Search Results for "vermont"

Vermont Department of Health Opposes Removal of THC Potency Cap

12/28/2023

As cannabis has been legalized for adult use and medical purposes in different US states, vastly different rules have been implemented in different markets, with one of the most controversial regulatory practices being the implementation of maximum THC caps and taxes based on product potency. In Vermont, a 60% THC potency cap on cannabis concentrates has been the focus of a heated policy debate within the state, with cannabis regulators calling for its removal, pointing out that other states like Washington and Colorado have opted to focus on consumer education and daily purchase limits rather than the potency of the products themselves.

In a recent report submitted to policymakers by the Vermont Department of Health, a special commission has recommended keeping those caps in place, pointing to risks associated with high-potency products. The report states: “The SMPC supports the potency cap for cannabis concentrates due to the negative public health implications of high potency THC products.”

According to the report, the Substance Misuse Prevention Oversight and Advisory Council (SMPC) is “charged with reviewing the current prevention policies and initiatives in Vermont and providing advice to the Governor and General Assembly on the prevention system throughout the state.” One key argument cited by the report is that high potency products are often to blame when children ingest cannabis accidentally, resulting in more hospital visits. The report also cited studies suggesting a link between high potency cannabis and psychosis.

A section of the report highlights a perceived increase in cannabis use by young adults over time, comparing surveys from 2017 and 2018 focused on all Vermonters over age 12, to surveys from 2020 and 2022 focused on Vermonters aged 18-25. According to the data, the 2017 and 2018 surveys showed that approximately 19% of respondents acknowledged using cannabis within the past month. The 2020 and 2022 surveys showed cannabis consumption rates of 40% for the age range 18-25.

It is worth noting, however, that these surveys’ framing criteria do not align with each other, and that other variables could be playing a significant role in the discrepancy: for example, respondents may be influenced by the current legal status of cannabis in their decision to answer surveys truthfully. As Ganjapreneur has reported extensively in the past, the legal status of cannabis can also play a role in whether or not parents are willing to bring their children to the hospital over accidental cannabis ingestion. Additionally, potency caps that focus on percentage of THC as opposed to total milligrams of THC per container do not account for the inherent differences in product types.

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Cannabis Retailers Association of Vermont Announces Two-Day Music Festival Higher Calling to Support Cannabis Businesses

8/08/2023

The Group Hopes the Superb Lineup Will Help Raise Significant Funds for Businesses Impacted by the Recent Flooding

Winooski, Vermont – The Cannabis Retailers Association of Vermont (CRAV) announced a two-day music festival – Higher Calling – that will be a fundraiser for cannabis businesses in Vermont. On July 10th, Vermont suffered from devastating flooding that has affected businesses across the state including numerous cannabis businesses. CRAV is currently seeking sponsors for the event which will consist of two days of both national and local performers as well as numerous other activities and entertainment.

CRAV is working to cover the expenses of Higher Calling with sponsorship funding. If they are able to raise more money than is necessary to cover the expenses, any excess sponsorship revenue will go directly to cannabis businesses impacted by the recent flooding. In addition to those funds, CRAV will contribute a minimum of 50 percent of the ticket sales to the Higher Calling fund. They are expecting at least 1500 people to attend the two-day music festival.

“We had been planning this music festival for weeks but once the flooding occurred we immediately shifted gears, knowing our community was going to need financial support. Between our pre-roll fundraiser and the music festival we hope to raise at least $150,000 for the people in our community who are trying to recover and get back to business after suffering significant losses due to flooding” said Todd Bailey executive director of CRAV.

The organization launched its Higher Calling fund and subsequent efforts last week starting with a pre-roll fundraiser. Participating retailers will contribute funds received by offering the profits from the pre-rolls going back to the fund to be distributed to qualified cannabis businesses. The Higher Calling music festival will be the culmination of these efforts and will take place on September 15 and 16 at Pransky Farm in Cabot, Vermont. Zenbarn – located in Waterbury, Vermont – will produce the music festival.

“We had musicians from around the country asking us how they could help… even though it was last minute we’ve had artists adjust their busy schedules to support this cause” – Noah Fishman, Zenbarn

In working with Zenbarn as well as Loose Leaf Talent Agency, CRAV has secured a spectacular and diverse line-up that will appeal to music lovers alike. Performances throughout the weekend include, long-time and legendary funk legends, The Motet as well as the eclectic, genre-bending lespecial on Friday night. Saturday will feature the NYC based and internationally touring Bluegrass/HipHop band, Ganstagrass as well as MTV VMA Award winner, Supaman, a one of a kind hip hop artist who stands true to his Native Culture. Marcus Rezak’s Shred is Dead feat. members of Cool Cool Cool, Particle and more, round out the evening with Gentleman Brawlers, La Lovo, as well other Vermont local talent to supply amazing entertainment throughout the entire day.

Tickets are on sale now at Seven Days Tickets for $50 for Friday night only, $85 for Saturday only and $125 for both days. All the ticket prices include camping.

