Search Results for "massachusetts"

Massachusetts’ Mayflower Medicinals Employees Join Union

7/10/2020

by

Workers at Mayflower Medicinals in Holliston, Massachusetts have voted to join United Food and Commercial Workers Union Local 1445, the Boston Business Journal reports. The union said employees chose to join to the union due to slow responses to the coronavirus pandemic, lack of consistent treatment from management, and a dearth of adequate healthcare coverage.

The union will next negotiate a contract for the employees.

“More Massachusetts cannabis workers will have an opportunity to ensure the beginnings of this industry, and the working conditions in all these facilities are equitable and standardized,” Local 1445 Secretary Treasurer and Organizing Director, Fabricio DaSilva, in a statement via the Business Journal

In 2019, employees at Sira Naturals became the first cannabis employees in the state to unionize, according to the report. Since then, Local 328 won an election at Curaleaf’s Hanover dispensary, Local 1445 filed petitions with the state to represent workers at Cultivate in Leicester, and on July 1, 60 employees at New England Treatment Access’s Franklin cultivation facility voted to join Local 1445.

Under some cannabis laws, businesses are required to have labor-peace deals which sometimes involves unions, but not always. Stoney Brothers employees in Portland, Oregon last year became the first in the state to unionize, voting unanimously to join UFCW Local 555. The UFCW is also recruiting cannabis employees in Washington state.

In February, budtenders at Clarity Cannabis in British Columbia became the first workers at a private dispensary in Canada to vote to join a union.

Mayflower is owned by iAnthus Capital Holdings.

End

Adult-Use Cannabis Sales Resume In Massachusetts

5/26/2020

by

Recreational cannabis sales have been restarted in Massachusetts after being shuttered by Gov. Charlie Baker (R) in late March as part of the state’s coronavirus response, WBUR reports. The shops are now allowed to take online and telephone orders and offer curbside pickup under the state’s re-opening rules.

Baker had shut down the recreational industry but allowed medical sales to continue over fears that people would travel from outside Massachusetts to purchase cannabis legally. Massachusetts is the only state in the Northeast to allow regulated cannabis sales.

Businesses that are reopening as part of the state’s Phase 1 plan had to submit written plans to prevent the spread of the coronavirus, display hygiene posters, and implement social distancing protocols for employees and customers.

According to WBUR, New England Treatment Access (NETA) is planning to limit their volume to a third of what their volume was prior to the pandemic in both the medical and recreational businesses. The company also said it plans to limit adult-use sales to no more than 600 customers per day and require orders placed in advance.

In a statement to WBUR, the Commonwealth Dispensary Association (CDA) said they “appreciate this gesture of confidence” by the Baker Administration “and believe it is reflective of [the] industry’s commitment to workplace and consumer safety, as well as our history of compliance and significant regulatory oversight.”

“We have long maintained that adult-use retail facilities are uniquely prepared to safely operate as we combat the spread of COVID-19 as our industry has successfully done so on the medical side.” – CDA in a statement

The CDA said that adult-use sales in Massachusetts have generated $120 million in revenue and the recreational cannabis industry has created 8,000 jobs.

In-person sales are expected to commence in Phase 2 of the reopening plan which isn’t expected until at least June 8.

End

Massachusetts Adult-Use Cannabis Sales Could Restart Next Week

5/19/2020

by

Recreational cannabis sales in Massachusetts could be revived next week under phase one of the state’s economic reopening plan after being shut down by Gov. Charlie Baker (R) on March 24, NBC Boston reports. Under the plan, businesses that were deemed unessential by the governor must develop written plans to prevent the spread of the coronavirus, display hygiene posters, and implement social distancing protocols for employees and customers.

Retail businesses that are permitted to reopen during phase one would be allowed to offer curbside pickup starting on May 25.

Baker shut down recreational sales over fears that people would travel to the dispensaries from out-of-state. Despite calls to reopen the businesses by members of the state’s Cannabis Control Commission – including its chairman – Baker refused. A group of dispensary owners and patients sued the governor over the closures but a judge ultimately ruled in his favor.

The judge did indicate that, while he could see a path forward for recreational sales during the pandemic, he did not have the authority to override the governor’s emergency order.

According to a MassLive report, the state saw a 14 percent increase in medical cannabis program enrollment from March to April. The increase could be due to the closures, but regulators also approved telehealth services for program recommendations as part of the state’s pandemic response. Medical cannabis sales are untaxed in Massachusetts, while recreational sales carry a 6.25 percent sales tax, a 10.75 percent state excise tax, and up to a 3 percent tax at the local level.

End

Massachusetts Cannabis Delivery Service Applications Open May 28

5/12/2020

by

The Massachusetts Cannabis Control Commission is expected to open applications for recreational cannabis delivery services later this month, MassLive reports. For the first two years, the licenses will be reserved for social equity and economic empowerment applicants.

Some commissioners said during their meeting last week that the service is a priority during the coronavirus pandemic. Gov. Charlie Baker shut down recreational cannabis sales in the state as part of his stay-at-home order fearing that allowing sales during the crisis would draw people from out-of-state.

The plan was backed by commissioners Shaleen Title and Britte McBride. Title said that, while the state backed off delivery plans in 2017, regulators had addressed those early concerns. “But now, just the entire concept of delivery is so much more relevant,” she said.

McBride said that delivery would help stop illicit sales during the pandemic and move people back into the regulated market.

