Cannabis Policies for the New Decade

The Committee on Energy & Commerce will hold a legislative hearing tomorrow to discuss and review six pieces of legislation:

H.R. 171, the “Legitimate Use of Medicinal Marijuana Act” – Proposes Marijuana moves from a Schedule I drug to Schedule II and the federal government may not intervene in a state’s medical marijuana laws.

 

H.R. 601, the “Medical Cannabis Research Act of 2019” – Proposes the Attorney General increase the amount of federally approved registered cannabis manufacturers for research purposes. (the DEA has already begun accepting applications).

 

H.R. 1151, the “Veterans Medical Marijuana Safe Harbor Act” – Proposes veterans receive special protections to use, possess, or transport medical marijuana legally; also allows physicians to discuss and recommend marijuana therapies to veterans.

 

H.R. 2843, the “Marijuana Freedom and Opportunity Act” – Proposes the removal of THC/marijuana from Schedule I drugs. Demands comprehensive research on marijuana, and regulation from Alcohol and Tobacco Tax and Trade Bureau on the sale and advertising of marijuana.

 

H.R. 3797, the “Medical Marijuana Research Act of 2019” – Proposes Health and Human Services ensures a supply of marijuana for research purposes. Furthermore, all currently approved researchers for Schedule II – V drugs would be given authorization to conduct marijuana research.

 

H.R. 3884, the “Marijuana Opportunity Reinvestment and Expungement Act of 2019” or the “MORE Act of 2019” – Demands marijuana/THC be removed entirely from the list of Scheduled drugs. This bill calls for expungements, and the establishment of various regulatory departments and social equity programs.

 

The MORE Act is sounds like an extravagant bit of legislation. Is America ready for full legalization and decriminalization of marijuana? This would cause mass confusion in states where marijuana is already legal. These states would have to review (and possibly revise) current legislation pertaining to marijuana and quickly. States will need time to re-organize regulatory departments, and possibly implement new guidelines. Perhaps legislators are reaching for the stars and hoping to land on the moon.

Interestingly enough, there is no mention of discussing any legislation in regards to the regulation of banking institutions in their dealing with cannabis companies. This is a multi-billion-dollar industry being conducted in cash because banks are too scared to touch it. It will be interesting to see if this topic is at least addressed tomorrow. (Most recently the SAFE Banking Act was passed by the House of Representatives in September 2019 but has yet to reach the Senate.)

 

You can watch a live stream of the hearing tomorrow (Wednesday, January 15th, 2020) at 10:00am EST here: https://energycommerce.house.gov/committee-activity/hearings/hearing-on-cannabis-policies-for-the-new-decade

 

**UPDATES TO FOLLOW**

At KL Security, we have a proven track record for compliance with state laws and security requirements. Utilizing the Total Harvest Coverage methodology for cannabis facility security design and planning as well as cannabis business operation improvements, we have successful projects in facilities in multiple states, helping leaders in the cannabis industry drive revenue and stay compliant with state laws.

 

 

Information has been gathered from sources deemed reliable but not guaranteed and is subject to change without notice.

Is Medical Marijuana Coming to Mississippi?

March 11, 2020 — UPDATE

The House of Representatives in Mississippi has passed a resolution to allow an additional item on November’s ballot. This new measure would legalize marijuana for medicinal use.

Lawmakers state this new resolution improves upon the previous petition submitted by Mississippians for Compassionate Care. Critics state this will only confuse voters, and split the vote. Some are worried this will delay the implementation of a medicinal marijuana program.

You can read Resolution 39 here.

January 9, 2020

It’s official. Mississippians will vote on Medical Marijuana in November 2020. A petition was successfully submitted by Mississippians for Compassionate Care https://www.medicalmarijuana2020.com/ and received a spot on this year’s ballot.

