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Bipartisan Federal Bill Would Let Individuals with Drug Convictions Obtain Hemp Licenses

3/14/2023

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A bipartisan bill introduced in the House last week would allow individuals with drug convictions to obtain a hemp license. The 2018 Farm Bill, which expanded the federal government’s hemp legalization policies, prohibits people with a felony drug conviction within the past 10 years from cultivating hemp.

The measure, dubbed the Free to Grow Act, is backed by Republican Reps. Nancy Mace (S.C.) and David Joyce (OH), along with Democratic Reps. David Trone (MD) and Senior House Agriculture Committee Member Chellie Pingree (ME).

Pingree described the current policy, barring those with drug convictions, as a “discriminatory policy,” adding that the rules are stunting the hemp industry’s growth.

“The upcoming Farm Bill gives Congress a once-in-five-years opportunity to correct the unfair policy that bans people with drug convictions from growing hemp. I am proud to join Reps. Trone, Joyce, and Mace in that effort by introducing the Free to Grow Act, addressing this injustice and supporting a thriving hemp economy.” — Pingree in a press release

On Twitter, Trone said the bill would “give folks a real second chance.”

The legislation is endorsed by Americans for Prosperity, DREAM.Org, Drug Policy Alliance, Due Process Institute, Minorities for Medical Marijuana Cannabis & Hemp Policy, R. St Institute, and U.S. Hemp Roundtable.

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Kentucky Senate Committee Set to Consider Medical Cannabis Bill

3/14/2023

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The Kentucky Senate Licensing and Occupations Committee is set to hear a proposed medical cannabis bill today – the first time any Senate committee will take up medical cannabis legislation, WHAS11 reports. State Sen. Steve West (R), the bill’s primary sponsor, told WHAS11 that he thinks he has the votes in the full senate to pass the measure.

“And just the fact that we’re getting a hearing is a big deal. … I’ve been working on this for a long time. It seems like every year, there’s positive movement forward. And so this is just the next step.” — West to WHAS11

West added that he’s made “hundreds, if not thousands” of changes to the bill over the years in an effort to get it approved by the chamber. One of those changes included tasking program administration to the Cabinet for Health and Family Services and not the Department of Alcoholic Beverage Control.

“If leadership wanted to kill it, they definitely could have assigned it to a committee that may be less friendly,” West said, “And they haven’t done so.”

The measure would not allow patients to access smokable products but permits edible and concentrates. If approved by both legislative chambers, the bill would take effect Jan. 1, 2025. Medical cannabis legislation has passed the House in the past but has always died in the Senate. The state’s session ends at the end of the month, so it is expected to head to the Senate floor fairly quickly if approved by the committee, the report says.

Medical cannabis legalization has been a legislative priority for Democratic Gov. Andy Beshear, who last year, via executive order, legalized the possession of cannabis by some individuals suffering from severe medical conditions. Those reforms took effect January 1, and allow 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 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.

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Cannabis Industry Experts Discuss the Latest Strategies for Navigating Regulations in Chorus’s Upcoming Webinar

3/14/2023

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As cannabis regulations evolve, operators must adapt their cannabis compliance and risk management strategies. Join Chorus Compliance’s upcoming webinar, “Thriving or Surviving? How Regulatory Policies Impact the Success of Cannabis Retail Operators,” on March 21st at 11 AM PST. This live event will feature a panel of seasoned industry experts discussing the latest cannabis regulations, licensing, and investment.

The speakers include Hirsh Jain, Founder of Ananda Strategy; Zander Abrams, Principal of CPF Ventures; Juliana Whitney, Founder of Cann Strategy; and Eric Lutringer, a cannabis compliance executive.

This webinar aims to provide attendees with valuable insights into the nuances of the latest cannabis regulations, which parts of the regulatory landscape enhance opportunities for retailers (and which hinder them), and strategies for overcoming compliance challenges.

“We’re thrilled to bring together industry experts to help cannabis retail operators navigate complex regulatory environments,” said Adriana Hemans, Director of Marketing for Chorus. “This webinar is an excellent opportunity for attendees to learn from experienced professionals and connect with other operators facing similar challenges.”

Registration for the webinar is now open. To reserve your seat and gain valuable insights into cannabis compliance, risk management, and software solutions, please visit https://bit.ly/3Fo1oXU

About Chorus Compliance, LLC
Chorus Compliance, LLC, was originally launched as a division of SC Labs. In September of 2022, Chorus Compliance, LLC became a standalone business entity. The company’s mission is to support licensed operators in the legal cannabis market with smart, affordable software solutions to establish audit readiness, drive business optimization, and ensure compliance. The Chorus Compliance platform allows license holders to keep up with complex and ever-changing regulations, conduct self-audits, communicate SOPs efficiently across the organization, establish best practices, retain talent, and safeguard their operations from fines and loss of license.