“We’re in the middle right now of uncharted territory but, we know, or suspect, that just because other people are staying at home it doesn’t mean that the illicit market is staying at home. It still exists, it’s still there, it is still available, and starting to chip away at that is extremely important. I think that this provides us with a tool to start to get there and it’s important to do so.” – McBride during the commission meeting via MassLive

The plan was opposed during the meeting by commissioner Jennifer Flanagan who voiced concerns over the “timing of it” – namely amid the coronavirus pandemic. Flanagan was the lone opposing vote against the measure.

“I really think we need to take into account what’s going on at the time that this starts to happen,” she said during the meeting. “I know it’s not a popular thought to have. I’ll probably get a lot of criticism for it. But I really think that we need to at the same time balance the health needs.”

During the meeting, the commissioners discussed precertification for delivery applications before they apply for a provisional license. The precertification will include things like business information, tax information, and insurance plans, but not things like the certification of a host community agreement or capital resources, which will be considered for the provisional license.

Last year, the agency voted in favor of delivery services and social-use provisions. Currently, 18 medical cannabis dispensaries in the state offer delivery services. The applications are expected to be online May 28.

End

USDA Approves Hemp Plans for Massachusetts and Five Native Tribes

5/11/2020

by

The U.S. Department of Agriculture last week approved hemp production plans for Massachusetts, and the Miccosukee Tribe of Indians of Florida, the Winnebago Tribe of Nebraska, Cheyenne and Arapaho Tribes, Rosebud Sioux Tribe, and the Pala Band of Mission Indians.

It marks the 17th state plan to be approved by the agency; the total of approved tribal plans stands at 25. The USDA indicated in a press release that it “continues to receive and review hemp production plans from states and Indian tribes.”

Under Massachusetts hemp law, the crop can be produced for fiber, seed, hemp seed oil, seed for cultivation, seed meal and seed oil, and CBD – so long as the crop is certified by the state Department of Agricultural Resources. Currently, however, Massachusetts does not allow some CBD products to be sold in the state, including food products, products containing hemp as a dietary supplement, animal feed containing the cannabinoid, CBD flower, or products making medical claims.

Many of those products are also banned federally. Late last month, the Food and Drug Administration sent warnings to two CBD companies over their claims that CBD is efficacious for treating opioid addiction.

Massachusetts Department of Agricultural Resources spokesperson Katie Gronendyke told Marijuana Moment that since 2018, the state has “licensed more than 100 entities and produced 250 acres of certified industrial hemp.”

The USDA began accepting state hemp plans last year. Those plans provide details on practices and procedures that enable hemp producers to operate according to individual state plans and in compliance with federal laws. Hemp was legalized federally in 2018.

Last month, the agency approved the hemp plans for Florida and Kansas. The approval for Florida’s program reportedly took less than a week.

End

Cannabis Activists Oppose Massachusetts Social Equity Changes

5/11/2020

by

A group representing Massachusetts social equity applicants has launched a petition urging regulators to repeal recent changes to the state’s Economic Empowerment Program which set the ownership threshold for such applicants to just 10 percent.

Previously, the requirement was 51 percent. 

The Urban Cannabis Grow Op Association says they have “deep concerns and reservations” over the rule change and that the 10 percent equity stake requirement “feels like a race to the bottom.”

“In the short time since this policy change has been made, some of us have received calls indicating that investors are now tearing up previous contracts they had with economic empowerment applicants and social equity applicants prior to this regulatory change.” – Urban Cannabis Grow Op Association in their Change.org petition.

The group says the change “watered down” the program and misrepresents what it originally promised, calling the changes “an affront and insult” to members’ integrity “and to that part of the [economic empowerment] concept.”

Moreover, the organization says the rule change is “in direct conflict” with some city and town ordinances, such as Boston which requires 51 percent ownership for social equity applicants seeking a cannabis industry license.

“This policy change by the [Cannabis Control Commission] has unilaterally compromised our ability to negotiate a fair deal, because this has greatly lowered the floor of our ownership/equity discussions, which is the exact opposite of empowering,” the group says on the petition site. “A 10 percent stake in a company is where ownership and control are expected to be less than dignified for a community that has paid tremendously and still pays in countless ways.”

In addition to pushing for a rollback of the rule, the group wants the CCC to explain why the change was made, what data was used to make the change and how that data was acquired, why there were no public hearings about the change and why the people most affected by it were not consulted, and what plans the CCC has for ensuring transparency if they change the rule back.

As of this morning, the petition had nearly half of the 500-signature goal. The petition was created on May 4.

End

Top Massachusetts Cannabis Regulator Calls for Reopening Adult-Use Dispensaries

5/08/2020

by

Massachusetts Cannabis Control Commission Chairman Steve Hoffman said yesterday that he believes the state’s recreational cannabis dispensaries could reopen by employing the social distancing protocols adopted by medical cannabis retailers, the Boston Globe reports. Adult-use sales in the state were shut down by Gov. Charlie Baker (R) amid the state’s coronavirus stay-at-home order in March.

During his remarks at a virtual press conference yesterday, Hoffman said it was “unfair” that Baker shut down recreational sales and that the industry does not qualify for federal assistance aimed at standing up businesses affected by pandemic shutdowns. State Senator Diana DiZoglio (D) proposed legislation earlier this week to give the industry financial assistance from the state.

Commissioner Shaleen Title said during the press conference that the “most straightforward form of economic relief is for these businesses to just be able to open again.”

