Oregon Liquor Control Commission Licensing Director Message: Marijuana Licensing Streamlining Update

January 8, 2021

A Phased Approach

Early in 2020 because interest to enter Oregon’s expanding recreational marijuana market continued to grow, it became clear that we needed a new approach for processing marijuana license applications. In response, my staff and I conducted a program evaluation in March 2020, to identify opportunities for improvement throughout the licensing program. Aside from the need for our staffing resources to grow to match the industry’s requirements (which we will continue to address with our legislative partners) we developed a formal year-long improvement strategy outlined below in three phases.

Phase 1: Streamlined license renewal process (Complete)

This included reducing the complexity of renewal applications, making licensing system updates and updating internal processes regarding renewals. Improvements to our renewal system went live August 4, 2020.

Outcome: Marijuana license renewals process times have been reduced from an average of 347 days from submission in Q4 2019, to 156 days from submission in Q4 2020. Current licensees should realize these improvements at their next renewal period occurring after August 4, 2020.

 

Phase 2: Removal of Pre-licensing Inspections and streamlining workflows (Complete)

In April 2020, the Commission eliminated the requirement to conduct pre-licensing onsite inspections before issuing a license, and during last summer we made improvements to licensing workflows by reducing redundant routine reviews of work and providing more empowerment to staff. Our evaluation showed this was taking as much as 40-50% of the processing time for new applications; these improvements removed that constraint.

Outcome: Marijuana license application process times from assignment have been reduced from an average of 168 days in Q4 2019 to the average of 61 days in Q4 2020.

 

Phase 3: Entrusting the Industry (Complete)

The overall philosophy of this change was rethinking how we address marijuana licensing. Specifically, phase 3 changes reduced the level of scrutiny for applicants who have already been vetted and previously licensed. Further, the agency reassigned personnel and added contract workers to solely focus on licensing activity. The Commission also approved “streamlining licensing,” rule changes at our October 15, 2020 Commission meeting.

Outcome: License application processing times approved during the month of December 2020, averaged 54 days from the date of assignment. These tangible changes have reduced the back and forth between applicants and the Commission.

 

The Readiness Checklist: Who’s ready? Who’s not?

In addition, we’ve implemented a new process to provide us more insight into applicants within our applicant pool by utilizing a request for assignment form (aka “The Readiness Checklist”). This process helps identify a marijuana license applicant’s desire to be assigned and enables them to self-determine their readiness to complete the license process within the required 60 day period.

As of November 16, 2020, my staff has reached out to all 881 “pre-pause” applicants, to determine their desire and readiness to be assigned. Pre-pause applicants include applications submitted prior to the June 15, 2018, pause on processing licenses. As of January 5, 2021, we have:

  • 319 or approximately 36% of the 881 applications are ready to be assigned
  • 360 or approximately 40% of applicants have said they are not ready
  • These applicants have delayed assignment by an average of 5 months.
  • 139 applicants not respond at all.
  • 49 application withdrawals.
  • The remaining 14 are in process.

As of January 6, 2021, we have assigned all applicants who’ve requested to be assigned as of that date. Additionally, as we receive requests for assignments, now we are consistently able to assign applications within two to four weeks of receiving the request for assignment form.

In addition to this progress on new marijuana license applications, we have been able to reduce the time it takes to assign change requests (e.g. location, ownership, etc.) from four to six months in Q3 2019, to approximately two months in Q3 2020. Moving forward, while we further refine our processes, our standard is to be able to assign these requests within 60 days of receiving them.

Regarding the non-responsive applicants, we’ve reached out to each one and subsequently followed up with those applicants prior to December 12, 2020 in order to provide a final opportunity for them to respond before inactivating their application.

Industry members and applicants should ensure they are monitoring any communications from the Commission and double check that the contact information affiliated with the license application is up to date.

 

The New Year: What’s next?

