Cannabis Approved as Opioid Exit Path in Illinois

8/28/2018

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A measure written to limit barriers for medical cannabis and provide easier access for patients currently taking prescription opioids will become law in Illinois today, according to a Chicago Tribune report. Gov. Bruce Rauner will sign the bill into law at the Chicago Recovery Alliance, a nonprofit that provides clean needles, anti-narcotic Naloxone, and other services in the fight against heroin and opioids.

The measure focuses on the fight against opioid deaths — there were 2,000 in Illinois alone in 2016 — but it will also remove hurdles for accessing medical cannabis for anyone with a qualifying condition.

Previous restrictions requiring all prospective medical cannabis patients in Illinois were required to be fingerprinted and undergo a background check will be removed. Those patients approved by a doctor but who are awaiting state review of their application will also be given an immediate, temporary prescription for medical cannabis.

The measure goes further for those with a medical cannabis prescription provided in lieu of a prescription for opiates; such patients will not need to apply to the health department and can access medical cannabis immediately, though their renewable prescription will be limited to just 90 days.

“It’s an exit ramp for opioid use.” — State Sen. Don Harmon (D-Oak Park), sponsor of the bill, via The Chicago Tribune

Opponents of the medical cannabis expansions claim that cannabis does not help with pain nor reduce opioid abuse. Director of Research for the Chicago Recovery Alliance Suzanne Carlberg-Racich, however, supports the new law.

“This is a great step in the right direction. I’m pleased to see an alternative for pain management that doesn’t have any potential for a fatal overdose.” — Suzanne Carlberg-Racich, director of research for the Chicago Recovery Alliance and assistant professor of public health at DePaul University, in the report

End

A mature cannabis cola inside of a licensed Washington cultivation center.

Study: Nearly Half of Cannabis Consumers Can’t Name Their Favorite Strain

8/28/2018

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A recent report on cannabis consumer trends by High Yield Insights has found that although a majority (64 percent) of cannabis consumers say that strain types are important to their purchasing decisions, nearly half (45 percent) either didn’t have or couldn’t name their favorite strain.

Popular strains like GG4 and OG Kush surfaced most frequently among the strains that were named, but nearly a third of admittedly regular consumers couldn’t muster the name of their preferred strain. Many consumers who claimed to have a favorite instead simply named “sativa” or “indica.”

“Strains are important to users but not how you might guess. The booming market, combined with the nature of the supply chain and variable product availability, creates too much distraction for users to gravitate to a favorite. As the market matures, users will come to expect a consistent and reliable product experience. That’s why we’re seeing a shift toward communicating effects, such as relaxation or focus, particularly in vaping. Our insights on the customer mindset paired with test results from the scientific community underline an uncomfortable truth: strain names are increasingly meaningless. The industry needs to hit reset on what’s being delivered to customers.” — Mike Luce, co-founder of High Yield Insights, in a press release

The study was completed by independent market research firm Survata, who compiled the data via an online survey.

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Cannabis Intoxication Roadside Testing Tech Coming to Canada

8/28/2018

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Police in Canada will soon have access to new testing technology to help check drivers for intoxication from cannabis and other substances, The Canadian Press reports.

The saliva screening equipment will be used primarily to test for THC, the main psychoactive ingredient in cannabis. The technology will be made available to police departments across the country but ultimately it will be up to each department to decide individually whether to use it.

Manufacturers suggested the technology could be ready for police departments in the next four to six weeks.

Federal officials have pledged $161 million for a public awareness campaign about drugged driving and to help fund police departments’ training exercises and drug-testing equipment over the next five years. Law enforcement officials had a goal of training 2,000 officers by October to spot drug-impaired drivers, but the Canadian Association of Chiefs of Police announced last month that it will likely not reach that goal.

Canada’s legalization bill authorized roadside intoxication tests despite concerns that the technology might falsely identify a user as intoxicated because of cannabis found in their system — whether they were actually stoned or had just used the night before, or even earlier that week. Proponents of the technology are concerned that legalization will lead to a surge of stoned drivers and an uptick in car accidents and other consequences of having more intoxicated drivers on the roads.

“There’s no suggestion in any of this. That people are going to be jumping into their cars when they weren’t before — they were users that weren’t jumping into their cars and now that’s it’s legal and will now be jumping into their cars high.” — Andrew Mason, criminal defense lawyer with the Scott Phelps & Mason law firm, via Global News

Cannabis will become legal in Canada for adults 18 and older on October 17.