Recovery from the devastating flooding on July 10th in Vermont is still ongoing. It may be several more weeks before many of the businesses in the state can reopen.

“The North Branch was cresting and we needed to drive to safety before we could save everything. We have received dozens of emails, calls and texts from our customers, and friends and partners in the cannabis community, offering help…even when some are facing their own challenges and losses. That has been the silver lining…knowing we are part of a caring community that looks out after each other. In order for us to get back to business and serve our customers we’ve opened a temporary location at the Central Vermont Marketplace formerly known as the Berlin Mall,” aaid Lauren Andrews, owner of Capital Cannabis in Montpelier.

To learn more about the event, the pre-roll fundraiser or CRAV, you can visit their website at CRVT.org. Or to buy tickets go to: Higher Calling Tickets

About CRAV
The Cannabis Retailers Association of Vermont’s mission is to create a thriving, diverse and sustainable cannabis industry in the state of Vermont that supports our working landscape and small business owners while providing the highest quality products possible to our customers from near and far. And help ensure Vermont becomes a destination for the best cannabis products in the world.

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Vermont Cannabis Retailers Launch Fundraiser for Businesses Impacted by Floods

8/04/2023

Members of Vermont’s cannabis industry are launching fundraising efforts to raise money for business owners affected by severe flooding in the state last month, Vermont Public Radio reports. Due to the federal criminalization of cannabis, Vermont’s cannabis companies are ineligible for federal disaster aid for losses caused by flooding; they are, however, eligible for state grants.

The fundraising program, called A Higher Calling, is led by the Cannabis Retailers Association of Vermont and people who donate can get a pre-rolled joint made of donated flower. It will include a two-day fundraising music festival next month in Cabot. Half of the sales from the concert will go directly toward cannabis recovery, according to a Valley News report.

Todd Baily, the association’s president, told VPR that the flooding affected more than three dozen cannabis businesses in the state, with losses in the tens of millions of dollars.

“We’ve heard as high as 20,000 square feet of canopy. For the cultivators that has been lost. That’s significant. We have not even concluded year one of the legal market. So not only were they impacted by this flooding, they’re impacted by the fact they’re a small business that’s still in startup phase.” — Baily to VPR

Baily said that anyone operating a cannabis business that was impacted by the floods can apply for funds and that if the organization can raise enough funds, they “will support everyone.”

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Vermont Cannabis Businesses Affected by Floods Ineligible for Federal Aid

7/19/2023

Vermont’s cannabis companies are ineligible for federal disaster aid for losses caused by flooding in the state last week, VT Digger reports. During a press conference Monday, Carl Dombek, public information officer for the Small Business Administration, said the agency has to “follow federal law” and because cannabis is a Schedule I drug at the federal level, the agency is “not able to lend to cannabis dispensaries.”

Chelsey Smith, Federal Emergency Management Agency (FEMA) individual assistance branch director, told VT Digger that the agency is also unable to provide aid due to cannabis’ status as a Schedule I controlled substance.

John Roberts, U.S. Department of Agriculture (USDA) Farm Service Agency executive director for Vermont, also indicated that cannabis farmers would be ineligible for assistance even if Gov. Phil Scott’s (R) emergency request for a USDA disaster declaration is approved.

Federal and state officials did say, however, that cannabis industry workers who lose their jobs due to the floods will be eligible for unemployment because that program is state-administered.

James Pepper, chair of the Cannabis Control Board, told VT Digger that the flooding may not pose a “catastrophic” threat to the state’s cannabis industry as a whole, but due to the “very interdependent relationship” of the industry, when one business is affected “it hurts everyone.”

The state could consider aid for affected businesses, which could be considered by lawmakers during a special session, but a special session has not yet been scheduled.

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Vermont Increases Home Grow Limits and Expands Access for Cannabis Patients

6/19/2023

Medical cannabis patients in Vermont can now grow 12 plants, up to six mature, and medical cannabis products can now contain up to 100 milligrams of THC per serving, under legislation that Gov. Phil Scott (R) allowed to become law without his signature. The bill also adds post-traumatic stress disorder to the state’s medical cannabis qualifying conditions list.

In a letter to lawmakers, Scott said he allowed the measure to become law without signing it because the measure repeals the sunset of the Cannabis Control Board, which he says “appears minor, but in fact has substantive consequences for the principle of separation of powers.”

“I understand there is a need for an alternative structure for regulating controlled substances that remain federally illegal so that we do not compromise federal funding. However, when removing the sunset on the CCB, the statutory authority of the CCB needs to be clarified to ensure constitutionality and accountability to the governor.” — Scott in the letter

In the letter, Scott notes that once appointed, CCB members may only be removed for cause by the other two CCB members and that the agency “has added staff, taken over the regulation of medical cannabis and the medical registry, and grown to be an approximately 22-member department.”

“As an independent entity, the CCB regulates a multi-million-dollar industry with no oversight,” the governor wrote in the letter. “Again, while I have complete confidence in the current CCB, this lack of oversight creates the risk for future mismanagement, conflicts of interest and other harmful impacts.”

