Search Results for "rhode island"

Rhode Island Seeks Cannabis License Lottery Administrator

Rhode Island has posted a Request for Proposals seeking bids from firms to facilitate a lottery in mid-May to select winners of six licenses to operate new medical cannabis dispensaries around the state. According to the request, the deadline for application submission is March 24 with the contract beginning April 16 and lasting for approximately a month until the lottery takes place around May 16.

The selected vendor will “design, develop and administer the random selection process” in consultation with the Rhode Island Department of Business.

“The firm or individual will be primarily responsible for securing all equipment, technology, or other necessary mediums to run the process.” — Excerpt from the request

Defying some cannabis operators who want the selection process to be based on merit, former Gov. Gina Raimondo (D) — who yesterday ascended from the governorship to join President Joe Biden’s cabinet — previously said a lottery system would help avoid “political favoritism,” The Providence Journal reports.

Responding to skyrocketing medical cannabis patient registrations in recent years — far more than the state expected — Rhode Island plans to add six new dispensaries to its existing three. Twenty-eight cannabis companies submitted applications in December, hoping to get into the market before the expected arrival of adult-use cannabis.

The 28 applicants face expensive application fees, an annual fee of up to $500,000, and together they constitute a list of Rhode Island’s “who’s who,” Ganjaprenuer reported in December. The lottery, high application fees, and other barriers come at a time when activists and lawmakers are raising social equity concerns in many legal cannabis states around the country.

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Rhode Island Bill Would Allow Medical Cannabis Certification for Pets

A bill introduced this week in Rhode Island would allow veterinarians to certify pets for medical cannabis access for “any condition suffered by a domestic pet that would be a ‘debilitating medical condition’ if it were suffered by a person.”

The measure was introduced by Democratic Reps. Patricia Serpa, William O’Brien, and Stephen Casey.

Currently, no states with medical cannabis programs allow pets to be considered qualifying patients. Last month, Michigan Gov. Gretchen Whitmer (D) signed legislation allowing veterinarians to discuss the use of cannabis and industrial hemp products with pet owners.

A similar measure was introduced in California in 2019 but was tabled and was not reintroduced during last year’s session as anticipated. Earlier that year, then-Gov. Jerry Brown (D) signed a bill allowing veterinarians to discuss cannabis therapies with pet owners without risk of losing their license or other putative actions, but that bill stopped short of allowing recommendations.

A 2018 bill introduced in New York to allow the state’s veterinarians to certify pets for medical cannabis access died in the House.

A study published last year in the journal Pain found that CBD treatment for dogs with osteoarthritis was beneficial in nine out of 10 cases. The researchers concluded that the cannabinoid treatment reduced production in both inflammatory molecules and immune cells linked to arthritis.

Last May, national pet supply chain Petsmart started carrying CBD extracts from Mary’s Brands in select markets in Colorado, Indiana, Kentucky, Oregon, and Tennessee. The company later extended the offerings in their online store and in stores throughout the U.S.

If approved, Rhode Island would be the first state in the nation to allow medical cannabis certification for pets. The measure was referred to the Health, Education and Welfare Committee.

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Rhode Island to Select Six Medical Cannabis Providers in 2021

Rhode Island is relying on a lottery system to choose providers for its fledgling medical cannabis system and is expected to announce the winners sometime in 2021, the Boston Globe reports.

Although Rhode Island is limiting the number of “care facilities” to only six across the entire state — the state is divided into six zones with one care facility in each zone — the state had received 45 applications from 28 different non-profits by the December 15 deadline.

The names divulged on the applications contain a “who’s who” of lobbyists, current and ex-politicians, and business owners, the Globe reports. Many of them betting on eventually being the first in line for adult-use licenses, applicants paid a non-refundable $10,000 application fee and are expected to pay a $500,000 annual licensing fee to the state if they are selected.

“People are assuming that the compassion centers will be the exclusive sellers of recreational marijuana. It’s literally a roll of the dice, financially.” — Jeff Padwa, cannabis attorney, via the Boston Globe

Despite New Jersey, Massachusetts, and other East Coast states having legalized adult-use cannabis, the issue is not a slam dunk in Rhode Island. COVID-19 put a damper on Gov. Gina Raimondo’s (D) plans to propose a regulated market in 2020. Now, the incoming Speaker of the House Joseph Shekarchi says he is not ready to “endorse a plan,” nor would he “bet the farm” on adult-use cannabis coming to Rhode Island in 2021.

A 2017 poll revealed 59% of Rhode Islanders supported legalizing adult-use cannabis. 36 percent said they were opposed to the move.