Earlier this year, OLCC Executive Director Steve Marks committed to reducing the backlog of license applications by one third by February 1, 2021; at the time he made that pledge that meant reducing our application pool by a total of 350 applications. The progress we have demonstrated leads me to believe we will meet, or come close to, accomplishing that goal. Should we not be able to, this will be in large part due to the number of applicants who’ve indicated they’re not ready to be assigned. As mentioned above, we are assigning applications within two to four weeks of receiving a request for assignment form. The average time to process a license application once it’s assigned was 61 days in Q4 2020; that’s a significant reduction and close to the new standard we’ve set.

With the changes we’ve made this year and at the current pace that we receive license applications, this should not be difficult to maintain going forward. These accomplishments truly deliver what the industry asked us to address, both in timeliness and predictability. We hope this serves as an example of how we will continue to work with the industry and to strive to improve and make Oregon a leader in the cannabis industry and a model for cannabis regulation.

As always, please don’t hesitate to reach out with feedback and guidance that will help us collectively make constructive improvements to the OLCC Recreational Marijuana Program.

Jason Hanson

OLCC Director of Licensing

Jason.hanson@oregon.gov

 

 

OLCC Recalls Contaminated Marijuana Products Sold Into Recreational Market

Product still in stores “locked” in Cannabis Tracking System to prevent new sales

OREGON:The Oregon Liquor Control Commission is issuing an immediate health and safety recall after identifying pesticide contaminated marijuana products sold through OLCC recreational marijuana licensed retailers. The OLCC has notified retailers to place a hold on all affected products.

The marijuana flower and extract products initially failed pesticide testing (for the analyte Abamectin) with a subcontracted laboratory, but the primary lab – Ecotest – marked that it passed testing in March 2020. The OLCC in September 2020 issued an immediate license suspension to Ecotest due to a number of violations, including the loss of accreditation from the Oregon Environmental Laboratory Accreditation Program (ORELAP) for failing to meet required testing procedures and standards (see OLCC press release). Later, the OLCC formally cancelled Ecotest’s license.

The contaminated marijuana originally entered the Oregon market from a medical grower transferring it into the OLCC regulated system. Oregon Medical Marijuana Program growers are allowed, with prior approval, to sell no more than 20 pounds of marijuana flower annually into the recreational system.

The contaminated product includes several strains of marijuana flower pre-rolls, and “Purple Slurry” extract. Due to the incorrect entry of results by Ecotest, when making the

Consumers can identify the affected products with the following information:

“Emerald Extracts Purple Slurry”

  • Manufactured by Emerald Treasure LLC (030-1008341A083)
  • Label Id = 2805
  • Made on 9/9/20
  • Tested by MW Labs (010-1008606C050) on 9/14/2020

Marijuana flower pre-rolls

  • Strains of “Qurkle,” “BP Oil Slick,” or “Green Crush”
  • Tested by Ecotest (010-1008170B3B6) on 3/12/2020
  • Sold from Bernie’s Universal Dispensaries in South Beach, OR

Consumers who have these recalled products should dispose of the products or return them to the retailer where they were purchased.

A table listing the retailers that sold the items and the approximate dates the products were sold is attached to the press release version of this communication, which can be found on the OLCC website.

The contamination issue was reported to OLCC on December 29, 2020 by a second processor whose extract product failed pesticide testing; their product was never sold to consumers. Using data from the Cannabis Tracking System, OLCC staff were able to verify the failed subcontracted test, trace the affected items in the system, and issue guidance to licensees to set aside the contaminated product.

Consumers who have these recalled products should dispose of the products or return them to the retailer where they were purchased.  Consumers can follow these instructions found on the OLCC Recreational Marijuana Program website to destroy marijuana on their own.

There have been no reports of illness. The possible health impact of consuming marijuana products with unapproved pesticide residues is unknown. Short and long-term health impacts may exist depending on the specific product, duration, frequency, level of exposure, and route of exposure. Consumers with concerns about their personal health should contact their physician with related questions. Consumers with questions or concerns about recalled product or pesticide residues in marijuana products are encouraged to contact the product retailer and/or the Oregon Poison Center at 800-222-1222.