End

Illinois Gov. Signs Hemp Legalization Bill

8/27/2018

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Illinois Gov. Bruce Rauner (R) signed a bill to legalize industrial hemp on Saturday, the Chicago Sun-Times reports. The Illinois Industrial Hemp Act takes effect immediately and legalizes the harvesting and use of hemp for paper, fabric, plastics, construction materials, and food.

Illinois’ House of Representatives had approved the hemp legalization bill by a 106-3 vote; the Senate voted unanimously for the bill.

“Legalizing the farming of industrial hemp just makes good sense. Roughly 38 states — including our neighbors in Wisconsin, Kentucky, Indiana, Missouri and Tennessee — have allowed or are considering allowing cultivation of this crop for commercial, research or pilot programs. Our farmers should have this option as well.” — Gov. Bruce Rauner, in a statement

The Illinois Department of Agriculture will be tasked with licensing farmers who are interested in growing industrial hemp. First, however, regulators must determine rules for testing hemp crops’ THC content (federal law requires hemp plants to contain no more than 0.3 percent THC).

“The production of industrial hemp has broad support among our farmers and rural families, as they know this will add another potentially significant crop that can be grown in our state. In the early 20th century, Illinois was a national leader in hemp production and I look forward to us returning to that position.” — Rep. Tim Butler (R-Springfield), the bill’s sponsor, in a statement

End

Have a Heart Cannabis

Cannabis Retail Chain Becomes First to Unionize in Washington State

8/27/2018

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Cannabis retailer “Have a Heart” and workers union “United Food and Commercial Workers 21 (UFCW21)” have signed Washington state’s first cannabis collective bargaining agreement, reports the Seattle Post-Intelligencer.

“This relationship is quite unusual, in a very positive sense. It’s rare for an employer and their employees to reach a first contract so quickly and one that is so promising for current and future employees. These partnerships strengthen individuals, families and communities – and lead to superior service for customers.” — Todd Crosby, UFCW 21 President, via Seattle PI

Have a Heart’s 134 employees now have a bargaining agreement in place that currently guarantees “above-average compensation for the industry,” comprehensive health and welfare coverage, and other benefits. Have a Heart operates five retail locations in Washington and has other locations in states with legal cannabis.

“At Have a Heart, we believe in doing good. We consistently strive to have a positive impact in the neighborhoods where we do business, and we see our partnership with UFCW 21 as part of our commitment to creating a safe and empowering workplace.” — Ryan Kunkel, CEO of Have a Heart, via Seattle PI

UFCW21 represents over 1.3 million workers in the U.S. and Canada in a wide variety of industries. UFCW21 first started working with the cannabis industry in 2010 in California. Through 2011, the union signed many medical cannabis businesses in California as well as 8,000 employees in Colorado.

UFCW21 has made it a mission to organize within the cannabis industry, though complicated federal cannabis statutes and issues with labor union laws have caused the union difficulty.

End

Cash Money

Pennsylvania Gov.’s Office Requests Congressional Cannabis Banking Protections

8/27/2018

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On Friday, the administration of Pennsylvania Gov. Tom Wolf (D) wrote a letter to top leaders in Congress calling for protections for banks that deal with the legal cannabis industry, the Philadelphia Enquirer reports.

Millions of dollars in cash flow across Pennsylvania — and other legal states — on a monthly basis, all nearly impossible to complete insure and extremely vulnerable to theft and other risks.

The letter, sent by Pennsylvania Secretary of Banking and Securities Robin L. Wiessmann, was signed by state banking officials from Alaska, Connecticut, Hawaii, Louisiana, Michigan, Montana, Nevada, New York, Oklahoma, and Washington state.

“We urge Congress to consider legislation that creates a safe harbor for financial institutions to serve a state-compliant business, or entrusts sovereign states with the full oversight and jurisdiction of marijuana-related activity. … The well-documented conflict between federal and state law creates barriers for banks desiring to serve businesses involved in state-licensed marijuana activities. This has resulted in regulatory and legal risk … and created a ‘cash and carry’ industry. … This raises concerns with respect to public safety, increases difficulty tracking the flow of funds, and contributes to a loss of economic activity, workforce development and community development opportunities.” — Letter from Robin L. Wiessmann, PA Secretary of Banking and Securities

Previously, the Obama-era Cole Memo had provided some protections for financial institutions dealing with the cannabis industry; however, Attorney General Jeff Sessions rescinded the memo earlier this year.

“The cash-only business creates horrific safety and operation concerns for both marijuana-related businesses and their employees, vendors, landlords and taxing bodies.” — Steve Schain, Philadelphia cannabis banking attorney, via the Philadelphia Enquirer

Nearly 70 percent of all cannabis businesses in the U.S. that have direct contact with plants do not have a bank account. Even 50 percent of cannabis businesses that don’t deal directly with the federally illegal cannabis plant are also unbanked. Insurers generally only cover up to $20,000 in “cash loss,” an amount that is easily exceeded by even small cannabis businesses; many businesses will have $200,000 to $500,000 in cash on hand.