Scott said he plans to work with the CCB and lawmakers on legislation that would “make the modifications necessary to clarify the statutory authority of the CCB is constitutional.”

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Licensed Vermont Cultivator Fined $20K for Diverting Cannabis Out of State

3/29/2023

A licensed Vermont cannabis cultivator was issued $20,000 in fines by state regulators after posting a video of himself on Instagram delivering cannabis to an unlicensed cannabis shop in New York City, VT Digger reports. The Cannabis Control Board (CCB) also initially suspended the license of Devon Deyhle, and his business Tall Truck, for 60 days but will not impose the ban if Deyhle abides by state regulations for the next two years.

“It was pretty much a publicity stunt about me potentially opening up the market in New York City for Tall Truck. I guess I pushed the limits a little bit. … You make your bed, you sleep in it. You pay for your mistakes.” — Deyhle to VT Digger

In the since-deleted video, taken last December, Deyhle gets out of a vehicle and enters a storefront in Manhattan which is not licensed in New York to sell cannabis and hands the person behind a counter a green and yellow box with “Tall Truck” imprinted on it, the report says. He tells the woman he has “a tasty little treat from Vermont that’s for you.”

The video was reported to the CCB who issued the fines and suspension. He was fined $10,000 for diverting cannabis from Vermont’s legal market and $10,000 for making false statements to the board when he allegedly told them at the time of his license approval that he would not be selling cannabis out of state.

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Vermont Cannabis Sales Reach $5.7M in January

2/23/2023

Cannabis sales in Vermont reached $5.7 million in January, according to Agency of Administration data released last week. The state collected more than $1 million in tax revenues from cannabis sales.

Vermont collected $799,102 from the 14% excise tax on cannabis sales and $342,472 from the state’s regular 6% sales tax. Under the state’s adult-use law, cannabis excise tax revenues are used to “backfill” any deficit in the Cannabis Control Board’s budget and, after that, 70% is sent to the state’s general fund with 30% earmarked for substance misuse and prevention programs. Cannabis-derived sales taxes are used for after-school and summer education programs.

There are currently about 40 licensed cannabis retailers in the state.

The state legislature’s Joint Fiscal Office estimated that annual cannabis-derived taxes would range from $3.3 million to $9.1 million, according to a Seven Days report, which equates to monthly excise tax revenues between $275,000 and $758,000.

The Cannabis Control Board projects the state will make about $16 million from the cannabis excise tax in its first full fiscal year, WCAX reports. According to state data outlined by Heady Vermont, retail cannabis sales surpassed $6 million last year.

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Vermont Cannabis Regulators Investigating Curaleaf’s Ties to Russian Oligarch

2/21/2023

Cannabis regulators in Vermont are investigating the links between Russian oligarch Roman Abramovich and multi-state cannabis operator Curaleaf, VT Digger reports. The inquiry follows a report by Vice that found Abramovich invested $130 million and provided $194 million in loans to US cannabis firms between 2016 and 2018, with Curaleaf as the main beneficiary.

In Vermont, Curaleaf owns Phytocare Vermont in Bennington and Vermont Patients Alliance in Montpelier.

According to the Vice report, which come from the leak of 30,000 files from Cyprus-based accounting company Meritservus, of which Abramovich was a customer, onto the non-profit Distributed Denial of Secrets website last month, Abramovich allegedly invested $225 million into Curaleaf, then known as Palliatech, between 2015 and 2017 via a British Virgin Islands-registered company called Cetus Investments. Abramovich was allegedly referred to by Cetus staff as “Mr. Blue.” Abramovich owns Chelsea Football Club which is nicknamed the Blues.

Vermont Cannabis Control Board chair James Pepper told VTDigger that he was unaware of the Vice report but following a VTDigger inquiry, he instructed board staff to contact Massachusetts and Connecticut to find out what they had learned. Pepper told VT Digger that Curaleaf had not mentioned Abramovich when it applied for a license to operate in Vermont’s adult-use cannabis market.

Applicants in Vermont are required to disclose individuals with an ownership interest of 10% of more and that being dishonest could lead to a revocation of a license, Pepper told VT Digger.

A Curaleaf spokesperson has previously told Barron’s that Abramovich “is no longer a creditor to or investor in Curaleaf.”

Representatives for Phytocare and Vermont Patients Alliance have not commented on the allegations, while Curaleaf spokesperson Stephanie Cunha told VT Digger that the company has “fully complied with all requirements regarding disclosure of our ownership and financing in the state of Vermont.”

According to the Curaleaf website, the company operates in Arizona, Connecticut, Florida, Illinois, Maine, Maryland, Massachusetts, Michigan, Nevada, New Jersey, New York, North Dakota, Ohio, Oregon, Pennsylvania, Utah, and Vermont.

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Vermont Physician Groups Urge Lawmakers to Maintain THC Potency Caps

1/06/2023

Physicians’ organizations in Vermont are urging lawmakers to maintain the current THC limits on cannabis flower and concentrates as the state Cannabis Control Board (CCB) is considering dropping the caps. The groups include the Vermont Medical Society (VMS), the American Academy of Pediatrics Vermont Chapter (AAPVT), the Vermont Psychiatric Association (VPA), and the Vermont Academy of Family Physicians (VTAFP).

