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California Attorney General Bonta Announces Eradication of Nearly One Million Cannabis Plants as Part of Interagency Effort to Combat Illegal Market

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CALIFORNIA:  California Attorney General Rob Bonta today announced the eradication of nearly one million illegally cultivated cannabis plants and the seizure of more than 200,000 pounds of illegally processed cannabis as part of the California Department of Justice’s annual Campaign Against Marijuana Planting (CAMP) program. Since 1983, this 13-week program has eradicated more than 33 million illegal cannabis plants. Beginning this fall, this seasonal eradication program will transition into a year-round task force. The Eradication and Prevention of Illicit Cannabis (EPIC) task force will allow the California Department of Justice (DOJ) to build out its cannabis enforcement work and investigate and prosecute civil and criminal cases with a focus on environmental, economic, and labor impacts from illegal cultivation.

“California has the largest safe, legal, and regulated cannabis market in the world, but unfortunately illegal and unlicensed grows continue to proliferate,” said Attorney General Rob Bonta. “The California Department of Justice’s CAMP task force works tirelessly each year to eradicate illegal grows and reclaim our public lands, but shutting down these grows is no longer enough. With the transition to EPIC, we’re taking the next step and building out our efforts to address the environmental and economic harms and labor exploitation associated with this underground market. I want to thank all our local, state, and federal partners for their longstanding collaboration on CAMP and ongoing commitment to tackle this problem through the EPIC task force.”

“Collaboration is one of our best defenses in combatting illicit cannabis grows. Our continued partnership with the multiagency CAMP program aligns with our core mission to protect California’s native plants, fish and wildlife,” said David Bess, Deputy Director and Chief of the Law Enforcement Division for the California Department of Fish and Wildlife. “Additionally, removing untested and potentially harmful cannabis products from the illicit market, helps the regulated cannabis market succeed, while providing another layer of public safety.”

“Illegal cultivation of marijuana on public lands continues to be a major problem for California. These illegal operations have a devastating impact on our environment and the health and safety of communities and public land users,” said Karen Mouritsen, California State Director for the Bureau of Land Management. “The BLM is proud to be a part of CAMP’s federal, state and local law enforcement partnership and its mission to protect our public lands and maintain public safety.”

“CAMP and the cooperative efforts of our local, state, and federal law enforcement partners play a vital role in sustaining the health, diversity, and productivity of public lands,” said Dylan Ragan, Special Agent in Charge of the Bureau of Land Management’s Office of Law Enforcement and Security in California. “Working together, we bring a whole government approach to combating the damage caused by illegal marijuana cultivation on public lands. This cultivation threatens public lands by introducing dangerous pesticides, unlawfully diverting waterways, and involving drug trafficking organizations.”

“The USDA, Forest Service, Law Enforcement and Investigations (USDA, FS, LEI) has been a partner in the CAMP program for the entirety of its nearly 30-year history,” said Jeff Sadowski, Assistant Special Agent in Charge – Aviation and Special Operations, U.S. Forest Service. “The USDA, FS, LEI looks forward to a similarly exemplary relationship with the new EPIC program in continuing to pursue those who would damage our public lands through the illicit production of marijuana.”

Over the course of the 2022 season, CAMP teams operating in Northern, Central, and Southern California, conducted 449 operations, recovered 184 weapons, and removed nearly 67,000 pounds of cultivation infrastructure, including dams, water lines, and containers of toxic chemicals, such as carbofuran, methyl parathion, aluminum phosphate, zinc phosphide, and illegal fertilizers. Carbofuran, in particular, poses untold risks to public health. A lethal insecticide that is effectively banned in the United States, carbofuran remains on plants after application and seeps into soil and nearby water sources. Just a quarter teaspoon of carbofuran can kill a 600-pound lion.

In 2022, CAMP operations were conducted in the following 26 counties:

