic progress moving forward with adult-use legalization, and I expect the market to come online by the first quarter of 2024. However, we will have our work cut out for us this coming year during the approval process. But, once Germany’s market does come online, it will become the largest market in the world, as Germany has more than 82 million inhabitants – more than California and Canada. The future language for cannabis will be German, and this will be the planet’s flagship market. Entrepreneurs and investors alike are quite bullish on the market’s potential.” Visit website
Real Estate
Holly Dupart – Founder of Realty Smarts
“Get Little! The cannabis space is wide open and it can be tempting to go big. Consider scaling down instead of up. Refine your niche and grow a quality brand by consistently delivering superior products and service excellence.” Visit website
Darrin Chandler – Director of Cannabis Real Estate at RIPCO Real Estate “Cannabis real estate has been a hot topic in the New Jersey and New York markets in 2022 due to the various obstacles in obtaining the right property. 2023 all eyes are on the moves that the federal government will make in support of the cannabis industry. With the Safe Banking Act gaining real traction and cannabis possibly becoming a rescheduled drug, the government has an opportunity to help alleviate 2 main issues in the cannabis industry: access to capital and access to real estate. Rescheduling cannabis will allow operators to treat cannabis real estate like a traditional real estate transaction. If small businesses and startups have banking, access to loans, and the various options a traditional real estate transaction affords, the cannabis market will be more equitable and competitive.” Visit website
Bryan McLaren – Chief Executive Officer and Chairman at Zoned Properties, Inc. “By the end of 2023, we predict the cannabis industry will begin to see mass entry from traditional service professionals looking to provide goods and services to the regulated cannabis market. Mainstream entry suggests the industry is evolving out of the early adopter category and into the early majority category, which will require massive education and noise reduction efforts as new entrants find their footing. This transformation will signify that regulated cannabis has graduated to become a cornerstone of commerce in our community marketplaces.” Visit website
Rob Sechrist – President of Pelorus Equity Group “In 2023, real estate will remain the cannabis sector’s most stable, valuable asset. At Pelorus, we’re as close as you can be to a pure real estate lender, while our peers use either a BDC or sales-leaseback model. With the BDC model, lenders require significant financial covenants, which can hamstring company growth. In a sales-leaseback, typically a 15-20 year agreement, a borrower gives up their most valuable asset and hampers their optionality. While our peers are struggling to deploy capital and having borrowers default on payments, we continue to capture market share and lend at attractive rates for investors.” Visit website
Editor’s note: This editorial was contributed by Tony Ham, the SEO Account Manager for NisonCo, a top-rated cannabis, CBD, and hemp industry PR firm.
The cannabis industry is a fascinating market. Cannabis has always been associated chiefly with counterculture, but in recent years, the United States industry hit $12.4 billion in 2021 and is poised to continue growing. However, the language consumers use to search for and connect with cannabis brands remains firmly countercultural, despite the cannabis industry’s attempts to adopt more professional terms.
This discrepancy leaves cannabis search engine optimization (SEO) professionals with some interesting problems. Do we stay professional and use politically-correct terms like “cannabis?” Or do we use stigmatized but commonly-searched terms like “pot” and “weed” to actually show up on high-traffic SERPs (Search Engine Result Pages)? How do we balance professionalism, brand voice, and consumer accessibility while navigating SEO requirements?
As an account manager at a cannabis SEO and PR firm, I’ve learned a few things about effectively using stigmatized, taboo keywords in a search engine strategy. Read on for my three biggest cannabis SEO tips and how to implement them.
1. Organic traffic is a cannabis SEO strategist’s best friend
It’s notoriously difficult to run paid ads for a cannabis-centric business. You risk having your advertising abilities revoked if your site includes cannabis keywords or content. Though some companies take an all-or-nothing approach and purchase paid ads until they get flagged, it’s usually more reliable to capitalize on organic traffic. In stigmatized industries like cannabis, maximizing organic traffic is more straightforward and less risky than other methods.
To attract as much organic traffic as possible, you’ll want to do your research and tailor your keywords to match what consumers are searching for regularly. Feel free to include other keywords elsewhere in your website content, but the most impactful sections should focus on conversational, real-life search terms.
Optimizing your website with other SEO strategies is also essential — ensuring your site is fast-loading and easy to navigate will go a long way toward retaining prospective customers.
2. Know which cannabis keywords your audience is searching for
Studies have shown that different age brackets refer to cannabis using disparate terms. Millennials are most likely to use words like “weed,” while Gen-Xers use words like “pot” and “marijuana.” Industry professionals usually try to avoid slang terms and default to “cannabis,” so the prevalence of stigmatized keywords like these puts SEO professionals in a difficult situation.
When most consumers search for cannabis products, they use words the cannabis industry tries to avoid. The most commonly-searched term for the cannabis plant in the U.S. is “weed,” followed by “marijuana.” The industry-preferred term, “cannabis,” trails behind in third place, and there are countless other words that different groups or consumers prefer to use. SEO professionals must execute a tricky equation: attract customers using stigmatized but effective keywords while remaining aligned with brand identity and professionalism in the cannabis industry.
The equation gets even more complicated when we consider generational buying power. Generation X consumes the second-most cannabis, just after millennials. Gen Xers generally have more buying power and a greater interest in more refined cannabis experiences, but they use the least industry-accepted terminology. Despite this, most high-end luxury cannabis brands use keywords like “cannabis” that consumers with the most disposable income are unfamiliar with.
