Kentucky Governor Andy Beshear has signed House Bill 829 into law, expediting the licensing process for medical cannabis businesses. Originally set for January 1, 2025, the new timeline allows applicants to start the licensing process on July 1, 2024. This accelerated timeline is designed to help businesses start operations sooner, meeting the rising demand for medical cannabis.
New Restrictions on Patient Access
While the expedited licensing process is beneficial, the new law introduces several restrictive measures for patients:
Criminal Background Checks: Patients must undergo background checks to join the state’s cannabis registry. Those with certain criminal records are disqualified.
School Restrictions: School administrators can prohibit registered students from accessing medical cannabis products on school grounds.
Prescription History Review: Physicians must perform a comprehensive review of a patient’s prescription history before issuing a medical cannabis recommendation.
Implications for Cannabis Businesses and Patients
The new regulations present both opportunities and challenges:
Opportunities: Faster licensing enables businesses to enter the market sooner, meeting the demand for medical cannabis.
Challenges: New restrictions may limit patient access, impacting overall market growth.
How KL Security Can Help
With these regulatory changes, securing your cannabis business becomes even more crucial. At KL Security, we provide high-security vaults, safes, and secure cages to help businesses comply with state regulations and protect their inventory. Our solutions ensure your operations remain secure and compliant with the new expedited licensing requirements.
Key Security Solutions
Vaults and Vault Doors: Designed to protect valuable inventory and comply with regulatory standards.
Secure Cages: Create restricted areas within your facility to control access to sensitive materials.
High-Security Safes: Protect cash, sensitive documents, and smaller inventory items with our top-rated safes.
Compliance Tips
Stay Informed: Regularly review regulatory updates to ensure compliance.
Maintain Detailed Records: Keep thorough records to meet state requirements.
Engage in Public Hearings: Participate in the regulatory process by attending hearings and providing feedback.
Call to Action
Visit KL Security’s website to explore our secure storage solutions for cannabis dispensaries. Contact us to learn how we can help you achieve compliance and security for your business.
2022 has been another banner year for the ongoing fight to end marijuana prohibition in the United States. The list of legal states just keeps growing, with three states joining in on the movement this year. Rhode Island started off the year with signing the legislation to legalize the personal use and sale of marijuana to adults 21 and over. Then, last month’s primary election welcomed the two newest states to legalize the adult-use of marijuana for 21 and over. On November 8th voters in Arkansas, Maryland, Missouri, North Dakota, and South Dakota took to the polls to decide on their state’s future of legal cannabis for adults. Of the 5 states, 2 of them passed the initiative! We would like to congratulate the residents of Rhode Island, Maryland, and Missouri on becoming the 19th , 20th , and 21st states to legalize adult-use marijuana in the US. 2022 has shown great progress for our country’s future of legal marijuana for all Americans.
Rhode Island kicked off the year with signing the legalization legislation in May, seeing their first adult-use cannabis sales on December 1st. Nearly 85% of the municipalities in the small state opted in for legal sales, one of the highest in the country. ‘The Ocean State’ is projected to see $80 million in sales within the first year and $300 million by their fourth year. (Casacchia, 2022)
Maryland passed the referendum with 66% of voters in support of legalization. Voters were asked a simple question on their November 8th ballot “Do you favor the legalization of the use of cannabis by an individual who is at least 21 years of age on or after July 1st, 2023, in the state of Maryland?” (Jaeger, 2022) Beginning July 1st of 2023, Marylanders who are 21 and over will legally be able to consume, possess, and grow marijuana. The state is projected to generate as much as $600 million in its first year as a legal market and possibly reaching $1 billion by its fourth year. (Roberts, 2022)
In Missouri, the bill passed with a much closer margin, 53% to 47% in favor of legalization. This makes the ‘Show-Me State’ the 21st state to legalize cannabis. Some projections suggest sales could reach as high as $550 million in the first year, and potentially as high as $800 million – $900 million by the fourth year. (MJBizDaily Staff, 2022) Beginning December 8th, existing cannabis companies can start applying to switch their business to adult-use. The applications must be reviewed and responded to within sixty days of submission in accordance with legislation. In short, Missouri could log their first adult-use marijuana sales as early as February of 2023.