The Wolf Administration now awaits a reply from the addressees of the letter: U.S. Reps. Paul Ryan (R-WI) and Nancy Pelosi (D-CA) and U.S. Sens. Mitch McConnell (R-KY) and Chuck Schumer (D-NY).

End

New Zealand Licenses Its First Cannabis Company

8/27/2018

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New Zealand officials have issued the country’s first medical cannabis cultivation license to Hikurangi Cannabis, a company based in Ruatoria on the North Island, according to the Australian Associated Press. The license will allow the company to breed and grow cannabis for medical research by the New Zealand Ministry of Health; previously, only one university in the country was authorized to grow the plant.

The company hopes to turn its smaller research grow site into a larger, high-tech cultivation facility that will provide jobs and economic growth for their rural region.

In January, Hikurangi Cannabis crowdfunded $NZ2 million (about $1.3 million in USD) for its research plans and — according to Manu Caddie, the interim chief executive — the company has already secured a $NZ160 million conditional agreement with U.S.-based Rhizo Science.

Mr. Caddie said that the industry is “certainly going to be significant for our part of our country, in terms of job creation.”

“The rest of the world are cottoning on … places like New Zealand will struggle to compete at the commodity level, but if we can quickly build brand and intellectual property around the clinical trials, then there’s an opportunity to retain the value long-term and to keep that value in the regions.” — Manu Caddie, interim chief for Hikurangi Cannabis, via Australian Associated Press

The company’s license comes during a time while New Zealand considers a bill to legalize and regulate the production and import of medical cannabis products.

End

Industrial Hemp THC Limit Raised to 1% In Western Australia

8/24/2018

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Regulators in Western Australia have approved new rules for the state’s industrial hemp farmers, raising the upper limit for THC in licensed hemp crops to one percent (from just 0.35 percent), the Hemp Gazette reports.

“From the Ord down to the South-West and Great Southern, we are seeing unprecedented support for hemp as a fibre, food and building product. The cross-party support for these amendments is a sign of the wide recognition for the job-creating potential of this industry for regional WA.” — Alannah MacTiernan, West Australia Agriculture and Food Minister, in the report

Intentions to raise the limit were first announced in February and the move brings Western Australia in line with the rest of Australia’s states.

Australia has been growing hemp for industrial purposes since the Industrial Hemp Act passed in 2004. Medical cannabis, however, is relatively new to the country and remains quite heavily restricted.

However, advocates argue that Australia is still “missing out” on the sale of cannabis and hemp nutraceutical extracts. In fact, the hemp-derived CBD products commonly sold via online marketplaces throughout the rest of the world require specific distribution licenses from Australia’s Office of Drug Control.

“Australia has a wonderful opportunity here, we have from latitude 16 down to 42, we can grow crops on a continual basis throughout the year, harvesting in the south, moving all the way to the north throughout an eight-month period. We can produce better product than anybody else can but if it has to be behind a 12-foot barbed wire fence with security guards, lights and swipe cards to get in and out — it’s not going to happen.” — Phil Warner, an Australian hemp producer, via ABC Australia

End

Mormon Temple, SLC

Mormon Church Officially Comes Out Against Utah MMJ Initiative

8/24/2018

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On Thursday, leaders of the Church of Jesus Christ of Latter-day Saints hosted a news conference where they came out unequivocally against Proposition 2, Utah’s medical cannabis ballot measure to be considered by voters in November, according to an LA Times report.

Previously, the Mormon church had only made neutral, carefully considered statements and provided behind-the-scenes funding for the campaign against Proposition 2; the church had not taken a public stance against the measure until now.

“We are deeply concerned by the history of other states that have allowed medical and recreational use of this drug … and have experienced serious consequences to the health of its citizens.” — Elder Jack N. Gerard, Church of Jesus Christ of Latter-day Saints, in the report

Many in Utah now expect the church to launch a heavy opposition with television and radio ads and increased funding.

A poll from the Salt Lake Tribune-Hinckley Institute of Politics indicated two-thirds of voters in Utah support Proposition 2. With 60% of the state consisting of Mormons, however, new public opposition from the church may change those numbers.

A campaign filed earlier this month and spearheaded by attorney Walter Plumb, which was based on issues with freedom of religion regarding Proposition 2, is still awaiting a decision from the state court.