“I have no concerns whatsoever that we can operate this business safely. I think we’ve demonstrated that we can do so on the medical side of the business… [and] I think there’s absolutely no reason we can’t do exactly the same thing on the adult-use side.” – Hoffman during a press conference via the Globe

The state’s medical dispensaries were deemed essential businesses and have implemented precautions such as curbside pickup, appointment-only shopping, and contactless transactions; the shops have remained operational during the state’s coronavirus response. According to a MassLive report, Massachusetts saw a 14 percent increase in medical cannabis certifications in April, from 63,720 in March to 75,502. The state also saw more than 10,000 more ounces of medical cannabis sold from March to April, from 51,836 ounces to were 65,155 ounces, respectively.

Baker was sued over the closure of recreational cannabusinesses last month, and a judge would ultimately rule in his favor, saying that plaintiffs would have “little chance” to prove Baker did not have a “rational basis” for the action which would have been required for a positive judgement.

Hoffman said that he hopes to meet with members of an advisory board convened by Baker to plan the reopening of the state’s economy so he can “convince them that we are totally confident” cannabis stores can reopen safely, regardless of whether the state considers them “essential.”

End

Curaleaf Approved to Combine Medical and Adult-Use Storefront in Massachusetts

4/23/2020

by

The Ware, Massachusetts Board of Selectmen have approved a bid by Curaleaf to co-locate a medical cannabis dispensary at the same location as the one in Ware the company currently has licensed for recreational sales, MassLive reports. The company is seeking the medical cannabis license after adult-use sales in the state were halted by Gov. Charlie Baker (R) as part of the response to the coronavirus pandmic.

Curaleaf Massachusetts President Patrik Jonsson told the board that the building has room for 16 sales counters and two would be dedicated to medical cannabis sales.

The company must negotiate a new host agreement with the town and obtain a special permit to operate, the report says. Jonsson indicated the approvals would be in place and the company could begin selling medical cannabis at the location by the end of the year. The firm already operates two medical cannabis dispensaries in Hanover and Oxford.

The Ware store had only been operational for 10 days prior to Baker’s shutdown order on March 23. That order is set to expire on May 4. Baker has extended that order for schools through the end of the academic year but has not said the business shutdown would be extended along with the order for schools; however, he has said the state would need to meet certain prerequisites – including a decline in coronavirus test results and COVID-19 hospitalizations over multiple, consecutive, days – before the order for businesses would be lifted.

Massachusetts is the only state to shut down recreational cannabis sales but deem medical cannabis “essential.” Earlier this month, five cannabis companies and one medical cannabis patient sued the state over the closures and last week a judge ruled that Baker acted within his authority to close the businesses.

In the ruling, Suffolk Superior Court Judge Kenneth Salinger said that state law only requires the governor to have some “rational basis” for shuttering the shops amid a pandemic and the plaintiffs would have “little chance” to prove Baker did not have that rational basis.

End

Massachusetts Judge Affirms Governor’s Order to Close Dispensaries

4/17/2020

by

A Massachusetts judge has ruled that Gov. Charlie Baker (R) acted within his authority to shut down recreational cannabis sales in the state, although the judge said he believed the shops could be reopened safely, the Boston Globe reports. The lawsuit was filed last week on behalf of dispensary owners and one medical cannabis patient.

In the ruling, Suffolk Superior Court Judge Kenneth Salinger said that state law only requires the governor to have some “rational basis” for shuttering the shops amid a pandemic and the plaintiffs would have “little chance” to prove Baker did not have that rational basis.

“It was reasonable for the governor to be concerned that the relatively few adult-use marijuana establishments in Massachusetts are more likely than liquor stores or [medical marijuana dispensaries] to attract high volumes of customers, including people traveling from other states. The governor’s decision to treat medical marijuana facilities and liquor stores differently than adult-use marijuana establishments has a rational basis and therefore is constitutional.” – Salinger in his ruling via the Globe

Salinger added that the plaintiffs made a “convincing showing” in their argument that the dispensaries could reopen safely by limiting sales only to Massachusetts residents and requiring appointment-only shopping or curbside pickup.

Adam Fine, an attorney at Vicente Sederberg who represented the plaintiffs, called the decision “unfortunate” but that he and his clients were “pleased” that Salinger “rejected the governor’s stated rationale” for closing the dispensaries “by declaring he could ‘lawfully’ limit adult-use cannabis sales to Massachusetts residents.”

David Torrisi, the president of the Massachusetts Cannabis Dispensary Association, said he was “encouraged” by the ruling because the judge acknowledged the industry “has several tools at its disposal” that would allow the shops to reopen safely.

Attorneys said they were still deciding whether they would appeal the ruling.

End

Massachusetts Gov. Sued Over Dispensary Closures

4/09/2020

by

Massachusetts Gov. Charlie Baker (R) is being sued over his decision to shut down the state’s recreational cannabis sales as part of his coronavirus response. The lawsuit is filed on behalf of five dispensaries and a medical cannabis patient. It seeks a preliminary injunction on the order which would re-open that state’s 43 recreational dispensaries.

“If it continues, this mandatory closure will cause profound and irreparable damage to the nascent adult-use marijuana industry; will deprive Massachusetts residents of safe access to regulated marijuana; and, will make it very difficult or impossible (e.g.,in Nantucket) for certain medical-marijuana users to obtain marijuana legally,” the complaint says.

Baker ordered recreational cannabis shops to close on March 24 as part of a statewide stay-at-home order but he included medical cannabis as “essential services,” which allowed dispensaries to remain open. The governor said recreational sales had to stop, however, because they would potentially draw people from neighboring states where cannabis is not legal and promote the spread of the virus.