Before any state can start selling the product to the public, they have to build a regulated market. Sometimes, creating these regulations can take years for states to agree upon; sometimes, it will only take a few months. The deciding factor is dependent upon how motivated the state is to begin receiving tax revenue from legal sales.
One of the highest priority items for any cannabis operator to consider is ‘how to secure an establishment. Every state requires the creation, adaptation, installation, and maintenance of a security plan: protecting staff & customers as well as securing product & cash are of the utmost importance.
A security plan should:
Detect, delay, and deter burglaries
Protect employees, customers, product, equipment, and cash
Protect against natural disasters
Deter against theft of cash and product
Prevent internal diversion
Be scalable – able to expand with the business
We offer many solutions to help safeguard an operation from potential loss of assets: Bullet rated glass, modular vaults and doors, DEA compliant safes and cages, cash management systems, just to name a few.
Cash management systems enable retailers to reduce loss and optimize in-store labor. These systems are easily adaptable to existing POS systems and surveillance cameras – promoting end-to-end security.
Our modular vaults and vault doors are perfect for new construction but are also able to be retrofit into existing buildings. These modular vaults are available at a fraction of the cost of poured concrete vaults. Protect your high valued product and cash with one of our modular vault systems. https://www.klsecurity.com/products/vaults-and-doors.html
These cages are designed and built to meet DEA physical security requirements. They can be customized to your facility and tailored to an existing security system. With locking doors, self-closers, and access control locks, these secure cages will keep your product safe.
The legalization of marijuana is widely gaining momentum across the country. The majority of Americans are in agreement. According to a study done by Pew Research Center in October, 88% of Americans believe that marijuana should be legal for medical and recreational use by adults (59%) or that it should be legal for medical use only (30%). (GREEN, 2022) This means that only 1 in 10 Americans believe marijuana should remain illegal.
Source: Pew Research Center survey of U.S. adults conducted Oct. 10-16, 2022
Now is the opportune time to assemble your security plan. Let our experts help you. KL Security focuses on facility security – vaults, cages, cash management safes, high security safes, etc.
It looks like 2022 is the year Vermont may finally see the first legal sale of adult use marijuana. In 2018, the state legalized the use of marijuana for adults, but it wasn’t until 2020 that they decided to legalize the sale of it.
The windows to apply for operator licenses are opening up over the next several months: starting with small cultivation licenses on April 1st and ending with retail licenses opening September 1st. Existing medical marijuana dispensaries will be allowed to commence adult-use sales beginning May 1, while other retailers must wait until October. (Staff, 2022)
See chart for application opening dates for each type of operator:
All license types may apply for pre-qualification beginning on March 16th. This pre-qualification is not required for full licensure. The Cannabis Control Board is offering pre-qualification in an effort to streamline the process and to foreshadow market structure.
Contrary to other states, Vermont is placing a larger priority on small cannabis growers. Their hopes are to pull the underground operators out of the woodwork and integrate these illegal growers into the legal cannabis market. There are concerns that these smaller operations may not be able produce enough product to meet demands at the launch of legal sales, but the Cannabis Control Board is optimistic.
The Cannabis Control Board, which consists of three members, was appointed in March of 2021 with the purpose of developing regulations for Vermont’s cannabis market. The regulations regarding security measures required for each type of cannabis operation are outlined below.
Security Regulations for Outdoor and Mixed Cultivators:
Fencing
Sufficient to prevent unauthorized entry
Alarm system
Video and photographic surveillance
Footage must be retained for a minimum of 30 days
Accurate date and time stamps on images, without obstructing images
Able to produce usable images in the existing lighting conditions
Allows for clear and certain identification of all persons or activities
Resolution of 1080p or great
Exportable and transferable to standard computing equipment
Motion activated flood light
Security services
Must be operating for no less than the three-week period preceding harvest
Security Regulations for Indoor and Mixed Cultivators, Manufacturers, and Wholesalers:
All perimeter doors and windows must be locked
Only individuals with Cannabis Establishment ID card may have keys or a key equivalent
All perimeter doors and windows must have operational security alarms
Video surveillance with continue monitoring of any space containing cannabis
Footage must be retained for a minimum of 30 days
Accurate date and time stamps on images, without obstructing images
Able to produce usable images in the existing lighting conditions
Allows for clear and certain identification of all persons or activities
Resolution of 1080p or great
Exportable and transferable to standard computing equipment
Security Regulations for Retailers
Retailers must meet all requirements listed above for indoor and mixed cultivators, manufacturers, and wholesalers, along with the following additional requirements:
Alarm system
Standard commercial-grade alarm system
Installed by an expert alarm system company
Video surveillance
Must include point-of-sales areas, entrances, exits, and any area containing cannabis
Video footage must be retained for at least 90 days
Strict access controls to areas where Cannabis and Cannabis Product is stored or handled
Employees must wear identification badges while on duty
Information related to the facility security must be maintained onsite and readily accessible and make them available for inspection by the Board, if requested.