Medical cannabis advocate and Mormon DJ Schanz, leader of the proponent campaign for Proposition 2, said the church’s effort “to undermine our efforts to give patients relief is nothing new.”

“We are actually relieved that they are finally doing it in the open rather than behind the scenes. We have great hope that the voters in Utah will side with patients and in favor of compassion and see through the smoke and mirrors surely to follow.” — DJ Schanz, via the LA Times

End

Marlborough Police Department Humorous Sign

NH Police Take Cannabis, Leave Humor in Illicit Cannabis Grow Bust

8/24/2018

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Police in Marlborough, New Hampshire confiscated 25 cannabis plants growing on private land and then did something unexpected — they joked about it, reports The Boston Globe. Police not only left a laminated sign reading, “Sorry about your luck,” but also made a Facebook post sharing humorous facts with the unidentified — and unarrested — grower.

“FACT: Possessing small amounts of marijuana has been decriminalized in NH. FACT: This doesn’t mean you can grow 25 marijuana plants on someone else’s property. FACT: Using your fine-tuned horticultural skills to grow delicious organic tomatoes is much more rewarding and much more legal.” — Marlborough Police Department’s Facebook Page

The sign left by police also indicated that the plants could be claimed in person at the Marlborough Police Department (MPD) with a photo ID. While possession of small amounts of cannabis has been decriminalized in New Hampshire, cultivation and sale is still a felony. Hopefully, the grower in question knows better than to actually show up.

The Facebook post was written by Police Sgt. Zachary Byam, who said in a telephone interview with the Boston Globe that the department decided against an investigation into the identity of the grower because it would be too lengthy and costly.

“The best solution was to remove the plants and spread the word. It was one of those things where we had to draw the line somewhere, and I think that this was the best decision to be made.” — Sgt. Zachary Byam, in the report

There is no sign as favorable for the decline of cannabis prohibition as a light-hearted tone from law enforcement and no arrests, especially in a state that has yet to legalize adult-use cannabis. Hopefully, other law enforcement agencies in states where prohibition is still ongoing choose to copy the MPD’s strategy.

End

Courtroom

Cannabis Expungement Bill Passes California Legislature

8/23/2018

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On Wednesday, the California state legislature approved a bill that requires the state’s Department of Justice to review cannabis convictions from 1975 to 2009 and produce a list of convictions to be expunged or reduced, the Winters Express reports.

Assembly Bill 1793 was introduced in the California State Assembly by Rob Bonta (D-Oakland). California’s Department of Justice (CDOJ) said there may be as many as 220,000 convictions that are eligible for expungement or reduction.

The CDOJ has until July 1, 2020, to compile and edit the list of eligible cases. At that time, prosecutors would have a review period to exempt certain cases from expungement or reduction if they deem it “an unreasonable risk to public safety.”

Proposition 64, the measure that legalized adult-use cannabis in California, already removed cannabis convictions for previous offenders but provided no structure or mechanism to make the change. Most state district attorneys claim a lack of resources made it impossible for them to review all older cases, which will no longer be a good enough answer should Gov. Jerry Brown sign this bill into law.

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Wine Fields

Treating Cannabis Like Wine, California Plans Region of Origin Regulation

8/23/2018

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The California Department of Food and Agriculture (CDFA) is planning an “appellation of origin” system to regulate the naming of craft cannabis strains from specific regions like it does for wine, Forbes reports. In the same way that wine is named for the region — such as Napa or Bordeaux wines — small cannabis growers in the golden triangle of Northern California want Mendocino or Humboldt cannabis and regulation to ensure that it means something.

The search for novel strains, interesting experiences, and a way to stand out to consumers is of constant concern for cannabis growers. The market for growers is one of the tightest, with a race-to-the-bottom structure for prices in most legal states. Growers who take the time and money to carefully grow the highest quality products in the best environments want to be sure that customers are aware of why their products may cost more.

The CDFA wants to follow in the footsteps of the Appellation d’Origine Contrôlée and the American Viticultural Area regulatory bodies, which offer prestige to luxury manufacturers in their regions. Craft growers hope that the government-assisted marketing for their products via appellations of origin will help to fight the megafarms that are beginning to take over most legal markets.

Regulators in California are on board and have set the deadline for CalCannabis Cultivation Licensing — the subset of the CDFA that controls cannabis growers — to regulate regional titles at no later than January 1, 2021.

CalCannabis said they will have the schedule for the initial workshops regarding the appellations of origin up on their website by next week.

End

California Teens Have Decreased Their Cannabis Use, Study Shows

8/23/2018

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A new study from the California Healthy Kids Survey shows that — despite increased legalization, mainstream attention, and a cultural and political shift towards a cannabis-friendly society — teenagers in California are actually using cannabis less frequently.