“Many of the states around us, in fact I think all of them, have not legalized recreational marijuana. Making those sites available to anybody from the northeast would cut completely against the entire strategy we’re trying to pursue here in Massachusetts to keep people safe. And that’s why they’re nonessential businesses.” – Baker during a press conference via Patch, April 8, 2020

The lawsuit says that Massachusetts‘ recreational cannabis industry employs more than 8,000 people and generates some $13 million in weekly sales. If the injunction is denied, the stores will remain closed until May 4 – the end-date for the stay-at-home order.

The lawsuit argues the closures are a violation of the commerce and equal protection clauses “because, for purposes of combating the outbreak of COVID-19, there is no legitimate or rational basis to distinguish between adult-use and medical marijuana establishments; between adult-use marijuana establishments and liquor stores; between those who frequent such stores; or, between medical marijuana users who frequent adult-use marijuana establishments, and medical marijuana users who only frequent medical marijuana dispensaries.”

In a letter to Baker’s chief legal counsel, Kevin Conroy and Jesse Alderman, attorneys from Foley Hoag LLP – who are not involved in the suit – suggested that the challenge to the commerce clause would be dismissed because cannabis is federally prohibited and that even if that challenge was possible, the U.S. Supreme Court has held that temporary measures, including those taken during a public health emergency, do not violate the clause, according to a Law360 report.

Cannabis Control Commission member Shaleen Title has suggested that recreational shops could re-open to in-state residents only, but Baker voiced concerns about the legality of such a move and industry attorneys told Law360 that plan would be a potential “disaster” for businesses.

From March 23 – the day the stay-at-home order was issued –  to April 1, the CCC received more than 1,300 new medical cannabis patient registrations, the Berkshire Eagle reports. The agency also announced on Tuesday that they would allow nonmedical growers to transfer their crops to the medical supply chain.

Baker’s office said they do not comment on pending litigation.

End

Massachusetts Allows Telehealth Medical Cannabis Recommendations

4/06/2020

by

Prospective medical cannabis patients in Massachusetts can use telehealth services to receive a program recommendation, according to a Mondaq report. The new, emergency rules come after the state imposed a stay-at-home order and closed non-essential businesses amid the coronavirus pandemic.

In order to provide telehealth services, medical providers must submit a waiver request form to the Cannabis Control Commission and receive the agency’s approval. Initially, the agency was only allowing telehealth options for medical cannabis recertification.

Additionally, the CCC is urging medical cannabis dispensaries to promote their delivery services and “remind patients of the ability to acquire up to a 60-day supply” of medical cannabis.

“The Commission urges licensees to consider, evaluate, and appropriately publicize protocols relative to agent interactions with patients and customers. Relevant procedures include how establishments manage lines and queues, the utilization of mobile or order-ahead features that may reduce the risk of exposure, considering appointment-only operations, and the increased frequency of cleaning and sterilization efforts.” – Massachusetts Cannabis Control Commission, bulletin, March 13, 2020

Massachusetts is the only state with cannabis legalization that has ordered the closure of adult-use cannabis shops amid a statewide stay-at-home order. Republican Gov. Charlie Baker has refused to reopen the shops, saying he is concerned about the possibility of people from outside of the state coming into the state to buy cannabis products. Medical cannabis sales are still permitted and the state has imposed safety measures on those “essential” businesses, including increased social distancing and enhanced sanitation practices.

End

Massachusetts Gov. Refuses to Reopen Adult-Use Dispensaries

4/01/2020

by

Massachusetts Gov. Charlie Baker (R) called the reopening of recreational cannabis dispensaries a “non-starter” because they would likely attract out-of-state customers, MassLive reports. Yesterday, Baker extended his order closing non-essential businesses until May 4 and did not carve out an exception for adult-use cannabis shops.

“There is tons of evidence that because Massachusetts is one of the few states in the Northeast that’s legalized recreational marijuana, that if we make recreational marijuana an essential business … we are going to have to deal with the fact that people are going to come here from all over the place.” – Baker via MassLive

Baker initially closed non-essential businesses last week as part of the state’s efforts to slow the spread of the coronavirus. The Cannabis Control Commission imposed social distancing rules to allow continued sales but ultimately shut down recreational sales entirely. Industry business owners and advocates – including at least one member of the Cannabis Control Commission – have called on Baker to reopen adult-use dispensaries arguing the shops could implement the same safety measures being used at medical dispensaries. The advocates say that many recreational consumers would be medical cannabis patients but either don’t want – or cannot afford – to enroll in the program.

Uxbridge Selectman Stephen Mandile argued that since the state is still allowing alcohol sales, adult-use cannabis sales should be permitted and that Baker has not provided “a compelling answer” as to why the state shut down recreational sales.

Recreational cannabis is considered “essential” in other states that allow adult-use sales. Each has implemented safety measures – social distancing, increased sanitation practices, curbside sales, or delivery services – in order to protect customers, staff, and patients.

End

Massachusetts Cannabis Commissioner Wants to Re-Open Adult-Use Dispensaries

3/31/2020

by

Massachusetts Cannabis Control Commission member Shaleen Title is joining advocates and business owners in calling for the state to re-open recreational cannabis dispensaries amid the coronavirus stay-at-home measures. Title said in a statement yesterday that safety measures applied at medical dispensaries – such as sanitization efforts and social distancing – could be used at recreational shops.

The closure of recreational cannabis businesses came last week when Gov. Charlie Baker (R) shut down all non-essential businesses. The governor included recreational dispensaries in the shutdown order due to traffic associated with out-of-state customers.