OLCC Commission Bans Some Additives from Cannabis Vaping Products

Additives linked to potential harm to cannabis consumers

More transparent ingredient disclosure required going forward

OREGON:  At its regular monthly meeting on December 17, 2020, the Oregon Liquor Control Commission banned two ingredients immediately from further use in cannabis vaping products — squalene and squalane. In addition, the Commission approved rules designed to provide better protection for cannabis consumers by requiring recreational marijuana licensees provide more transparent disclosure of, screening for, and labeling of inhalable cannabinoid products that use non-cannabis additives. The Commission also ratified five stipulated settlements.

The action taken against squalene and squalane comes in the wake of an OLCC investigation (see December 11, 2020 press release) that uncovered the use of those ingredients in cannabinoid vaping products sold in Oregon. The OLCC found that squalene and squalane were not disclosed as ingredients and were included on product labels as “natural flavors.” Studies, including one commissioned by the OLCC, have shown that squalene and squalane can produce harmful chemicals when exposed to heat and inhaled, posing potential harm to consumer health.

If the OLCC discovers any remaining products in the marketplace that contain squalene or squalane, those products will be subject to an immediate recall, a provision included in the new rules. Squalene and squalane join Vitamin E acetate on OLCC’s list of banned adulterants; as a result of the Commission’s actions, propylene glycol (PG) and triglycerides, like MCT oil, will be added to the list effective April 1, 2021.

The Commission began examining the impact of non-cannabis additives in the wake of the e-cigarette use-associated lung injury (EVALI) health crisis in mid-2019. During 2020, the OLCC held a series of discussions with cannabis industry stakeholders, public health officials and OLCC cannabis licensees to contemplate an approach for identifying and screening out non-cannabis ingredients added to cannabis products that pose a potential danger to human health. A framework for applying those standards was used to create the rules.

The approved rules will help the Commission protect health and safety by compelling greater ingredient disclosure, and to address both the acute and chronic health effects of additive ingredients when heated and inhaled by specifying the standards for non-cannabis additives being used in inhalable cannabinoid products. Because of the disclosure requirements, licensees and consumers will have greater assurance that any additives used in cannabis vape products were manufactured with the intent that they would be inhaled.

The rules take effect December 22, 2020, and the OLCC on that date will immediately begin accepting label applications under new rules for inhalable cannabinoid products. The Cannabis Tracking System (CTS) will be updated by that time to include a category for designating inhalable cannabinoid products.

Any inhalable cannabinoid products made on or after April 1, 2021, will be subject to the new rules, including no use of PG or MCT and full disclosure of additive ingredients on the item’s label. By April 1, all inhalable cannabinoid products (regardless of manufacture date) must also be tracked in CTS with disclosure of the additive mix used in the cannabinoid product.

From April 1 to July 1, 2021, OLCC recreational marijuana licensees are allowed to “sell down” any inhalable cannabinoid products made before April 1, 2021. Beginning July 1, 2021, all inhalable cannabinoid products in the marketplace must comply with the new rules and standards, and anything that does not comply, regardless of manufacture date, must be destroyed.

The Commission also ratified the following violation fines and suspensions based on stipulated settlements (detailed information on specific cases can be found here on the OLCC website):

SHADOWBOX FARMS (#1467A) will serve an 32-day recreational marijuana producer license suspension OR pay a fine of $5,280 for one violation.

Licensee is: Rogue Valley Group, LLC; Tim Winner, Manager; Artemis Group, LLC, Member; Joseph Bundy, Member; Megan Bundy, Member; Bryan Bundy, Member.

FLOWERSMITH will serve a 14-day recreational marijuana producer license suspension OR pay a fine of $2,310 for two violations.

Licensees are: Flowersmith, LLC; Samuel Felton, Member; Gavin Henner, Member

BLACK MARKET DISTRIBUTION will serve a 69-day recreational marijuana wholesaler license suspension OR pay a fine of $11,385 for three violations.

Licensees are: Black Market Distribution, LLC; Aaron Mitchell, Member; Rosa Cazares, Manager.

COPPERHEAD ORGANIC FARMS will surrender its license at the earlier of the date of transfer of ownership of the business or February 19, 2021 for four violations.

