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March 2016|News Nuggets

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Bay Area

Medical Cannabis Clinics in Sacramento Now Allowed to Grow Indoors

It’s a new day for medical cannabis clinics in Sacramento as they are now permitted to grow plants indoors. The Sacramento City Council voted to approve the movement on February 2, which will allow indoor grow sites in warehouses, located in designated agricultural zones, that are 22,000-square-feet or less in size, according to Fox 40. This movement is expected to bring millions of dollars-worth of tax revenue to the city. One of the directors at Cana-Care, Lanette Davies states, “This industry brings in millions of dollars. The average dispensary brings $104,000 a year in extra tax revenue to the city per dispensary.” Although this is good news for the cannabis community some business groups worry that this motion will scare off developers from surrounding neighborhoods. The city has given itself a 45-day moratorium, enough time to put legislation in place.

 

Proposed Excise Tax Could Bring in $100 Million in Annual Revenue for California

Northern California Senator Mike McGuire has introduced Senate Bill 987, which would impose a 15 percent state-wide sales tax on medical cannabis, according to Redding Record Searchlight. This tax would be placed on top of the state’s existing average rate of 8.5 percent tax on goods and services. McGuire estimates that SB-987 will ring in $100 million annually and is intended to help out with costs regarding cannabis legislation in local governments. The bill would direct 30 percent of this tax revenue to The Bureau of Medical Marijuana Regulations, which in turn would distribute the funds to local governments to help pay for costs of regulating the booming medical cannabis industry. The rest of the estimated income would go into public programs, with 20 percent towards maintaining state parks and 10 percent towards county substance abuse programs.

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Colorado

City of Hayden Approves Cannabis Grow Sites

Although the city of Hayden does not allow the selling of recreational or medical cannabis within its boundaries, is has decided to allow growing. In August, the Hayden City Council voted in favor of Ordinance 666 which will allow grow sites to operate within the city but conduct sales to dispensaries outside of its territory. This decision was put into a special election that took place on January 26, and was passed with a 52.4 percent vote, according to 9 News. City officials hope that this decision will help boost the city’s economy with grow operations expected to bring in an additional $143, 500 in annual revenue. Currently the city is expected to empty out its coffers by 2017 if nothing is done to improve its financial situation. Anyone interested in operating a grow site will have to go through a conditional permitting process.

 

Less People in Colorado are Driving Under the Influence of Cannabis

A report released on, February 11, revealed that state police arrested fewer people in 2015 for driving under the influence of cannabis. Although police revealed that they did not keep track of arrests for driving under the influence of cannabis until 2014, when the plant became recreationally legal in Colorado, during the two years, arrested dropped 1.3 percent. Highway experts believe that this is a good indicator that Coloradans are grasping the potential dangers associated with driving while under the influence of cannabis, according to The Denver Post. While some are optimistic about the effects of public safety campaigns concerning cannabis, highway patrol spokesperson, Trooper Josh Lewis states, “We’d certainly like to think education and enforcement action are making our roads safer, but until we have data for multiple years we simply don’t know.”

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Los Angeles

Los Angeles Decides to No Longer Accept Taxes from Illegal Collectives

As the number of collectives in Los Angeles far outweigh the number allowed in accordance to Prop D, city officials have decided that it is time to crack down. In 2014, City Council members addressed an issue with the city’s Office of Finance, when they realized that illegally run collectives were being granted business tax licenses. Although these licenses do not mean that a business is legally certified, the licenses did help collectives convince landlords and customers that they were legitimate businesses. Last year, the issue was addressed again and now city officials are making moves to prevent further misunderstanding. Officials voted unanimously to halt the issuance of tax licenses, change their appearance and demand that collective owners fill out an affidavit when applying for a business tax license. If a collective owner is found to have dishonestly applied for a business tax license or continues to operate with an expired license, they will be charged with misdemeanor. As of now, this movement awaits approval by Mayor Garcetti.

 

Medical Cannabis Supported by City Officials in Temecula

City officials in Temecula continue to show support of medical cannabis despite opposition from neighboring cities. In two meetings that took place on January 12 and 26, to determine whether or not uplift city restrictions on medical cannabis, many audience members spoke of how medical cannabis has improved the lives of loved ones. The most prominent speaker at the January 12 meeting was Mayor Mike Naggar who revealed that he would administer medical cannabis to a family member if need be. At the end of the meetings, Temecula decided to create less restrictive legislation on medical cannabis, with Councilman Jeff Comerchero working as a lead support for the motion. Temecula drafted out rules similar to those of Riverside County which allow medical cannabis patients to grow their own plants with buffer zones around schools, parks and community centers.