“Reopening these businesses would provide access to the many adult-use consumers who rely on cannabis for medical purposes.” – Title in a statement

Shanel Lindsay, an attorney who is a member of the Cannabis Control Commission Advisory Board, called for reforms to the cost of medical cannabis cards, rather than advocating for recreational dispensaries to reopen. In a statement, Lindsay pointed out the carDs are “hundreds-of-dollars expensive” making them unaffordable for many would-be patients.

“Though advocates have fought so admirably over the years to remove barriers so that all patients can be treated as such, we already know that, especially in underserved communities, the level of registered patients is far below the actual number of those who use and consume this plant for medical purposes,” she said in a statement.

The group recommended measures to open back up the dispensaries, including limiting sales to Massachusetts residents, establishing exclusive hours for customers 60-and-older, encouraging or mandating pre-order, and utilizing curbside pickup.

End

While States Deem Cannabis Essential, Massachusetts Closes Adult-Use Stores

3/24/2020

by

As states impose new coronavirus protection measures, regulators and lawmakers are employing different rules for the industry. So far several states – such as Illinois, Ohio, New York, and California – have allowed dispensaries to remain operational, often implementing social distancing rules. In Washington and Oregon, regulators have approved ‘curbside service’ for dispensaries; however, in Massachusetts, Gov. Charlie Baker (R) has shut down recreational sales, only allowing medical cannabis sales.

Baker announced yesterday the shutdown of all non-essential businesses in the state and did not give retail cannabis dispensaries an “essential” exemption, Boston.com reports. The dispensaries must stop selling to recreational customers by noon today.

“Because Massachusetts is one of the few states in a big geographic area that has available recreational marijuana and a ton of traffic associated with that is coming from other states, we felt that in particular would need to be closed and would not be considered as essential as part of this order.” – Baker during a press conference via Boston.com

In Michigan, Gov. Gretchen Whitmer (D) is allowing retail dispensaries to remain open amid the state’s shutdown but patients and customers are not allowed in the buildings and the businesses must rely on delivery services and curbside delivery, the Detroit Metro Times reports. Michigan’s order is effective for at least three weeks.

Denver Mayor Michael Hancock (D) had initially called for both retail dispensaries and liquor stores to shut down with the city’s stay-at-home order that takes effect a 5 p.m. today but changed the order to allow the stores to remain open “with extreme physical distancing,” according to the Denver Channel. Hancock’s original order would have allowed medical dispensaries to continue serving patients.

In Canada, Ontario Premier Doug Ford announced yesterday that all non-essential businesses in the province would shut down tonight at 11:59 p.m. but cannabis dispensaries will be considered essential under the order, BNN Bloomberg reports.

Earlier this week, 71 Canadian cannabis operators sent a letter to Finance Minister Bill Morneau and Industry Minister Navdeep Bains asking that their companies get access to wage subsidies being made available to small businesses. Cannabis companies are currently not able to access the funds being made available under Canada’s coronavirus protection package.

End

Massachusetts Plans to Speed Up Cannabis Licensing Process

2/26/2020

by

The Massachusetts Cannabis Control Commission chairman told lawmakers that he plans to cut the wait time for licenses in half for the next budget year, the Boston Globe reports. Currently, cannabusinesses are waiting an average of 121 days to receive a license but, in a letter to the Joint Ways and Means Committee, CCC Executive Director Shawn Collins said he wants to hire more staff to bring the wait time down to 60 days.

“Toward this objective, the Commission will require additional funding to support hiring, particularly within our licensing and enforcement division. This budget will enable the Commission to continue our growth and potentially add up to 34 new [full-time equivalent positions.] In combination with IT and operational enhancements, hiring more Investigators and Licensing Specialists will enable the Commission to process applications on a quicker timeline while also ensuring continued compliance with state law and adherence to our mission.” – Collins, in a budget letter

The agency is seeking a $2.8 million operations budget increase for the fiscal year 2021 – a total of $12.4 million for operations – along with another $3.9 million for medical cannabis program oversight and a statewide public awareness campaign. In all, the agency is seeking $16.3 million.

CCC Chairman Steven Hoffman told the Globe that by cutting wait times and increasing licensing the state would be in a position to generate more tax revenues from the industry. So far, regulators have licensed 72 cultivators and farmers, 246 cannabis establishments – of which 37 are retailers – and more than 7,600 industry employees. Hoffman suggested that the state could sustain about 250 retail dispensaries.

In the fiscal year 2019, the CCC collected $8.7 million in non-tax revenues and Collins said the agency remains on track to exceed its $14 million projection this fiscal year from non-tax revenues.

End

Cannabis Social Equity Ruling Appealed in Cambridge, Massachusetts

2/25/2020

by

The city of Cambridge, Massachusetts has filed a petition to prevent a previous court ruling from forcing officials to license non-equity cannabis businesses, Wicked Local reports. The petition is for interlocutory review, which asks a single justice of the appeals court to review aspects of the case before the trial has concluded.

According to the report, plaintiff Revolutionary Clinics II challenged the city’s cannabis business permitting ordinance, which enacted a two-year period in which only economic empowerment applicants – or social equity applicants – are eligible to receive a permit for a cannabis retail store. The state Superior Court approved a preliminary injunction last month sought by the plaintiffs, which prevents the city from enforcing its moratorium and from taking any action to prevent the plaintiff from immediately applying to convert its medical cannabis dispensary into a co-located recreational-use site.