Though these regulations don’t specifically require anything for the storage of marijuana, we strongly encourage you to invest in a vault to protect your product as well as your cash. With sales being mostly cash based and a product that is of high value, cannabis operators become a huge target for robberies.
ArmorStor™ Modular Vaults & Doors
For new construction & retrofit of existing buildings. Our modular vaults offer the highest UL Security rating available at a fraction of the cost of poured concrete vaults
Another option to consider would be a cash management system. Whether you are concerned about cash shrinkage, inefficient cash handling or upgrading your cash-management plans, a commercial or retail cash management solution is best for you. Our smart safes offer bill validating, cash currency counting, cash management and cash recycling.
Smart Cash Management
Enabling retailers to gain efficiencies, reduce loss, and optimize in-store labor. All with the ability to integrate existing POS systems and video surveillance for end-to-end security.
Vermont’s Cannabis Control Board estimates that spending on recreational marijuana in Vermont could reach $225 million annually by 2025, which would translate to nearly $46 million in new state taxes. (Goldstein, 2021) If the Green Mountain State produces marijuana half as good as their maple syrup, Vermonters are in for a real treat.
Now is the opportune time to get your security plan together. Let us help you. KL Security focuses on facility security – vaults, cages, camera systems, cash management safes, high security safes, etc.
On February 22, 2021, New Jersey became the 14th state in the nation to legalize the recreational use of marijuana. After almost a full year, they have started accepting applications for cultivators, manufacturers, and testing labs. Within the first 4 hours of the website opening, nearly 500 individuals had applied. Applications for dispensaries won’t open up until March 15th. (Davis, 2021) Though there is still a little way to go before the first legal adult use sale, New Jersey is headed in the right direction. Cultivators, manufacturers, and testing labs will start them off with building a supply for the retailers to sell.
When trying to obtain approval for licensure, a quality physical security plan will include specific details about all things required in the state of New Jersey. Some of these requirements will include: modular cannabis vaults, high security safes with TL15 or TL30 ratings, DEA approved cages for processing facilities, security camera systems, and cash management safes (trust us, you don’t want to hand count all of that cash).
Full suite of solutions from cameras to turnkey packages that can protect people, assets and speed loss prevention.
Protect product in-transit
IP Cameras Recorders
Remote Viewing on Smartphones
Access Control & License Plate Recognition
Four wall DEA secure drug cage for Schedule III, IV & V storage areas. Designed & built to DEA physical security requirements, these cages can be configured for your facility and customized to a variety of sizes and heights. Locking doors, self-closers, and access control locks tailored to your existing security systems are all possible.
The New Jersey Cannabis Regulatory Commission establishes and enforces the rules and regulations governing the licensing, cultivation, testing, selling, and purchasing of cannabis in the state.
Here is a summary of the security requirements for an adult use cannabis operation:
Each cannabis business shall provide effective controls and procedures to guard against unauthorized access to the premises or the business’s electronic systems, theft, and diversion of cannabis. Such controls may include, but are not limited to, systems to protect against electronic records tampering
Security Alarm System
Install and maintain in good working order to provide suitable protection against theft and diversion.
Immediate automatic or electronic notification system
Notifies cannabis business personnel or police of an unauthorized breach or failure of alarm system
Backup system that activates immediately when there is a loss of power.
Notifies personnel and authorities of power loss
Implement security measures that deter and prevent unauthorized access to areas containing cannabis.
Implement security measures that protect premises, consumers, and personnel
Establish a protocol for testing and maintenance of the security alarm system.