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Alex Rogers: Connecting the International Cannabis Community

3/14/2023

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With cannabis reforms taking root across the globe, there is a growing need for spaces where cannabis professionals can gather, network, and shape the future of the cannabis industry. The International Cannabis Business Conference (ICBC) regularly hosts such occasions across the US, Canada, and Europe, with their next conference coming to Berlin, Germany from June 29-30.

This Q&A with ICBC owner and founder Alex Rogers covers the event series’ inception, how they choose locations for their events, and Alex’s other cannabis endeavors. The interview also covers the differences between American and European cannabis consumers, his expectations for legalization prospects in Germany and other EU nations, and more!

Scroll down for the full interview:

Ganjapreneur: How did you originally get involved in planning & hosting cannabis-related events?

Alex Rogers: I started producing cannabis events in 1994. I was one of the four main organizing members of The Hemp Expo in Golden Gate Park in 1994 with 30K attendees. I also created a rap-weed event in 94′ called “Hemp-Hop” w Del The Funkee Homosapian. In 94′ I also organized an event at Lighthouse Point in Santa Cruz with Jack Herer and B-Real from Cypress Hill where we did a human peace chain that was over a mile long wrapping far up the Santa Cruz coastline. In the late 90’s and early 2000’s, I ran the Melkweg Concert House for the High Times Cannabis Cup. The first ICBC was in 2014, and our first event in Europe (Berlin), was 2017.

Has your personal relationship with cannabis changed throughout your career and if so, how?

Cool question. I have been a daily smoker for 35 years. Cannabis has always helped me balance my slightly frenetic and high-energy demeanor. It keeps me in mental, physical and spiritual balance and helps me be a highly functioning member of society. As I get older, I smoke a little less than when I was a wild young man. No more bong-hit completions these days. Also, after extensive time in Europe, I started smoking weed with tobacco. So, I have not smoked “pure” for the last 23 years. Many of my American hippie and Rasta friends give me shit about this to this day. For the last five years, I only smoke hash and tobacco. This is an extremely functional way for me to smoke. Even my European friends think it is a bit hard-core that I only smoke hash.

What was the original inspiration behind your decision to launch the International Cannabis Business Conference?

I am the owner of one of Oregon’s most successful MMJ clinics. For a long time, patients had no dispensaries to go to in Oregon, and were dependent on their surrogate grower for their medicine. When the dispensaries were proposed for Oregon and put on the state ballot, my patients started asking me a whole litany of questions. I saw the industry going to the next level and that people were hungry for general information, thusly, spawning the ICBC.

How do you select cities and locations for your events? Have you encountered resistance or pushback from local law enforcement or governments?

All of my cannabis businesses are aimed at helping professionalize the cannabis industry. I pride myself on having access to certain cities and venues that many others would not otherwise be able to. Being the consummate professional with a dash of renegade, has proven to be a very successful model. After 40 events in the last eight years, I can say that we have never had any resistance or blowback. This is testament of how the ICBC comes to a certain area of the world and helps make big changes, even if it just helping to change to general perception of cannabis in the community at large.

There are a number of reasons we might select a certain area. Currently, we are focused on being the leaders in the B2B space in Europe. We do have a couple of locations in mind beyond Europe for 2024-2025.

Who attends ICBC? Is it primarily people in the markets where the events are hosted, people from other nations looking to break into those markets, or a combination of both?

Our flagship event in Berlin is attended by over 80 countries. I would say that 20% of the attendees in Berlin are German. The ICBC Berlin has become the biggest and most popular meeting point for B2B cannabis in the Eastern Hemisphere. You will find executives from almost all of the world’s finest and most popular cannabis companies at the ICBC. We also have about ten different governments represented at the ICBC, including, New Zealand, Australia, South Africa, Columbia and Uruguay. Of course, we also have many dynamic starts-ups in attendance from all around the world. It is truly a global experience!

Which European cannabis markets are you most excited to watch develop over the next few years?

There is no question that many of my colleagues and I are excited about Germany legalizing. We are expecting the law to be written and presented in March. Of course, this is huge, as Germany will be by far the biggest federally legal market in the world. The ramifications of this are very significant with regard to the rest of Europe opening up.