The city also filed a notice of appeal in the Superior Court, allowing the city to further appeal the order to a panel of the appeals court, the report says, along with a motion for a stay that requests the Superior Court stay the previous order pending the appeal; and an emergency motion for a stay of the court’s order.

In court documents, the city says the 2016 adult-use law and Cannabis Control Commission regulations explicitly allow for moratoriums focused on creating licensing opportunities for social equity applicants. CCC guidance outlined in the filing mandates “full participation in the adult-use cannabis industry by those disproportionately harmed communities” and recommends municipalities “prioritize review” for economic empowerment applicants.

“Some municipalities in Massachusetts are considering prioritizing applicants by allowing them to move forward exclusively for a certain period of time,” the guidance states. “For example, a municipality may consider only economic empowerment applicants and applicants who are local residents for the first six months.”

The city alleges that the Superior Court “erred and abused its discretion in applying the standard for a motion for preliminary injunction to the facts in this case” and the standards for enacting such injunctions require that a “private party must show irreparable harm and that the relief promotes the public interest or will not adversely affect the public.”

The lawsuit says the city will abide by the decisions of the courts once its appeals are considered.

End

Cannabis Regulators Revisit Massachusetts Mayor Bribery Case

2/13/2020

by

The Massachusetts Cannabis Control Commission has been granted permission to review documents related to cannabis companies tied to Fall River Mayor Jasiel Correia’s bribery case, NBC 10 News reports. The approval comes after U.S. Attorney Andrew Lelling asked a federal judge last week to permit the agency access to the files which include interview reports documenting talks between investigators and five unnamed cannabis firms who interacted with Correia during his time in office, according to WBSM.

All evidence in that case was sealed from the public on December 11, 2018. Correia was arrested last September for allegedly attempting to extort cannabis companies for hundreds of thousands of dollars in cash for “non-opposition” letters. The 27-year-old mayor is accused of illegally generating at least $600,000 from the scheme along with agreements for a cut of future profits from the companies. Correia, who was charged with 24 counts of wire fraud, tax fraud, extortion, and bribery, pleaded not guilty during a September 6, 2019 court appearance.

Lelling had asked the court to grant the commission access to the documents so it could “perform its legitimate regulatory duties.”

Regulators are currently considering whether to issue final licenses to several cannabis businesses in Fall River and the commission may want access to the court documents to determine whether any of the companies they are considering are among the companies linked to Correia’s case. According to state records outlined by WBSM, Hope Heal Health and Northeast Alternatives have already opened in the city, while Greener Leaf and Nature’s Medicines each have provisional licenses from the CCC to operate in the city.

The CCC can revoke or suspend a license “if an individual or entity associated with a marijuana establishment has committed, permitted, aided, or abetted any illegal practices in its operations,” according to court documents.

Two companies have been identified by news outlets, including New Leaf Enterprises, whose president is Pedro Fernandez, the brother of Correia’s girlfriend. Dina Pichette, the wife of the principal of Loop Cultivation, was fined $5,000 last May for illegally donating to Correia’s campaign, according to the Office of Campaign and Political Finance. The Herald News reports that proxies or individuals associated with Hope Heal Health and Northeast Alternatives had also contributed to Correia.

End

Massachusetts Lawmakers Consider Cannabis Billboard Ban

12/23/2019

by

A proposal in Massachusetts would ban cannabis companies from advertising on billboards, the Gloucester Daily Times reports. Sen. Diana DiZoglio (D) said that cannabis billboards flout state laws prohibiting cannabis advertising to minors.

“The goal of the Legislature was to ensure that these billboards are not going to be placed in communities where children are going to be exposed to them. But we know that isn’t happening.” – DiZoglio to the Daily Times

The town of Havervill has already forced the removal of a billboard by Weedmaps that hung over a bus station due to complaints that the ad targeted youth.

David O’Brien, president of the Massachusetts Cannabis Business Association, called the proposal “a bit surprising” because the advertising and marketing rules on cannabusinesses in the state “are already very strict.” He said the association doesn’t want to see regulations further restricting the industry’s “ability to reach customers.”

Jody Hensley, a policy adviser for the anti-legalization group Massachusetts Prevention Alliance, said the organization supports the proposed ban on cannabis billboards and contends that cannabis advertising “is tied to increased use of the drug.”

“There’s broad agreement that young people shouldn’t use marijuana, and one of the proven methods to prevent that is prohibiting advertising that reaches them,” she said in the report.

The state’s 2016 voter-approved cannabis legalization law did not set advertising limits; instead, those rules were enacted last year by the Legislature. Those rules – which prohibit TV, radio, print, and billboard advertisements unless at least 85 percent of the audience is over 21-years-old – were adopted by the Cannabis Control Commission. The advertising rules also ban coupons, free samples, prizes, discounts and the distributions of cannabis-branded merchandise.

Jim Borghesani, a marijuana industry consultant, called the rules “overkill.”

“We have to get out of this mindset that marijuana is somehow more dangerous than alcohol. It’s a legal product that should be treated the same way,” he said in an interview with the Daily Times.

Massachusetts Bar Association Chief Legal Counsel Martin Healy told the Daily Times that the cannabis industry and advertisers “would likely have a good case in front of the Supreme Judicial Court” to argue that cannabis is legal in the state and that “they should have the ability to advertise where their services are located and where people can purchase it.”

All cannabis advertising is outlawed in Maryland, following a decision last year by the state’s Medical Cannabis Commission, while lawmakers in San Diego, California are also considering a billboard ban for cannabis advertisements.