In a press release, the organizations said they were “successful in defeating a similar proposal” to raise or eliminate the caps last session as lawmakers voted to retain the 30% THC cap on flower and the 60% THC cap on concentrates.

“Our organizations believe it is premature to reopen this debate when Vermont’s cannabis sales just came online, initial revenue estimates appear to be meeting their targets, and states like CO and WA are currently seeking stronger regulation of solid concentrates because of the negative health impacts on their users.” — VMS, AAPVT, VPA, VTAFP in a statement

The organizations cite a CCB report submitted to the Legislature this week that claims cannabis and cannabis products with THC concentrations greater than 15% “are more likely to produce psychosis, suicidality, anxiety, and uncontrollable vomiting.”

In a statement, Ryan Sexton, M.D., an emergency medicine physician and president of the VMS, said “Vermonters already have a very low perception of harm from the use of cannabis” and the state “has the opportunity to benefit from information coming out of other states and to build a safer cannabis market.”

Adult-use cannabis sales commenced in the Green Mountain State last October.

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Vermont Cannabis Regulators Recommend Dropping THC Potency Caps

12/27/2022

The Vermont Cannabis Control Board is recommending the state remove its THC potency caps for cannabis concentrates, VT Digger reports.

The three-member board issued a draft report highlighting the following primary issues with the THC potency caps, which lawmakers have set at 60% THC:

The use of THC caps will give the illicit market a monopoly on highly potent concentrates.
Forcing operators to create only low-potency concentrates would necessitate the use of filler for the products.

“There is no knowing for certain what manufacturers would use for filler if forced to dilute their products to meet potency limits.” — Cannabis Control Board, in its report

Potential filler products could include fats, oils, terpenes, or other cannabinoids, according to the report. But there is no guarantee these fillers would be any safer than allowing high-potency THC products and, in fact, they could prove to be more dangerous, “as seen with the EVALI crisis,” the Board said, referring to the once-widespread vaping-related lung disease that federal regulators traced back to unregulated vape cartridges, which used vitamin E acetate as a filler for product consistency.

Vermont‘s THC potency caps were originally included as a last-minute change by House lawmakers to a Senate-approved bill — the amendment followed an abrupt change in stance by the Vermont Department of Health.

Senators said they would move the bill back to a conference committee but the legislative session was ending soon and the House’s amendment ultimately stayed.

The Board, which has previously recommended dropping the Legislature’s added THC caps, suggested the following steps in its report:

1. Remove the potency cap for solid concentrates.
2. Authorize consumer education campaigns and youth prevention programs.
3. Use a portion of the revenue at the Department of Health for substance misuse prevention programs to fund these education programs.
4. Make public health information, including safe dosage information, readily available.

Of all the U.S. states which have legalized adult-use cannabis, only Vermont and Connecticut have enacted THC potency caps for concentrates.

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Adult-Use Cannabis Sales Begin in Vermont

10/03/2022

Adult-use cannabis sales in Vermont launched over the weekend with three shops opening to the public. Mountain Girl Cannabis in Rutland, FLŌRA Cannabis in Middlebury, and Ceres in Burlington all started retail sales on Saturday, the first day sales were allowed.

Russ Todia, chief operating officer at Ceres told MyNBC5 on Friday that the rollout of adult-use sales in the state was a “real monumental for the state” and for his company.

In all, at least 70 Vermont municipalities have opted in to allow retail cannabis sales. Other adult-use license hopefuls throughout the state are expected to get licensed in the coming weeks and months.

The reforms were approved by state lawmakers in October 2020 after Gov. Phil Scott (R) allowed the legislation to become law without his signature. Cannabis had already been legal for medical and personal use in the state.

Earlier this year, Rhode Island lawmakers approved a bill to legalize adult-use cannabis sales, making New Hampshire the only New England state to not have approved adult-use cannabis reforms.

In an October 2021 report, the Vermont Cannabis Control Board estimates that spending on adult-use cannabis in the Green Mountain State could reach $225 million annually by 2025, equating to nearly $46 million in new state taxes. Vermont imposes a 14% excise tax on adult-use cannabis products sold to the public but does not impose a tax on the sale from cultivator to retail. Municipalities can also impose a 6% tax on sales that occur within their jurisdiction.

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First Retail Cannabis Licenses Awarded In Vermont

9/16/2022

Vermont regulators issued the state’s first adult-use cannabis retail licenses this week ahead of an October 1 deadline for the market’s launch. The newly licensed businesses include FLŌRA Cannabis in Middlebury and Mountain Girl Cannabis in Rutland; additionally, the board has also permitted CeresMED in Burlington to transition from medical to recreational sales.

The new licensees can begin adult-use sales as soon as they have paid the license fees and conducted appropriate employee training, including recognizing the symptoms of over-consumption and substance use disorder. The companies may also need to acquire additional local licenses if so required by their municipality.

