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You are here: Home / Archives for legal cannabis industry

As Pot Shop Smash-and-Grab Robbery Spree Terrorizes West Coast, States Forced to Fend for Themselves With New Laws

March 18, 2022 by MJ News Network Leave a Comment

By Scott Solomon

CALIFORNIA: On the West Coast, we have been living through several months of smash-and-grab robberies that have disproportionately targeted cannabis businesses – because they are forced to operate as cash-only businesses due to the continued federally illegal status of marijuana.

Local police have apparently at times been caught on tape reluctant to intervene in these robberies, and the looters are more than clear that these pot shops have piles of cash on hand. These cannabis businesses are powerless to change beyond out-of-date federal cannabis laws, and Congress continues to sit on the sidelines watching these violent lootings while still failing to pass the SAFE Banking Act – despite the bill passing the House six times.

I was delighted to see the SAFE Banking Act’s author, Rep. Ed Perlmutter (D-CO) vow to “be a real pest” until the Senate passes the banking reform bill. I hope that he does.

While I am an ardent supporter of the sweeping social equity reforms put forth by leaders in the Senate, it’s time for Congress to stop sitting on their hands and pass legislation that will grant cannabis businesses access to safe and available banking services, and end government penalties for banks doing business with companies that handle “federally illegal” products and services.

A recent poll found that 65 percent of Americans support allowing cannabis businesses access to traditional banking services, such as a checking account or a business loan, in states where cannabis is currently legal. There are also a multitude of financial institutions that are currently banking with MRBs and actively opening accounts every day. So the American people get it, while Congress apparently does not.

While the SAFE Banking Act will not have a direct impact on smash and grab robberies, its enactment has the potential to create more banking and payment options for these businesses. There are measures that Congress can take to end stigmas about the industry and help companies do business in a more stable banking environment.

States Fend for Themselves

After the spree of smash-and-grab robberies at cannabis businesses that have rocked the West Coast, the Washington state senate passed a bill to increase penalties for pot shop robberies. While the spree of robberies was largely centered in Oakland and San Francisco, they stretched all the way up and down the West Coast of the US, even stretching as far north as into Canada. It is increasingly important that bills similar to these are passed, because even if federal banking is made available and the cash is removed, cannabis retailers will still be a target as their product is valuable both from a consumption and a black market perspective.

While it may be regrettable for states to scramble for their own answers and pass a patchwork of different state laws trying to resolve a dangerous working environment for cannabis businesses – it may be necessary for as long as the Feds stay on the sidelines.

Rep. Perlmutter has shared with cannabis trade media outlets that on the federal level, conversations are happening behind the scenes between Perlmutter’s office and key Senate leadership, including Senate Majority Leader Chuck Schumer’s (D-NY) office and Sen. Cory Booker’s (D-NJ) office, to try to get the SAFE Banking Act passed. Rep. Perlmutter has blamed both senators’ offices previously for the Senate not passing the banking legislation, and Sen. Booker once said he would “lay himself down” to prevent banking legislation from passing ahead of comprehensive legalization.

Those talks are focused on including the social equity provisions needed to win support in the Senate and get the bill passed at last. Social equity provisions include measures to release nonviolent cannabis offenders from prison, who frequently come from predominantly Black and Brown communities.

While these social equity reforms are also needed and overdue for the industry, it’s also well past due time that Congress at least grant cannabis businesses access to banking services – as they continue to face attacks that continue to capitalize on how vulnerable the infant industry remains.


Scott Solomon is the CEO at Operational Security Solutions (OSS)


FREE CANNABIS INDUSTRY PANEL DISCUSSION “Protecting Your Legal Cannabis Business” March 24th, 2022 Redmond, WA



Filed Under: Business, Homepage Tagged With: CA, California, Chuck Schumer, Cory Booker, Earl Perlmutter, legal cannabis industry, MJ Legal News, mjnews, MJNews Network, Operational Security Solutions (OSS), OSS, SAFE Banking Act 2022, safety, Scott Solomon, security, social equity, the business of cannabis, West Coast Cannabis

New Rules for Oregon’s Hemp & Marijuana Industries

January 20, 2022 by MJ News Network Leave a Comment

New rules regulating Oregon’s hemp and licensed marijuana industries took effect January 1st.