End

North Attleboro, Massachusetts Reaches Dispensary ‘Host Community Agreement’

12/02/2019

by

North Attleboro, Massachusetts and Green Leaf Health Inc. have reached a “host community agreement” that will see it pay 3 percent of its gross annual sales to the town and donate between $25,000 and $50,000 a year to local charities, the Sun Chronicle reports. The agreement, which also requires full-time employees to perform 150 hours of community service annually, is required under the state’s recreational cannabis law for businesses to open adult-use dispensaries in municipalities.

The five-year agreement requires the company to pay all of its own construction, water and sewer fees and will be renegotiated when there are six months left in the deal. Green Leaf is the first company to strike a deal to sell adult-use cannabis in North Attleboro but the deal with the community does not allow it to cultivate crops at the site.

In all, 13 companies had applied to sell legal cannabis products in North Attleboro, the report says, and six – including Green Leaf – were approved for further consideration. The remaining five firms have not yet reached a host agreement with the city.

The host agreements required by the state have come under increasing fire since the September arrest of Fall River Mayor Jasiel Correia, who allegedly extorted at least four cannabis business operators by soliciting $250,000 each from them in exchange for “non-opposition” letters from his office. Correia is said to have illegally generated at least $600,000 from the scheme, as well as alleged arrangements for a future cut in some of the companies’ cannabis sales.

The agreements, which Cannabis Control Commission Chairman Steven Hoffman has admitted “give a disproportionate advantage to bigger companies that can afford to throw in a fire truck on top of their 3 percent,” have also led to an investigation by the Springfield City Council into whether donations by a cannabis company were a bribe to the mayor’s office and the convening of a grand jury by U.S. Attorney Andrew Lelling on potential bribes.

Lelling has subpoenaed the municipalities of Eastham, Great Barrington, Leicester, Newton, Northampton, and Uxbridge over their host community agreements with cannabis firms.

End

Legal Cannabis Sales Reach $400M In Massachusetts

11/25/2019

by

Since legalization in Massachusetts, the state has sold nearly $400 million worth of cannabis products and generated $61 million in taxes, according to Department of Revenue and Cannabis Control Commission figures outlined by MassLive.

In all, $393.7 million has been generated at 33 dispensaries in 32 municipalities. The state has derived $32.8 million in excise taxes, $19 million in sales taxes, and $9.1 million in local option taxes.

Commission Chairman Steven Hoffman, in an interview with MassLive, said he is “proud” of what the agency has accomplished and he is “pleased with how the rollout has gone to date” but said the commission would be focused on opening more stores, increasing banking options, reinforcing the commission’s social equity program, bringing more municipalities on board with the adult-use industry, and engaging the medical community on cannabis.

Hoffman said that the lack of towns that allow cannabis businesses is partly due to the host community agreements – deals between the business and towns that allow the municipality to ask for up to 3 percent of the businesses gross sales in exchange for their blessing to open up shop. Those deals have increasingly become an issue – leading to the arrest of Fall River Mayor Jasiel Correia in September and an investigation into donations made by a cannabis firm to the city by the Springfield City Council later that month.

Earlier this month, U.S. Attorney Andrew Lelling convened a grand jury focused on the potential bribery of government officials by Massachusetts cannabis companies.

“I’m not criticizing any city or town. Every one is trying to do the right thing. But that is a factor. We can’t process applications without an agreement and that has a factor on the pace of rollout.” – Hoffman, in an interview with MassLive

The state’s social equity program is also off to a slow start, Hoffman said, noting that just 3.5 percent of economic empowerment applicants were minority-owned and of the near-7,000 approved and pending cannabis industry employee applications, 73 percent are white and 66 percent are male.

Hoffman said there are currently 395 license applications still pending with the state.

End

Massachusetts Cannabis Regulators ‘Quarantine’ Vape Products

11/13/2019

by

The Massachusetts Cannabis Control Commission has “quarantined” all vaporizers except for those “designed to exclusively vaporize marijuana flower for medical use patients.” The move comes less than a week after the federal Centers for Disease Control linked vitamin E acetate to the vaping-associated pulmonary injury. The substance was found in illegal and counterfeit cannabis vape pen products.

Last month, following the rise in reports of the illness throughout the U.S., Gov. Charlie Baker (R) ordered a four-month ban on the sale of both cannabis and nicotine vaping products. That ban was, ultimately, challenged in court. Last week, a state Superior Court judge overruled part of the order, deciding that medical cannabis patients could buy vape products unless the CCC ruled otherwise, according to a Boston Herald report. The judge said that only the commission had the authority to ban medical cannabis products.

The CCC last month announced that they would require more detailed labeling of all cannabis vape cartridges, extracts, and concentrates amid the outbreak. Under those requirements, manufacturers must include on their ingredient list every additive used in the product, including thickening agents and specific terpenes.

“Current manufacturing processes and information available to the Commission do not definitively preclude the possibility that licensed vaporizer products contain vitamin E acetate or other potential ingredients of concern.” — CCC, “Quarantine Order Applying to Vaporizer Products,” Nov. 12, 2019.

Dr. Peter Grinspoon, a primary care clinician at Massachusetts General Hospital, said during a press conference that the ban could “drive everyone to the illicit market” which is where people were likely getting the products that were making them sick in the first place.

Cannabis Control Commissioner Shaleen Title said the ban is not “open-ended” and is “based on credible evidence.”