Conduct inspections and tests of the system at minimum every 30 days
Promptly implement all necessary repairs to ensure proper operation
In the event of a system failure due to power loss expected to last longer than 8 hours:
Notify the Commission
Provide alternate security measures or close operation until fully restored
Outside access to premises kept at a minimum and it is well controlled
Limit entry into areas where cannabis is held to authorized personnel
Equip interior and exterior premises with panic buttons
Video Surveillance System
Equip interior and exterior premises with electronic monitoring, and video cameras
A video surveillance system shall be installed and operated to clearly monitor all critical control activities of the cannabis business and shall be in working order and operating at all times.
The Commission must be provided access to remote viewing at all times
The system must be approved by the Commission prior to license issuance
Original tapes and digital pictures must be retained for at least 30 days
Outside area of the premises must be well-lit
Exterior lighting must be sufficient enough to deter criminal activity
Exterior lighting must be sufficient enough to facilitate surveillance
Reasonable effort made to not disturb surrounding businesses or neighbors
All entrances and exits well-lit to allow proper video surveillance
Include motion control sensors to protect cultivation light-dark cycles as needed
Provide law enforcement and neighbors within 100 feet of the cannabis business with the name and phone number of a staff member to notify during and after operating hours to whom they can report problems with the establishment.
The security alarm system and video surveillance system shall be continuously monitored, 24 hours a day, seven days a week.
May be monitored off-site
Storage
All cannabis items shall be stored in an enclosed indoor, locked area. Access to such area is limited to an owner, principal, employee, or volunteer of a license holder or staff members of a license holder’s management services contractor that possesses a Cannabis Business Identification Card when acting in their official capacity.
Secure Transport
A cannabis business shall ensure each delivery vehicle is equipped with:
A secure lockbox or secure cargo area, used for the sanitary and secure transport of cannabis
A GPS device for identifying the geographic location of the delivery vehicle
Functioning heating and air conditioning systems appropriate for maintain correct temperatures for storage of cannabis and cannabis products
Insure all vehicles in the amount of at least $1,000,000 per occurrence or accident
Vehicle has no markings indicating that the vehicle is used to transport cannabis
Vehicle’s make, model, color, vehicle identification number, license plate number, and vehicle registration available to the Commission upon request
Staff each delivery vehicle with at least one cannabis business staff member
Shall not leave cannabis items in an unattended delivery vehicle unless the vehicle is locked and equipped with an active vehicle alarm system.
Staff member has access to a secure form of communication with the cannabis business
Staff member possess their Cannabis Business Identification Card at all times
Before transport, staff member shall create a physical or electronic copy of the transport request
Only Cannabis Business Identification Card holders shall be allowed in a delivery vehicle
All transport of cannabis must be conducted by a person. No drones
Transports must be completed in a timely and efficient manor
Maintain a written or electronic record of each transport of cannabis. Must include:
Date and time of transport beginning and ending
Name, cannabis business ID card number, and signature of staff transporting
Weight of cannabis and cannabis items being transported
The batch number of the usable cannabis or the lot number of the cannabis product, the name of the strain/cultivar, and the form of the cannabis product
Signature of receiving staff member attesting to receipt of the goods
Report any vehicle accidents, diversions, losses, or other reportable events that occur during transport to the Commission
Though New Jersey’s regulations don’t specify that a vault is required for storage. We believe it is something that any cannabis operation should strongly consider. Because there is such a huge risk storing a high valued product as well as large sums of cash on the premises, these operations can often become targets for smash-and-grabs. Businesses are able to successfully protect product and cash due to the installation of vaults & vault doors.
Class 5-V vault doors protect contents against unauthorized entry, covert entry, and forced entry.
The adult use marijuana market in New Jersey is projected to reach $1.6 billion by 2025, the second largest market on the east coast, following New York. (Dehnam, 2022) Originally the state had set a deadline of February 22nd to begin sales, but it doesn’t look like this will happen. They may be a little behind schedule, but things are definitely moving in the right direction.
Now is the opportune time to get your security plan together. Let us help you. KL Security focuses on facility security – vaults, cages, camera systems, cash management safes, high security safes, etc.
After several years of back and forth, it has finally become a reality for New York: on March 31, 2021, the Empire State became the 15th state in the nation to legalize the adult use of marijuana. The state will now begin the process of building the cannabis market.