The biennial study, funded by California’s health and education departments, was released on Monday and covers the years 2015-2017. The last time such a study was released was for the years 2013-2015.

The study authors wrote that “although marijuana use has been declining, it remains the second most popular drug among high school students after alcohol… How the recent legalization of marijuana use for adults in California effects the declining trend among youth warrants attention.”

The study investigated cannabis usage rates among 7th, 9th, and 11th graders.

  • 4.2 percent of 7th graders said they had used cannabis; for the study during 2013-2015, 7.9 percent of 7th graders reported having used marijuana
  • 17.4 percent of 9th graders said they had used cannabis; 23.1 percent of 9th graders said so during the previous study
  • 31.9 percent of 11th graders said they had used cannabis; that number was 37.9 percent for the years 2013-2015

Ellen Komp, the deputy director of California NORML, said in a news release that the study results were an “encouraging indicator of the success of regulation.”

“It’s time to stop trying to ‘send a message’ to young people about drugs and instead implement sound, science-based policies that best protect our children and public safety, along with our privacy and human rights.” — Ellen Komp, Deputy Director of California NORML, in a news release

End

New Jersey Lawmakers Positioned for Legalization Vote Next Month

8/23/2018

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Lawmakers in New Jersey could vote on a cannabis legalization bill as early as next month but its success is not yet guaranteed, according to a NorthJersey.com report.

New Jersey Senate President Stephen Sweeney said on Wednesday that he expects to get enough votes to pass the measure when it’s ready, but the bill hasn’t been finalized and so, technically, lawmakers could still find enough faults with the bill to turn it down.

“We’re getting very close to having a product that we can share with members so they can see what we’re talking about. You’re never going to get anybody to say they support this or this until they actually see the bill.” — New Jersey Senate President Stephen Sweeney (D, District 3), via NorthJersey.com

New Jersey Gov. Phil Murphy was elected last year on a campaign promise to legalize adult-use cannabis and had previously called for the Legislature to take action on the issue by June 30.

A recent Quinnipiac p0ll found that while some 62 percent of New Jersey citizens want to legalize, only 50 percent said they would approve of cannabis being sold in their towns. And, according to an NJ.com report, more than 30 municipalities have already passed bans on cannabis sales.

A spokesperson for Gov. Murphy said that the governor still “believes legalization is the right choice for New Jersey.”

“Gov. Murphy and the Legislature are working closely together to proceed with legalized adult-use marijuana in a safe way that makes the state fairer, prioritizes that safety of New Jersey residents, and respects local communities.” — Alyana Alfaro, spokesperson for Gov. Phil Murphy, via NJ.com

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DEA Wants Even More Cannabis Grown by End of 2018

8/22/2018

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The DEA is doubling down on a plan announced last week to increase research-grade cannabis production in 2019 and is now moving to raise the cannabis production quota for 2018, as well, reports Marijuana Moment‘s Tom Angell. The new total for this year — which exceeds 2,500 pounds — is more than double the 978 pounds originally requested by the agency for 2018.

According to a federal register filing set to be published on Thursday, the new cannabis quota will help to meet the “estimated medical, scientific, research, and industrial needs of the United States,” create a stock of marijuana “for lawful export requirements,” and to establish and maintain reserve stocks of research-grade cannabis.

It is not exactly clear why the DEA has suddenly seemed to cool on cannabis production, but many predict it could be in preparation for the federal licensing of more research cannabis farms.

The proposed controlled substance quotas will now be subject to public comment for 30 days.

Some senators have accused Attorney General Jeff Sessions — who has, as the head of the Justice Department, taken many actions to harm or hinder the legal cannabis industry — of trying to block up the licensing process for additional research-grade cannabis farms.

Sessions admitted in April during a Senate testimony that medical marijuana might be beneficial.

End

Analyst Pegs U.S. National Cannabis Market at $47 Billion; Stocks Soar

8/22/2018

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Wall Street Investment bank RBC Capital Markets has estimated that a legal cannabis market in the entire U.S. could generate $47 billion annually within the next ten years, according to a Business Insider report. The same analyst claimed that current combined legal and illegal sales top $50 billion.

“We believe further US decriminalization of cannabis including for recreational use is very likely over time. It ultimately starts with US voters who across demographics are supportive of cannabis legalization.” — RBC Capital Markets, in a letter to clients

RBC Capital Markets compared that $50 billion number to existing spirits, beer, and wine markets. Spirits currently generate $58 billion annually, wine $65 billion, and beer $117 billion.