End

Massachusetts Municipalities Subpoenaed Over Potential Cannabis Industry Bribes

11/07/2019

by

U.S. Attorney Andrew Lelling has convened a grand jury focused on the potential bribery of government officials by Massachusetts cannabis companies, the Daily Hampshire Gazette reports. The municipalities of Eastham, Great Barrington, Leicester, Newton, Northampton, and Uxbridge have all been subpoenaed by the U.S. Attorney’s Office regarding their host community agreements with cannabis firms.

The documents requested by the feds include drafts and final versions of host community agreements, communication between the municipality and cannabis companies, and public meeting records related to the agreements.

In September, Fall River Mayor Jasiel Correia was arrested for allegedly attempting to extort cannabis companies for hundreds of thousands of dollars in cash. Correia is accused of extorting at least four cannabis business operators by soliciting $250,000 each from them in exchange for “non-opposition” letters from his office. He is accused of illegally generating at least $600,000 from the scheme, as well as alleged arrangements for a future cut in some of the companies’ cannabis sales. Shortly after his arrest, the Springfield City Council launched an investigation into a $200,000 donation made by a cannabis company to the city over a five-year period.

Lelling’s office is prosecuting Correia’s case.

In order to open a cannabusiness in the state, operators must obtain these host community agreements. Under the law, those agreements are capped at either 3 percent of gross sales or must not last longer than five years.

“The costs and impacts of hosting a Marijuana Establishment will understandably vary from municipality to municipality and negotiated HCAs should reflect the particular impacts on the host community,” the Cannabis Control Commission notes in guidance issued last year.

Cannabis Control Commission Chairman Steven Hoffman said in September that the agreements “give a disproportionate advantage to bigger companies that can afford to throw in a fire truck on top of their 3 percent.”

Easthampton Mayor Nicole Lachapelle told the Gazette that she had been in contact with the U.S. Attorney’s office and that city officials “know of no wrongful conduct, or even an allegation of such conduct, by any current or former City of Northampton official or employee or by any business in connection with the cannabis industry in Northampton.”

Last year Lelling said that while his office would not provide a blanket exemption from federal laws related to cannabis, he would focus his enforcement efforts on the overproduction and diversion of products into other markets, “targeted” distribution to minors, organized crime, and the office’s resources were “primarily focused on combating the opioid epidemic.”

End

Massachusetts College Offers Cannabis Certificate Program

11/07/2019

by

Springfield, Massachusetts-based American International College is now offering a certificate program in legal cannabis, according to a MassLive report. The program has three classes planned but currently just one – Cannabis Entrepreneurship – is set to be offered in the spring 2020 semester.

Additionally, the college has created an undergraduate initiative in the School of Business, Arts and Sciences called Micro-Emerging Markets: Cannabis Certificate Program. The school plans to expand the certificate program with a minor and graduate school program.

“The goal of the program is to dip our toe into this area that is growing by leaps and bounds. There are hundreds of jobs created by it. All sorts of research. Businesses in the field and all sorts of ancillary businesses are growing.” – Mika Nash, AIC executive vice president of academic affairs, to Masslive

The entrepreneurship class will cover customer groups, products, and services in the adult-use market; how price, quality, competition, and other factors can impact a business; the legal background and different business models; and marketing.

For non-matriculated students, each course is $395 with a $30 registration fee, bringing the total for three credits to $1,215. Matriculated students are also eligible to take the classes but all students must be 21 or older since the courses might involve tours of cannabis cultivation facilities, and dispensaries.

Last week Holyoke Community College announced plans to open the state’s first cannabis education center with the first classes being offered this month, according to MassLive.

Colleges and universities throughout the U.S. have begun offering cannabis education programs since states began to legalize cannabis medically and recreationally, including in California, Illinois, Nebraska, Pennsylvania, Maryland, and Connecticut.

End

Massachusetts Patients Challenge Health Officials’ Right to Regulate Cannabis Vapes

11/04/2019

by

The Massachusetts group representing medical cannabis patients in the legal fight against the state’s vaping ban is arguing that the Department of Public Health has no right to regulate cannabis vaping products, the State House News Service reports. In a memo filed in state Superior Court, the patients’ attorney Will Luzier argues that the 2017 cannabis legalization law transfers “authority to regulate all legal” cannabis from the Health Department to the Cannabis Control Commission.

The patients joined the lawsuit against the state brought by the Vapor Technology Association last month. They argue that the four-month ban – implemented in September by Gov. Charlie Baker (R) – leaves them without a good alternative to ingest their medicine.

“DPH now purports to have the authority to ban the vaporization of all marijuana products based on an alleged public health emergency. With the stroke of its pen, DPH purports to abrogate the Legislative mandate that marijuana vaping oils be legal and regulated by the CCC. This it cannot do.” – Memo to Massachusetts Superior Court

In the initial filing, Luzier, a former state assistant attorney general and advocate who led the 2016 legalization campaign, called the ban “overly broad,” contending that there is “no credible scientific evidence that licensed, regulated medical marijuana has caused vaping problems.”

Prior to the state-wide ban, the CCC announced that the agency would require vape products to include every additive used in the product, including thickening agent and terpenes.

When enacting the ban, Baker declared a public health emergency which gave the DPH commissioner the legal authority to “take such action and incur such liabilities as he may deem necessary to assure the maintenance of public health and the prevention of disease.”

Last week state health officials linked a second death in the state to the vape-related pulmonary illness, according to a Boston Globe report. Public Health Officials have received more than 200 reports of vaping-related illnesses and have reported 61 of them to the Centers for Disease Control.

End