 

Regulation of the Medical Marijuana industry has been initially delegated to the Mississippi Department of Health, but is being met with apprehension and rejection. The Department of Health is opposing this assignment due to several reasons. The DoH is unsupportive due to the lack of federal legality, possible medical harms, and insufficient means to regulate the industry. In a statement issued by the DoH, the organization claims these responsibilities of regulation are “far beyond the scope and mission of the Agency, including oversight of agricultural production of marijuana, oversight of marijuana product processing and tax collection”. http://www.msdh.state.ms.us/msdhsite/_static/resources/8376.pdf

 

It is safe to predict that the ballot measure will pass. Societal perceptions of the substance have shifted in the past decades, and Americans want legal access. In a poll published by Gallup in October 2019, it is reported roughly 66% of Americans support legalization of Marijuana.

https://news.gallup.com/poll/267698/support-legal-marijuana-steady-past-year.aspx

Two-thirds of the country has legalized marijuana for one intended use or another. It is clear that the change is coming. The question now becomes ‘when’? The Mississippi Department of Health has eight months to brainstorm and formulate a game plan for if this measure comes to fruition.

 

It can also be assured that entrepreneurs and businesses will be strongly considering Mississippi as a coveted market due to the provision, “The rules and regulations shall not limit the number of licensed medical marijuana treatment centers, nor set the price of medical marijuana”. https://www.sos.ms.gov/content/InitiativesPDF/Proposed%20Initiative%20Measure.pdf

 

At KL Security, we have a proven track record for compliance with state laws and security requirements. Utilizing the Total Harvest Coverage methodology for cannabis facility security plans as well as cannabis business operation improvements, we have successful projects in facilities in multiple states, helping leaders in the cannabis industry drive revenue and stay compliant with state laws.

 

Information has been gathered from sources deemed reliable but not guaranteed and is subject to change without notice.

 

https://www.medicalmarijuana2020.com/

http://www.msdh.state.ms.us/msdhsite/_static/resources/8376.pdf

https://news.gallup.com/poll/267698/support-legal-marijuana-steady-past-year.aspx

https://www.sos.ms.gov/content/InitiativesPDF/Proposed%20Initiative%20Measure.pdf

Shortage of Marijuana Testing Facilities in Maine

In November of 2016, citizens of Maine voted to approve legislation to legalize the adult use of marijuana. It’s been three years, and constituents still do not have a way to purchase the drug legally.

 

It would appear that lawmakers have had some difficulty agreeing on the rules and regulations to be established. This is understandable; marijuana regulation and taxation is brand new territory.  With that being said, politicians and policy makers should tap into available resources. Experts should be consulted to help mold these laws and establish safe reasonable guidelines.

 

The latest hiccup is the lack of testing facilities in the pipeline. All marijuana must be tested after cultivation and before sale to the consumer; this ensures consistency and public safety. So far, only one marijuana testing facility has been approved within the entire state. This presents a huge problem economically. There are substantial and realistic concerns that the singular facility will be unable to handle the volume. If the product were a different substance, cultivation facilities could ship their goods over state lines for testing. Unfortunately, this is not a possibility since marijuana remains illegal at the federal level. The product must remain within state lines at all times.

 

There are exponential parts to any economic chain, and the more regulation on an industry, the more possibilities for problems arise. In this instance, the product supply chain was not considered within the timeline of licensing. This will undoubtedly affect the product quantities available for sale, and cause marijuana prices to be very high until they establish additional testing facilities.

 

As a Cannabis entrepreneur, it is of the utmost importance to seek out the most qualified professionals to navigate the rules and regulations of this burgeoning industry. If you’re considering opening a marijuana facility (testing facility or otherwise) don’t make a similar mistake. Consult an expert.

 

At KL Security, we have a proven track record for compliance with state laws and security requirements. Utilizing the Total Harvest Coverage methodology for security plans as well as cannabis business operation improvements, we have successful projects in facilities in multiple states, helping leaders in the cannabis industry drive revenue and stay compliant with state laws.

 

Information has been gathered from sources deemed reliable but not guaranteed and is subject to change without notice.