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Expungement Bills Introduced in Rhode Island

Lawmakers in Rhode Island have introduced bills aimed at expunging criminal records related to possession of cannabis and other drugs, the Providence Journal reports. One measure (H7412) would automatically expunge cannabis crimes that are now legal under the state’s decriminalization policies, while the other (H7901) would seal simple possession charges for all controlled substances five years after the completion of the sentence and waive the court fee associated with expunging records.

During a House Judiciary Committee hearing last week, State Rep. Anastasia Williams (D) called the cannabis crime expungement measure “self-explanatory.” She pointed out that drug laws disproportionately targeted minorities and perpetuated the cycle of poverty and that people with cannabis-related criminal records – especially minorities – have trouble finding jobs and houses.

“Marijuana, medical or not, is a booming industry, and individuals are going to capitalize more on it soon with the additional six [medical cannabis dispensary] licenses. And just imagine when recreational marijuana becomes legal. So just think for a minute about the individuals who are still incarcerated [or who] have spent time in jail for possession, selling, using, carrying marijuana. …Their sentence doesn’t end when they are released.” – Williams, 2/11/20 House Judiciary Committee Meeting, via the Journal

The bill sponsored by Rep. Jason Knight (D) would expunge charges after five years “for any person convicted of an offense constituting simple possession of a controlled substance,” according to the bill text. The state already allows for broad expungement of some non-violent crimes under its ‘First-Time Offender’ program.

“The reason why I put it in is because I think we have changing attitudes around controlled substances.” Said Knight, a criminal defense attorney, to the Journal. “No one I know believes that it is a moral failing to get charged with possession of a controlled substance.”

Attorney General Peter Neronha’s Legislative Lobbyist indicated the AG “is conceptually in support″ of Knight’s bill.

Rhode Island legalized medical cannabis in 2006, the 11th state to do so. In January, Democratic Gov. Gina Raimondo called for state-wide legalization. Some lawmakers were optimistic that the state was going to pass the reforms last year but the legislature didn’t take any action on the issue.

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New York Hires Former Rhode Island Cannabis ‘Czar’

New York Gov. Andrew Cuomo (D) has hired Norman Birenbaum to run the state’s cannabis office and help craft policies for legalization, which a senior advisor to Cuomo called a “priority for next year,” the Buffalo News reports. Birenbaum, 32, previously served as the top cannabis regulator in Rhode Island until leaving the post for the unspecified New York job in November.

Rich Azzopardi, a senior advisor to the governor, told the Buffalo News that Birenbaum will oversee all things cannabis-related – including hemp and CBD. Cuomo signed a bill into law last week to regulate both the industrial hemp and CBD industries. Birenbaum oversaw both of those industries along with medical cannabis in Rhode Island.

State Sen. Liz Krueger (D), the sponsor of the state Senate’s legalization bill, said the addition of Birenbaum, who will work out of Cuomo’s office, “is a clear signal the Legislature will have a partner” on the cannabis legalization issue in the upcoming session.

Cuomo had included cannabis legalization in his 2021 budget, unveiled in January, but it was pulled in March after legislative leaders expressed concern about the reforms being passed in a budget bill rather than through the legislative process.

Lawmakers, however, would close the 2019 session without a legalization deal – blocked by downstate Democrats – though they did pass a bill to expand decriminalization protections to cover up to 25 grams and expunge low-level cannabis convictions.

After the end of the session, Cuomo met with governors from neighboring states about potential regional policies for cannabis legalization. The hiring of Birenbaum is a sign that Cuomo is finalizing his legalization plans ahead of the upcoming session.

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Rhode Island Considers Tightening Out of State Cannabis Patient Rules

Rhode Island has proposed changing state requirements for medical cannabis purchases by out of state residents.

Last year, the state took a major step forward in medical cannabis policy by allowing out of state residents to buy medical cannabis. However, after the change, a curious thing happened — according to the Providence Journal, the change prompted some 6,500 registered medical cannabis patients to change to California addresses in order to take advantage of the Golden State’s simpler medical cannabis regulations.

The policy shift proposed in Rhode Island would require patients to present a valid ID from the state where they are registered as a medical cannabis patient before they can take advantage of the out of state exemption.

At a hearing discussing the changes patients expressed concerns that Rhode Island’s system was too complicated and costly. A patient named Alexa Coffey from Portsmith, Rhode Island, said she opted for the out of state option because the Rhode Island card was too expensive.

“I make no money and have a lot of medical bills to pay,” she said.

Others believe the change may push more patients to the unregulated marketplace or force them to go to neighboring Massachusetts, where cannabis has been legalized for adult use, to buy their cannabis.