Cannabis, then, even in the current climate, is comparable to other recreational substances. As social stigmas regarding cannabis consumption shift, those numbers may further change.

The investment bank went on to praise the recent move by Constellation Brands, makers of Corona, into the cannabis market with Canopy Growth. Shares of Canopy Growth have soared since the $4 billion investment, bringing nearly every publicly traded cannabis company’s shares up with it.

End

Colorado’s Mandatory Pesticide Testing: Good for Labs, Painful for Growers

8/22/2018

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Cannabis testing labs in Colorado are seeing a stream of new profits while local cultivators are struggling to absorb the costs of state-mandated pesticide testing on all cannabis flower products, according to a Marijuana Business Daily report.

The new rules, which took effect August 1, do not require additional pesticide testing for cannabis extracts and other concentrates.

Because each strain must be individually tested, however, some industry insiders fear that the rules could lower the diversity of products on the marketplace as growers reduce the number of unique strains they produce.

Tim Cullen, CEO of the Denver-based Colorado Harvest Company, told Marijuana Business Daily that the new lab tests cost him about $2,500 per week for each grow facility. The added costs, Cullen said, are financially squeezing local cultivators, who already must deal with high rates of taxation and a lack of typical business tax deductions.

“You can’t have the state government imposing all these new tests every year that come out of the profit margin of the business without giving some relief on the federal tax side that takes all of the profit out.” — Tim Cullen, CEO of Colorado Harvest Company, in the report

Cullen, though he’s pained by the added costs, said he doesn’t disagree with the mandatory pesticide tests, however, and called them “absolutely necessary” to keep cannabis consumers safe.

Colorado’s testing labs, on the other hand, have seen a boom in business since the rules took effect on August 1. There are five licensed labs in the state.

Last week, two new pesticides were added to the list of accepted pesticide products in Colorado’s cannabis industry.

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Federal Enforcement Fears Shelve CA Banking Bill

8/22/2018

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Last week, state lawmakers in California ceased consideration of a bill to create state cannabis banks due to an analysis that said the state-chartered banks would be too vulnerable to federal raids, reports the LA Times.

The bill would have created private banks incorporated at the state level in an attempt to circumvent federal money laundering statutes requiring banks to file suspicious-activity reports for every transaction involving a cannabis business.

The bill — which was written in the state Senate but died in the Assembly — would have allowed companies to make deposits and write checks, simple services currently unavailable to the cannabis industry.

Cannabis businesses currently have to deal completely in cash, which is a huge risk: not only are cannabis companies at an increased risk of robbery but the cash-only nature of the industry also complicates compliance for tax payments and other regulations. The banks themselves would also have been at risk as they would be unable to receive protection under the Federal Deposit Insurance Corp. and would’ve needed to secure private insurance, an extremely difficult task.

“This is a serious public safety issue that deserves swift resolution. We’ve got barrels of cash buried all over the state, businesses being ransacked, and it’s clear that the federal government won’t act. It’s a shock to me that the state government may not act this year either.” — State Sen. Bob Hertzberg (D-Los Angeles), via the LA Times

Representatives from the California Cannabis Industry Association said they remain committed to working with the state legislature to solve the cannabis industry’s banking woes.

End

Agricultural Worker Cleans Hands

WSDA Plans Organic Cannabis Certification Program

8/21/2018

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Cannabis consumers in Washington will have access to state-certified organic cannabis products as early as next year, The Stranger reports.

The plan is for the Washington State Department of Agriculture (WSDA) to establish an organic certification program that cannabis cultivators can use to exemplify their plants and growing process as safe, clean, and natural. The actual word “organic,” however, is controlled at the federal level and therefore cannot be used in conjunction with cannabis.

Hector Castro, a spokesperson for the WSDA, said that the word for describing organic cannabis in Washington could be just “certified.” The WSDA will be taking public comment on that term — and accepting suggestions for a different term — when the program’s final draft rules are released at a later date.

“The goal is to be able to begin offering the service next year, in 2019, and we’re on track right now to be able to do that.” — Hector Castro, WSDA spokesperson, in an interview with The Stranger

According to Castro, the certification program will be paid for by fees from farms who pay to be certified.

The WSDA standards for whether or not a cannabis crop is organic will likely mirror the standards of the U.S. Department of Agriculture.

“USDA certified organic foods are grown and processed according to federal guidelines addressing, among many factors, soil quality, animal raising practices, pest and weed control, and use of additives. Organic producers rely on natural substances and physical, mechanical, or biologically based farming methods to the fullest extent possible.” — Excerpt from USDA.gov website

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Cincinnati Police

Ohio Citizens Seek Decriminalization; Police Will Continue Arrests

8/21/2018

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Voters in the city of Norwood, Ohio have collected enough signatures to get a cannabis decriminalization measure on the town’s ballot but police said they will continue to charge offenders under state law even if the measure passes, as reported by The Cincinnati Enquirer.