Since the start of the new year the Oregon Liquor and Cannabis Commission has fielded a lot of questions about what those rules mean, and what OLCC marijuana licensees and Oregon Department of Agriculture registered hemp growers and handlers need to do to make sure they’re compliant with the new regulations.

To provide answers the OLCC is producing a series of information modules to explain how to implement and comply with the rules the Commission adopted on December 28, 2021. The presentations will cover a range of information related to: marijuana edible limits, license privileges, hemp concentration limits, artificially derived cannabinoids and expanded retailer home delivery.

The OLCC is asking hemp and marijuana industry stakeholders to contribute to the content creation of the presentations by submitting questions they want answered about the new rules. You can use this form to send us your questions.

OLCC will use the questions collected through this form to develop the pre-recorded content. The episodes will be available for viewing on-demand on the OLCC YouTube page in early February, 2022.

Link to form: (Ask) Questions for 2022 Marijuana Rule Presentations

Please submit questions no later than 5 PM on Wednesday, January 26, 2022

 

Filed Under: Homepage, Legal, Recreational Tagged With: cannabis, cannabis news, Hemp, Hemp News, legal cannabis industry, MJlegal news, MJLegal Neww, mjnews, mjnewsnetwork.com, OLCC, OR, Oregon

WSLCB Prohibits Conversion of CBD to Delta-8 THC; Purchase or Sale of Hemp-derived Delta-8 THC

September 8, 2021 by MJ News Network Leave a Comment

To:               Cannabis Industry Members

From:           Chandra Brady, Enforcement and Education Div. Director

Subject:      Prohibited: conversion of CBD to delta-8 THC; purchase or sale of hemp-derived delta-8 THC

Enforcement Bulletin 21-03

This bulletin is offered in response to stakeholders who have requested additional guidance regarding delta-8 THC following the release of LCB Policy Statement #PS21-01 on April 28, 2021.

Policy Statement # PS21-01, Tetrahydrocannabinol (THC) compounds other than delta-9 and the conversion of CBD, hemp, or both to delta-8 THC, delta-9

THC, or any other cannabis compound that is not currently identified or defined in the Revised Code of Washington (RCW), the Washington Administrative Code (WAC), or both.

Policy Statement #PS21-01 referenced that under RCW 69.50.204, delta-8 THC and synthetic equivalents are Schedule 1 controlled substances. Under current law, marijuana license holders are not allowed to produce or process delta-8 THC. Likewise, marijuana licensees may not buy or sell hemp-derived delta-8 THC. Engaging in this activity is a violation of the Uniform Controlled Substances Act (RCW 69.50.401).

What does this mean for licensees?

  • Processors are not allowed to convert CBD or hemp into delta-8 THC.
  • Processors are not allowed to buy or sell delta-8 THC products not legally produced.
  • Retailers should not knowingly purchase products from processors which contain delta-8 THC converted from CBD. Nor should retailers sell such products to consumers. 

How will WSLCB Enforcement and Education staff approach this in the field?

The Enforcement and Education team will approach this from an education-first perspective so we can help licensees achieve compliance. Our team has several tools to use to help; communication, basic education, administrative holds, warnings, notices to correct. If we identify licensees who are knowingly and intentionally violating rules and law or licensees who do not demonstrate a desire to achieve compliance, we will take appropriate enforcement action.

Are there any exceptions?

There are no exceptions.

If you have any questions, please contact your assigned compliance consultant or enforcement officer.

Filed Under: Business, Growers, Homepage Tagged With: delta-8 THC, Hemp, legal cannabis industry, MJlegal news, mjnews, the business of cannabis, WA, Washington, WSLCB

Trulieve Becomes First MSO to Launch Clone Sales in Massachusetts

August 19, 2021 by MJ News Network Leave a Comment

Company successfully launches cannabis clone sales, emphasizing support of home grow for Massachusetts residents and expanding product variety in Northampton location

FLORIDA:  Trulieve Cannabis Corp., a leading and top-performing cannabis company in the United States, today announced it has successfully launched a pilot program selling its premium-quality cannabis clones at its Northampton, MA dispensary, in accordance with state law. This marks a significant first-to-market entry for the Company, where it is now the only multi state operator (MSO) to provide home growers with its products in the form of consistent, healthy, top-tier plants.