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Michigan

Cannabis Firms Take Legal Action Against Warren Officials

Two medical cannabis firms are taking legal action against Warren officials after they were denied permission to cultivate medical cannabis in permitted zoning areas. Macomb Supreme Industrial Inc. and JJN are asking court officials to force the Warren Zoning Board of Appeals (ZBA) to overturn a decision made by zoning inspector, Everett Murphy who denied the firms’ applications to run their business, according to Macomb Daily. Macomb Supreme Industrial Inc. and JJN accuse Murphy of failing to process inspection papers because cannabis is not specifically permitted in the city’s zoning ordinance. Both firms have pointed out that Murphy’s decision goes against the Michigan Medical Marihuana Act and rights of due process. An attorney defending the firms, Denise Pollicella, reveals that just because cannabis is not mentioned in the city’s zoning ordinance, it does not mean that MMJ businesses should be prevented from conducting business. “Put in a candy store or coffee shop—those things aren’t listed in the zoning code, either. Medical marijuana caregivers and patients are allowed to be caregivers and patients anywhere they want” Pollicella states.

 

Collectives in Detroit Have 30 Days to Place Bid for Legal Operation

Starting on March 1, a window has been open for the 211 collectives operating in Detroit to put in a bid to legally operate, as reported by The Detroit News. The announcement for this opportunity was announced on February 2, by Detroit Corporation Counsel Melvin Butch Howell who revealed that collectives will be given one month to place a bid. If collectives do not meet the standards set forth in an ordinance the Detroit City Council approved last year, they will be subject to closure. This isn’t going to be an easy task for collective owners as they will have to have everything in place before applying, including a location in a permitted zoning area, security plans and background checks, amongst other guidelines set forth in Detroit’s licensing rules. Although regulations do not set a cap on how many collectives can operate in Detroit, The Detroit News states that it “does not allow grandfathering existing and future dispensaries operating in Detroit.”

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Oregon

First Recreational Cannabis Drive-Through Opens in Oregon

Golden Beach will be the first city in Oregon to have a drive-through cannabis shop, set to open on April 20, according to TIME. While it won’t be the first cannabis drive through to pop up in the U.S. (a few exist in Washington and Michigan, which only cater to medical patients), the Golden Beach establishment will be purely recreational, meaning customers will not need a physician referral to quickly and conveniently access their cannabis. Curry County Economic Development Director Julie Schmelzer believes that the location of the drive through will bring in lots of tourists, making for a much needed economic boost in Golden Beach, which has recently experienced some economic hardship. In an interview with Oregon Live, Schmelzer states that the drive through will “help Golden Beach and the southwestern coast become a destination for those interested in new green tourism.”

 

New Bill Will Allow Cannabis Advertisements to be in Oregon and Other Legal States

Thursday, February 4, Senator Jeff Merkely and Representatives Earl Blumenauer and Suzanne Bonamici introduced The Marijuana Mailing in Legal States Act (MAILS), according to KTVZ. The act was created in attempt to allow cannabis advertisements to be mailed to and from states where recreational cannabis use is legal. This would outlaw a declaration created by the United States Postal Service (USPS) in 2015, prohibiting the mailing of publications containing advertisements for cannabis buying and selling. “Oregon voters have made it clear that they support marijuana legalization, but in area after area, federal regulation makes it difficult for legitimate marijuana businesses to operate.  It’s time the federal government starts updating its rules and regulations in states where marijuana is now legal,” said Merkley. “This is common sense legislation to ensure that the U.S. Postal Service treats marijuana advertising like any other regulated product.”

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San Diego

San Diego Welcomes Two More Legal Medical Cannabis Collectives

Collectives approved to operate in San Diego are slowly but surely coming to life. Two new collectives have been added to the roster of legal collectives: Harbor Collective in Barrio Logan and Mankind Cooperative in Mira Mesa. The opening of these collectives brings the number of legally approved medical cannabis shops operating in San Diego to five, according to The San Diego Union-Tribune. Eight more collectives are expected to open in the coming months under the city’s 2014 Medical Marijuana Consumer Cooperative ordinance, which allows a total of 36 collectives to open up, four in each of the city’s nine councils. The two new additions to San Diego’s pool of collectives are relatively small 1,000 square feet, with Harbor Collective being the closest collective to the city’s downtown area. So far, District 6 (Mira Mesa, Kearny Mesa) and District 8 (Barrio Logan) are the only two districts to have reached the allotted four collectives.