However, this doesn’t mean that top-of-the-line vaporizers retailing for hundreds of dollars should begin referring to themselves as “marijuana bongs” for the sake of SEO. It all depends on the SEO strategy of the specific brand, its target audience, and how comfortably they use stigmatized keywords. It’s essential to consider which groups you’re targeting and the language they use to refer to cannabis in conversational searches.
3. Don’t be afraid of using the “wrong” cannabis keyword
Usually, cannabis industry professionals try to stay away from words like “weed” and “marijuana” for a good reason. Terms like “marijuana” have been historically weaponized and slang words like “weed,” “pot,” and even “ganja” undercut the professionalism of the cannabis industry. No matter how we feel about these words as cannabis professionals, they are still valuable keywords in our SEO arsenals.
Successful SEO is about meeting your target audience where they are. Most cannabis consumers use words like “weed” and “marijuana,” so effective SEO strategies also need to use these keywords. Don’t feel like you have to use these words exclusively, though. Consider using higher-value but less-professional keywords like “pot” and “marijuana” in titles and headers and defaulting to the industry standard “cannabis” in the body text of your optimized web pages.
If you’re still uncomfortable using these keywords, remember most other cannabis professionals share your feelings on the topic. Generally speaking, stigmatized cannabis keywords get more impressions. These stigmatized keywords are also usually slightly easier to rank for because most cannabis professionals are wary about incorporating them into strategy.
Engage consumers first, then provide education
Ultimately, connecting with consumers is critical to enabling, destigmatizing, and legitimizing work in the cannabis industry. You’ll likely have to use stigmatized keywords to catch the attention of those consumers. Once you’ve captured consumers, there will always be room for education and activism. To change the narrative, you have to be part of that narrative. To be a part of that narrative, you might have to take advantage of some of the cannabis SEO keywords the industry would rather leave behind.
Police in Hays, Kansas raided the hospital room of a terminally ill cancer patient on December 16 to bust him for possessing cannabis products, the Kansas City Star reports. Kansas is one of just three U.S. states to have maintained a complete ban on cannabis with no exceptions, not even for doctor-recommended medical products.
The patient, 69-year-old Greg Bretz, had been using a THC-infused edible paste and a vape pen to ease his pain while hospitalized for his final days. Bretz said his physician had told him he should do anything he wanted for the pain, as there was nothing doctors could offer to treat or ease his condition beyond hospice care.
But someone at the hospital reported Bretz’s activity to law enforcement and, on December 16, police officers visited his room. They confiscated his THC paste and vape pen, cited him for drug possession, and set a court date for January 2 to cover the case. Bretz — who cannot stand unassisted and is spending the final days of his life in the hospital suffering from inoperable, terminal cancer — would not be able to attend his day in court.
The ticket and court summons were soon dropped by police but the message that Kansas‘ harsh cannabis policies are grossly outdated was made perfectly clear.
Following the hospital incident and disgruntled responses from concerned citizens and cannabis advocates alike, Kansas Democrats in the state Legislature have renewed their calls to legalize medical cannabis, Marijuana Moment reports.
House Dems are committed to legalizing access to medical marijuana. #MMJ is available to ill patients in dozens of states across the country.
Kansans shouldn’t be forced to choose between quality, safe health care and abiding by the law. #ksleghttps://t.co/RhVDMJY5mz
“House Dems are committed to legalizing access to medical marijuana,” the party said on Twitter. “[Medical cannabis] is available to ill patients in dozens of states across the country. Kansans shouldn’t be forced to choose between quality, safe health care and abiding by the law.”
The Kansas House previously advanced a bipartisan medical cannabis proposal but that bill died in the GOP-controlled Senate.
The deadline for business applications for Alabama’s medical cannabis program is on Friday, December 30, but officials say very few individuals have actually submitted an application, CBS 42 reports.
Alabama Medical Cannabis Commission Director John McMillan said that as of late last week, the agency had received just one application. The number has since increased but there were still fewer than 10 submitted applications as of Monday.
“Frankly, we feel like they’re coming in a little slow, but you never know. The requests came in a big bunch of them at the very end of the deadline, too, so I guess that’s just the way most of us function.” — McMillan, via CBS 42
Officials said they received 607 application requests for the state’s 25 total medical cannabis licenses, which will include:
12 licenses for medical cannabis cultivators
4 medical cannabis processor licenses
4 medical cannabis dispensary licenses
5 licenses for integrated medical cannabis facilities
Officials will take several months to deliberate after the deadline, with licenses expected to be formally issued starting June 12, the report said.
Alabama’s medical cannabis program was approved by lawmakers and signed into law in May. The program does not allow for the smoking or vaping of cannabis products but will let patients access “tablets, capsules, tinctures, or gel cubes for oral use; gels, oils or creams for topical use, or suppositories, transdermal patches, nebulizers, or liquids or oils for use in an inhaler.” The possession limit for patients will be limited to up to “70 daily dosages” of medical cannabis.
Meanwhile, an October poll found that a nearly 80% supermajority of Alabama voters supported the medical cannabis reforms.
Google has announced it will end its ban on hemp and CBD product advertisements in select parts of the U.S. starting next month, Marijuana Moment reports. The internet and technology company updated its “Dangerous Products and Services and Healthcare and Medicines” to reflect the changes, which will start out in California, Colorado, and Puerto Rico.