Licensees are: CH Organics, LLC; Corey Tarr, Member; Debra Davis Estate, Member.

OLCC Rules Advisory Committee Meeting – Marijuana Licensing Streamlining Rules Package

***Please note that the meeting begins at 9:30 AM***

OREGON: This past fall the Commission implemented temporary rules to expedite and refine the recreational marijuana licensing process. The proposed amendments integrate a more efficient licensing process and reduce required documentation that must be submitted as part of a license application. Applicants will still be required to satisfy the same substantive requirements to receive a license. The Commission’s proposed rule language that will be discussed can be found here:

Due to the outbreak of COVID-19, we are holding Rules Advisory Committee meetings virtually. Please note that invited committee members and OLCC are the only persons allowed to participate in the discussion. Please be respectful and mute your phone.

 

To listen to the meeting, use the call-in information below;

 

Date and Time:       9:30am – 12:30pm, Wednesday, December 16th, 2020

Location:                 Virtual

 

To listen to the meeting, dial: 1 (571) 317-3122; Access Code: 258-917-013

 

OLCC Identifies Potential Consumer Harm In Some Cannabis Vape Products

Voluntary recall started because non-cannabis additives had undisclosed ingredients

Investigation continues to determine impact across Oregon’s legal cannabis industry

OREGON:  As part of an on-going consumer product safety investigation, the Oregon Liquor Control Commission has identified that marijuana products sold in Oregon’s recreational marijuana market during the last two years contained additives, squalene and squalane, that have been linked to safety concerns similar to Vitamin E Acetate when vaped and inhaled. The OLCC is working to trace products and when necessary remove them from sale. OLCC will be considering immediate action at its December 2020 Commission meeting to prohibit future use of squalene and squalane, institute a mandatory recall of affected products, and create a more stringent and transparent review process of cannabis vaping products going forward.

Recreational retail shops won’t be open until October.

The products under investigation by OLCC contained Viscosity, a non-cannabis diluent manufactured and sold by a third-party (non-OLCC marijuana licensee). Some of the product remains on the market, and the OLCC is working to trace and remove it.

Bulk Naturals LLC., dba True Terpenes, sold Viscosity that solely contained squalene, squalane, and an unidentified olive extract to OLCC recreational marijuana licensees between at least January 2018 and November 2019. Squalene is a “botanically-derived terpene” that can be derived from olives; squalane is the hydrogenated version of squalene. Following OLCC’s confirmation of the presence of squalane in Viscosity via independent laboratory analysis by ChemHistory and SC Labs, True Terpenes has complied with all of OLCC’s requests for information. Viscosity has since been reformulated, and according to True Terpenes, none of their products have contained squalene or squalane since November 2019.

As a result of its investigation the OLCC has identified recreational marijuana licensees that potentially used Viscosity in their products.  Because of their purchase of Viscosity, OLCC has requested additional information from several licensees about products they have manufactured.

One licensee – Oregrown, a vertically integrated cannabis company based in Bend – swiftly provided the requested documentation. Oregrown was the first licensee to confirm its use of the Viscosity formula under investigation, and since then has been working with the OLCC to voluntarily recall the limited amount of its remaining product containing Viscosity. OLCC has provided Oregrown with the information regarding affected items still on the market and their current location.

Oregrown utilized Viscosity in making Oregrown PAX Era D9 Elite style vaping products manufactured on or prior to August 31, 2019. Although Oregrown has reformulated its PAX product to no longer include Viscosity, the previously manufactured items containing the prior Viscosity formula remain in the market. The most recent sales from Oregrown PAX Era D9 Elite products containing this prior Viscosity formula were in October 2020.

In all, between April 2018 and October 2020, 268 OLCC licensed recreational marijuana retailers sold this item.

Consumers can verify the date of manufacture and whether an item they have purchased is subject to this recall. Any Oregrown PAX Era D9 Elite item with the label identification of “2520” and made before August 31, 2019 should be destroyed by the consumer or returned to the retailer where the item was purchased.