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High-Profile Rhode Islanders Announce Cannabis Investments

Several high-profile Rhode Islanders are investing in the state’s medical cannabis and hemp industries, according to a NewportRI.com report. Among the names linked to cannabis investments in the state are former CVS Health CEO Thomas Ryan, former gubernatorial candidate James Bennett, former Beacon President and CEO James Rosati, and the parents of professional golfer Brad Faxon.

Ryan, a longtime philanthropist in his home state, is listed on documents from CanWell, a spinoff of the Warwick-based Summit Medical Compassion Center, which hopes to lead the state’s “alternative dosage” medical cannabis market. So-called ‘alternative dosage’ companies are interested in other methods of ingesting cannabis besides smoking.

In 2014, CVS stopped selling tobacco products in its stores, but Ryan left the company in 2011.

Bennett ran for governor in 2002 but was handily defeated in the Republican primary by Donald Carcieri, who ultimately defeated Democrat Myrth York in the general election, according to state election data. Bennett also once headed the Rhode Island Convention Center Authority. Bennet indicated his daughter works in the medical cannabis space in Florida.

“Big tobacco, the pharmaceutical companies, they’ll all looking to get in. It seemed like a good, balanced investment.” – Bennett to NewportRI.com

Brothers Stephen and Gerald Harrington, a lawyer and Washington lobbyist and Democratic political fundraiser, respectively, are also listed on CanWell documents. Stephen told NewportRI.com that a family member undergoing chemotherapy for cancer “relied on” medical cannabis. He added that the people brought together at CanWell “are Rhode Island people.”

They understand this is a growth industry and they are committed to a best-practices approach,” Harrington said in the report.

Brad and Eileen Faxon, the parents of the Barrington native pro golfer who shares a name with his father, are linked to Kelsey Green, a Warwick-based cultivation firm which is yet to be fully licensed to operate, and affiliated company, Green Reservoir Inc, according to documents filed with the state Department of Business Regulation, outlined by NewportRI.com.

A bill to legalize adult cannabis use was introduced last year but never made it out of committee. Gov. Gina Raimondo (D) said earlier this year that she will include legalization in this year’s budget proposal.

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Rhode Island Gov. Calls for Legalization

With neighboring states beginning to opt out of cannabis prohibition, Rhode Island Gov. Gina Raimondo (D) said she will call for the legalization of adult-use cannabis this week, according to a Providence Journal report.

Gov. Raimondo will include her legalization proposal in her budget plan for the next fiscal year, starting July 1.

Cannabis reforms are making a huge splash in New England, with legalization already established in nearby Maine, Massachusetts, and Vermont; New York and New Jersey are also both positioned to legalize in 2019.

“I will say, I do this with reluctance. I have resisted this for the four years I’ve been governor. … Now, however, things have changed, mainly because all of our neighbors are moving forward [with legalization].” — Gov. Gina Raimondo (D), via The Providence Journal

Gov. Raimondo’s proposal would create one of the most restrictive adult-use markets in the U.S., with rules blocking both home grows and high-potency concentrates like dabs. Her proposal would also establish five-milligram dose limits for edibles infused with THC. The restrictions, according to the governor, are aimed at reducing health and safety issues reported in other legalized states.

If accepted by lawmakers, the governor’s proposal would see adult-use retailers opening in Rhode Island by January 2020.

“We’re not an island,” said Gov. Raimondo. “Like it or not, we’re going to be incurring public safety and public health expenses because it’s legal in Massachusetts.”

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Providence, Rhode Island

Rhode Island to Consider Cannabis Legalization This Term

Lawmakers in Rhode Island say they will look seriously at cannabis legalization in the coming term, due to reforms in surrounding states and the reelection of a governor who favors cannabis reforms, according to the Providence Journal.

Rhode Island lawmakers return in January for the start of a new legislative session with a host of new representatives. Returning state Rep. Scott Slater, who has previously sponsored several failed cannabis legalization bills, says he is optimistic for 2019.

“With the reality of it being all around us, I think folks have to look at it a little harder now. Even if you’re against recreational cannabis and you feel there are social costs to it, you’re going to be dealing with those issues within your own borders, regardless, and without any of the revenue you could be raising. You might as well regulate it and tax it and put some of that money toward prevention.” –Scott Slater (D-Providence), to the Providence Journal

Slater said to combat negative pressure from many anti-legalization groups, his upcoming proposal will give local communities an opt-out and other abilities to limit the cannabis industry. Slater also said the state’s medical cannabis program has implemented new seed-to-sale tracking that could easily be implemented into an adult-use program.

Rhode Island Gov. Gina Raimondo has said she is open to legalization in Rhode Island as long as safeguards are in place to prevent child consumption.