Spain has the best weed in Europe, and the club scene there is so much fun. It is a great example of how legalization will look like in Europe. The irony is that the club scene is still underground, and the powers that be continuing to stall on codifying their existence into law.

Since I live in Slovenia, I am also interested in Slovenia’s future cannabis markets. I will be leading a decrim and legalization initiative here soon. It is a very special place with a strong cannabis culture.

How are European cannabis consumers different from consumers in the USA? Do you anticipate that European consumer preferences will evolve in a similar way to the US market as legalization enables different product categories to become more accessible?

The two markets are actually quite different. The biggest difference is that Europeans smoke their weed with tobacco. Flower is king, here. Vape pens took a long time to get a foothold here and are still struggling compared to spliffs. When you ask a European why they use the vape, they tell you it is because they can use it almost anywhere, without blowing up the spot. There are very few Europeans, if giving the choice, who would use a vape over a spliff. Also, dabbing will probably never catch on in Europe. It is just not enjoyable to most European’s, and they see it as excessive. Regarding edibles, there is more of an analogous crossover with the US and Europe. I see most popular edible items in the US, also doing very well in Europe.

Do you think European cannabis policy will ever get to a point where adult use is legal across the continent as a whole? If so, how long do you think that might take?

Yes, it is only a matter of time. There is currently so many jurisdictions which have decrim for small amounts, that in many places it already feels de facto legal. That being said, most of the continent will be legalized in some way or the other in about 5-7 years. And some countries will have full on adult-use in 2-3 years. It is happening fast, considering how long prohibition policies have controlled the continent.

Once international cannabis commerce has been normalized, which European cannabis markets do you think will have the most significant impact on the global market?

We go back to Germany again. It can’t be understated how important Germany legalizing is. Though there are other countries that might have a slightly more robust cannabis cultures, with regards to cannabis policy and cannabis markets, Germany will rule the roost for many years to come.

Thank you, Alex! Readers can learn more about the International Cannabis Business Conference at InternationalCBC.com.

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Top U.S. Intelligence Official Says Security Clearance Not Based on Past Cannabis Use

3/14/2023

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A top U.S. Intelligence official recently reaffirmed the federal government’s policy to not deny security clearances for employees based on their past cannabis use, Marijuana Moment reports.

The comment came during a Senate Intelligence Committee hearing when Director of National Intelligence (DNI) Avril Haines answered a question posed by Sen. Ron Wyden (D) about the agency’s cannabis policy.

“We recognize, frankly, that many states have legalized or decriminalized marijuana use and wanted to be sure that we’re not disqualifying people solely for that purpose in that context. We obviously believe that we want to have the talent that exists in America — and when somebody is using [cannabis] experimentally in a legal state that’s something that shouldn’t on its own essentially disqualify.” — Haines, via Marijuana Moment

The senator’s question related to a 2021 DNI memo that advised federal employers not to reject security clearances based on an employee’s past cannabis use and use “discretion” when looking at cannabis stocks in their portfolio.

Last year, Sen. Wyden attempted to pass a provision that barred the federal government from holding an employee’s past cannabis use against them when assessing their potential security clearance. Although a watered-down version — which would have only applied to individuals working in the intelligence community and not the larger federal government workforce — did pass the Intelligence Committee, the amendment was ultimately stripped from the intelligence bill before it was attached to the Defense Authorization Act (NDAA).

“We continue to approach this from a whole-person perspective,” Haine said during the hearing. “And we expect if anybody takes the job to comply with our policies and our laws in a trusted position.”

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Maryland House Passes Bill to Create Adult-Use Cannabis Framework

3/14/2023

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Maryland’s House last week passed a bill to create a framework for the state’s forthcoming adult-use cannabis market, The Diamondback reports. The bill comes after voters approved a ballot measure to legalize cannabis for adult-use last November.

The bill passed by the House includes social equity provisions and an office to encourage communities most affected by the criminalization on cannabis to participate in the industry. The measure also establishes a Community Reinvestment and Repair Fund to fund community-based initiatives intended to benefit low-income groups. The legislation would also establish a licensing system and regulatory agencies.

During debate on the measure, Del. C.T. Wilson (D), one of the bill’s lead sponsors and the chair of the Economic Matters Committee, said it is the dusty of lawmakers “to ensure that Marylanders can receive the benefit of ownership in this industry.”