 

Associated Press. December 24, 2019. Maine Doesn’t Have Enough Recreational Cannabis Testing Facilities. High Times Magazine. Retrieved from: https://hightimes.com/news/maine-doesnt-have-enough-recreational-cannabis-testing-facilities/

 

https://www.maine.gov/dafs/omp/adult-use

Illinois Craft Grower License Application Emergency Rule Update

NOTICE OF EMERGENCY RULES ANNOUNCED TODAY

Today, the state of Illinois released updated rules and requirements for applications of the Craft Grower license and Infuser License.

The full set of rule updates can be found here:

 

Highlights include:

“The Department and law enforcement agencies shall have the ability to access a cultivation center’s security alarm system in real-time”

 

Security Plan and Record keeping (145 points):
A) Measure 1 (40 points): The applicant’s security plan demonstrates
its ability to prevent the theft or diversion of cannabis and how the
plan will assist ISP, the Department, and local law enforcement.

Specifically, it shall evidence compliance with all items in Sections
1300.180 and 1300.185 of this Part.

B) Measure 2 (40 points): The applicant demonstrates that its plan for
record keeping, tracking and monitoring inventory, quality control
and security, and other policies and procedures will discourage
unlawful activity. It also describes the applicant’s plan to
coordinate with, and dispose of unused or surplus cannabis through
ISP, and the Department.

C) Measure 3 (40 points): The applicant’s security plan shall describe
the enclosed, locked facility that will be used to secure or store
cannabis, its security measures, including when the location is
closed for business, and the steps taken to ensure that cannabis is
not visible to the public.

D) Measure 4 (25 points): The applicant’s plan to apply for a
transporter license or plan to work with a licensed transporter and
the applicant’s procedures for safely and securely delivering
cannabis and cannabis-infused products to cannabis business
establishments

 

 

“Enclosed, Locked Facility” means a room, greenhouse, building, or other
enclosed area equipped with locks or other security devices that permit access only by cannabis business establishment agents working for the licensed cannabis business establishment or acting pursuant to the Act to cultivate, process, store, or distribute cannabis. [410 ILCS 705/1-10]”

 

Per Section 1300.30

Authorized On-Premises Storage. A cultivation center is authorized to store
cannabis and cannabis-infused products inventory on the licensed premises. All inventory stored on the licensed premises must be secured in a limited access area and tracked using the inventory and security requirements of this Part.

 

Cannabis Security Concerns in Washington Following Burglaries

The legal Cannabis  market is still in its infancy, and experiencing some major growing pains. One such growing pain is that of transparency. Customers and regulators want to be able to access information in regards to licensees, be they retail dispensaries, growers or cultivation facilities. With the internet, this has made this wish much easier to accomplish.

 

Up until last week, the Washington State Liquor and Cannabis Board (LCB) provided a map detailing locations of marijuana producers and processors. A recent string of burglaries has compelled the LCB to remove this map. There’s no confirmed correlation between the burglaries and the LCB’s disclosure of locations, but the state government has chosen to err on the side of caution.  This information is still accessible by the public via a public records requests (as mandated by Washington law).

Interactive map on the LCB website displaying retail locations:
http://wslcb.maps.arcgis.com/apps/View/index.html?appid=a84ba123b8d94a65aa03ae573a65c1aa

 

Regulating a previously illegal substance with a high black-market value is no easy feat.

Stringent security regulations are often stressed at the retail level, and less so for other licensees. It is pertinent to remember that security is a critical facet at any level of the cannabis economic chain.

 

How’s the health & well-being of your operational protocols to deter diversion?

 

At KL Security, we have a proven track record for compliance with state laws and security requirements. Utilizing the Total Harvest Coverage methodology for security plans as well as cannabis business operation improvements, we have successful projects in facilities in multiple states, helping leaders in the cannabis industry drive revenue and stay compliant with state laws.

 

Information has been gathered from sources deemed reliable but not guaranteed and is subject to change without notice.

Schaneman, Bart. January 2, 2020. Washington states removes online map of cannabis businesses in response to recent burglaries. Marijuana Business Daily. Retrieved from: https://mjbizdaily.com/washington-state-regulators-remove-online-map-of-cannabis-businesses-in-response-to-recent-burglaries/