“This [ballot issue] deals with Norwood’s codified ordinance and doesn’t have anything to do with state law. We really wouldn’t change how we do things. We would simply, from the very beginning, charge them under state code.” –Norwood Police Chief William Kramer via The Cincinnati Enquirer

The ballot measure’s language removes fines and jail time for possession of under 200 grams–almost half a pound–of cannabis. Supporters of the measure collected almost double the amount of signatures required to get the measure on the ballot. A similar measure that the campaign, called “Sensible Norwood,” tried to put on the ballot in 2016 failed to advance past the verification of signatures. The 2016 measure included language preventing police from circumventing the local law change by charging offenders with state-level violations.

In response to Chief Kramer’s comments, the founding President of Sensible Norwood Amy Wolfinbarger said:

“With legalization sweeping the nation the way it is, I just don’t think its appropriate. I feel like you would just be looking your constituents in the face and saying we don’t care how you feel about this issue.” –Amy Wolfinbarger via The Cincinnati Enquirer

Ohio has legalized medical cannabis at the state level. That program is expected to launch September 8th, with sales to patients by the end of the year.

End

World Health Organization Flag

World Health Organization Recommends Descheduling CBD

8/21/2018

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The World Health Organization (WHO) has recommended that “preparations considered to be pure cannabidiol CBD should not be scheduled within the International Drug Control Conventions,” Hempsupporter reports. The statement was issued following the 40th meeting of the organization’s Expert Committee on Drug Dependence on June 7-8 in Geneva.

Four important excerpts:

  • “There are no case reports of abuse or dependence relating to the use of pure CBD.”
  • “No public health problems have been associated with CBD use.”
  • “CBD has been found to be generally well tolerated with a good safety profile.”
  • “There is no evidence that CBD is liable to similar abuse and similar ill-effects as substances…such as cannabis or THC.”

The WHO also considered the cannabis plant; its resin, extracts, and tinctures; and the chemical makeup of THC and its isomers.

Despite the obvious evidence above, the DEA has confirmed CBD’s status as Schedule 1 in recent years and threats of a CBD market crackdown have haunted entrepreneurs around the country. Language in the 2018 Farm Bill, however, seeks to federally legalize hemp and all of its derivatives, including CBD extractions, tinctures, and other potential health products.

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Confusion Abounds Over “Dr. Gupta” Hemp CBD Product Endorsement

8/20/2018

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CNN’s chief medical correspondent Dr. Sanjay Gupta is often credited for helping spark a major shift of public opinion regarding the cannabis plant. In 2013, Dr. Gupta released CNN’s Weed, in which the acclaimed neurosurgeon denounced the medical and political forces that have stifled medical cannabis to this date and explained how it can be an effective medicine despite its longstanding prohibition.

When the name “Dr. Sanjay Gupta” surfaced in recent news reports covering a partnership between the doctor and the publicly traded hemp CBD manufacturer Tree of Knowledge International Corp., many assumed that CNN’s famed medical correspondent had begun endorsing specific products. As the headlines gained steam, however, it became clear that the Dr. Sanjay Gupta featured in TOKI’s announcements is not the famed CNN correspondent but an entirely different person who happens to share the same name and title.

The other Dr. Sanjay Gupta — a pain specialist — is the president of the American Pain Association and director for Health Time TV.

CNN correspondent Dr. Gupta responded to the developments over the weekend: “I report on medical marijuana,” he wrote to his Facebook and Twitter followers. “I don’t sell it.”

See Dr. Gupta’s full statement to his followers below:

CNN correspondent Dr. Gupta first commented on the situation in a tweet last week in response to Hemp Industry Daily‘s coverage of the story:

Some have suggested that TOKI purposefully misrepresented the partnership as a sort of publicity stunt to drive up the company’s stock prices. However, TOKI chairman and CEO Michael Caridi said in a phone interview with Ganjapreneur that any misrepresentations were due to misleading media reports, not the company’s press material.

Caridi said that their partnership with Dr. Gupta was key because of his specialization in pain treatment and because he has a distribution network of 160,000 doctors — Caridi also argued that this qualifies him as the medical cannabis movement’s “real” Dr. Sanjay Gupta.

In the company’s July press release, Caridi wrote that Dr. Gupta’s “leadership, knowledge, and influence will be a tremendous asset” to TOKI.