“Trulieve supports home grow initiatives in Massachusetts and we are excited to offer our top-tier genetics to those who would prefer to grow their own cannabis plants at home,” said Kim Rivers, CEO of Trulieve. “We’re delivering on our promise to meet cannabis consumers wherever they are in their level of experience, as well as our commitment to expanding access to the plant as we continue to grow in the Massachusetts market.”

At the time of program launch, Trulieve is releasing a limited amount of its Chocolope NewBerry Sativa strain, which can be ordered online through the Company’s Northampton location website and will be available for in-store pickup at 216 North King Street, Northampton, MA beginning Friday, August 20. Clones will be sold in packs of three and sales limited to one per customer during the initial launch phase. In the future, the Company plans to offer different strains based on consumer feedback and will expand clone availability across its Massachusetts locations.

For citizens of Massachusetts interested in home grow, the launch of Trulieve’s clone program represents a new opportunity to access the highest-quality genetics in a ready-to-grow format and ensures clone consistency and quality not previously available in the state. Cannabis clones carry the exact same genetic potential as their mother plant and will have similar cannabinoid and terpene profiles when grown properly. When clones are selected from healthy, high-quality mother plants, they also inherit their vigor, and natural resistance to mold, mildew, and pests.

For further information on the Massachusetts home grow program, please see the guidance document provided by the Cannabis Control Commission and refer to the home cultivation section of the Commission’s website.

Filed Under: Business, Dispensaries, Homepage Tagged With: Cannabis Control Commission, cannabis industry news, clones, Kim Rivers, legal cannabis industry, MA, Mass, Mass Cannabis Control Commission, mjnews, MJNews Network, MSO, the business of cannabis, the business of marijuana, Trulieve

LCB Board Action: Adoption of Final Rules (Cannabis Vitamin E Acetate)

July 22, 2021 by MJ News Network Leave a Comment

Details of July 20, Cannabis Plant Chemistry Public Session

WASHINGTON:  Yesterday (7/21/21), during a regularly scheduled meeting, the Washington State Liquor and Cannabis Board took the following action:

Adopted final rules (CR 103) to permanently cross-reference the Washington State Board of Health (SBOH) vitamin E acetate prohibition in cannabis processor and retailer rules. The rules take effect August 21, 2021. 

  • Concise Explanatory Statement
  • Memorandum
  • Rules – WSR 21-15-124

A second Deliberative Dialogue on Cannabis Plant Chemistry was held July 20, 2021. To learn more about the session, references, notes and a link to the session recording are included below.

  • Agenda
  • GovDelivery Message
  • Deliberative Dialogue Guidance
  • Recording: July 20, 2021, Deliberative Dialogue Session 2 Concerning Evaluation of THC Compounds Plant Chemistry Perspectives
  • Chat
  • Powerpoint Presentation

Filed Under: Homepage, Legal Tagged With: Cannabis Plant Chemistry, Cannabis Vitamin E Acetate, legal cannabis industry, Marijuana Additives, MJlegal news, mjnews, MJNews Network, non-cannabis additives, the business of cannabis, the business of marijuana, vapes, Vitamin E acetate, WA, Washington State Liquor and Cannabis Board, WSLCB

New Jersey Cannabis Regulatory Commission Meeting April 22, 2021

April 22, 2021 by MJ News Network Leave a Comment

New Jersey Cannabis Regulatory Commission Meeting 

Where: Zoom Meeting

When: Thursday, April 22, 2021 – 3:00 PM

The order in which the agenda items are called may deviate from the sequence set forth herein. Unless otherwise indicated, formal action may be taken on any items listed herein.

To participate in the public comment portion of the meeting, you must sign up by sending an email with your full name and phone number to MMPQuestions@doh.nj.gov. Please include “April 22 Meeting Public Comment” in the subject line. A full name and phone number are required in order for the CRC to identify and call on speakers during the meeting.  Requests to speak for this meeting must be received by 12 PM on April 22.  To accommodate as many speakers as possible, speakers will be limited to 3 minutes.

The public may also submit comments before, during, or after the meeting in writing to MMPQuestions@doh.nj.gov. Please include “April 22 Meeting Public Comment” in the subject line.