“Today’s license approvals mark a historic moment for Vermont that is decades in the making. We would not be here without the tireless dedication of cannabis advocates, the legislature, our agency partners, and most importantly the CCB staff.” — James Pepper, Chair of the Vermont Cannabis Control Board, in a press release

FLORA Cannabis co-owner Dave Silberman said in a VT Digger report that his store is aiming for a grand opening on October 1 but ultimately, the state’s retail launch will be likely muted given a series of licensing delays. Silberman predicted “a trickle” of store openings, at least in the beginning.

“There’s not going to be a lot of retailers ready,” he told VT Digger. “There’s not a ton of ready inventory right away and so it’s going to be rocky at the start.”

As of local elections held in March, nearly 50 Vermont towns — more than half the municipalities in the New England state — had opted into allowing adult-use cannabis sales. Businesses can only apply for a license once their local municipality has opted into the program.

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Vermont Credit Union Head Says Pause on Cannabis Accounts is ‘Temporary’

8/30/2022

The Vermont credit union that announced last week it would stop accepting cannabis accounts due to an uptick in applications said that the pause is likely temporary. Vermont State Credit Union (VSCU) CEO Robert Miller told WCAX that the pause was necessary in order for the financial institution to meet its current demand.

“I fully intend that this is going to be temporary. I don’t have a timeline in terms of when we will be making that available again. But fortunately, we have been traditionally the really, the only financial institution serving the industry previously.” — Miller to WCAX

The increase in demand for accounts comes as Vermont gets ready to launch adult-use sales on October 1.

James Pepper, chair of the state’s Cannabis Control Board (CCB), told WCAX last week that the credit union’s decision is not surprising as it had said in July that 50 to 75 cannabis accounts would be “doable” but 200 to 300 would be a “risk.”

On its website, the CCB lists just four financial institutions that open cannabusiness accounts, including VSECU, New England Federal Credit Union (NEFCU), Vermont Federal Credit Union, and Dama Financial. Pepper indicated that NEFCU “has the capacity” to open accounts for cannabis industry operators.

The agency notes that if applicants “can document their unsuccessful good faith efforts to open a bank account, they may still apply for licensure by submitting a cash management plan along with their application.”

Applicants are required under the state’s legalization law to make a “good faith effort” to open a bank account as part of the application process.

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Vermont Credit Union Stops Accepting Cannabis Accounts

8/26/2022

The Vermont State Employees Credit Union (VSECU) this week announced it has stopped taking on new cannabis business accounts due to a “sudden spike in cannabis accounts,” WCAX reports. The move comes as the state gears up to open retail cannabis sales on October 1.

James Pepper, chair of the state’s Cannabis Control Board (CCB), told WCAX that the credit union’s decision is not surprising as the firm said in July that 50 to 75 cannabis accounts would be “doable” but 200 to 300 would be a “risk.”

Pepper said there are other options, both in-state and out-of-state, for the industry to access financial services.

“The New England Federal Credit Union (NEFCU) has capacity. There are also out-of-state options, and frankly, we are working with our partners over at (the Vermont Department of) Financial Regulation and with the financial institutions themselves to get them more comfortable with the idea of banking cannabis money.” — Pepper via WCAX

VSECU has worked with medical cannabis companies in the state for years and state officials are trying to determine how many cannabis companies already have accounts with the credit union and how many other would be turned down under the new policy. Currently, Vermont has issued about 160 cannabis cultivation licenses.

On its website, the CCB lists just four financial institutions that allow cannabusiness accounts, including VSECU and NEFCU, along with Vermont Federal Credit Union and Dama Financial.

Applicants are required under the state’s legalization law to make a “good faith effort” to open a bank account as part of the application process.

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Vermont Migrates Hemp Program to USDA Purview

7/14/2022

Starting January 1, 2023, Vermont’s hemp program will be run by federal Department of Agriculture (USDA) rules, meaning growers will need licenses from the USDA’s Domestic Hemp Production program. Regulatory oversight for hemp testing and hemp-infused products will remain with the state under the purview of the Vermont Cannabis Control Board (CCB).

In a letter to the USDA, Anson Tebbetts, secretary of the Vermont Agency of Agriculture, Food and Markets (VAFFM), said the agency “appreciated the opportunity to operate a state hemp production program” and that it would “continue to provide business support to producers and processors as it is able, and hopes the hemp grain, fiber and cannabinoid markets in the state continue to grow.”

Hemp has been legal to cultivate in Vermont since 2009 – before the passage of the 2014 federal Farm Bill which set up hemp farming pilots throughout the U.S. Following the passage of the 2018 Farm Bill, states were allowed to create their own programs, which Vermont did.

In a July 7 press release, the agency noted that a bill passed in May transferred regulatory oversight from VAAFM to the CCB and the latter is now responsible for “the certification of laboratories conducting testing as well as setting contaminants action limits in cannabis, hemp, and infused products.”