New York has had a slow start with the roll out of the new market, but they are hopeful the new governor will get the process back on track. The Cannabis Control Board finally has its members in place and will now begin issuing the regulations that will control the licensing process. Recently, the head of New York’s cannabis control board said she does not anticipate any licenses being issued until the spring of 2023 at the earliest. (Branfalt, 2021)
Though the security requirements are yet to be determined, we have a good idea of what to expect. Medical use of marijuana became legal for New York in 2014. Currently, New York’s security requirements for medical manufacturing and dispensing facilities are similar to what you would find elsewhere.
When seeking approval for licensure, any quality physical security plan will include specific details about each individual component the State of New York will ultimately require. Examples include, modular cannabis vaults, high security safes with TL15 or TL30 ratings, DEA approved cages for processing facilities, security camera systems and cash management safes (trust us, you don’t want to hand count all of that cash).
ArmorStor™ Modular Vaults & Doors ArmorStor™ secure and reinforced rooms can be installed in existing facilities or scaled to full size in new construction. The modular panels are built up to the equivalent of 24” thick poured concrete vaults with 4 layers of rebar at a fraction of the weight and installation costs.
Summit Series SM1 Bill Validating Safes With immediate view of cash activities across single or multiple locations, the ability to maximize cash flow and reduce cash shrinkage is greatly enhanced. The compact size allows the SM1 to be placed in locations where space is at a premium and still provide enough capacity to minimize the frequency of cash pickups.
Below is an outline of the known security requirements for the State of New York Medical Use Regulations :
Alarms and motion detectors
Perimeter alarm
Duress Alarm – silent security alarm system signal
Panic Alarm – audible security alarm system signal requiring law enforcement response
Hold up alarm – a silent security alarm system signaling a robbery in progress
Motion detectors
Back up alarm system to detect entry when no employees are present at facility
Failure notification system notifying of any failures within 5 minutes
Automatic voice dialer or digital dialer that, when activated, sends a prerecorded message to law enforcement, public safety, or emergency services, requesting dispatch
Video Surveillance
All areas containing marijuana, all entry and exit points, all safes and vaults, and all areas where marijuana sales take place
Cameras are able to capture clear and certain identification of any person entering or exiting the facility
24 hour recording for all video cameras and must be retained for at least 90 days
Recordings available for immediate viewing at any time
The ability to produce a clear still photo at a minimum of 9600 dpi from any camera
Accurate date and time stamp on all recordings
Ability to remain operational through a power outage
Video recordings are able to be exported to an industry standard image format
Surveillance rooms must not be used for any other purpose
Keep a current list of authorized employees who have access to surveillance room
Exterior of premises must be kept illuminated
Securely locked at all times, protected from unauthorized entry
Visitor log kept of all persons that access any secured areas
Must include name, date, time, and purpose of the visit
Log must be available to the department at all times upon request
Security system and equipment must be kept in a secure location.
System must be tested twice a year, retaining results for a minimum of 5 years
Storage
Safes, vaults, or other approved equipment must be securely locked at all times
Keys, combination numbers, passwords, etc. only accessible to authorized individuals
Marijuana stored in a secure area at all times, accessible only to authorized employees.
Transportation
Before transporting, a shipping manifest must be completed and transmitted to receiving destination 2 days prior to transport
Copy of manifest kept in vehicle during transport
Manifests must be retained for 5 years
Marijuana and products transported in a locked storage compartment not visible from outside the vehicle
No unnecessary stops taken along the way
Delivery times are randomized
Minimum of two employees staffing the transport vehicle, with one of them remaining in vehicle at all times while the vehicle contains marijuana.
There are high hopes for the marijuana market in New York. Not only is it believed to have a potential to create $350 million in annual tax revenue, but also bring along 30,000-60,000 new jobs for New Yorkers. (Bort, 2021) There is still much work to be done before the New York market is operational, but once it does, it is sure to be profitable for all cannabis licensees and other stakeholders.
The security experts here at KL Security are excited to begin the new year at CannaCon in New York City January 7th-8th at the Javits Center in downtown Manhattan. If you’re interested in opening a cannabis facility in New York and becoming part of what is projected to be a very lucrative market, now is the perfect time to start doing research and formulating a physical security plan. Allow us to be the experts you rely on for your security needs, so you can focus on your overall business plan. Please take a moment to stop by booth 445 at CannaCon and start a conversation with us about your cannabis facility plans.