“Regardless of what the General Assembly does, Rhode Island adults will be buying legal marijuana from Massachusetts stores … very soon,” said Matthew Schweich, deputy director of the Marijuana Policy Project, in an interview with the Providence Journal.

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New Rhode Island Budget Raises MMJ Companies’ Annual Renewal Fees from $5k to $250k

Rhode Island medical cannabis retailers will likely see the cost of their annual renewal fees increase fifty-fold — from $5,000 to $250,000 — after lawmakers approved a new state budget, according to a Providence Journal report. Gov. Gina Raimondo, a Democrat, is expected to sign the budget this week.

Last year, Gov. Raimondo called for major expansions to the state’s medical cannabis industry. She proposed adding 12 new dispensaries to the program and raising retailer license renewals from $5,000 to $25,000. These expansions were opposed by the states’ existing three dispensaries, who argued that adding dispensaries to the state’s model would cut into the patient bases of existing retailers.

The House Finance Committee also disagreed and ultimately shot down the governor’s plan, though lawmakers adopted and dramatically expanded the increase in license renewal fees.

“The proposal would have created far too many centers. I don’t know what the right number is, but the whole system needs a comprehensive review before taking any further action. I don’t want to make a decision that may have to be pulled back.” — Rhode Island House Speaker Nicholas Mattiello, via Providence Journal

While Rhode Island‘s dispensaries now won’t have to deal with new competition, the spike in license renewal fees is sure to be felt by existing operators.

Meanwhile, Magdalena Andreozzi of the Rhode Island Cannabis Association supported the idea of adding dispensaries and argued that the expansions would have generated more than 400 jobs and roughly $1.5 million in taxes.

“(The cultivators) have purchased the licenses, paid the necessary fees, gotten zoning variances, paid for their leases and the expense of building out [a grow location], and now there is no market for them to sell their product. It’s going to be a real rude awakening for some of these new licensees.” — Magdalena Andreozzi, member of the Rhode Island Cannabis Association

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Adult-Use Cannabis Bill Introduced in Rhode Island

Adult-use cannabis legislation has been introduced in Rhode Island. The bill would create a taxed and regulated market, imposing a 10 percent excise tax on top of state and local sales taxes and allowing localities to tack on another 3 percent. The bill allows adults to possess 1 ounce of flower in public; 5 ounces in their home; as well as construct, use, and purchase cannabis products containing up to 300 milligrams of THC.

The bill allows for just one mature plant and one immature plant, which would require “cannabis tags” issued by the Department of Business Regulation. The bill does not specify whether the tags would carry a fee. Public smoking would carry a $150 fine, there is no social use provision.

The bill calls for at least 25 cultivator, 20 processor, 40 retailer, and 10 testing facility licenses. Cultivators would pay a $20,000 annual fee, while all other business types would pay $10,000.

The first $3 million after implementation and regulation expenses would be disbursed to Rhode Island police to establish a stoned-driving protocol. Additional funds would go to state police for training (15 percent); the Department of Behavioral Healthcare, Developmental Disabilities for substance abuse programs (15 percent); public education campaigns (15 percent); and to the state general fund (55 percent).

Expungement language for low-level cannabis crimes is included in the measure.

The measure was introduced by Democratic state Sen. Joshua Miller. It is currently in the chamber’s Judiciary Committee.

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A Chalice Farms employee applies a label to some product inside of the Portland, Oregon dispensary.

Rhode Island Dispensary Employee Denied Mortgage due to ‘Unacceptable Income’

An employee at a Rhode Island medical cannabis dispensary has been denied a mortgage by Home Loan Investment after the company deemed his “marijuana-related business” income unacceptable, according to a GoLocal, Providence report. John Guardarrama, a cultivator for Summit Compassion Center, was previously given preliminary approval for the loan last July but was denied final approval in January.

Christine Hunsinger, assistant deputy director for policy and research for Rhode Island Housing, said that cannabis’ federal status as a Schedule I drug could create a conflict between some home loans and federal loan guidelines.

“Regarding compassion center workers, most of our loans are FHA (Federal Housing Administration) loans, which must comply with their underwriting guidelines. FHA will not purchase or invest in a loan where the borrower is employed by or receives compensation related to the marijuana industry.” – Hunsinger in a statement to GoLocal

The Guardarramas believe that the denial is due to the revocation of the Cole Memo protections by Attorney General Jeff Sessions in January, which came just days before their loan application was denied. Melissa Guardarrama said that one of her husband’s colleagues at Summit was previously approved for a mortgage by the loan company – although she wasn’t sure if that occurred before or after the federal change. The family – who had spent funds on inspections and applications – was expected to close on the home Jan. 19.

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A worker in a dispensary holds out a large tub of cannabis nugs.