In the letter, Tebbetts said the VAAFM “will work with USDA to ensure a smooth transition for its growers including participating in a joint webinar, updating the agency website to refer potential registrants to the USDA grower licensing system, and conducting direct outreach to potential 2023 registrants.”

Last year, Vermont farmers planted 1,100 acres and harvested 1,080 acres, according to USDA Hemp Program data.

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Vermont House Imposes 60% THC Cap on Concentrates

5/10/2022

The Vermont House last week approved several bills aimed at setting up the state’s adult-use market, including a bill to impose a 60% THC cap on concentrates, VT Digger reports. The amendment, tacked on by state Rep. John Gannon (D), led to frustration from some lawmakers and followed a Department of Health decision to eliminate – and then reimpose – their proposed 60% THC cap.

James Pepper, chair of the Cannabis Control Board, said a 60% THC cap on concentrates would give “the illicit market a monopoly on supplying the demand for these products.”

“There is a very broad consensus among regulators that caps are a bad idea. A black market will fill this gap. They’ll do so using very dangerous products.” – Pepper to VT Digger

State Sen. Dick Sears (D) pointed out that nearby Massachusetts doesn’t have a THC cap and that he would like to see an investigation by the Cannabis Control Board on the impact of the cap on unregulated and out-of-state sales, were it to be included in the law.

The state Department of Health initially sought THC caps but last month David Englander, the agency’s senior policy and legal advisor, wrote a message to Chair of the House Committee on Human Services Rep. Ann Pugh (D) backing eliminating the cap, saying producers would have to use diluting additives to remain under the threshold; however, a day later, Englander sent another message to Pugh, saying the department instead backed the cap.

“The risk to users of high levels of THC are significant and we should not risk contributing to the known risks to consumers’ physical and mental health,” Englander said in his second email. “My communication of yesterday to you was based on incomplete information. All errors are mine and please accept my apologies to you and the committee.”

The Health Department has not commented on the reversal.

The Vermont Senate has moved to a conference committee to reconcile the differences between the House and Senate versions of the bills. Adult-use cannabis sales are expected to commence in October.

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Vermont Bill Would Expand Crimes Eligible for Expungement

3/14/2022

A bill introduced in Vermont would expand the number of criminal offenses eligible for expungement in the state including low-level drug crimes, VT Digger reports. The measure would also streamline that process by creating a “one-track” system to clear criminal records — including some felonies — covered under the legislation.

The proposal includes all misdemeanor convictions, except for violent crimes such as sexual crimes against children and domestic violence. Under current state law, expungement of charges makes them disappear while sealing allows access to those records only for specific purposes, the report says. The bill would make the sealing of records more like expungement by narrowing the reasons those records could be accessed and the time period the access would be allowed.

The law would not allow a record to be sealed until a person has finished their sentence, plus an additional three years for most misdemeanors and seven years for felonies, according to the report.

State Rep. Maxine Grad (D), the chair of the House Judiciary Committee and bill sponsor told VT Digger that the proposal could help individuals with criminal records obtain better jobs, housing, and access to educational opportunities once their records were expunged or sealed.

“I think it’s an important workforce development issue. It removes a major barrier for people.” — Grad to VT Digger

Vermont Legal Aid attorney Mairead O’Reilly told VT Digger that the bill is “important because it provides greater access to record clearance for folks who have served their sentence and paid their debt to society and really need and deserve to be reintegrated into our community.”

Vermont Attorney General TJ Donovan explained that the bill’s exceptions for opening sealed records are overly broad and that the bill’s mechanisms to make sealing more like expungement don’t go far enough. He said expungement is “better for the Vermonter.”

“You want to give Vermonters certainty,” he said in an interview with VT Digger. “I always preferred expungement. I’m certainly also willing to compromise.”

The measure has already been approved by the House Judiciary Committee and Grad said that she expects the bill would pass the full House. It is currently in the House Appropriations Committee for consideration.

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Majority of Vermont Towns Approve Retail Cannabis Sales

3/02/2022

The majority of Vermont municipalities that voted Tuesday on whether to allow retail cannabis operations within their borders approved such measures, VT Digger reports. In all, 25 of the more than 40 communities voted to allow retail cannabis sales, which were approved by lawmakers in October 2020. Adult cannabis use was first approved by Vermont lawmakers in 2018 but the reforms did not include sales.

Essex, the second-largest municipality in the state, approved retail sales by a 3,589-2,473 margin, while the 19 residents who voted in Norton’s town meeting voted against allowing retail cannabis sales.

James Pepper, chair of the Vermont Cannabis Control Board, called the votes “a very important moment” for the state. Last year, nearly two dozen Vermont communities voted to allow legal sales, including Burlington, the state’s largest city.

“We want Vermonters to be able to access this product close to their home as opposed to having these cannabis deserts around Vermont.” – Pepper to VT Digger

Pepper added that, with the new approvals, his agency has a lot of work to do.

“Towns don’t know where their authority is, where the board’s authority is,” he said in the report.