“On January 20, 2023, the Dangerous Products and Services and Healthcare and Medicines Google Ads policies will be updated to allow for the promotion of FDA-approved pharmaceuticals containing cannabidiol (CBD) and topical, hemp-derived CBD products with THC content of 0.3% or less in California, Colorado, and Puerto Rico.” — Excerpt from Google’s update
In order to advertise hemp and CBD products on the massive online platform, interested companies will need to apply for eligibility from LegitScript, a third-party payments processing company working with Google. “Certification will require that products sought to be advertised: (1) provide samples of their product to test for compliance with legal THC limits; and (2) provide LegitScript a third-party Certificate of Analysis,” the company said.
Companies can begin “immediately” on the application process but LegitScript will be charging a fee for “processing and monitoring applicants.”
There is no obvious reason why Google is lifting the ban only for only U.S. states and territories since CBD and other hemp-based cannabinoids are fully legal throughout the U.S. under the 2018 Farm Bill, the report said.
The Vermont Cannabis Control Board is recommending the state remove its THC potency caps for cannabis concentrates, VT Digger reports.
The three-member board issued a draft report highlighting the following primary issues with the THC potency caps, which lawmakers have set at 60% THC:
The use of THC caps will give the illicit market a monopoly on highly potent concentrates.
Forcing operators to create only low-potency concentrates would necessitate the use of filler for the products.
“There is no knowing for certain what manufacturers would use for filler if forced to dilute their products to meet potency limits.” — Cannabis Control Board, in its report
Potential filler products could include fats, oils, terpenes, or other cannabinoids, according to the report. But there is no guarantee these fillers would be any safer than allowing high-potency THC products and, in fact, they could prove to be more dangerous, “as seen with the EVALI crisis,” the Board said, referring to the once-widespread vaping-related lung disease that federal regulators traced back to unregulated vape cartridges, which used vitamin E acetate as a filler for product consistency.
Vermont‘s THC potency caps were originally included as a last-minute change by House lawmakers to a Senate-approved bill — the amendment followed an abrupt change in stance by the Vermont Department of Health.
Senators said they would move the bill back to a conference committee but the legislative session was ending soon and the House’s amendment ultimately stayed.
The Board, which has previously recommended dropping the Legislature’s added THC caps, suggested the following steps in its report:
1. Remove the potency cap for solid concentrates.
2. Authorize consumer education campaigns and youth prevention programs.
3. Use a portion of the revenue at the Department of Health for substance misuse prevention programs to fund these education programs.
4. Make public health information, including safe dosage information, readily available.
Of all the U.S. states which have legalized adult-use cannabis, only Vermont and Connecticut have enacted THC potency caps for concentrates.
The D.C. Council last week gave its unanimous and final approval to a bill that makes sweeping changes to the District’s medical cannabis program, capping a long and obstacle-ridden journey for the legislation, which was introduced nearly two years ago. It now heads to Mayor Muriel Bowser’s desk for a signature, and then to Congress for review.
In its final form, the 78-page Medical Cannabis Amendment Act loosens a slew of restrictions on dispensaries and cultivators, lifts a cap on the number of licenses regulators can issue, and gives unregulated weed businesses a path to legality while cracking down on those that don’t fall in line. It also takes new steps to prioritize entrepreneurs harmed by the so-called War on Drugs, and renames the D.C. agency charged with regulating weed from the Alcoholic Beverage Regulation Administration (ABRA) to the Alcoholic Beverage and Cannabis Administration (ABCA).
“There has been a lot of work that’s gone into this bill, and I appreciate where we have landed despite how long and extensive this bill is,” said Ward 5 Councilmember Kenyan McDuffie on Tuesday.
Leading up to the final vote, the legislation faced significant pushback from industry groups that argued it would unduly punish unregulated weed storefronts without giving them a fair chance to comply with new regulations. The measure extends an olive branch to unregulated storefronts — familiarly known as weed “gifting” shops — by allowing them to apply for “conditional” licenses. However, gifting businesses that don’t apply or are denied a conditional license would eventually face fines and penalties. Landlords who rent commercial property to unlicensed weed shops could also face fines up to $10,000.
Advocates for the gifting industry had expressed concerns that unregulated shops wouldn’t have enough time to apply for conditional licenses and to subsequently get up to code. The council on Tuesday amended the bill to extend the application window for conditional licenses to 90 days, and extended the grace period before enforcement begins to 315 days. The amendment, proposed by McDuffie and Council Chairman Phil Mendelson, also allows licensed medical weed businesses to become “vertically integrated” — meaning they could operate as both cultivators and retailers. It also removes a provision authorizing businesses to deduct revenue losses from their taxes.
The I-71 Committee, a group that lobbies the council on behalf of gifting shops, issued a statement on Tuesday praising the revisions and thanking McDuffie and Mendelson for their work on the bill.
“We believe it is a great improvement over the previous draft and consider it a step in the right direction for the local cannabis marketplace,” the statement said.
But the group said it remains concerned a rapid expansion of D.C.’s cannabis program could lead to supply shortages for gifting shops transitioning to the legal marketplace. McDuffie acknowledged those lingering worries before the vote.
“I don’t think everybody got what they wanted,” he said. “Usually that’s a sign of the process playing out in a way that gets you somewhere in the middle, and in this case I think it benefits the city.”
He insisted the legislation’s purpose is to bring gifting shops into the regulated cannabis economy, rather than to punish them. “The focus of the bill shouldn’t be enforcement, it should be the pathway that it creates for people to operate legitimately,” McDuffie said.
Mendelson echoed that sentiment, though he reiterated that gifting shops would need to apply for conditional licenses and become compliant to avoid fines and penalties.