Agenda

  1. Call to order
  2. Notice of public meeting
  3. Roll call
  4. Chair’s remarks
  5. Executive session The Commission will discuss litigation and interagency contract negotiations. The executive session is expected to last 30 minutes.
  6. Approval of previous meeting’s minutes
  7. Annual meeting schedule
  8. Executive Director’s report
  9. For discussion only: Interim medical cannabis testing standards for laboratories pursuant to N.J.S.A. 24:6I-19 Public comments will be accepted on this agenda item during the public comment period.
  10. Authorizing to the Executive Director pursuant to N.J.S.A. 24:6I-24 to enter into Memorandum of Agreement with Department of Health on behalf of the Commission concerning staff, technology, and administrative support for the Commission.
  11. Authorizing to Department of Health pursuant to N.J.S.A. 24:6I-24 to provide criminal background checks and other functions on behalf of Commission during agency transfer.
  12. Public comment
  13. Adjournment

Filed Under: Events, Homepage Tagged With: A21 – “The New Jersey Cannabis Regulatory Commission, cannabis industry meeting, legal cannabis industry, mjnews, MJNews Network, New Jersey, New Jersey CRC, NJ, the business of cannabis

How Big Is Legal Cannabis In Colorado?

December 14, 2020 by MJ News Network Leave a Comment

MED Resources and Statistics

As of December 1, 2020

Medical Marijuana Business License Numbers:

  • 663 Cultivations
  • 6 Delivery (Permits)
  • 7 Operators
  • 216 Product Manufacturers
  • 1 Development and Research Cultivation
  • 431 Stores
  • 11 Testing Facilities
  • 6 Transporters

 Retail Marijuana Businesses License Numbers:

  • 712 Cultivations
  • 3 Hospitality
  • 9 Operators
  • 288 Product Manufacturers
  • 604 Stores
  • 12 Testing Facilities
  • 12 Transporters

Individual Licensees:

  • 185 Owner Entities
  • 1,726 Business Owners (Natural Person)
  • 39,653 Employee Licensees

MED Licensee Demographic Data

Filed Under: Business, Homepage Tagged With: 2020 Colorado Cannabis, cannabis industry news, Colorado, Colorado cannabis, Colorado Department of Revenue., Colorado Marijuana, legal cannabis industry, MED, mjnews, mjnewsnetwork.com, the business of cannabis

Aphria Announces Record Adult-Use Cannabis Gross Revenue in First Quarter Fiscal Year 2021

October 15, 2020 by MJ News Network Leave a Comment

Sixth Consecutive Quarter of Positive Adjusted EBITDA

CANADA: Aphria Inc. announced record adult-use cannabis gross revenue in first quarter fiscal year 2021 and sixth consecutive quarter of positive adjusted EBITDA.

Net Cannabis Revenue Increased 103% from Prior Year Quarter.  Adjusted EBITDA from cannabis business of $10.4 million increased 11% from prior quarter. Cash cost per gram remained below $1.00 and decreased for the fourth consecutive quarter to $0.87

Key Operating Highlights – First Quarter Fiscal 2021

  • Record gross revenue for adult-use cannabis of $69.6 million in the first quarter, an increase of 23% from prior quarter and the sixth consecutive quarter of growth.
  • Net cannabis revenue of $62.5 million in the first quarter, an increase of 103% from prior year quarter.
  • Net revenue of $145.7 million in the first quarter, an increase of 16% from prior year quarter and decrease of 4% from prior quarter, solely due to lower distribution revenue driven by the COVID-19 global health crisis.
  • Cash cost to produce dried cannabis per gram of $0.87 in the first quarter, a decrease of 1% from the prior quarter, and decreased for the fourth consecutive quarter.
  • Adjusted EBITDA from cannabis business of $10.4 million in the first quarter, an increase of 11% from the prior quarter.
  • Adjusted EBITDA of $10.0 million in the first quarter, an increase of 17% from the prior quarter.
  • Ended first quarter with a strong balance sheet and liquidity, including $400.0 million of cash and cash equivalents to fund planned Canadian and International growth.
  • Aphria transferred its stock exchange listing from the New York Stock Exchange to The Nasdaq Global Select Market (“Nasdaq”) on June 8, 2020. This transition did not impact the Company’s primary listing on the Toronto Stock Exchange (TSX: APHA).
  • Filed Prospectus supplement for $100 million (USD) At-the-Market program (“ATM Program”) on July 29, 2020 which the Company plans to use for acquisition opportunities.
  • Good Supply and P’tite Pof launched large-format SKUs, and launched new brand B!NGO, a large format, economy brand utilizing lower potency cannabis.