“…That citizens can have access to safe and effective cannabis without fear of adverse health effects, or violence. That small businesses in Maryland can flourish in this industry. That communities that were ravaged by the War on Drugs are in some small part to finally benefit from marijuana.” — Wilson via The Diamondback

The proposal outlines a Cannabis Public Health Fund which is intended to address the possible health effects associated with cannabis legalization. The fund would be partially comprised from tax revenues from cannabis sales and would be used for data collection and education and training for law enforcement on how to recognize when someone is impaired by cannabis.

The measure passed the House 103-32 and moves next to the Senate.

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Oregon Cannabis Prices Fall to All-Time Low of $4 Per Gram

3/13/2023

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Oregon per-gram cannabis prices have fallen 16% from last year to $4 at the start of this year, according to the Oregon Liquor and Cannabis Commission’s 2023 Recreational Marijuana Supply and Demand Legislative report. The prices in the state are now at an all-time low.

“The OLCC estimates that market demand was 52% of supply in 2021, and 63% in 2022. The fact that 2022 was closer to supply/demand equilibrium than 2021 stands in contrast to the deteriorating market conditions. On the one hand, the fact that supply was closer to demand is a reflection of the decrease in annual production by OLCC Producers in 2022, a self-correction in the market that offers a glimmer of hope for 2023. On the other hand, the declining wholesale and retail prices for usable marijuana are due to large stocks of usable marijuana inventory leftover from previous years, which is likely to continue to put downward pressure on prices.” — OLCC, “Recreational Marijuana Supply and Demand Legislative Report,” Feb. 2, 2023

The agency found that the total quantity sold of usable cannabis increased in both 2021 and 2022, but the OLCC described the increase as “a fairly tepid rate.” The increase in 2022 was 2% in 2022 and just 1% in 2021, compared to a growth rate of 27% in 2020.

“The quantity sold of concentrates/extracts, edibles, and tinctures, on the other hand, declined in 2022,” the agency said in the report. “Because of the diversity of products in the market, it is difficult to do an apples-to-apples comparison of quantities sold from one year to the next.”

The agency notes that the state saw a sales increase from 2020 to 2021 – from $1.1 billion to $1.2 billion – but decreased to $994 million last year. Monthly sales last peaked in April 2021, the agency said, but have declined every month since, save for a spike in August 2021.

According to the OLCC report, the abundant cannabis supply in 2021 and the declining prices throughout 2022 placed cannabusinesses under “severe strain.”

Despite lawmakers placing a moratorium on producer and retailer licenses, the OLCC said the number of producers and retailers are “now at their highest levels ever.” While the moratorium applies to new licenses, some applications eligible last year had been first filed in 2018. The agency said that while the number of licenses continued to rise last year, the number of active businesses “continued to decline.”

The OLCC does see “positive signs of improved (or at least, less bad) market health” this year, pointing to a less steep decline in retail prices and “relatively strong” sales of edibles – a product sector which saw a modest 0.2% growth last year.

“The Oregon recreational marijuana market has repeatedly shown that it is like any other market in one important respect, but unique in another,” the OLCC said in the report. “Like other markets, it is responsive to market signals and ramps supply up or down depending on demand. Unlike other markets, however, the federal status of cannabis means that Oregon is what has been termed a ‘market in a box’ – supply must stay within the state’s borders, despite its strong comparative advantage in cannabis production.”

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Prof. Raphael Mechoulam, ‘Father of Cannabis Research,’ Dead at 92

3/13/2023

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Professor Raphael Mechoulam, the “Father of Cannabis Research,” passed away on Friday at the age of 92, the American Friends of the Hebrew University announced in a statement. His groundbreaking discoveries in the 1960s — including the first-ever discovery and isolation of tetrahydrocannabinol, or THC — lay the framework for modern cannabinoid research.

Prof. Mechoulam was born on November 5, 1930, in Sofia, Bulgaria. He emigrated to Israel with his family in 1949 where he began to study chemistry. He received his Ph.D. at the Weizmann Institute in 1958, conducted postdoctoral studies at the Rockefeller Institute in New York from 1959 to 1960, then joined the Weizman Institute’s scientific staff from 1960 to 1965, which led to his groundbreaking discovery.

He ultimately moved to the Hebrew University of Jerusalem and became a full professor there in 1972.

“Most of the human and scientific knowledge about cannabis was accumulated thanks to Prof. Mechoulam. He paved the way for groundbreaking studies and initiated scientific cooperation between researchers around the world. Mechoulam was a sharp-minded and charismatic pioneer. This is a sad day for the academic community and for the university. I send my sincere condolences to his family.” — Asher Cohen, Hebrew University President, in a statement

Prof. Mechoulam’s work also revealed the endocannabinoid system, a vast chemical network in each of our bodies that reacts with both endogenous cannabinoids, which occur naturally in our bodies, and other cannabinoids such as THC or CBD.