  • Mendocino: 18 sites, 190,018 plants eradicated
  • Riverside: 77 sites, 159,287 plants eradicated
  • San Bernardino: 41 sites, 138,815 plants eradicated
  • Lake: 51 sites, 97,677 plants eradicated
  • Kern: 53 sites, 77,837 plants eradicated
  • Siskiyou: 52 sites: 68,130 plants eradicated
  • Trinity: 22 sites, 46,632 plants eradicated
  • Monterey: 11 sites, 37,247 plants eradicated
  • Tulare: 30 sites, 27,020 plants eradicated
  • Shasta: 19 sites, 26,413 plants eradicated
  • San Benito: 1 site, 24,295 plants eradicated
  • Los Angeles: 20 sites, 23,492 plants eradicated
  • Sacramento: 4 sites, 17,973 plants eradicated
  • Fresno: 19 sites, 11,064 plants eradicated
  • Madera: 14 sites, 8,757 plants eradicated
  • Nevada: 2 sites, 8,279 plants eradicated
  • Mariposa: 11 sites, 5,761 plants eradicated
  • Ventura: 1 site, 2,370 plants eradicated
  • San Diego: 2 sites, 1,510 plants eradicated
  • Sonoma: 1 site, 1,407 plants eradicated
  • Santa Barbara: reconnaissance only
  • Santa Cruz: reconnaissance only
  • Santa Clara: reconnaissance only
  • Tuolumne: reconnaissance only
  • Humboldt: reconnaissance only
  • Stanislaus: reconnaissance only

CAMP is a multi-agency collaboration led by DOJ in partnership with the U.S. Department of Agriculture’s U.S. Forest Service; the U.S. Department of the Interior’s  Bureau of Land Management and National Park Service; the California Department of Fish and Wildlife; the U.S. Department of Justice’s Drug Enforcement Administration; the California National Guard, Counter Drug Task Force; the Central Valley High Intensity Drug Trafficking Areas program; California State Parks; and other local law enforcement departments.

EPIC marks an evolution in DOJ’s cannabis enforcement work, reflecting the issues and concerns arising from CAMP operations each summer. EPIC will work in close coordination with DOJ’s Cannabis Control Section, Special Prosecutions Section, and Tax Recovery and Underground Economy (TRUE) Task Force to build investigations and prosecute civil and criminal cases.

No More State Sales Tax for New Jersey Medicinal Cannabis Patients

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Tax removed by Jake Honig’s Law effective July 1

NEW JERSEY: As of Friday, July 1 New Jersey residents enrolled in the state’s Medicinal Cannabis Program will not pay state sales tax on cannabis and cannabis products purchased at a permitted medicinal dispensary. The three-phase elimination of the sales tax was delineated in the Jake Honig Compassionate Use Medical Cannabis Act signed into law by Governor Murphy in 2019.

“Removing state sales tax on medicinal cannabis is consistent with Governor Murphy and the Legislature’s intent to prioritize patients and improve affordability,” said Jeff Brown, executive director of the New Jersey Cannabis Regulatory Commission. “As the sales tax has been phased out from 4% to 2% and now to 0% patients have been able to spend less on their medicine, further ensuring patients are prioritized over recreational consumers.”

The New Jersey Cannabis Regulatory Commission establishes and enforces the rules and regulations governing the licensing, cultivation, testing, selling, and purchasing of cannabis in the state.

TURN ON. TUNE IN. CATCH THE BUZZ ON MARIJUANA CHANNEL ONE

 

WSLCB Policy Statement: Transfer of Wet Flower from Licensed Cannabis Producers to Licensed Cannabis Processor

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This policy statement describes how the Washington State Liquor and Cannabis Board (WSLCB) will continue to allow licensed cannabis producers to wholesale and transfer wet cannabis flower to licensed cannabis processor locations without packaging wet cannabis flower into lots. 

For complete context and analysis of this topic, please read more here:

POLICY STATEMENT: In addition to the provisions of WAC 314-55-075(1) allowing a licensed cannabis producer to produce, harvest, trim, dry, cure, and package cannabis into lots for sale at wholesale to licensed cannabis processors, cannabis producers may wholesale and transfer wet flower to licensed cannabis processor locations without packaging into lots. This policy statement supersedes and replaces Board Interim Policy (BIP) 04-2016 and any agency guidance concerning this topic.

Policy Statements are agency-level documents declaring plans or intentions of an agency. Policies are different from procedures, standard operating procedures, or guidance because they apply to the entire organization and are primarily intended to set direction. In contrast, procedures or guidelines typically include specific instructions used to accomplish defined tasks that may be described in a policy.

Notice of WSLCB Policy Statement Number PS 22-03 was filed with the Washington State Code Reviser on July 20, 2022  as WSR 22-16-004.

Additional information can be found on the WSLCB Policy Statements webpage.

MedMen Prevails in Lawsuit Against Arizona-Based Whitestar Solutions

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CALIFORNIA: MedMen Enterprises Inc., a premier cannabis retailer with operations across the United States, announced the Company has received a summary judgment in its favor on all counts in a lawsuit against Arizona-based Whitestar Solutions, LLC.