“It’s a safe harbor for those who apply — if you don’t apply, you don’t have a safe harbor,” he said, adding that D.C. is “creating an on-ramp for existing businesses that don’t have a license to get a license.”
Ward 4 Councilmember Janeese Lewis George praised the latest amendments and called the bill “monumental.”
“We are setting up all cannabis businesses both licensed and unlicensed for success and for a thoughtful transition to a market where everyone has a meaningful opportunity to thrive by playing by the same rules,” Lewis George said.
At-Large Councilmember Robert White said the measure gives people formerly incarcerated for cannabis offenses an opportunity to participate in D.C.’s legal weed industry. A previous statute barred people with felony records from owning or working at licensed D.C. weed businesses, which advocates argued was unfair for those convicted of weed-related crimes.
The legislation permanently reverses that statute and sets aside 50% of all new cannabis licenses for entrepreneurs who qualify as “social equity applicants” — which includes people formerly incarcerated for weed offenses and their family members. Other provisions aimed at repairing the damage of The War on Drugs include grants and loans to help social equity applicants get weed businesses off the ground.
Furthermore, D.C.’s cannabis licensing structure would be expanded to include two new business categories: internet retailers that sell weed without a physical storefront, and couriers that facilitate the delivery of cannabis products to registered patients. Additionally, licensed dispensaries would be eligible to host tastings and classes where patients could consume weed on-site.
The bill’s passage on Tuesday came just hours after budget leaders in Congress unveiled a new spending package that maintains a ban on retail cannabis in the District. Though D.C. voters approved a ballot measure to legalize recreational cannabis in 2014, Republicans in Congress have since barred District officials from using local funds to launch a regulated market for adult-use pot.
This week Congress again told D.C. that it can’t legalize recreational sales of marijuana. On the same day, the D.C. Council passed a sweeping bill to expand medical marijuana sales — and let existing marijuana gifters apply for licenses. https://t.co/mACYvsNGDO
The ban could present a major hurdle for the bill next month when it enters the 30-day congressional review period required for D.C. bills to become law. That’s because the measure quietly transforms D.C.’s medical weed market into a recreational one by making permanent a rule that allows adults 21 and older to purchase weed at dispensaries without a doctor’s note. The crafty rule, which was temporarily enacted in October by way of emergency legislation, simply requires patients to “self-certify” they use cannabis for medical purposes.
Legalization proponents say the ban has pushed many D.C. weed businesses to the gray market in the absence of a regulatory structure for recreational cannabis.
“It has left them in a legal limbo,” said At-Large Councilmember Robert White.
At-Large Councilmember Christina Henderson said the ban “continues to hamstring our economy, and reminds us of our lack of statehood more generally.”
“There’s still more time for Congress to remove the rider, and so I’ll put that plug in here,” she added.
Detroit city officials notified 33 applicants for retail cannabis business licenses this week that their applications were approved, according to a press release.
It is the biggest step so far toward launching a regulated adult-use market in Detroit since Michigan voters approved cannabis legalization in 2018.
“Our goal from the day voters approved the sale of adult-use marijuana was to make sure we had a city ordinance and a process in place that provides fair and equitable access to these licenses and the courts have affirmed that we’ve done just that.” — Detroit Mayor Mike Duggan (D), in a statement
Under city regulations, officials could have approved up to 20 applicants each of social equity and non-social equity status. Ultimately, the approvals included the following 20 equity and 13 non-equity licensees:
Equity Licenses
1. House of Zen – 14501 Mack
2. LIV Cannabis – 12604 E Jefferson
3. Motor City Kush – 10 E 8 Mile
4. Liberty Cannabis – 2540 Rosa Parks
5. High Profile – 20327 Groesbeck
6. Chronic City – 6810 E. McNichols
7. Plan B – 20101 W 8 Mile
8. DaCut 12668 – Gratiot
9. Blue Wave – 1947 W Fort
10. The Remedy – 20041 W 8 Mile
11. Cloud Cannabis – 16003 Mack
12. Gage 313 – 14239 W 8 Mile
13. Detroit Herbal Ctr – 14325 Wyoming
14. Nuggets – 18270 Telegraph
15. Livernois Provision – 8305 Livernois
16. Inhale – 15670 E 8 Mile
17. TJM Enterprises – 8600 E 8 Mile #28
18. The Herbalist – 15510 W Warren
19. Ivy League – 471 S Schaefer
20. SJTC Enterprises – 6640 E 8 Mile
Non-Equity Licenses
1. Luxury Loud – 2520 22nd
2. THC Detroit – 19533 W Warren
3. Det Natural – 3394 Fort
4. Jars Cannabis – 11400 8 Mile
5. House of Dank – 3340 E 8 Mile
6. SMOK – 7461 W 8 Mile
7. Oz Cannabis – 16829 Harper
8. MPP Services – 2710 Livernois
9. West Coast Meds – 8620 Lyndon
10. Cookies – 6030 8 Mile
11. Southwest Meds – 6237 Federal
12. Leaf and Bud – 14470 Livernois
13. Playa Kind – 8301 St. Aubin
Detroit intends to award a total of 160 cannabis licenses including 100 retailers, 30 microbusinesses, and 30 consumption lounges. The licensing is expected over the course of three phases, although the exact dates for Detroit’s Round 2 and Round 3 cannabis licensing phases have not yet been announced.