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Study: Medical Cannabis Use By Americans Doubled From 2013-2020

3/13/2023

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Medical cannabis use among Americans increased from 1.2% in 2013-2014 to 2.5% in 2019-2020, according to research published March 12 in the American Journal of Preventative Medicine.

The study, conducted by researchers at the Yale School of Medicine, used A modified Poisson model to estimate the average annual percent change (AAPC) of medical cannabis use from 2013 to 2020. The study suggests an AAPC of 12.9% from the period included in the model.

“The study documents a continued nationwide increase in use of cannabis for diverse medical purposes between 2013 and 2020, two decades after the first state passed legalizing legislation.” — “Increasing Use of Cannabis for Medical Purposes among US Residents 2013-2020,” American Journal of Preventative Medicine

The analyses included “key socio-demographic and clinical subgroups” and the data analyzed was from September 2013 to November 2022. The researchers note that “living in a state that legalized medical cannabis remained significantly associated with medical cannabis use.”

Medical cannabis is legal in 39 states and Washington D.C.

The study does not indicate the percentage of patients that are enrolled in low-THC or CBD-only programs administered by some conservative states.

A 2022 Pew Research poll found 30% of respondents backed cannabis legalization for only medical purposes, while 59% of respondents said it should be legal for medical and adult-use.

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Kentucky House Passes Delta-8 Regulation Bill

3/13/2023

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The Kentucky House on Thursday passed a bill to regulate delta-8 THC products in the state, the Lexington Herald-Leader reports. The measure stops short of an outright ban on the products, which is opposed by Democratic Gov. Andy Beshear.

The proposal gives the Kentucky Cabinet for Health and Family Services until August 1 to promulgate rules and regulations for the production and sale of delta-8 products in the state. The measure would also prohibit the sale of delta-8 products to anyone under 21-years-old; require delta-8 products to be kept behind the counter at retailers; establish laboratory testing for the products to check for harmful contaminants; and require product labeling that clearly discloses the ingredients.

John Taylor, founder and chief executive officer of Commonwealth Extracts, testified during a House Health Services Committee hearing on the measure on Thursday that the bill “gets rid of the bad actors who make it hard to compete.”

“It costs a lot of money to do the right thing, and when we have people making things in the bathrooms and basements and barns, it really makes it hard for us to compete on a legitimate level.” — Taylor via the Herald-Leader

Last year, the state Senate voted to pass a bill banning the production of intoxicating hemp-derived products, including delta-8 THC, but that measure died in the House. There is a separate bill proposed in the House seeking an outright ban, but that measure has not been heard by any of the chamber committees.

The regulation measure moves next to the Senate.

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Poll: 70% of Florida Voters Back Cannabis Legalization

3/10/2023

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A University of North Florida poll released Thursday found 70% of respondents would back a constitutional amendment to legalize cannabis for adult use. The level of support is higher than the 64% recorded by the university’s Public Opinion Reseach Lab (PORL) in November 2019 but lower than the 76% of support PORL found in February 2022.

In a statement, Dr. Michael Binder, PORL faculty director and professor of political science, said the survey results show that if a cannabis legalization question is put to voters next year “it has a good chance of reaching the 60% supermajority needed to pass.” However, Binder said it is a “big if” whether the question makes it to ballots.

Activists in Florida, led by the Smart and Safe Florida campaign, are pushing to get the issue on 2024 ballots. In January, the committee had gathered more than 148,000 valid signatures to put the question before voters. The campaign would need to submit a total of 891,589 signatures to get the issue on 2024 ballots and would need to submit 222,898 signatures to trigger a Florida Supreme Court review of the proposal’s wording on the ballot.

The measure, “Adult Personal Use of Marijuana” would allow individuals 21 and older “to possess, purchase, or use marijuana products and marijuana accessories for non-medical personal consumption by smoking, ingestion, or otherwise,” according to measure language submitted to the state Division of Elections.

The PORL poll found 76% of Democrats “strongly” or “somewhat” backed the reforms, along with 57% of Republicans, and 78% of voters with no party or third-party affiliation. Another 22% of Democrats “strongly” or “somewhat” opposed the reforms, along with 41% of Republicans, and 21% of voters with no party or third-party affiliation.