In March 2020, litigation was filed by Whitestar against MedMen in the Superior Court of Arizona, Maricopa County, related to a Membership Interest Purchase and Sale Agreement governing the purchase of EBA Holdings, Inc. dba MedMen Scottsdale. Whitestar alleged fraudulent inducement and breach of contract, among other claims, and sought rescission of the underlying transaction or $60,000,000 in alleged monetary damages. MedMen consistently maintained that the lawsuit and claims were baseless and without merit – and the judge agreed on all counts, cancelling the upcoming jury trial and stating that “no reasonable juror could conclude that Whitestar is entitled to relief on any of those claims.” The judge further ruled that as the prevailing party, MedMen is entitled to submit an application to recover attorneys’ fees and taxable costs from Whitestar.

“We’ve always maintained MedMen’s innocence in this matter, and are pleased to be formally exonerated,” said Ed Record, MedMen’s CEO. “This is yet another baseless lawsuit MedMen has been party to in recent years, and we remain committed to vigorously defending the Company and recovering attorneys’ fees when possible.”

MedMen is represented by Jennifer Catero and Steven Jerome of Snell & Wilmer in this matter.

Separately, the Company announced Tyson Rossi, Chief Strategy Officer, is leaving MedMen, effective June 3, 2022. Moving forward, the role will be filled internally.

“We thank Tyson for his leadership and contributions to MedMen,” said Record. “We wish him all the best in his future endeavors. We are also thankful to have a strong bench of talent to fill these openings.”

Ohio Board of Pharmacy Publishes Updated Patient & Caregiver Numbers for April 2022

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OHIO: The State of Ohio Board of Pharmacy published updated patient & caregiver numbers for April 2022. 

These numbers include:

  • 487,571 Recommendations
  • 271,029 Registered patients
    • 17,319 Patients with Veteran Status
    • 18,850 Patients with Indigent Status
    • 1,077 Patients with a Terminal Diagnosis

    141,856 Patients with both an active registration and an active recommendation

  • 260,216 Unique patients who purchased medical marijuana (as reported to OARRS by licensed dispensaries)
  • 29,252 Registered Caregivers

For the full list of program numbers, please visit the Program Update page.

OLCC Commissioners Implement Marijuana Licensing Moratorium Legislation

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OREGON:  Oregon’s marijuana market has experienced exponential growth, which has led to a crowded market place. In response to this reality, the 2022 Oregon legislature passed legislation requiring the Oregon Liquor & Cannabis Commission (OLCC) to cease issuing marijuana licenses to applicants who submitted an application after January 1, 2022. 

“We see both sides of this issue,” stated Commissioner Maletis. “There’s people that are very happy and there’s people that are very unhappy, but the legislature made a decision. We’ve always had a unique system in Oregon. There’s no easy way to do this.”

At its regularly scheduled Commission meeting on April 21, 2022, Commissioners received an update from the Oregon Restaurant and Lodging Industry and heard from Oregon’s independently-owned liquor stores on the strengths of Oregon’s liquor market. The Commissioners also approved stipulated settlement agreements, initiated rulemaking in response to 2022 legislation and appointed two new agents to operate small business liquor stores in Creswell and Hillsboro-Aloha.

In the face of inflation and labor shortages, the Oregon hospitality industry foresees growth as bars and restaurants continue to staff up and explore efficiencies to streamline their operations. Oregon’s independently-owned liquor store operators echoed this sentiment by presenting their own experiences and discussed the future of the liquor industry.

Along with the marijuana license moratorium, Oregon’s 2022 legislature enacted several bills requiring OLCC to work with the industry to develop rules to address various changes to OLCC policies. Commissioners voted to enter rulemaking to address the alterations to the bottle bill, requirements for reporting human and sex trafficking in the marijuana industry, and requirements to develop a marijuana license reassignment program for surrendered licenses. OLCC staff will hold public meetings to gain input from the respective industries this summer.

Oklahoma Medical Marijuana Authority Releases Licensing & Tax Revenue Report for April, 2022.

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OKLAHOMA: The Oklahoma Medical Marijuana Authority has released the latest licensing and tax revenue reports as of this month. 

 

Licensing Reports, Tax Revenue Reports, and County Totals

Tax Revenue Reports

Current Tax Revenue Report

Congressional Cannabis Caucus Co-Chair Joyce Issues Statement on MORE Act

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DISTRICT OF COLUMBIA: Congressman Dave Joyce (OH-14), the Republican Co-Chair of the Congressional Cannabis Caucus, released the following statement on the MORE Act:

“Now is not the time for Congress to simply check a box on cannabis reform. Yet here we are, voting on more-or-less the same, deeply flawed bill that barely passed the House last Congress and died directly thereafter. 