Scott Martin — an Air Force veteran and Buffalo, New York firefighter who was terminated following the discovery of his medical cannabis use — was reinstated to his position this week after winning a lawsuit against the City of Buffalo and the Buffalo Fire Department. Martin had worked as an Emergency Medical Technician (EMT) specialist for the Buffalo Fire Department for nearly twelve years before he was fired from his “dream job” on December 22, 2020, over his legal use of medical cannabis.
The city said that even though Martin, an Air Force veteran who served tours of duty in Iraq and Afghanistan, had been properly certified and registered as a medical cannabis patient in the state, his cannabis use violated the terms of his governing collective bargaining agreement. But according to state law, registered medical cannabis patients cannot be discriminated against or disciplined for lawful cannabis use.
After filing suit for wrongful termination, it took two years for him and the City of Buffalo to reach a settlement in the case which will see Martin immediately reinstated this week to the same rank, seniority, salary, and benefits he held before his firing.
“I am glad that I can finally go back to the work I love – protecting the safety of the citizens of the City of Buffalo.” — Martin, in a statement
“The rights of medical cannabis patients in the workplace is a cutting-edge legal issue,” David C. Holland, an attorney with Prince Lobel who is representing Martin, said in a press release. “This was a case of first impression. It involved the proper balancing of the rights of the parties to a collective bargaining agreement (employers, employees, and unions) when it comes to medically prescribed marijuana. The parties’ agreement to Martin’s reinstatement and the recognition of his rights under the Compassionate Care Act is a reasonable resolution to this dispute.
“At the national level, I expect to see parties to collective bargaining agreements come to similar accommodations and resolutions,” said Holland, who also serves as Executive and Legal Director for Empire State NORML.
While Congress may have failed to deliver significant cannabis industry reforms as we close out the year, cannabis entrepreneurs, professionals, and experts already have their eyes and hearts set on 2023. In this third installment of our 2023 Cannabis Industry Predictions series, we asked specialists in cannabis data, technology, employment, events, tourism, and industry operations for their expectations for the coming year.
Scroll down for their full reactions, expert advice, expectations, and more!
And in case you missed it, be sure to check out the first chapter of our 2023 prediction series — which covers cannabis retail, branding, education, and consumer packaged goods — and the second chapter, featuring experts in cannabis science, cultivation, and agricultural technology, as well as industrial hemp and psychedelics.
Data
Roy Bingham – Co-founder and CEO of BDSA
“The industry will face short-term headwinds in the form of supply, pricing and regulatory challenges, but the long-term outlook remains strong. Short-term growth will primarily come from emerging markets both in the U.S. and globally. As mature markets in the western U.S. face stiff price pressure and continued illicit competition, emerging markets present some of the best opportunities for growth in the industry. As the more mature markets see sales slow, consolidation, attrition of smaller brands, and M&A activity will accelerate in 2023. Brands that embrace premiumization, portfolio price tiering, and highly differentiated offerings are expected to stay ahead of the pack and hold on.” Visit website
Employment & Hiring
Megan Carvalho – National Campaign Coordinator for Cannabis Workers Rising, a United Food and Commercial Workers International Union program “As America’s largest cannabis union, UFCW has spent nearly two decades leading the charge on advocating for workers in the emerging cannabis industry and our efforts are only heating up. We’ve been front and center in legalization efforts, ensuring states prioritize the people who make this industry run and that cannabis jobs are safe, good, and equitable. The coming year will be all about organizing. The national wave of union organizing is happening here in the cannabis industry too and UFCW is redoubling our efforts to help any cannabis worker who’s ready to strengthen their workplace with a union.” Visit website
Kara Bradford – CEO and Chief Talent Officer of Viridian Staffing
“2023 is shaping up to be quite different than 2022 in cannabis employment. We’ve already started seeing layoffs, and this will likely continue with the number of equity investments declining and the cost of debt sharply up. As their ability to finance further growth becomes more challenging and we see a shift from a candidate’s market back to an employer’s market, cannabis companies are going to become more selective in their hiring. While we have seen a trend towards greater specialization and fewer responsibilities in recent years, the need and ability of cannabis companies to run leaner is likely to reverse this trend.” Visit website
Danielle Schumacher – Founder of THC Staffing
“In 2023, more cannabis companies will unionize – not by choice but because employees are fed up with unfair and unsafe work environments. Groups like Cannabis Workers Coalition are leading the way for employees who are organizing for better pay and working conditions. Mainstream unions such as UFCW now have cannabis-specific departments. Meanwhile, people with years of valuable cannabis experience will continue to leave the industry due to low or no pay, abusive company cultures, etc. A silver lining is the potential for coalitions of community-based organizations and ethical entrepreneurs to work together to carve out more space for small businesses.” Visit website
Events
Jenn Tramaglino – CEO of Cannect Hospitality
“In Nevada, the new year will usher in the opening of legal cannabis consumption lounges. These new venues will host parties, performances, and educational events. For the first time ever in Las Vegas, ticketed events, coupled with cannabis sales and consumption, will be available to the public. Overall in 2023, Cannect anticipates brands to raise the bar on engaging event buildouts. We expect to curate a lot of custom fabrication, branded gamification and use of new technologies. We all love to walk up to an activation and go, “WOWW!” We believe there will be a lot more “WOWW!” coming in 2023.” Visit website
James Zachodni – CEO of Farechild
“With an economic slowdown worldwide, cannabis brands are going to have to be smarter on where and how they utilize their marketing dollars. I believe a lot of traditional media dollars will move over to live-events where brands will see a direct ROI by connecting with their customers rather than throwing thousands of dollars at billboards and other antiquated forms of marketing. Events will need to become more niched down to bring true value to the brands by delivering a platform to maximize the brand’s reach, not just supply meaningless impressions.” Visit website
Operations
Kenneth Mason, CPA, MBA – CEO of Equibis (Cannabis Accounting for Good)
