Cannabis Facility Security Requirements for New York

By: Colene King


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 :

 

 

  1. 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
  2. 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
  3. Exterior of premises must be kept illuminated
    • Securely locked at all times, protected from unauthorized entry
  4. 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
  5. 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
  6. 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.
  7. 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.



Sources:


https://regs.health.ny.gov/content/section-100413-security-requirements-manufacturing-and-dispensing-facilities

https://www.rollingstone.com/culture/culture-news/new-york-weed-marijuana-legalization-1148949/

https://www.ganjapreneur.com/new-york-will-not-issue-adult-use-licenses-until-2023/

Cannabis Operation Security Plan

By Colene King


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.


Sources:

State-By-State Policies
Analysis: Legal Cannabis Sales Projected to Reach $43 Billion By 2025

https://public.findlaw.com/cannabis-law/starting-a-cannabis-business/marijuana-business-licenses-permits-and-planning.html

Business Protections Against Fire | Cannabis Facilities

By Shelley Swearingen | September 29, 2020


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.

Call 866-867-0306 or email [email protected]

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.

Air Tube Systems: Security Applications in the Cannabis Industry

By: Shelley Swearingen | August 18, 2020

Pneumatic Air Tubes may not be considered ‘innovative’, but their application within an emerging market is. Pneumatic tubes have been used to transport items for well over a century, and the legal cannabis industry is in its infancy in America. Cannabis entrepreneurs are in uncharted territory as to how best safeguard their employees and protect product – all while minimizing diversion and driving revenue. Air Tubes are an easy way to achieve all of these goals.

Banks have utilized pneumatic tubes for over a hundred years, and tube systems are commonplace in today’s pharmacies, as well. Air tubes allow for the fast and safe transportation of small items like medication or currency.

By using pneumatic air tubes, dispensaries can keep the majority of their inventory safely stored in a secure room. The less stock left on the sales floor, the less the chances for theft or diversion. When inventory on the sales floor is minimized, the opportunity for diversion is also reduced. A budtender can assist a customer/patient select their preferred product, and then request the quantity from an employee working in a stock room. The item is retrieved (employees never have to leave their respective areas) and sent to the front of the house for the point of sale. This also makes inventory management and surveillance easier.

Air tube systems also provide extra safeguards within cash management. Cashiers are also able to make cash deposits quickly and safely to more secure locations (like vaults).

Out of sight, out of mind. Keeping cash and product stored elsewhere ensures the safety of employees while making it harder for would-be thieves to steal cannabis product – key components to security protocols and operational procedures to deter diversion of cash and cannabis.

KL Security utilizes the THC360 holistic approach when evaluating a facility’s needs. Brand image and company expectations are assessed to formulate the best solution for an issue. Our implementations assist in diversion, drive revenue, and maintain compliance. To see how the experts at K.L. Security can assist your cannabis dispensary/pharmacy, craft growing facility, secure transporting service, or testing facility call us at 866-867-0306 or email [email protected].

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

Marijuana Facility Security: How Much is Good Enough?

By Shelley Swearingen | July 14, 2020

Why is security so important?

Security protocols dictate how an organization plans to protect their employees. Security protocols set forth how a business will protect their bottom line. Cannabis security planning protocols establish how a facility will safeguard & protect inventory and cash. All of these plans and protocols affect the bottom line, and therefore should be on the forefront of every stakeholder’s mind.

A good security plan should:
Why do security guidelines vary from state to state?

            Cannabis is illegal at the federal level. In recent history, the federal government has stayed out of the way of states and allowed states to govern these sectors independently. This means that when marijuana is legalized within a state, the state government must create an entire market and all the rules and regulations that go along with it. Some states will look to other places that have implemented successful programs, and some just wing it.

            Some states have very little regulatory requirements when it comes to the operation of businesses, and certain areas of concern that are normally heavily regulated in other industries (like security) are barely glossed over in the legislation. This is due to the illegal status of the substance at the federal level. Many states anticipate marijuana becoming legal nationwide at some point. When this happens, no action would be needed as federal law supersedes state law.