The OLCC has found that Oregrown was NOT aware of the contents of Viscosity and didn’t know that it contained potentially harmful ingredients. At the time that Oregrown used Viscosity, the manufacturer, True Terpenes, did not publicly disclose any of Viscosity’s ingredients due to claims of trade secret protections. Oregrown has provided all information that OLCC has requested, and its products complied with OLCC’s labeling rules at the time. OLCC expects that other licensees will act just as swiftly in order to ensure consumer safety by assisting the Commission in identifying and removing these potentially harmful products from the market.

The OLCC has been concerned about the presence of undisclosed ingredients in cannabis vaping products, and during the last year has been examining the use of non-cannabis additives. As part of this review OLCC has gathered evidence that certain additives pose potential danger to consumers.

At the same time the OLCC has suspected that these unhealthy additives had already been introduced into Oregon’s recreational marijuana system without the knowledge of licensees. The OLCC has been investigating the presence of unknown additives in cannabis vape products, which led to OLCC’s independent discovery of squalene and squalane tainted products.

OLCC recently commissioned a study that determined that when exposed to heat, squalene and squalane produce harmful chemicals. It has also been documented that inhaling squalene has been associated with exogenous lipoid pneumonia. Initial evidence about these additives also suggests a potential for consumer harm similar to that already proven about Vitamin E Acetate.

In light of these recent findings, OLCC staff will be proposing two actions at OLCC’s December 17, 2020, Commission meeting. One will be an action that would declare squalene and squalane adulterants; if approved by the Commission, any items in Oregon’s regulated market to which squalene or squalane have been added would be subject to a mandatory public health and safety recall. The second proposed action will be rules regarding cannabis vaping products that have been under development since July 2020; these rules would establish greater transparency and accountability regarding non-cannabis ingredients, like Viscosity, that are used in cannabis vaping products sold in the OLCC system.

OLCC is continuing its investigation into licensees that purchased Viscosity during the relevant time frame in order to confirm whether it was used in any other vaping products that were sold to consumers. If it is determined that other licensees used the prior formulation of Viscosity without proper disclosure on the item’s label, or have withheld information from the OLCC regarding the use of Viscosity, OLCC will pursue compliance action against those licensees as necessary. Additional health and safety recalls may be issued as more information is discovered.

Congressman Blumenauer Statement On Cannabis Reform Legislation Vote

The MORE Act would end the failed federal cannabis prohibition and ensure restorative justice

DISTRICT OF COLUMBIA: U.S. Rep Earl Blumenauer (D-OR), founder and co-chair of the Congressional Cannabis Caucus, released this statement today, following the announcement that the Marijuana Opportunity Reinvestment and Expungement (MORE) Act will be voted on by the U.S. House of Representatives next week: 

“I’ve been working on this issue longer than any politician in America and can confidently say that the MORE Act is the most comprehensive federal cannabis reform legislation in U.S. history. Our vote to pass it next week will come after people in five very different states reaffirmed the strong bipartisan support to reform the failed cannabis prohibition. National support for federal cannabis legalization is at an all-time high and almost 99% of Americans will soon live in states with some form of legal cannabis. Congress must capitalize on this momentum and do our part to end the failed policy of prohibition that has resulted in a long and shameful period of selective enforcement against communities of color.” 

The historic vote – which is expected next week – will mark the first time that the House or the Senate has ever voted as a full chamber on legislation to end the federal cannabis prohibition since it went into effect following the passage of the Controlled Substances Act of 1970.

In addition to decriminalizing marijuana at the federal level, the MORE Act would also expunge federal marijuana convictions and reinvest in communities most adversely impacted by the War on Drugs.     

OLCC discusses COVID Impacts to the Hospitality Industry

Advocates for Industry Support with Legislative Changes

Reaches Settlements over Social Distancing Infractions

OREGON:  The Oregon Liquor Control Commission opened its regular monthly meeting on November 19, 2020, by learning about the slump in Oregon’s brewing industry, which is similar to the impacts felt in other alcohol industry sectors and the hospitality industry as a whole.  A representative from the Oregon Brewers Guild provided an overview of the effect of the COVID-19 pandemic on the brewing industry including: a downturn in sales, the impact of brewers transitioning to canning, and the subsequent cost increases with canning related to overall market shortages in aluminum cans.