 Subsequent Events

  • Aphria entered into a Strategic Supply Agreement with Canndoc Ltd. (“Canndoc”), a subsidiary of InterCure Ltd., (TASE: INCR/INCR.TA), one of Israel’s largest and most established medical cannabis producers on August 4, 2020.
  • Liquidated the convertible note receivable from HydRx Farms Ltd.
  • Company completed its first certified European Union Good Manufacturing Practices (“EU GMP”) shipment of dried flower from its Aphria One EU GMP facility to CC Pharma, a leading distributor of pharmaceutical products to more than 13,000 pharmacies in Germany.

Key Financial Highlights
(In thousands of Canadian dollars)

Revenue Overview
Source: Aphria Inc. August 31, 2020 MD&A1 [1]
Net revenue for the three months ended August 31, 2020 was $145.7 million, an increase of 16% from $126.1 million in the same period last year. First quarter fiscal year 2021 net revenue was 4% lower when compared to the prior quarter net revenue of $152.2 million, as significant increases in net cannabis revenue were offset by lower distribution revenue at CC Pharma in Germany.  The decline in distribution revenue is largely a function of the impacts of the COVID-19 global health crisis, including a reduction in the number of elective medical procedures and in-person visits to physicians and pharmacies

The average retail selling price of medical cannabis, before excise tax, increased to $7.38 per gram in the quarter, compared to $6.63 in the prior quarter. The average selling price of adult-use cannabis, before excise tax, decreased to $4.15 per gram in the quarter, compared to $5.23 per gram in the prior quarter, primarily as a result of the initial pipeline fill of new large format offerings, including the introduction of B!NGO, an economy brand utilizing lower potency cannabis.

Adjusted cannabis gross profit for the first quarter was $31.5 million, with an adjusted cannabis gross margin of 49.7%, compared to $28.1 million and 52.9% in the prior quarter. The increase in adjusted cannabis gross profit and decrease in adjusted cannabis gross margin was primarily due to the release of large format products and the pipeline fill for B!NGO, our economy brand utilizing lower potency cannabis, which provided an increase in sales but at lower margins than the Company’s other branded products.

Adjusted distribution gross profit for the first quarter was $11.8 million, with an adjusted distribution gross margin of 14.4%, compared to $11.9 million and 12.1% in the prior quarter. The decrease in adjusted distribution gross profit was a result of the previously discussed decline in distribution revenue at CC Pharma in Europe.  The increase in the gross margin was a function of sales mix and improved cost management at CC Pharma in the quarter.

Selling, general, and administrative costs in the quarter increased to $54.4 million from $116.6 million in the prior quarter, and increased from $41.4 million in the prior year. The increase from the prior year was primarily due to increased operating costs associated with increased global operations and increased selling costs associated with our higher sales.

Net loss for the first quarter of fiscal year 2021 was $5.1 million, or a loss of $0.02 per share, compared to net loss of $98.8 million, or a loss of $0.39 per share in the prior quarter, and net income of $16.4 million, or $0.07 per share for the same period last year.

Adjusted EBITDA increased by $1.4 million to $10.0 million for the first quarter compared to $8.6 million in the prior quarter. Adjusted EBITDA from the cannabis business for the first quarter was $10.4 million compared to $9.4 million in the prior quarter. The adjusted EBITDA loss from businesses under development for the first quarter was $2.8 million compared to a loss of $2.7 million in the prior quarter. Adjusted EBITDA from distribution business for the first quarter was $2.4 million, compared to $1.9 million in the prior quarter.

Since establishing its US$100 million  ATM Program on July 29, 2020, the Company has not drawn on the program.

The Company ended the first quarter with a strong balance sheet, including $400.0 million of cash and cash equivalents.