Rhode Island Dispensary Owners Oppose Adding MMJ Operator Licenses

A Rhode Island dispensary spokesman seemed to offer the state help bridging its $5 million budget gap, so long as officials don’t add more operator licenses to the state medical cannabis program, the Providence Journal reports; however, he later clarified his comments, explaining that the dispensary was not offering money in exchange for limiting competition.

“We’re very sensitive to the state and its challenges. And if there is a way to find the $5 million that you need to plug the budget hole that you need for the coming fiscal year, we’d like to be part of the solution.” — Chris Reilly, spokesman for Thomas C. Slater Compassion Center, to the House Finance Committee, via the Journal

Regulators are considering increasing the number of dispensary licenses from three to 15, which they anticipate would raise $5 million.

Reilly suggested that if the state moves forward with adding the licenses the sustainability of their business would be threatened. He also said that legalization in Massachusetts “is a market force that’s going to strain [the Rhode Island] program considerably.”

Seth Bock, CEO of Greenleaf Compassionate Care Center, said in the report that expanding the number of licenses “would almost ensure that one, maybe two, dispensaries would go out of business.” He added that for every dollar the dispensary makes, 44 cents goes to surcharges and taxes.

“We’ve built an infrastructure around a volume of patients which for us, if eliminated, would mean we couldn’t operate.” — Bock, to the committee, via the Journal

Regulators have not yet finalized the plan, but it does have the support of Gov. Gina Raimondo.

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A police SUV from Providence, Rhode Island.

Study: Rhode Island Police Issuing Thousands of Cannabis Citations Despite Decriminalization

Despite cannabis decriminalization throughout the state in 2013, Rhode Island police issued about 5,000 citations for cannabis possession through 2017, according to a University of Rhode Island study. The study, conducted by journalism Professor Peter Phipps and students in his Media and Law course, analyzed police department data representing about 85 percent of the state’s population.

Each cannabis citation carries a minimum fine of $150.

“Before this survey by journalism students at URI, no one knew how police in Rhode Island were enforcing the 2013 marijuana possession law. The class found stark differences from community to community. Among the state’s largest cities, Warwick and Pawtucket aggressively wrote marijuana citations, while Providence and Woonsocket police were more laissez faire. In 2015, for example, Warwick wrote 10 times as many citations as Providence. Overall, the class found police write most citations at traffic stops and cite males six times as frequently as females.” – Phipps in a statement

The study also found that African-Americans were disproportionately cited for cannabis possession, comprising 39 percent of all citations, despite only comprising just 8 percent of the state’s population. A 2013 American Civil Liberties Union study found that cannabis use rates among Blacks and Whites are about the same. That report also indicated that between 2001 and 2010, African-Americans were three times more likely to be arrested in Rhode Island for cannabis possession.

The good news is: Cannabis law enforcement has dropped 50 percent since statewide decriminalization and several municipalities have seen citations plummet. Including:

  • Bristol, which had 84 citations in 2015 and just 19 in the fall of last year.
  • Cranston, where police arrested 132 for cannabis possession in 2012 but have written just 188 citations since then.
  • Cumberland, which arrested 46 for cannabis possession in 2012 and has written just 33 citations since.
  • Narragansett, where 99 citations were issued in 2015 and 2016 but only 9 in 2017.
  • Tiverton, which made 23 cannabis arrests in 2012. From 2013 to 2017 the total is less than 23.

The bad news is: Police are still issuing citations at all and some municipalities are still issuing them in bunches. Including:

  • East Greenwich, which issued just 12 citations from 2014 to 2016 but issued 19 last year.
  • Pawtucket, which issues between 100 and 150 citations per year
  • Warwick, which has issued 934 possession citations since decriminalization took effect.
  • Westerly, which has issued 352 citations since the reforms took effect.

Rhode Island is often in the discussion of the next state to legalize cannabis for adults. The legislature has made overtures to create a legalization committee and Gov. Gina Raimondo has indicated she supports legalization but said last March she was “not in a rush” due to public safety and regulatory concerns.

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Rhode Island Gov. Proposes Huge MMJ Expansions & Increased Licensing Costs

Rhode Island Gov. Gina Raimondo submitted a budget amendment which, if approved, would allow six more medical cannabis dispensaries in the state – bringing the total to nine – while increasing dispensary application fees from $250 to $5,000 and the annual licensing fees from $5,000 to $25,000, the Providence Journal reports. The plan, an effort to raise $1.5 million in general revenue, is being opposed by the three existing dispensaries in the state who argue there is no need to increase operations.

Under the proposal, the three existing centers, which operate in Providence, Warwick, and Portsmouth, would be allowed to operate a second location. It also removes the requirement that dispensaries must operate as a nonprofit.