In all, nearly 50 Vermont communities have voted to opt-in to allowing retail sales within their borders. Once a town votes in favor, businesses can apply for retail licenses, which are considered by the state board.

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Vermont House Committee Considers Sweeping Drug Law Reforms

1/31/2022

Vermont’s House Judiciary Committee is considering three drug reform bills, including one that would decriminalize possession of personal amounts of controlled substances, VT Digger reports. The bill to make low-level possession a civil offense carrying a $50 fine — and allowing offenders to be screened for a substance abuse disorder and waive the fee — carries more than 40 sponsors, making it the most supported piece of drug decriminalization legislation in the country, Kassandra Frederique, executive director of the Drug Policy Alliance, told Digger.

The bill would create a Drug Use Standard Advisory Board, which would include harm reduction, substance use disorder, and treatment and drug law experts, as well as three consumer representatives “who have lived experience in drug use and consumption practices,” the report says. The board would be tasked with determining what constitutes a personal use supply of each decriminalized drug.

Another bill being considered by the committee would decriminalize psychedelic fungi and cacti, while a third bill would reduce many felony drug charges to misdemeanors.

Andrew Seaman, the Vermont medical director for Better Life Partners, an addiction treatment organization, told Digger that Vermont is “probably one of the best candidates” for launching such a program “without additional resources,” pointing to the state’s success in treating substance abuse disorders with its hub and spoke program.

“The Hub & Spoke system is a statewide partnership of clinicians and treatment centers that provide medication-assisted therapy to Vermonters who are addicted to opioids,” according to the Vermont Department of Health website outlining the program. “The Hub (treatment facility) & Spoke (physician-led team) ensures that each patient’s care is effective and coordinated, and is supported by the nurses and counselors who work to connect each person with community-based support services.”

There are currently nine Hub treatment facilities throughout the Green Mountain State, according to the Health Department.

All three bills are still awaiting a committee vote.

Only one state, Oregon, has decriminalized low-level drug possession; however, those reforms were approved by voters and not the Legislature.

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Vermont Cannabis Regulators Reject Health Warnings on Labels

12/07/2021

The Vermont Cannabis Control Board (CCB) has decided against recommending specific warning labels on the health effects of cannabis products, VT Digger reports. The decision comes after the Vermont Medical Society had urged the inclusion of warnings on cannabis products that will be sold in the state, including notices about psychosis, impaired driving, addiction, suicide, uncontrollable vomiting, and harm to fetuses or nursing babies.

The product label warnings recommended by the CCB read: “CONTAINS THC”, “NOT SAFE FOR KIDS” and “KEEP OUT OF REACH OF CHILDREN.”

James Pepper, the board chair, said the subcommittee that worked on the recommendation didn’t want to overload the labels and that a safety flyer would be handed out with cannabis purchases that would address the perceived ill health effects of cannabis. Vermont’s legalization law also includes up to $10 million per year for cannabis education and prevention efforts, Pepper told VT Digger.

The Medical Society had also urged THC caps of 15% on adult-use cannabis products sold in the state, which Pepper said runs counter to the purpose of the legalization law, which is to replace unregulated sales.

“In order to do that, we have to provide the products that the illegal market is supplying. To think that people that are growing for the illicit market are trying to cap their THC at 15% … it’s just not a product that’s prevalent on the illicit market and therefore I think it’s important for the board to recognize that.” — Pepper to VT Digger

The legislature has already capped THC limits at 30%, the report says, and Pepper noted that “there is kind of a natural cap” of about 30% THC for cannabis.

The label rules are not yet finalized, requiring review by the Interagency Committee on Administrative Rules and a public comment period before moving to the legislature which will rule on whether the rules are in line with the intent of the law.

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Vermont Medical Society Calls for 15% THC Limits

12/01/2021

The Vermont Medical Society (VMS) last month adopted a resolution calling for a 15% THC limit on adult-use cannabis products in the state. The VMS Board said that the state “has the nation’s highest past-month cannabis use, including use of high potency (greater than 15%) THC” and noted that the Vermont Department of Health said last year that cannabis use “is a significant public health problem in Vermont and it is getting worse.”

The resolution amends and replaces the board’s 2018 resolution which opposed legalized cannabis for adults. The society represents 2,400 physicians and physician assistants throughout the state.

The board cites several studies that suggest using cannabis with THC levels higher than 15% “is associated with increased urgent and emergency department psychiatric visits and increased mental health disorders including psychosis.” The resolution also points to one study, published in 2019, that found using high-THC products “is associated with increased urgent and emergency department non-psychiatric visits, including respiratory distress, often associated with overcrowding and overutilization of emergency room facilities.”

“VMS strongly opposes the advertising, marketing and promotion of cannabis in the state of Vermont (including through the use of packaging, flavorings and placement/density of retail locations) in order to disincentivize establishments from pushing sales through fostering high use and addiction, given that 80% of product will be consumed by 20% or less of users (notably those with current or future dependence or addiction to cannabis).” — Vermont Media Society, VMS Position on Commercialized Sales of Cannabis, Nov. 17, 2021

The board is calling for cannabis packaging and advertising to include warnings about psychosis, impaired driving, addiction, suicide attempt, uncontrollable vomiting, and harm to fetuses or nursing babies.