It’s unmistakable; the cannabis industry is on the rise and shows no signs of slowing down. Recreational use of marijuana is now legal in 18 states, plus the District of Columbia. With states across the nation continually joining in on the legalization of recreational use for adults, business is booming and now is the time to become a part of it.
At the federal level, marijuana is classified as a Schedule 1 drug in accordance with the Controlled Substance Act. On a state level, however, regulation varies. This can make it all a bit confusing. Due to the current federal rules on cannabis, responsibility falls to the states to build the regulatory framework. Each state must develop their own rules, regulations, and guidelines associated with the production, sale, and legal use. No one knows how it will pan out if (and when) marijuana becomes legal at a federal level, but without a doubt there will still be strict regulations to follow for each state.
One of the primary concerns for those operating in the cannabis space is the high volume of cash. The banking system is regulated by federal law, causing a large number of banks to steer clear of the industry. Additionally, some credit card companies will not allow their customers to use their cards as a form of payment at cannabis pharmacies/dispensaries. This causes the operator to accumulate large sums of cash that is often stored on the premises for a certain period of time. The high value of product paired with large sums of cash make cannabis operators a prime target for diversion and theft. Robbery disrupts business, places customers & employees in danger, and costs operators exponentially. This is merely one reason, of many, as to why having a security plan in place is incredibly crucial.
When applying for licensure, the development of a well calculated security plan is required. Since the legislation varies state and state, and sometimes even by municipality, it’s important to thoroughly research the applicable rules and regulations. Regardless of the state in which the operation resides, there will be rules regarding security.
All cannabis operations must utilize seed-to-sale tracking; this applies to all forms of businesses: craft growers, commercial growers, medicinal producers, processors, secure transporters, cannabis pharmacies, marijuana dispensaries, etc. While this process is required, it is also an excellent business practice to protect profits, ensure product quality, and grow business.
A good security plan should:
Deter theft of product and cash
Prevent internal diversion
Be scalable – able to grow with the business
Protect employees/customers, product, equipment, and cash
Detect, delay, and deter burglaries
Protect against fire and flood
KL Security is here to help along the way – from the first napkin sketch all the way to implementation. We’ve worked with cannabis operators nationwide and helped grow these businesses (both big and small).
Our Total Harvest CoverageTM offers a holistic approach to integrate security and compliance through the use of Smart Safe POS systems, and video & data analytics. This approach unlocks business growth opportunities to create competitive advantages, and maintaining compliance encourages continuous growth.
Each aspect of a security portfolio should assist in loss prevention, improvement of operations, increasing safety, and support business goals. Kl Security along with ArmorStor™ believe that compliance and business success are one in the same.
This process can be overwhelming, but have no fear, our cannabis security experts are available to help and guide you along the way.
Annual retails sales of marijuana are projected to reach $43 billion by the year 2025 (NORML, 2021), and having an advanced security system in place is crucial to protect your business and license status.
Stay tuned for regular updates on regulations and news pertaining to cannabis.
It’s official; flights are booked and the hotel is reserved! ArmorStor & KL security are headed to the Javits Center in New York City from January 7th-8th.
At the start of the 2022 New Year, a few of our cannabis facility experts from KL Security will be headed Northeast to attend the New York CannaCon. CannaCon is one of the largest, oldest, and most successful cannabis trade shows nationwide: an exciting event for exhibitors to come and show off the latest technologies available to the cannabis market. Various industry leaders, providing everything a cannabis entrepreneur might need from seed to sale, will be joined together. CannaCon is a one stop shop: lighting, web design, payroll processing, extraction equipment, financing options and our specialty, physical security items such as our ArmorStor line of vaults and vault doors, cages, camera systems, safes and cash management solutions. Cannacon also features educational seminars covering a wide variety of cannabis related topics.
On March 31st of this year, New York became the 15th state to legalize the recreational use of marijuana, allowing adults over the age of 21 to legally buy and consume marijuana. The recent legalization within New York and the Cannacon trade show allows new potential licensees to begin planning operations and meet with potential suppliers, advisors, and service providers. The state of New York is expecting the first recreational dispensary to open legally towards the end of 2022. Regulations have to be set, licenses need to be obtained, and the first legal seeds need to be sown.
Once recreational sales begin, it is projected New York will bring in $1.2 billion in sales by 2023 and $4.2 billion by 2027. According to the governor’s administration, New York State is hoping to be able to collect $350 million in tax revenue annually. (Yakowicz, 2021) Not only will the legalization of marijuana bring in revenue for the state, but it will also create thousands of new job opportunities for New Yorkers.