“With a President who has made clear his unwillingness to fully desechedule cannabis and a Senate Majority Leader set to roll out his own comprehensive package, no serious legislator, cannabis advocate, or industry stakeholder believes the MORE Act has any prospect of becoming law this Congress. How do I know this? They told me. I only wish they told the millions who are depending on them as well.

“This is not the political reality that any of us want, and I will continue my efforts to change it. But to do so, we must move forward with the understanding that an end to cannabis prohibition must coincide with responsible federal regulations.

“I cannot support a proposal that does not take into account, aside from the physician prescribed treatment of a minor, that cannabis is and should remain an adult product with federal safety and production regulations that ensure it is suitable for consumption. Senators Schumer, Wyden and Booker also recognize this.

“That’s why, rather than advancing a bill that further polarizes lawmakers whose consensus remains vital to progress, they have gone through exhaustive lengths to hone in on federal regulations to include in their legislation and build the bipartisan foundation necessary to pass impactful reform. Not only does the MORE Act not contribute to that foundation, it jeopardizes it.

“Having long worked to advance this issue among conservatives, I see where opportunities to build that foundation currently exist and where work to create it remains undone.

“As a Co-Chair of the Congressional Cannabis Caucus, I remain dedicated to the swift and responsible end of cannabis prohibition and as a former prosecutor, I believe in effectively addressing the unjust consequences of the criminalization of cannabis. These goals cannot be achieved with a messaging bill.

“We must give cannabis reform the meaningful consideration it deserves so that we can pass progress that will be signed into law and improve the lives of millions. There is no more time to waste.”

New Jersey Cannabis Regulatory Commission Special Meeting April 11

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NEW JERSEY:  The New Jersey Cannabis Regulatory Commission has added a meeting to the year’s roster for Monday, April 11 at 1 p.m. 

The meeting will be publicly noticed and an agenda added to the agency’s website prior to the meeting.

The New Jersey Cannabis Regulatory Commission establishes and enforces the rules and regulations governing the licensing, cultivation, testing, selling, and purchasing of cannabis in the state.

New App Canopyright Will Protect Legacy Genetics Through First-of-its-Kind Cannabis Strain Registry and Licensing System

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CALIFORNIA: Cannabis business lawyer Jeff Hamilton and two women leaders from the Humboldt County cannabis industry – Kelsey Parker, and Lelehnia DuBois – announced that they are launching Canopyright, a blockchain-based botanical registry and licensing system. Canopyright is in the initial funding stages with its tentative launch scheduled for November 11, 2022. 

Beginning in early 2020, Hamilton began developing Canopyright in response to his clients’ pressing need for a defensible mechanism to document their cannabis genetics portfolio assets.

With Canopyright, home growers and state-licensed cannabis businesses alike will have the ability to publicly or privately register their strain intellectual property assets, for free, and maintain physical frozen plant samples in tamper-evident “evidence bags.”

State-licensed cannabis breeders and cultivators will then be able to negotiate licensing contracts in a matter of seconds. Automated Metrc-based invoicing from “flowering plant” information will offer the breeder and cultivator scalability, fairness and flexibility.

Breeders will be able to upload any number of photos, lab tests, genetic tests, certifications and/or other information, and will also have the ability to generate provisional patent filing applications with ease. Users can choose whether to make any of these documents completely private, or locked until a licensing contract has been entered into.

Cultivators seeking new genetics will be able to search within their state and use an array of filters to find exactly what they need. All users may save or share strains and follow their favorite breeders.

Canopyright uses distributed ledger technology (DLT) and a number of encryption features to offer users complete data privacy. Chuck Fried and Craig Drabik, the DLT software developers behind the agency TxMQ, have been leading the backend software development effort since summer 2020. Fried and Drabik chose to build on the Hedera network to document secure, encrypted, smart contract transactions with a low environmental impact.

TxMQ completed the Beta MVP of the platform in August 2021. In September 2021 Hamilton started working with DuBois, leader of the Humboldt Grace Legacy Project, and Parker, cannabis marketing manager and UI designer, to develop the user experience to serve breeders and small farmers.

To see the upcoming app design or get on the waiting list for user focus groups, go to www.Canopyright.info

To test the Beta MVP, go to www.Canopyright.com

Follow Canopyright on LinkedIn at https://www.linkedin.com/company/canopyright/