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Washington State Auditor Says Cannabis Industry’s Tracking Software Has ‘Failed’

The Office of the Washington State Auditor said in a recent report the state’s seed-to-sale tracking system for cannabis products has “failed” and is unlikely to satisfy its stated goals until 2031, nearly 20 years after legalization.

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In a report released last week, the Office of the Washington State Auditor found that the state’s “stopgap” cannabis industry product tracking technology, Cannabis Central Reporting System (CCRS), has “failed.” The report notes that the state Liquor and Cannabis Board (LCB) has no plans to implement a better system until 2031 – nearly 20 years after cannabis was legalized by voters in the state.    

“A robust, ‘seed-to-sale’ tracking system has been under development for 12 years but has yet to be fully realized. The recreational cannabis market has changed throughout those years. At this time, I believe this report can serve as an important framework through which state leaders can engage with LCB to establish clear goals for ensuring accountability in our modern recreational cannabis system.” — “Evaluating Washington State Oversight of the Cannabis Industry: Follow-up issues,” Office of the Washington State Auditor, 10/22/24 

In its 2018 report, the Auditor’s Office recommended the LCB implement a cannabis tracking system for a data-driven, automated approach to enforcement; however, the recent report found the state “lacks a data tracking system that easily and reliably tracks cannabis products.”  

The report notes that CCRS lacks real-time tracking information and has limited data input protections which means the LCB relies on licensees to report accurate and complete information.  

“Additionally,” the report says, “licensees cannot easily access or correct their data after they upload it, and the lack of a single identification number makes it difficult to track products for quick product recalls.” 

The report suggests a system that tracks cannabis products from seed-to-sale, has consistently reliable and current data, and automated alerts.      

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