Norman Birenbaun, the state’s medical cannabis regulator, said the administration moved to increase the number of dispensaries because of dispensary-to-patient ratios. Rhode Island has the highest number of patients per allowed number of dispensaries of any state.

Additionally, lawmakers approved a measure creating a cannabis study commission that will explore to what effect adult-use legalization would have in the state. The House approved a 19-member panel that is expected to make recommendations to the General Assembly by March 2018. Although the measure easily passed the House, 67-2, cannabis proponents called the move “a flawed delay tactic.”

Of the $1.5 million increasing dispensary counts and fees is expected to bring, $603,000 would be used to support medical cannabis program operations.

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The Rhode Island State Capitol Building in Providence, Rhode Island.

Rhode Island Assembly to Vote on Creating Cannabis Legalization Committee

Lawmakers in Rhode Island are expected to vote on a measure today that would create a 17-member panel to “conduct a comprehensive review and make recommendations regarding marijuana and the effects of its use” to the General Assembly, laying the foundation for an adult-use legalization vote next session, the Providence Journal reports. The commission would be required to report its findings by Mar. 1, 2018.

The measure is sponsored by state Rep. Dennis Canario, a Democrat and retired police officer, and has the support of Attorney General Peter F. Kilmartin and Smart Approaches to Marijuana – a group that opposes cannabis legalization.

The commission would be comprised of three senators and three representatives, providing that no more than two from each chamber are from the same political party; a representative from SAM, or a similar organization; a member of a pro-legalization group; the president of the Substance Abuse Mental Health Council of RI; the executive director of the Rhode Island Medical Society; the director of the state Department of Health; the president of the Rhode Island Police Chiefs Association; a member of the local chamber of commerce; an educator; a mental health professional; a representative of medical cannabis patients; and the attorney general.

The majority of the commission appointments would be made by the Senate president, while the remaining seats would be appointed by the House speaker.

A 2009 legislative study on the prohibition of cannabis in Rhode Island led to statewide decriminalization in 2010.

If the Assembly passes the measure it would be sent to Senate for consideration.

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Rhode Island Committee to Discuss Legalization Bill Today

The Rhode Island House Judiciary Committee is scheduled for a hearing today on a proposal to legalize cannabis statewide and establish a system for the commercial production and distribution of the plant.

House Bill 7752 — sponsored by Rep. Scott A. Slater (D-Providence) — seeks to legalize and regulate cannabis similarly to alcohol.

“This bill would provide a tremendous economic boost for our state, which is one of several reasons why our state legislators should not delay voting on it,” said Jared Moffat, director of Regulate Rhode Island, which is a pro-cannabis organization that supports Slater’s bill.

“This proposal would create dozens of new businesses and thousands of new jobs across Rhode Island. Our state’s unemployment rate is still significantly higher than our neighbors’, and this legislation will put many Rhode Islanders back to work,” Moffat said.

Slater also has two other cannabis-related proposals for consideration — one which adds PTSD to the list of Rhode Island’s qualifying conditions for MMJ, and another would potentially increase the number of compassion center permits available in Rhode Island from three to six.

According to regulatory analyst Eric Casey of 4Front Ventures, a researching firm dedicated to the cannabis market, “Instead of continuing to have an out of control underground market, Rhode Island has the opportunity to create a responsibly regulated, legal market. Workers will be better protected, provided salaries and benefits, and paying into the tax system.”

Rhode Island Attorney General Peter F. Kilmartin said in a statement that while he supports medical cannabis, he hopes that Rhode Island does not go down the path of recreational legalization. “There are too many unknowns,” he said, “and… unintended consequences associated with legalizing recreational marijuana.”

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Rhode Island Governor Open to Cannabis Legalization Referendum

Gov. Gina Raimondo is open to the idea of putting the legalization question to Rhode Island voters, she told the Providence Journal on Tuesday.

“I could see Rhode Island eventually getting there,” she said. “But I’m not in a rush because there are issues of safety, how do you regulate it, how do you keep it out of the hands of kids, especially the edibles. I think there probably are some economic advantages to being first, but I’d rather get it right.”

According to Rhode Island state law, in order for the legalization issue to appear before voters at all, the state legislature must be willing to issue a referendum to consult the public — there is not a voter initiative process that advocates can rely on. In other words, the first steps of reform can only come from state lawmakers.

Gov. Raimondo has reportedly been in talks with Colorado’s Gov. John Hickenlooper about the aftereffects of legalization to determine whether or not such a course would be good for Rhode Island.

“I could see the logic in saying it’s the kind of thing that people ought to have a say in … It doesn’t say I’m committed to it, but I’m open to it,” she said.