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Mexico Grants First License for Cannabis Cultivation

3/10/2023

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Mexico’s government on Thursday granted its first-ever license for cannabis cultivation in the country. The Mexican Health Regulatory Agency awarded the license to Xebra Brands which allows it to import and acquire cannabis seeds, cultivate and harvest cannabis, process and produce cannabis, and sell cannabis products both domestically and through export.

The licensing comes two years after the Mexico Supreme Court ruled cannabis prohibition was unconstitutional which led to the passage of cannabis reforms by federal lawmakers.

In a press release, Jay Garnett, CEO of Xebra Brands, said the license “represents an important moment for cannabis globally with the first ever grant for full cultivation, harvesting, processing and commercial activities to a corporate entity in Mexico.”

“This grant follows years of hard work and focus by a devoted team and is only the beginning of what Xebra has laid as the foundation for growth. The path is now clear for Xebra to continue forward to unlock the commercial opportunities that exists. We are excited to start the process of engaging with potential partners and stakeholders through various commercial joint-ventures/partnerships.” — Garnett in a statement

In 2021, Mexico’s Supreme Court voted unanimously to grant Xebra Mexico an irrevocable injunction to commercialize cannabis products – the final step required the regulators to deliver formal authorizations. The authorizations received by Xebra include standard conditions concerning safety protocols, security measures, phyto-sanitation processes, pest management procedures, and customary inspection and reporting provisions, the company said. The authorizations are subject to Xebra satisfying the industry standard conditions and initially allow the commercialization of products that contain less than 1% THC.

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Delaware House Passes Bill to Create Cannabis Market

3/10/2023

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Two days after approving a bill to legalize cannabis use and possession by adults Delaware House lawmakers approved legislation to create the framework for a regulated cannabis marketplace in the state, WHYY reports. The bill passed the chamber 27-13.

In an interview with WHYY, Rep. Ed Osienski (D) who has sponsored the cannabis legalization push in the state for years, said “it has been a long journey to get to this point.”

“We have experienced setbacks along the way, none worse than losing business to New Jersey, but we have learned a great deal and produced what we believe is a strong bill that will make Delaware an industry leader in this field.” — Osienski to WHYY

The bill includes licensing provisions, restrictions on sales to minors, and driving under the influence rules. Under the proposal, the state would grant 30 retail dispensary licenses with half of them set aside for social equity applicants. Social equity licenses would be available for Delaware residents who lived for at least five years in areas “disproportionately impacted” by the state’s enforcement of cannabis laws and include anyone convicted for cannabis-related offenses, with some exceptions, the report says.

The legislation also creates a Justice Reinvestment Fund which would receive 7% of revenues derived from cannabis excise taxes which would be used for “restorative justice, jail diversion, workforce development, industry-specific technical assistance, and mentoring services for economically disadvantaged persons,” Osienski said.

The measure and the previously approved possession and use bill each move next to the Senate. If approved by the chamber, the bills would move to Gov. John Carney (D) who vetoed a similar effort last year.

Both bills passed the House with enough votes to override a veto.

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Delaware House Approves Bill to Legalize Cannabis for Adults

3/09/2023

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

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

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

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

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

The use and possession bill moves next to the Senate.

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Milan Patel: Transforming Microbial Testing Services for Cannabis

3/09/2023

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

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

Find the full interview below.

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

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

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

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

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

What was your biggest challenge in bringing PathogenDx to market?

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

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

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

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

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

Is PathogenDx working on any new offerings you could share?

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

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

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

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

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

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

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

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

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

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Georgia House Votes to Increase Number of Medical Cannabis Production Licenses

3/09/2023

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

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

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

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

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

The measure moves next to the state Senate.

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

3/09/2023

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

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

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

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

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

The measure moves next to the House.

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Oklahoma Voters Reject Adult-Use Cannabis During Special Election

3/08/2023

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

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

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

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

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

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

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

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

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

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

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Hawaii Senate Votes to Legalize Cannabis

3/08/2023

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

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

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

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

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

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

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

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

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Arkansas Lawmakers Propose Adding Synthetic THC Products to Controlled Substances List

3/08/2023

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

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

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

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

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

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

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

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Justice Department Launches Application for Biden Cannabis Pardons

3/07/2023

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

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

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

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

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

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Alaska Regulators Seize Cannabis Products Shipped from Another State for Processing

3/07/2023

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

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

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

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

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

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

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

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

3/07/2023

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

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

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

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

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

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

3/06/2023

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

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

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

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

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

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

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

Contact | Angelle Grelle | angela@cannacon.org

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