READ ON APHRIAINC.COM

Filed Under: Business Tagged With: adult-use cannabis, Aprhria, First Quarter 2020, legal cannabis industry, mjnews, mjnewsnetwork.com, the business of cannabis, the business of marijuana

California Cannabis Licensing Authorities File Civil Action Against Vertical Bliss (Kushy Punch) For Unlicensed Activity

September 30, 2020 by MJ News Network Leave a Comment

CALIFORNIA:  The Bureau of Cannabis Control and California Department of Public Health (CDPH) announced today the filing of a complaint seeking civil penalties from Vertical Bliss, Inc. also known as Kushy Punch and related people for unlicensed commercial cannabis activity. The complaint was filed on September 23, 2020 by the California Office of the Attorney General in Los Angeles County Superior Court.

The complaint alleges that Vertical Bliss conducted unlicensed operations on an undisclosed premise in Canoga Park, California, and inverted illegally manufactured product back into the regulated market. On October 2, 2019, in response to tips about illegal manufacturing and distribution of cannabis goods, the Division of Investigation executed search warrants at the unlicensed Canoga Park location. The search revealed significant quantities of cannabis concentrates, edibles, vape cartridges and raw materials. Seized records document the production of more than 3.3 million Kushy Punch brand gummies during an 18-month period, with an estimated value of $64 million.

Vertical Bliss simultaneously held cannabis manufacturing and distribution licenses for a premises located in Chatsworth, California. These licenses were revoked, following the discovery of the unlicensed operations.

The Medicinal and Adult-Use Regulation and Safety Act (MAUCRSA) establishes strict requirements for the cannabis market and products, including requiring a state license and local approval for every premises where commercial cannabis activity is conducted. Manufacturing, distributing or selling cannabis goods without a state license or at a location that is not licensed is a violation of state law. A person engaging in commercial cannabis activity without a license is subject to civil penalties of up to three times the amount of the license fee for each day of operation.

To file a complaint regarding illegal cannabis activity, click here – Enforcement Online Services.

Filed Under: Homepage, Legal Tagged With: Bureau of Cannabis Control, CA, California, California licensing authority, CDPH, Kushy Punch, legal cannabis industry, MJBiz, mjlegal, MJlegal news, mjnews, mjnewsnetwork.com, the business of cannabis, the business of legal marijuana, the business of marijuana, The Medicinal and Adult-Use Regulation and Safety Act (MAUCRSA

ILLINOIS: IDFPR Announces Approval Of Permanent Rules For Conditional Adult-Use Cannabis Dispensary Licenses Tie-breaking Process

August 17, 2020 by MJ News Network Leave a Comment

Illinois Joint Committee on Administrative Rules Approves Tiebreaker Rules; Dispensary Licenses to be Issued in Coming Weeks

ILLINOIS: The Illinois Department of Financial and Professional Regulation (IDFPR) announced today that permanent rules have been adopted for adult use cannabis dispensary licensees to be selected when there are two or more applicants in the same Bureau of Labor Statistics Regions with tied high scores. The rules, which were filed in June, may be found here.

The approval of these rules allows IDFPR to move forward in awarding the 75 conditional adult use cannabis dispensary licenses that were authorized by the 2019 Cannabis Regulation and Tax Act. Consistent with the new rules, IDFPR will provide a public notice announcing the applicants with tied high scores who, if they meet the requirements in the rules, may participate in the selection process for a conditional license.

“We are pleased that these rules have been adopted, and we remain unwavering in our commitment to ensuring these licenses are issued in a fair and objective way that implements Illinois’ equity-centric law,” said Toi Hutchinson, Senior Advisor for Cannabis Control to Gov. Pritzker. “Additional licenses will be made available in the coming years and these rules will help ensure a strong foundation is established for the licensing process in the future.”

Once IDFPR awards a conditional license, the licensee will have 180 days to find a location within its BLS Region to operate. A license to operate cannot be issued if the location is within 1,500 feet of an existing licensed dispensing organization. More about the awarding of the conditional adult use dispensing organization licenses may be found under 410 ILCS 705/15-25 and 15-30 of the Cannabis Regulation and Tax Act.

In addition, application scoring for craft grower, infuser and transporter licenses is being finalized, and the Illinois Department of Agriculture will announce award dates in the near future.

Filed Under: Legal, Medical Marijuana Tagged With: adult-use cannabis, cannabis news, Cannabis regulation and tax act, changing attitudes 2020, IDFPR, IL, ILL, Illinois, legal cannabis industry, legal dispensary, mjnews, mjnewsnetwork.com, the business of marijuana

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