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Rhode Island Lawmakers to Review Legalization Bill

This week, the Rhode Island legislature will, for the second year in a row, review a bill to legalize marijuana in the state, and regulate and tax it like alcohol.

Last year’s proposed legislation, a combination of Senate Bill 510 and House Bill 5777 known as the Marijuana Regulation, Control and Taxation Act, garnered wide support among voters in the state and was expected to pass in the legislature. But last June, lawmakers called a recess and tabled the bill before it could be voted on.

This year, Democrats Rep. Scott Slater (D-Providence) and Sen. Joshua Miller (D-Cranston) will once again introduce the bill, which would allow adults 21 and older to possess up to an ounce of marijuana flower and a single plant. The bill would also establish a system for licensing retail stores, cultivation operations, testing labs, and set health and safety standards, along with labeling requirements.

But the stakes are higher this year, as Rhode Island Governor Gina Raimondo recently unveiled a marijuana tax proposal specifically targeting the 10,000 medical marijuana patients in the state — including a sky-high tax rate of $150-$350 per marijuana plant. The plan ignores the far greater revenue potential of recreational users, who theoretically number over 100,000, should cannabis prohibition end.

SB 510/HB 5777 would tax recreational users, likely generating far more tax revenue than the proposed $8.4 million the Governor could squeeze out of medical patients.

The bill has widespread support in the state from public health officials, doctors, and law enforcement. A poll conducted last year showed more than 57% of Rhode Island voters support legalization, while only 35% oppose.

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Brief: Rhode Island Activists to Attempt Marijuana Legalization in 2015

A political coalition called Regulate Rhode Island is making a push for Rhode Island legislators to legalize recreational marijuana in their state during the 2015 General Assembly, reports the Providence Journal. If successful, Rhode Island would become the fifth state to legalize marijuana and the first state to do so via the legislature.

“The results are in, and marijuana prohibition is on its way out,” said Director of Regulate Rhode Island Jared Moffat, who believes that at least five more states could pass some form of cannabis legalization by the end of the 2016 election season.

“Americans are fed up with wasteful and ineffective laws that punish adults for using a less harmful substance than alcohol. The [election] results are particularly encouraging since voter turnout during a midterm … is typically smaller, older, and more conservative. Clearly, support for ending marijuana prohibition spans the political and ideological spectrums.”

A 2014 legalization push led by Rep. Edith Ajello (D-Providence) and Sen. Joshua Miller died in the General Assembly. The proposed law would have generated important tax revenue, as the state is currently struggling with one of the nation’s highest unemployment rates.

Rhode Island is currently one of 23 states that allow access to medical marijuana.

Earlier this year, a poll revealed that the state of Rhode Island actually has the highest percentage of marijuana smokers per capita in the country, with 13% (or 1 in 8) of all citizens aged 12 and over having used the drug within a month before the polling.

Sources:

http://www.providencejournal.com/news/health/marijuana/20141106-regulate-ri-continues-to-push-for-legalizing-marijuana.ece

Photo Credit: Sean

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Brief: Is Rhode Island the New Stoner State?

In a surprising twist, new data from the latest National Survey on Drug Use and Health suggests that Rhode Island—not Colorado, Washington, California or any of the other stereotypical “stoner” states out west—has the highest percentage of users per capita.

13%, or one in eight, of Rhode Island citizens aged 12 and older said that they had used marijuana within the past month. Kansas, with 4.06% overall, reported the lowest levels of marijuana users. For the most part, states in the west generally reported more marijuana users, with an average of 9%; while in the South, marijuana use among the population averaged only 5.83%. The national average is only 7%.

Unsurprisingly, it appears that the largest age group of marijuana users (19%) is between 18-25 years old. In contrast, only 5% of Americans 26 and older reported regular marijuana use.

Marijuana is legal for adults aged 21 and older to use in Colorado and Washington, and legalization will be on the November ballot in Alaska and Oregon later this year. Several other states have recently adopted or proposed initiatives legalizing cannabis for medical use, including New York and Minnesota.

Source:

http://www.samhsa.gov/data/NSDUH/2k12State/NSDUHsae2012/Index.aspx

http://www.boston.com/news/local/rhode-island/2014/08/05/forget-colorado-new-survey-shows-rhode-islanders-use-the-most-marijuana/1ODA0tSy0Y8yVjUDRkqnlM/story.html?s_campaign=8315

Photo Credit: 6SN7 via Flickr

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U.S. Census Bureau Releases Interactive Map Outlining States’ Quarterly Cannabis Tax Revenues

The U.S. Census Bureau has released an interactive map outlining the quarterly revenue states have garnered from cannabis excise taxes and what percent of their revenues the taxes represent. The agency’s data covers the second half of 2021, all of 2022, and the first half of this year. 