“Having someone such as Dr. Gupta join our Advisory Board speaks volumes and reinforces our commitment to creating best in class products and being at the forefront in innovation in this rapidly evolving field.” — Michael Caridi, CEO and chairman for Tree of Knowledge International Corp., in a press release

This isn’t the first time confusion has come about due to the shared name. In January 2016, chartered financial analyst Alan Brochstein of New Cannabis Ventures, who specializes in the cannabis industry, posted a warning on LinkedIn about the same issue in relation to an IPO for a different company. According to emails obtained by Brochstein, Dr. Gupta of the TOKI deal did not clarify that he wasn’t the famed Dr. Gupta of CNN. Instead, the doctor appears to have neglected to correct the mistaken identity, and Brochstein suggested that he may have “just wanted to know the details of the pending IPO so that he could get his hands on free shares as part of the deal.”

Neither Dr. Gupta has responded to Ganjapreneur’s request for comment — this article may be updated in the future with their responses.

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We Need to Stop Calling K2 ‘Synthetic Marijuana’ as Body Count Rises

8/20/2018

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Following last week’s mass-casualty event in New Haven, Connecticut, it’s clear that the cannabis community needs to do its part to change the language surrounding K2, also known as Spice. Many journalists continue to refer to Spice as “synthetic marijuana” but, in reality, it’s made of only individual synthetic cannabinoids and is often combined with the opioid fentanyl or chemicals found in rat poison.

Much like how cannabis activists have spent the last decade doubling down on changing the public’s lexicon to phase out the prejudiced term “marijuana” for “cannabis,” we now need to encourage a similar change in how we talk about synthetic cannabinoids like K2.

K2, Spice, Black Mamba, Krypton, Kronic and many other brand names have become common names for synthetic cannabinoids. The chemicals are often sprayed onto smokable blends of herbs and other non-psychoactive plant matter. On the street, they’re also often sprayed with opioids like fentanyl or anti-coagulants found in rat poison, among other unpredictable chemicals. Because they look like the well-known and relatively safe cannabis pre-rolls, people often don’t consider what they may be consuming.

Synthetic cannabinoids are a byproduct of cannabis prohibition. Originally, these chemicals were produced to research the effects of THC because federal law made it too difficult to acquire actual cannabis and cannabinoids. Synthetic cannabinoids tagged with radioactive isotopes were responsible for the first discovery of cannabinoid receptors in the 1990s. They’re used recreationally for the same reason — since the compounds are not listed explicitly in the Controlled Substances Act, they’re much easier to legally acquire and distribute. The problem is that they’re often far more powerful and concentrated than cannabis and can affect the human body in unpredictable ways.

It’s their synthetic, lab-produced and refined nature that make synthetic cannabinoids like AKB-48 (named after a Japanese girl band) or XLR-11 (named after the first American liquid rocket fuel) dangerous. We need to stop referencing marijuana and cannabis when we talk about these chemicals as, in reality, they have little to do with whole cannabis plant compounds and much more to do with other lab-produced synthetic compounds like opioids.

Vocabulary changes like this will do much to keep cannabis users and advocates safe from the negativity following the trail of bodies created by synthetic cannabinoids.

 

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A licensed, indoor cannabis grow operation in Washington state.

Florida Politician’s Accounts Closed for Taking MMJ Advocacy Donations

8/20/2018

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This month, Wells Fargo closed the accounts of Florida agriculture commissioner candidate Nikki Fried due to her receiving money from medical cannabis lobbyists, according to a Forbes report by Tom Angell.

This is the first-ever closure of a politician’s campaign accounts due to contributions from the cannabis industry. Nikki Fried, even if elected, would have very limited oversight of medical cannabis issues.

The situation is raising some questions because many candidates across the political spectrum have accepted campaign contributions from the cannabis industry. Non-profits could also be at risk if this enforcement becomes standard policy for larger banks.

“This is yet another clear signal to Congress that they need to address the banking issue for the cannabis industry. It is absurd enough that state-regulated businesses are being denied standard banking services, but it is absolutely ludicrous that political candidates and nonprofit advocacy organizations are also being affected. There is no rational reason for Congress to go another session without fixing this growing problem, which has serious societal implications.” — Mason Tvert, spokesperson for the Marijuana Policy Project, via Forbes

The vast majority of banks, due to federal prohibition and money laundering laws, have refused to deal directly with the cannabis industry in states where it has been legalized. The move by Wells Fargo in Florida, however, is the first of any bank to target a political candidate.

Denial of banking services remains a serious issue for the burgeoning cannabis industry and this spread to broaden those restrictions may finally induce action from the federal government.

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