Adult-use cannabis sales are expected to launch in Vermont in October 2022. The state legalized cannabis for adults in 2018 but the reforms did not include commercial sales.

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Black People in Vermont 14x More Likely to Be Defendants in Felony Drug Cases

11/19/2021

Black people in Vermont were 14 times more likely to be defendants in felony drug cases than their white counterparts, according to a Council of State Governments Justice Center report outlined by VT Digger. Black defendants in the state are also more likely to be jailed for drugs despite national data showing that Black people and white people use and sell drugs at similar rates.

The report found that Black people in Vermont are more than six times more likely to be incarcerated than white people for all crimes, which is higher than the national average. Black people were also 3.5 times more likely to be defendants for misdemeanor cases and 5.9 times more likely to be defendants in felony cases, the report says. Post-conviction, Black people in the state are 18% more likely to be incarcerated for felony drug and property offenses; meaning they are less likely to receive non-prison options such as probation or split or suspended sentences, the report found.

Karen Tronsgard-Scott, executive director of the Vermont Network Against Domestic and Sexual Violence and a member of the working group, told VT Digger that the data shows “irrefutable” evidence for what “Black Vermonters have been saying for a really long time.”

The report notes that while state lawmakers are currently considering a classification structure for drug offenses, the analysis could be used to apply a racial equity lens to the classification process for drug offenses by “reclassifying lower-to-mid level felony drug possession offenses to misdemeanors” and “reevaluating the threshold of the highest level of possession and sales to better reflect significant amounts of drugs intended for distribution.”

The group plans to deliver a report to the Legislature on the findings in January.

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Canadian Company Acquires Vermont Medical Cannabis Company

6/29/2021

Toronto, Canada-based SLANG Worldwide is set to acquire Vermont medical cannabis company HI-FI in a $25 million deal. HI-FI owns two of the state’s five medical cannabis licenses under the CeresMED and Southern Vermont Wellness brands, and CBD store Ceres Natural Remedies.

In an interview with the Burlington Free Press, Bridget Conry, director of brand experience for CeresMED said the deal will allow the company to roughly double the number of its employees to 100.

“An overwhelming majority of our investors, until now, have been Vermonters. Now we’re in a position to bring investment into the state.”—Conry to the Free Press

SLANG CEO Chris Driessen said that the firm “recognized the value in High Fidelity as a local success story and pioneer in the Vermont cannabis community, focused on providing access to patients and consumers.”

“The High Fidelity team is proud of their accomplishments to date and are committed to the ‘Vermont Way’ of doing things, which means a focus on quality, collaboration, and the best consumer and employee experience,” Driessen said in a press release. “We understand these core values and are equally committed to nurturing their value-driven culture. This partnership will not only serve the cannabis community, it will bring quality jobs and revenue to the local and state economy.”

Canada’s SLANG currently operates in 12 U.S. states.

Vermont legalized adult cannabis use and possession in 2018 but only legalized a regulatory structure for sales last year, which are expected to commence in October 2022. SLANG said the state’s cannabis sales are expected to reach up to $230 million in 2023.

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Vermont Regulators Commit to Cannabis Social Equity

6/03/2021

The Vermont Cannabis Control Board will prioritize equity as it begins to build a regulated adult-use cannabis market, VT Digger reports. The three-member board has until October 2022 to craft rules for cannabis retailers, producers, and labs; develop a license fee structure; and recommend who receives financial assistance from the state to open a cannabis business.

Board Chair James Pepper said the Commission would work to build a “diverse and equitable” market that, “builds upon Vermont’s competitive advantages, and can sustain and thrive in an eventual transition to federal legalization.” He said the state would like to create a “sustainable” revenue stream to help alleviate “second and third-order” consequences of the war on drugs through economic empowerment, according to the report.

To aid the Commission in their work, the legislature recently passed a bill — expected to be signed by the governor in the coming days — that will help people disproportionately affected by the war on drugs to apply for loans and grants for cannabis-related businesses.

Vermont’s executive director of racial equity Xusana Davis has been working with lawmakers and the Cannabis Control Board to develop social equity criteria. She believes “race and ethnicity” should center the discussion but feels other factors like sex, gender identity and expression, sexual orientation, disability, and poverty could also be considered.

“It really depends on how broad you want to go, right? For example, we haven’t historically considered people with low or no academic attainment as a historically marginalized group, but maybe we should, right?” — Xusana Davis via VT Digger

Davis believes the state should reach out to underground cannabis producers because they “know the market” and it would be a way for the state to automatically include “historically marginalized” individuals.

The other two board members expressed similar views to Chairman Pepper in the report. Kyle Harris said the market needs to be “rooted in equity” and should “pay close and special attention to small cannabis growers.” Board member Julie Hulburd said they had a “historic responsibility to build a foundation for which inclusive and restorative practices are the cornerstone” of the cannabis industry.

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