“There’s a ton of long-term potential in cannabis. However, many companies are currently unprofitable. Some folks are being forced to close up shop because they don’t have the cash flow to survive long-term. Considering the broader economy, inflation, extraordinarily high taxes in cannabis, and financing being down 65%, the next twelve months are going to be very challenging for those that are not actively using their financials to budget, forecast cash flow, and create a plan to put away cash for the rainy days. Visit website
Zachary Garippa – CEO of Order.co “2023 will be about access to financing and HOW companies are spending those funds. Scale and profitability matter – the best operators focus on continued growth and managing their spend/cash flow. Banks, especially private capital, will lean in further with creative financing to enable profitable growth. Consolidation will continue, with buyers and sellers looking to show how quickly the combined entity can drive incremental bottom line. And, as states continue to legalize, time-to-market penetration will accelerate, and multi-state operators will have an advantage here. Spend efficiency will be instrumental to growth.” Visit website
Headshots by Gary Barragan Photography
Jesse Parenti – Founder and National Director of Nine Point Strategies
“As more states open up we still don’t have the national support by the Fed that is needed yet to get things to move faster. People are still in jail for something that shouldn’t be illegal. Banking and 280E are still major problems for the industry, with no relief coming from the federal government anytime soon. All levels of operators need to work on internal efficiency and operations moving forward. This needs to be supported by having strong foundational culture, reinforced by safety and accountability. Lastly, work to stabilize any profit you can, so they can stay alive to see the success of your efforts.” Visit website
Public Relations
Photo credit: Michael Rodriguez
Kenneth Loo – Founder and CEO of Chapter 2 Agency
It will be all about New York in 2023. Look out for big names, great retail, consumption lounges, cannabis cafes, high wattage celebrities, fashionable approaches and lots of craziness surrounding this Empire-State gold rush. The crisis in California cannabis will continue and begin to permeate other regions. Marketing that directly supports the perseverance of craft and heirloom cannabis as well continues to celebrate small farms will be a major part of the conversation next year. These efforts must encompass more than just donating a percentage of proceeds. This will manifest in cause-related, policy-changing efforts and creating supply chains to discover additional access points for this category. Visit website
Ricardo Baca – Founder & CEO of Grasslands: A Journalism-Minded Agency “My prediction for cannabis PR and cannabis marketing in 2023 is that the largest media outlets in the U.S. will finally start covering cannabis more often, and in a way this plant-based industry deserves. But why? Because weed is now legal in the media capital of the world, a.k.a. New York City. And with that legality, which will see dispensaries opening as early as December 2022, we will see the behemoth media organizations (and ownership groups) start cozying up to the idea of covering cannabis as the legal agricultural product and consumer packaged good that it is. This will be a very good thing for our agency’s clients and the industry as a whole, as we will all benefit from deeper and more open-minded news and lifestyle coverage than what has come before.” Visit website
Sonia Hendrix – Founder of GALLERY PR
“Lifestyle/Wellness PR in 2023 will be transformative. From emerging social media technologies and trends that impact how and where consumers read and share content, to the vibrant social justice movements and political action campaign efforts uniquely employed state-to-state. Globalization: cannabis communities are more connected than ever. Growth opportunities through mobile will be big as more people use mobile for online purchases and engagement. Well-timed educational campaigns will remain vital: educating the press, who educate the public. The internal tug-of-war between “new” and “old” operators, and fight for more female executives will remain; albeit with more male advocates.” Visit website
Supply Chain
Jun Lee and Vince Ning – Co-CEOs & Co-Founders of Nabis “Market fluctuations will continue into 2023 from shifts in regulations, like tax responsibilities that still don’t resolve tax burdens the industry is responsible for. Without proper reform, cash flow disruptions may continue throughout the supply chain. We’re hopeful positive changes, like eliminating the cultivation tax, will bring support to cultivators so that they can operate more sustainably. Profitability is key, and as more states come online, we foresee operators leaning into geo-expansion rather than putting all their eggs in one basket. The key for strong operators will be identifying when to pursue new opportunities, and when to remain focused.” Visit website
David Hua – CEO and Co-founder of Meadow “2023 is the year we find out if legal cannabis is recession-proof, and which operators are equipped to weather that storm. Fewer consumer dollars to spend, higher prices, and a persistent unregulated market mean operators will need to find efficiencies that squeeze every dollar per gram and make steady increases to margins. Smart technology and efficient workflows will be critical to gaining a competitive advantage in this environment, particularly when it comes to consolidating or eliminating unproductive tasks, savvy inventory forecasting, high-ROI marketing, and capitalizing on favorable regulations (like California’s delivery trunk size increase to $10k.)” Visit website
Donna Leach – Senior VP of Supply Chain at HERBL “2022 has been a challenging year for operators across the supply chain, including distributors. You can attribute this to tax impacts, unique costs such as fleets with expensive security requirements, and fuel costs. Some of our responses to this climate have been service rationalization, tightening up our operations for maximum efficiency, and an investment in tech development for increased automation. In 2023, I expect to see consolidation across the industry, more aggregated ordering at the retail level, and stakeholders choosing partners that streamline operational efficiencies. Operators that have continuously improved their supply-chain capabilities will be best-positioned for the future!” Visit website
Tech
John Yang – CEO of Treez
“Retailers in new markets like New York will need help getting up and running and existing markets may continue to struggle while the illicit market continues to thrive, and as consumer spending continues to trend downward in the face of economic struggles nationwide. Our data shows that consumers are buying as frequently as they used to, but average order spend is down ~15% in overall gross sales. Companies like Treez will need to bridge the gap and provide the right technology and insights to help retailers manage their businesses more efficiently. Retailers are not getting the tech solutions they need to do that today, and those who deliver that value are the ones who will win more business and drive the industry forward.” Visit website
New York’s first licensed adult-use cannabis retailer is set to open its doors next Thursday, December 29, according to an announcement by the office of Gov. Kathy Hochul (D).