Commissioners continued their ongoing discussion about the overall difficulties currently faced by the alcohol industry, especially the bottom-line impact of the freeze period and the issue of “cocktails-to-go.” The OLCC has updated its “Freeze Period” FAQs – find them here on the OLCC website under the COVID-19 Resources tab, click on the Business Continuity Information – Alcohol link.

OLCC alcohol licensees continue to contact staff and individual Commissioners to voice support for allowing licensed bars and restaurants to sell cocktails-to-go, which is currently prohibited by law, and requires action by the legislature to change. Commissioners Kiauna Floyd, Hugh Palcic, Matt Maletis and Jennifer Currin emphasized that the hospitality industry needs to work with Oregon legislators and fellow licensees to change the law; only then will the Commission be able to create rules giving bars and restaurants the privilege to sell cocktails-to-go.

At the same time that the Commission has been working to reduce regulatory and financial burdens on the industry, the OLCC has had to ensure that licensees are following face covering, and social distancing guidelines. That was reflected in settlement agreements with two licensees that had failed to follow those requirements, and received immediate license suspensions.

“I really liked how these were handled,” said Paul Rosenbaum, OLCC Commission Chair “I hope other licensees understand that we’re serious about the enforcement of these regulations.”

The Commission subsequently approved those two alcohol stipulated settlements.

Coos Speedway (L) in Coos Bay, engaged in activity that violated the Oregon Health Authority’s (OHA) Statewide Mask, Face Shield, Face Covering Guidance issued on July 24, 2020, when it failed to require its patrons and employees to wear appropriate face masks, face shields, or face coverings at the premises. The licensee has accepted responsibility and has agreed to serve a 33 day suspension and pay $2,475 civil penalty, in addition to the time served under the order of immediate suspension which ran from August 20, 2020, to October 7, 2020. Licensee is Hwy 42, LLC; Drake Nelson, Managing Member; Kimberly Nelson, Member.

Top of the Bowl (F-COM) in Drain, engaged in activity that violated the Oregon Health Authority’s (OHA) Statewide Mask, Face Shield, Face Covering Guidance issued on July 24, 2020, when it failed to require its patrons and employees to wear appropriate face masks, face shields, or face coverings at the premises. In addition, Licensee engaged in activity that violated OHA’s Phase Two Reopening Guidance for Restaurants and Bars, issued on July 24, 2020, when parties of patrons were not required to maintain at least six (6) feet distance between one another; employees failed to maintain at least six (6) feet distance from patrons while taking orders or providing services; and frequent disinfecting of touch points was not implemented. The licensee has accepted responsibility and has agreed to serve a 50 day suspension in addition to the time served under the order of immediate suspension which ran from September 29, 2020 to November 19, 2020. Licensee is Top of the Bowl, LLC, and Jamie Hennricks, Managing Member.

The Commission also approved one alcohol stipulated settlement licensing agreement.

Craving Cave (F-COM) in Ashland, since 2015, Applicant has been convicted of seven motor vehicle violations. In the absence of a restriction, the violations would provide a basis for denial of the F-COM application. Under the proposed settlement agreement, Applicant agrees to accept a restriction on the license, stating that Applicant will not be convicted of driving while suspended, driving uninsured, operating a vehicle without driving privileges, driving in violation of restrictions, or a similar conviction, in the State of Oregon or in any other state. Applicant is Cravingcave, LLC; Adrian Gonzalez Hernandez, Managing Member.

OLCC Approves Recreational Marijuana License Stipulated Settlements

Receives updates on Portland’s Cannabis Equity program, Voter-approved ballot measures

OREGON:  At its regular monthly meeting on November 19, 2020, the Oregon Liquor Control Commission approved eight recreational marijuana license stipulated settlements. Additionally, the City of Portland’s Cannabis Policy Oversight Team (CPOT) provided the Commission with an update on the Portland Cannabis Program.