Why is compliance so important?

            Staying compliant means staying operational. Facilities operating within a legal marijuana market are subject to random inspections. If a facility didn’t pass an inspection, it could be slapped with a hefty fine and/or forced to close until the infraction is brought up to standard. This means lost sales on top of expensive fines & the facility could take a hit to their reputation. Remember: a facility will never be fined for being too safe. It may seem daunting to spend (invest) a large sum into securing a facility, but down the road – it makes fiscal sense.

What implementations should a facility employ?

            From license application and project inception to completion, KL Security uses a holistic approach to help plan, create, design, and build compliant security solutions & systems to meet a business’s goals, brand, and mission. With successful projects in place in dispensaries, pharmacies, cultivation facilities, craft growing facilities, secure transporters, and testing facilities, the experts at KL Security have the experience to help facilities pass inspections, stay compliant, and drive revenue. Contact a consultant to see how KL Security can help simplify the process and provide successful results.

Call 866-867-0306 or email [email protected]

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

Marijuana Retail Dispensaries and Security

Marijuana dispensaries (both medicinal and recreational) are targets for criminals. Since cannabis is still illegal at the federal level, the majority of banking institutions refuse association. This requires the industry operates primarily in cash. Not to mention, the product of sale is highly profitable on the black market.  These factors paint dispensaries as the holy grail to larcenists.

“In separate incidents on July 19, 2017, a security guard was killed and three other men were wounded at a South Los Angeles dispensary, where a guard was shot to death last year in a robbery. In a Colorado killing, a $55,000 reward is offered for the killers of a Marine veteran shot in the head twice at a dispensary.” 1

Most states have stringent guidelines regarding the safe storage of data, cannabis products, and cash. These guidelines are not as detailed regarding the protection of human life. In any situation, the loss of life is the costliest. A business would be vulnerable to civil litigation from the injured employee or surviving relatives, should the unthinkable occur. The cost of litigation and settlements would far exceed the initial implementation of security systems.

Hamilton’s Entrance System Vestibule provides a tough first line of defense in preventing firearms from entering your building. The unit incorporates key features such as metal detection, motion sensors, and door locking controls with warning alerts to help prevent takeover robberies.

A key element in the design and construction of a dispensary is the visual aesthetic. Safety shouldn’t have to be compromised to meet design goals.

“Silver-framed bullet-resistant glass partitions—required by local ordinances—separate functional areas but keep the space feeling open and visually accessible.  Flexible merchandising fixtures utilize the vertical space for product displays and provide a more comfortable shopping experience.” – High Road Studio https://highroadstudio.com/portfolio/retail-interior-design/the-healing-center/
Bulletproof technology has evolved to meet the needs of today’s retail world. Now, fiberglass panels may be inserted behind drywall or paneling to protect both people and products in storage rooms. This allows designers more freedom in their concepts and allows for budtenders to complete secure transactions.

Wouldn’t it be wiser to deter criminals from considering your business as a target? By utilizing the consulting of security experts and installing top-rated products, thieves are less likely to consider your business as an easy ‘mark’.

The partnership of KL Security with Total Security Solutions means that cannabis entrepreneurs can meet all municipal guidelines to pass inspection successfully. The cumulative knowledge of both teams is at your disposal to assist in the formulation of a bulletproof (pun intended) security plan.

TOLL FREE 1-866-867-0306

[email protected]

DEA Rules, security requirements and regulations per the Code of Federal Regulations

1. Rahmanni, Neama. (2017). ‘Get real about security at marijuana dispensaries’. Orange County Register. December 28. Retrieved from: https://www.ocregister.com/2017/12/27/get-real-about-security-at-marijuana-dispensaries/ Information has been gathered from sources deemed reliable but not guaranteed and is subject to change without notice.

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/