“We set a course just nine months ago to start New York’s adult-use cannabis market off on the right foot by prioritizing equity, and now, we’re fulfilling that goal. The industry will continue to grow from here, creating inclusive opportunity in every corner of New York State with revenues directed to our schools and revitalizing communities.” — Gov. Hochul, in a statement
The shop, Housing Works, is a charitable nonprofit located near St. Mark’s Place in Manhattan’s East Village neighborhood. The company plans to offer services for people living with HIV/AIDS as well as homeless, formerly incarcerated, or justice-involved individuals, according to the release.
Sasha Nutgent, the store manager for Housing Works, called the launch a “once-in-a-lifetime moment.”
“We are eager to take the lead as a social equity model for America’s cannabis industry, specifically with our hiring practices and continued support of individuals and communities disproportionately impacted by the unjust War on Drugs,” Nutgent said.
“I’m excited that a non-profit like Housing Works, with its support for formerly incarcerated individuals, will lead the way with sales,” said Cannabis Control Board Chairwoman Tremaine Wright. “The start of sales through the Seeding Opportunity Initiative is just the beginning of the robust ecosystem we’re building — the equitable and inclusive market will grow from here with supports throughout to ensure licensees are able to overcome barriers and build this new industry.”
New York cannabis regulators have issued 36 conditional adult-use cannabis dispensary licenses, so far — 28 to qualifying companies and eight to non-profits like Housing Works. In order to qualify for one of the nonprofit retail licenses, companies must have at least one justice-involved board member and must offer employment opportunities for those with a marijuana conviction.
A report published earlier this month by the Canadian Institute of Actuaries (CIA) and Casualty Actuarial Society (CAS) which analyzes the impact of cannabis law reforms on vehicular accidents in Canada and the U.S. found no statistically significant impacts of decriminalizing cannabis.
The report, Assessing the Impact of Marijuana Decriminalization on Vehicle Accident Experience, uses insurance statistics to paint a picture of traffic accident variations in Canada following the nation’s 2018 cannabis legalization policy, finding no significant changes. The report also estimated the state-wide effects of state-level legalization laws in the U.S., which likewise showed no consistent or significant results to support the conclusion that the reforms led to increased road fatalities or accidents.
“The literature review shows that while marijuana impairment affects driving behaviour, the behaviour is not always riskier; for example, slower speeds and longer following distances of impaired drivers have been reported. The observational studies of road accidents report mixed results, most often not detecting significant effects, particularly in the long term.” — Excerpt from the report’s Executive summary
Researchers used data-driven methodologies to overcome the limitations of previous research, according to a press release.
“The methods used in this research include improved statistical models, machine learning and other data science techniques. The models used high-resolution weather data to account for the effects of weather factors,” said the report’s author Dr. Vyacheslav Lyubchich.
The research said that inclement weather and temporal patterns of human activity (such as cycles of yearly, weekly, and daily driving habits) would serve as better predictors of the vehicle accident experience.
The Washington D.C. City Council voted unanimously this week in favor of reforming the District’s medical cannabis program, Marijuana Moment reports.
The Medical Cannabis Amendment Act, which goes next to the desk of Mayor Muriel Bowser (D) for her signature, contains language to eliminate license caps for the program and to provide tax relief to medical cannabis operators, among many more reforms.
Officials also approved rules to promote social equity in the industry and establish new business options including on-site consumption and cannabis cooking classes, the report said. Additionally, the reforms package would make permanent a rule change from earlier this year which allows anyone aged 21 or older to self-certify for the medical cannabis program, bypassing the need for a physician’s recommendation.
The rules also create an enforcement path for Washington D.C.’s gifting-based gray market, which has proliferated since Congress first blocked the part of the District’s voter-approved legalization plan which sought to establish a regulated cannabis marketplace (notably, the ban is still present in this year’s annual omnibus spending package, meaning D.C. will see at least another year of Congress neglecting the will of its voters). Under the new measure, any enforcement action by regulators against unlicensed cannabis retailers must be postponed by 315 days from the bill’s enactment.
Ultimately, officials are hopeful that the gray market operators will transition into fully licensed entities:
“What we are doing here is really giving a path for full business recognition for many of our [unlicensed] shops who, to their credit, found a loophole in the law and jumped on it, as many have in many different industries over time. But it is left them in legal limbo.” — Chairman Phil Mendelson (D), via Marijuana Moment
The i-71 Committee — a group of D.C. cannabis advocates supporting equitable, fair, and socially conscious cannabis legislation — released a statement saying it “supports today’s passage of the new, amended version of the Medical Cannabis Amendment Act of 2022,” the report said.
The Florida-based cannabis multi-state operator Trulieve is spending big on a campaign to legalize adult-use cannabis in the state in 2024, the Tallahassee Democrat reports.