KL Security is eager to attend this event at such a pivotal time for the state, allowing us to showcase the best end-to-end security solutions for compliance, profit protection, and business operation optimization.
Vice President of Sales for KL Security, Travis Easter, had this to say on the upcoming trade show:
“Our team is very excited to attend the NY CannaCon event in January. Over the past few years, we have met a lot of great entrepreneurs, as well as many industry partners, at CannaCon events throughout the country that we’ve helped implement a holistic security plan, programming and physical security solutions that help drive their compliance and bottom line forward. We will be available at Booth # 445 to answer any questions you might have about securing your facility, with experts that can help guide you through the process of realizing your dream.
We will be prepared to discuss your needs one-on-one, providing real time price quotes so you can start budgeting for the future.
Manufacturers and industry partners, many of which we have met numerous times, are also invited to stop by our booth to discuss potential partnerships and opportunities.”
We look forward to helping new licensees become successful within New York’s recreational cannabis market. See you there!
On November 3rd, millions of Americans spoke loud and clear: they want legal weed. Five states placed marijuana legalization on their ballots this year, and marijuana won approval in all five state elections.
Montana, Arizona, and New Jersey approved the institution of recreational marijuana markets. Mississippi approved the creation of a medical market, and South Dakota approved the legalization for all various forms of use.
The creation of these new markets means millions of dollars in sales to entrepreneurs as well as a massive influx of tax dollars to local governments. The legalization of cannabis within these states could also have an influence on bordering neighbors.
Projected Sales
Here’s a breakdown of projected sales per state:
State
Population
Projected 1st year sales
Arizona
7,300,000
+ $375,000,000
Mississippi
2,900,000
+ $240,000,000
Montana
1,100,000
+ $217,000,000
New Jersey
8,900,000
+ $375,000,000
South Dakota
884,659
+ $1,500,000
Polls have shown historically that most Americans are in favor of legalizing marijuana for medicinal use, but the country is torn more evenly on the issue of recreational use. The results of these elections show that the country is viewing marijuana more favorably than previously.
Licensing
In Arizona, existing cannabis operators will automatically receive licensure within the recreational market, and an additional 26 licenses will be issued to social equity applicants.
In Mississippi, there is no ceiling on the number of licenses available to cannabis businesses, and these licenses are required to be issued prior to August 15, 2021. That’s a very quick timeline for the creation of a new market.
Montana will require all license holders to be residents, but like Mississippi, there is no limit to the number of licenses to be issued.
New Jersey currently has a robust medical marketplace, and these operators will probably have the first opportunity to apply or be grandfathered in to the new recreational system.
The licensing guidelines within the proposed legislation in South Dakota are vague and will more than likely cause litigation or require further clarification. One clear rule states that municipalities may not ban medical dispensaries, but may limit the number of operations within its borders.
Cannabis Facility Design & Security
It’s safe to assume these states will look to other states for guidance on the design of new compliance and regulation legislation. KL Security has worked with various cannabis companies nationwide of all sectors: craft growers, secure transporters, large scale grow operators, medicinal pharmacies, recreational dispensaries, etc. We have assisted license applicants in multiple states in their architectural and schematic design concepts and application. Whether you’re in the application process or construction planning phase, we are ready and willing to help make your operation successful by driving revenues while maintaining compliance.
Information has been gathered from sources deemed reliable but not guaranteed and is subject to change without notice. The information contained in this site is provided for informational purposes only.
Coastal Pacific states are currently battling raging wildfires. These western states are no stranger to fire, but the losses don’t always have to be catastrophic. Protecting cannabis dispensaries, pharmacies, growers, producers, and secure transporters from natural disasters is possible; it just takes planning.
Records Protection
Most states have laws requiring the digital tracking of product from seed to sale. Many states also require customer databases be kept & maintained to abide by quantity limits. This data is pertinent to stay within compliance and safeguards must be in place to protect this data. It’s also important to select servers that protect against fire AND water. A unit should be able to withstand the fire and the efforts to put out the fire.
The ioSafe protects data from fire and water. It can withstand temperatures up to 1550°F for 30 minutes, and water submersion at 10 ft for up to 72 hours. The internal capacity maxes out at 16TB, and it it’s compact in size: 12 inches high and weighs less than 30lbs.