CPOT reviewed its efforts to make equity the center of all decision-making efforts related to cannabis regulation, including ensuring that patients should have access to cannabis for medicinal purposes. CPOT is also reworking its cannabis grant program to focus on distributed funding to BIPOC recipients.

OLCC staff provided assessments of how two ballot measures approved by Oregon voters earlier this month could impact the agency.

Measure 109, which establishes a program for the therapeutic use of psilocybin mushrooms directs the Oregon Health Authority (OHA) to enter into an agreement with the OLCC to use the state’s Cannabis Tracking System (CTS) to prevent psilocybin diversion from therapy program. OLCC has initiated conversations with its CTS vendor the OLCC has deferred further action, until OHA currently busy with pandemic can begin implementing the program.

One provision of Measure 110 reclassifies some drug convictions which will impact the evaluation process of OLCC licensee and permitee applicants. Currently the OLCC rarely makes a license or permit decision based solely on drug convictions, but there are differences between the OLCC’s alcohol and recreational marijuana licensing and permitting criteria that will now be reconciled; this might require the OLCC to enter into rulemaking.

The Commission also ratified the following violation fines and suspensions based on stipulated settlements (detailed information on specific cases can be found here on the OLCC website):

LA MOTA (#28CC) in Portland will serve an 18-day recreational marijuana retailer license suspension OR pay a fine of $2,970 fine for two violations.

Licensee is: La Mota, LLC, Co-Licensee; Aaron Mitchell, Member; Rosa Cazares, Co-Licensee.

VIBRANT HIGHS will surrender its marijuana processor license suspension for one violation.

Licensees are: OGX, LLC; Paul Luttrell, Member; Jonathan Showker, Member; Kathy Cook, Member.

 LA MOTA FRONT AVE in Portland will serve a nine-day recreational marijuana retailer license suspension OR pay a fine of $1,485 fine for one violation.

Licensees are: La Mota Front Ave, LLC, Co-Licensee; Aaron Mitchell, Member; Rosa Cazares, Co-Licensee.

EVIO LABS MEDFORD in Medford will surrender its recreational marijuana laboratory license suspension for four violations.

Licensees are: Smith Scientific Industries, Inc.; Anthony Smith, President/Director/Stockholder; William Waldrop, Secretary/Director; EVIO, Inc., Stockholder; Lori Glauser, Director/Stockholder; William Waldrop, Director/Stockholder.

MR NICE GUY RETAIL in Corvallis will serve a 10-day recreational marijuana retailer license suspension OR pay a fine of $3,630 fine for two violations.

Licensees are: MNG Holdings, LLC; Michael NG, Member; Patrick Martin, Member.

MR NICE GUY RETAIL in Salem will pay a fine of $280 for one recreational marijuana retailer license violation.

Licensees are: MNG Holdings, LLC; Michael NG, Member; Patrick Martin, Member.

NECTAR in Salem will serve a seven-day recreational marijuana retailer license suspension OR pay a fine of $1,155 fine for two violations.

Licensees are: Nectar Markets, LLC; Nectar Holdings, Inc., Member; Jeremy Pratt, President/Director/Stockholder; Jeffrey Johnson, Vice-President; Michael Olson, Secretary/Treasurer.

ALBION FARMS will serve an 18-day recreational marijuana producer license suspension OR pay a fine of $2,970 fine for two violations.

Licensees are: MediRec, LLC; Vandaly Industries, Inc., Member; Eric Buckner, President.

OLCC Notice of Public Hearing: Marijuana Additives

Notice of Public Hearing: Marijuana Additives

Date and Time:      Monday, November 16, 2020, 2:00 – 3:00 p.m.

 

Location: Virtual Meeting and via Telephone

To listen to, or participate in, this Public Hearing please call: 1 (571) 317-

3112 and enter access code: 497-665-445#

 

In order to offer oral comment, please email: OLCC.rulemaking@oregon.gov, no later than 9:30 am on Monday, November 16, 2020. The hearing will end at 2:15 pm, if no interested parties have emailed to offer comment by 9:30 am; or 5 minutes after the last oral comment has been recorded into the record.