The campaign launched earlier this year and since then, Trulieve has written the effort three checks for $5 million — in fact, Trulieve has invested all but $124 of the Smart & Safe Florida campaign’s $15 million-plus campaign war chest, the report said.
The campaign kicked off its effort in September by hiring a signature-gathering firm for $1 million — in order to successfully place the Adult Use of Marijuana Act on Florida’s 2024 ballot, advocates will need to collect nearly 900,000 valid voter signatures by February 1, 2024. Initiative backers have currently collected about 54,000 signatures, according to the report.
The Adult Use of Marijuana Act is a constitutional amendment that would allow anyone aged 21+ to “possess, display, purchase, or transport up to two and a half ounces of marijuana for personal use for any reason.” The proposal would also allow the state’s medical cannabis dispensaries to sell and distribute cannabis products for adult use.
But while Trulieve has been bankrolling legalization efforts in Florida, the company also laid off an unspecified number of employees in Gadsden County, where Trulieve has two grow locations and a processing facility, according to another Tallahassee Democrat report.
Trulieve also laid off as many as three dozen workers from a Pennsylvania cultivation facility earlier this month after posting quarterly losses totaling $115 million, MJBizDaily reported.
Florida state health officials have begun the processing of licensing up to 22 new medical cannabis companies, the News Service of Florida reports. The new licenses could potentially double the size of the state’s medical cannabis industry.
Officials passed an emergency rule to set up the process, wherein health officials will accept future applications in “batching cycles” — these cycles will be more clearly defined under additional rules which are expected later on, but the batching cycle could be intended to help the state avoid lawsuits from rejected applicants, the report said. The licenses are required under Florida’s medical cannabis framework, which mandates the licensing of more companies as the state’s patient base grows.
Additionally, regulators more than doubled the state’s original medical cannabis application fee from $60,830 to $146,600 for the new licenses.
The Florida State Department also published an emergency rule to increase the cost of license renewals from $60,000 per year to more than $1 million — the cost bumps come following complaints by Gov. Ron DeSantis (R) that Florida’s cannabis companies were paying too little to operate in the state considering that the licenses have sold for more than $50 million, the report said.
The Physician Certification Pattern Review 2023 — published earlier this year — noted that Florida‘s medical cannabis market saw its patient count increase by 25% during the fiscal year 2022 with approximately 546 million ounces of cannabis sold to 757,600 qualifying patients.
Any hope to see Congress pass modest cannabis reforms during the lame-duck session was dashed this weekend after the SAFE Banking package and language for cannabis expungements were excluded from the must-pass annual spending bill. Additionally, lawmakers kept a rider in the bill that specifically blocks Washington D.C. from implementing regulated sales as described by its voter-approved cannabis legalization law, Marijuana Moment reports.
Despite Senate Majority Leader Chuck Schumer’s (D) last-ditch effort to get the SAFE Banking package passed during the lame-duck session, the banking reforms’ were reportedly excluded following pushback from GOP lawmakers. Democrats’ first attempt to approve the reforms this month by attaching the banking language to the National Defense Authorization Act (NDAA) was similarly squashed by Senate Republicans.
The excluded language for cannabis expungements, meanwhile, had been added to the House version of the bill earlier this year, the report said, but even that proved too contentious for GOP lawmakers in the Senate.
But while the national industry laments what’s left out of the omnibus spending package, cannabis industry representatives in Washington D.C. will face yet another year of Congress meddling in local affairs. Specifically, lawmakers voted to approve a long-standing rider that blocks the District from fully enacting its voter-approved cannabis reforms. That rider — originally proposed by Maryland Rep. Andy Harris (R) — was added to the spending package following the District’s 2014 legalization vote and prevents any local tax dollars from going toward establishing a regulated, adult-use market. It has been renewed each year since then.
“Democrats have promised action on cannabis consistently for the last two years, yet leadership consistently failed to prioritize and advance marijuana reform legislation, including legislation to provide clarity to banks and to provide grant funding for state-level expungements efforts, despite having several opportunities to do so,” NORML Executive Director Erik Altieri said in a statement. “Democrats’ failure and the GOP’s continued resistance to any progress is out of step with voters’ opinion, is bad politics, and most importantly, it is bad public policy.”
California state Sen. Scott Wiener (D) is set to propose a psychedelics decriminalization proposal covering hallucinogenic mushrooms and DMT, a strong and naturally occurring psychedelic, the San Francisco Chronicle reports.
Senate Bill 58 is a scaled-back version of Wiener’s proposal from last year, which sought to remove criminal penalties for possession of psychedelics including LSD, MDMA, psilocybin mushrooms, mescaline, and others. His previous measure, though approved by the Senate, had its decriminalization language removed in the Assembly Appropriations Committee and Wiener ultimately pulled the bill.
Wiener’s latest proposal focuses on decriminalization but leaves out LSD, MDMA, and ecstasy, according to the report. The bill is supported by progressive lawmakers and organizations that claim psychedelics could be an effective treatment for PTSD among combat veterans.
“These drugs literally save lives and are some of the most promising treatments we have for PTSD, anxiety, depression, and addiction. We need to end the outdated, racist, failed War on Drugs and finally pursue drug policies that help people instead of incarcerating them.” — Wiener, in a statement via the Chronicle
SB58 would not allow for the sale of psychedelics and stops short of establishing a regulated framework for the medical and/or supervised consumption of such products, unlike neighboring Oregon’s 2020 voter-approved psilocybin therapy legalization measure.