Businesses, no matter how tech savvy they may be, will always need to store some hardcopies. For this reason, a traditional fire-safe file cabinet should be procured.
FireKing manufactures the best fireproof filing options available. Other brand names only offer half the fire safe protection. These cabinets are available in legal or letter size and multiple drawer options.
Chemical Storage
The cannabis industry is highly regulated. Growers & producers must abide by traditional guidelines for the safe storage of insecticides, pesticides, and other chemicals as well as cannabis specific regulations just to stay in compliance.
Fire or other natural disasters can cause hazardous chemicals to turn deadly. If not stored properly, fire could cause ignition and explosion. The acquisition of proper storage can prevent against additional damage.
The AG400 is the best choice for the storage & safe handling of chemicals. This unit is rated to meet OSHA requirements and withstand up to 4 hours of fire.
Product Storage
Cannabis regulators are primarily concerned with safeguarding citizens against the proliferation of marijuana on the black market. For this reason, many businesses will implement security provisions that prevent surreptitious entry but may not prevent against mother nature.
There are various safes and vaults that can be manufactured to tailor to the specific needs of your business. Protect product from natural forces as well as theft.
Vault doors protect cash and product from diversion as well as natural disasters. Fallen trees could compromise the integrity of a traditional locked door thus enticing those that may wish to profit from your misfortune.
For smaller quantities of product, a high security safe may suffice. This featured safe is manufactured with narcotic storage in mind – sure to pass compliance inspections. It’s also fire tested to 1850°.
No matter the scale or size of your operation…
KL Security can help facilitate compliance and protection. We’ve helped numerous cannabis facilities nationwide assemble license applications, maintain compliance standards, protect against diversion, and drive revenue. Our consultants are knowledgeable, experienced, and ready to assist.
Information has been gathered from sources deemed reliable but not guaranteed and is subject to change without notice. The information contained in this site is provided for informational purposes only.
Earlier this year, Arizonans banned together in an attempt legalize marijuana. Marijuana is currently legal for medicinal use in the state, but residents would like to see access made available for all adults.
The issue was set to be voted on within the November ballot. A petition was submitted earlier this year by constituents; the initiative required 237,645 signatures and Smart and Safe Arizona (the group spearheading the initiative) acquired 420,000.
Opposition to this proposal was met by Arizonans for Health and Public Safety, a group backed by the Center for Arizona Policy (conservative group that supports ‘right-wing’ legislation). It’s safe to assume this group is also anti-cannabis legislation of any kind, but attacked the proposal on the basis that it doesn’t adequately address cannabis sales tax increases, driving under the influence, or marijuana potency. It also claimed the initiative is ‘confusing and deceptive’. Based on these theories, the group filed a lawsuit challenging the pro-cannabis initiative.
And late last week, this suit was rejected. A Superior Court Judge ruled the provisions had be addressed sufficiently and found the initiative was not lacking. The judge found their claims to be unfounded. This was a huge win to the voters of Arizona. For now, the issue of legalizing marijuana for all adult Arizonans will be resolved in November by voters.
The recreational market is proposed to favor existing medical marijuana operators and also designate 26 new licenses specifically for social equity applicants.
Using data from the US Census Bureau and assuming the Arizona market would resemble the Illinois market, we can figure that Arizona might have had $170,322,000 in sales (so far) in 2020. That would have brought in over $27,000,000 in tax dollars for the state.*
Here at KL Security, we observe and implement a holistic approach to cannabis facility compliance and safety. We assist dispensaries, pharmacies, secure transporters, craft growers, large scale growers, and testing facilities in achieving revenue goals through protecting assets. We assist with security planning and SOPs for security protocols that prevent diversion of cash and cannabis products at all steps within a marijuana business’s lifetime: from licensing to successful operation to inspections. If you need assistance with the security portion of an application, want to learn how to make your operation safer, or are concerned about compliance – contact the consultants at KL Security at 866-867-0306 or at [email protected].
Information has been gathered from sources deemed reliable but not guaranteed and is subject to change without notice.
*9,900,000 estimated adults in Illinois and $300,000,000 in sales (YTD Jan-Aug 2020) equated to roughly $30.3 spent per adult resident.5,677,400 estimated adults in Arizona = $170,322,000