 

Presiding Officer:  Madeline Kane

Phone: 503-801-5322

Email: olcc.rulemaking@oregon.gov

 

Notice of Proposed Rule-making, including Statement of Need and Fiscal Impact

This rule package updates the requirements for inhalable cannabinoid products that use non-cannabis additives. The rules are being amended to address technical fixes, define and clarify the requirements for non-cannabis additives in inhalable cannabinoid products, and require more transparent ingredient labeling in order to better enable informed choice by consumers. These rules are intended to reinforce the Oregon Liquor Control Commission’s ability to protect public health and safety, by specifying the standards for non-cannabis additives being used in inhalable cannabinoid products related to disclosure of ingredients and declarations of intended use.

 

All written comments must be received by 5:00 p.m. on Monday, November 23, 2020.

Oregon: OLCC Commission Greenlights Solution For Streamlining License Applications

Commission supports “fix-it ticket” approach for minor compliance violations

Marijuana license stipulated settlements approved

OREGON: At its regular monthly meeting on October 15, 2020, the Oregon Liquor Control Commission moved forward with plans to streamline the agency’s recreational marijuana licensing process and adjust compliance and enforcement activity through a Verification of Compliance (VOC) program. The Commission also approved five marijuana violation stipulated settlement agreements.

OLCC has been challenged to timely issue marijuana licenses since April 2016, due to the continued interest in the recreational market. Personnel and technology support have not kept pace with license applications that quickly shot past the initial projection of 800 licenses and now number more than 2,300.

As the industry has matured, the agency’s ability to regulate it has evolved and the OLCC has modified its licensing process several times in an attempt to streamline. This latest licensing process adjustment attempts to make it easier for applicants to begin operating before the final approval of changes in ownership and financial interest changes in a licensed business.

Likening the existing license process to a freeway that squeezes from 10 lanes down to two, the Chair of the Commission cautioned that efficiencies made through continuous adjustments to the licensing process would not be enough to address the long term licensing challenge.

“We’re not kidding ourselves, if we don’t get the manpower, the back end is going to be two lanes regardless of the ten lanes up front,” said Paul Rosenbaum, OLCC Chair. “If we don’t get the budget, we’re not going to solve this issue.”

For now, this licensing catch-up attempt will be similar to past efforts where staff were reallocated to the licensing division. Under this push to catchup, 16 OLCC staff members will be temporarily reassigned to licensing.

In addition to approving a temporary rule allowing the license process change, the Commission also initiated the permanent rulemaking process, which will expand the scope of the streamlining, as well as provide an opportunity for industry input.

The Commission also initiated the permanent rule making process for the new Verification of Compliance (VOC) program. The VOC program, which launched October 1, 2020, provides licensees with an opportunity to fix problems and avoid more severe penalties.

See Recreational Marijuana Program Compliance Education Bulletin 2020-05 for more information on the Verification of Compliance program.

The Commission also ratified the following violation fines and suspensions based on stipulated settlements (detailed information on specific cases can be found here on the OLCC website):

GREENRIDGE AGRONOMY will serve a 65-day recreational marijuana producer license suspension OR pay a fine of $5,775 AND serve a 30-day license suspension cfor six violations.

Licensee is: GreenRidge Agronomy, LLC; Stanley Tamiyasu, Member; Brandon Pierson, Member.

HEALING GREEN DISPENSARY in Independence will surrender its marijuana retailer license suspension for two violations.

Licensees are: Healing Green, LLC; Michael Hecht, Member.

KAYA FARMS (#A8DF) will surrender its recreational marijuana processor license suspension for two violations.

Licensees are: Sunstone Marketing Partners, LLC; Robert Frey, Member/Manager.

KAYA FARMS (#035C) will surrender its recreational marijuana producer license suspension for three violations.

Licensees are: Sunstone Marketing Partners, LLC; Robert Frey, Member/Manager.

UPMQUA GREEN CROSS in Roseburg will surrender its recreational marijuana retailer license suspension for seven violations.

Licensees are: Umpqua Green Cross, LLC; Edward Allen, Member.