The data set for Q2 2023 is incomplete with several states where adult-use businesses are operational not included, such as Washington State, New Jersey, and Maryland. Other states, including Virginia and Minnesota have legalized cannabis for adult-use but sales have yet to commence. The data also includes states that impose excise taxes on medical cannabis sales.  

The available data shows that Q2 2023 cannabis tax revenues in five states represented more than 1% of the states’ total tax revenues, including Alaska (1.32%), Colorado (1.21%), Illinois (2.04%), Michigan (2.16%), and Oregon (3.19%). Among those states, only Alaska and Michigan had increases in cannabis tax revenues from the previous quarter, with 18.35% and 8.53% respectively. Colorado saw a 0.33% decrease, Illinois a 3.72% decrease, and Oregon a 7.95% decrease.  

Cannabis tax revenues for two states, Arizona (0.73%) and Missouri (0.92%), represented between 0.5% and 1% of revenue and both saw increases from Q1 figures at 9.73% and 89.4%, respectively.  

The cannabis tax revenues from the remaining states included in the dataset comprised less than 0.5% of the state’s revenues in Q2; those states include California (0.26%), Connecticut (0.05%), Maine (0.11%), Massachusetts (0.42%), Mississippi (0.02%), Montana (0.25%), Nevada (0.17%), New Mexico (0.06%), New York (0.37%), Oklahoma (0.09%), Pennsylvania (0.20%), Rhode Island (0.13%), Vermont (0.04%), and Washington, D.C. (0.01%).   

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More Than 20 AGs Send Letter to Congressional Leadership Urging Passage of SAFER Banking Act

A bipartisan group of more than 20 attorneys general on Tuesday sent a letter to Congressional leadership urging them to pass the Secure and Fair Enforcement Regulation (SAFER) Banking Act. The bill passed the Senate Committee on Banking, Housing and Urban Affairs on Wednesday. 

In the letter, the attorneys general note that current federal law, which classifies cannabis as a Schedule I drug, presents “a risk of criminal and civil liability to banks providing services to state-licensed cannabis dispensaries and related businesses” which significantly inhibits “the ability of financial institutions to provide services to regulated cannabis operators and leaves those businesses struggling to find financing.” 

“The lack of access to banking services creates both barriers to entry into the industry and instability for existing businesses. Recently, Mastercard announced that it will no longer allow its cardholders to use their bank cards to purchase cannabis, cutting off a key revenue stream and making it harder for customers and businesses alike,” the letter states. “Further, where the public perceives that regulated businesses can only conduct business in cash, employees and customers are at greater risk of violent crime in pursuit of that cash. Several jurisdictions have seen a spike in robberies of cannabis businesses, some of which have resulted in deaths.” 

The signatories add that passage of the law “will enable the evolution of a banking system for legalized cannabis-related businesses that is both responsive and effective in meeting the demands of our economy.” 

The letter is signed by the attorneys general of Arizona, California, Colorado, Connecticut, Georgia, Hawaii, Illinois, Maine, Maryland, Massachusetts, Michigan, Nevada, New Jersey, New Mexico, New York, Oklahoma, Oregon, Pennsylvania, Rhode Island, Vermont, Washington state, and Washington, D.C.  

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Cannabis Sales in Massachusetts Total $5B Since Adult-Use Launch

Adult-use cannabis sales in Massachusetts reached $5 billion on August 31 after record-breaking monthly sales in June, July, and August, according to the state Cannabis Control Commission (CCC). Sales surpassed the $4 billion mark just eight months prior to hitting $5 billion, which the CCC said makes the period the shortest it’s taken for Massachusetts businesses to generate another $1 billion dollars in gross sales.

Cannabis sales commenced in Massachusetts in 2018. So far this year, adult-use cannabis sales have totaled more than $1 billion. 

In a statement, Commission Executive Director Shawn Collins noted that the milestone comes even as Maine, Rhode Island, and Connecticut also experienced record sales over the summer.  

“Demand for tested, quality cannabis products remains strong in the region, and consumers shopping in other states have not impacted Massachusetts’ success.” — Collins in a press release 

The agency also noted that, to date, just five cannabis retailers in the state have surrendered or allowed their license to expire, while just 16 of all cannabis businesses have either let their license expire, surrendered their license, or had it revoked. The state currently has 317 cannabis retailers, nine delivery couriers, eight delivery operators, and one microbusiness with a delivery endorsement.  

The CCC notes that it is also currently undergoing a regulatory review to implement new social equity rules and regulations. The agency has until November 9 to issue the updated program regulations.    

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