 

Applicants Line up for Medical Cannabis Permits in Ramona

The city of Ramona has received another application for a medical cannabis operation. This brings the total number of cannabis establishments proposed to operate in Ramona to five, according to the Ramona Sentinel. So far, three establishments have applications pending, one a cannabis cultivation center, which has yet to submit an application. San Diego County regulations state that a medical cannabis facility may only operate in unincorporated areas and only if the sheriff’s department issues a Medical Marijuana Facility Operating in Compliance Certificate. “The time it takes to obtain the operating certificate rests solely on how quickly the applicants can complete construction and be signed off by the planning department,” Detective Mike Helms of the sheriff’s license and registration unit told the Ramona Sentinel. Because cannabis operations are restricted by zoning regulations and 1,000 buffers from schools, parks, youth centers and churches, Ramona is ideal for these facilities as its unincorporated areas are clearly marked for use.

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Washington

House of Representatives Reviews Bill that will Allow Home-Grown Plants 

Although recreational cannabis is legal in Washington, growing the plant for recreational purposes is not, but House Bill 2629 hopes to change that. The bill was introduced to Washington’s House of Representatives and reviewed for the first time on February 2. The reason for this bill fact that some residents may not have access to recreational cannabis because there aren’t any access points nearby, according to KVEW-TV. Although this would be a convenient change for Washington State residents, grower Pablo Gonzales is worried of the dangers revolving around home-grown cannabis. “Things such as mold, other bacteria, you know, and other chemicals people try to use (on their plants) that they may think is healthy but are possibly not,” said Gonzalez. Others believe that the movement would encourage people to become more educated on the plant. If the bill is passed, it will allow the cultivation of six cannabis plants per person for recreational use.

 

Unexpected Motion Put in Place to Overturn Cannabis Ban in Yakima

Recently, Yakima City Councilwoman Kathy Coffey presented a motion to overturn the city’s ban on cannabis. Although the motion was not scheduled for discussion at the Council meeting that night, Coffey decided to present the motion after several locals in attendance asked the Council to reconsider the ban, according to Yakima Herald. Coffey’s motion was passed by the council in a 4-2 vote and has been scheduled for a public hearing and approval by the City Planning Commission. As of now, the city of Yakima bans retail growing, processing and selling of cannabis. Coffey expects city staff to act quickly on the proposal, as changes in land use require a longer time to process. The Yakima ban was passed in January 2014 with a 6-1 vote, with Coffey being the only opposing member.

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National

Senate Bill 73 Allows Patients to Legally Medicate in Utah

Things are looking up for medical cannabis patients in Utah. With the efforts of Senator Mark Madsen, Senate Bill 73 was approved and will allow patients to ingest cannabis with recommendation from a certified physician. Under SB-73, cannabis can be ingested through vaporizing, oils and edible consumption, but smoking the plant is prohibited. Illnesses that qualify patients to legally use medical cannabis under SB-73 include Alzheimer’s, AIDS, ALS, cancer, Crohn’s disease, PTSD, Epilepsy, Multiple Sclerosis and chronic pain. Senator Madsen tried to make medical cannabis legal last year during a legislative session but was defeated in the senate. This year’s bill was approved because it was equipped with research from stakeholders, state agencies and industry leaders, as reported by KUTV. Like other medical cannabis markets, Utah’s will be highly regulated for patients, doctors and collectives.

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WORLD

Pharmacies in Croatia Set to Distribute Cannabis Capsules

Cannabis capsules are expected to hit pharmacy shelves in Croatia sometime this month, according to Total Croatia News. With the help of a Canadian manufacturer, the Institute of Immunology will be distributing capsules with small amounts of cannabis oil, at less than one tenth the cost of capsules on the black market. According to Ve?ernji List, a monthly dose of capsules on the black market costs 15,000-20,000 kuna ($2,224-$2,965 USD). Director of the Institute of Immunology, Dr.Nevenka Kova?, states that their capsules will only cost patients 1,500 kuna for a monthly dose. Although there is not currently a set price on cost of the capsules, Kova? states that it will be determined based off of transportation costs and profit margins. Medical cannabis has been legal in Croatia since October 2015, however substances like cannabis capsules will only be available to those suffering from AIDS, Multiple Sclerosis, cancer and Dravet Syndrome.

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