Arizona One Step Closer to Recreational Marijuana Market

By Shelley Swearingen | August 11, 2020



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

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.

Cannabis Facility Security | Protection Against Looters

By Shelley Swearingen | June 4, 2020

The United States is embroiled in civil unrest. “There have been demonstrations in at least 430 cities and towns so far, large and small, across all 50 states.1

These demonstrations are in response to the deaths of African Americans at the hands of law enforcement. American citizens of all races, ethnicities, genders, socioeconomic backgrounds, and ages have gathered to voice their disdain on the excessive use of force by law enforcement. The majority of these protests have culminated & concluded peacefully, but looting has occurred in several US cities.

There are many different theories as to why people loot2, but from a business owner’s standpoint – the ‘why’ is not concerning as ‘if’. In America, civil unrest wasn’t a recent concern when developing security standards for procedure, just as pandemic protocols weren’t included a few months ago either. For those businesses operating in densely populated areas, this will be something to consider going forward. This is especially true for cannabis dispensaries, pharmacies, secure transporters, cultivators, craft growers, testing facilities, and large-scale growers.

In states where cannabis is legal and where looting has occurred, marijuana dispensaries and pharmacies were targeted. Luckily, those businesses that worked with KL Security found their products and profits unscathed. This is a clear example of when investing in physical security pays off.

Successful Security Measures

These businesses were 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. Even though breaching one of these doors is nearly impossible, it is recommended the highest value product (cash) is stored inside a UL TL-15 rated safe placed inside the vault room. 

A representative of a Cannabis company effected by looting reached out to KL Security on the morning of June 4th. This representative oversees multiple locations in one of America’s fastest growing cannabis markets; he was able to witness the capabilities of vault doors & vault rooms firsthand. Stakeholders were ecstatic to have taken the appropriate measures ahead of time and can rest easy knowing their highly profitable product is safe and sound. In exemplifying their satisfaction, this company expressed intent to acquire more vault doors.

Where Security Plans Fall Short

Some States are allowing waivers to allow cannabis dispensaries to store product on the sales floor, in lightly secured undercounter cabinets.  We cannot stress enough, given the stories we have heard recently, that this is not a sound storage method when defending against smash-and-grab attacks.

Whether or not you agree with the protests, all business owners can agree on the importance of protecting their investment. KL Security is here to assist in the security needs of Cannabis craft growers, secure transporters, testing facilities, dispensaries, pharmacies, and commercial growers. We can help review current standards of procedures to identify areas for improvement that will expand peace of mind and drive revenue. To discuss additional security implementations or compliance at your facility, please reach out. 

TOLL FREE 1-866-867-0306 or [email protected]

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

  1. Haseman, Janie; Zaiets, Karina; & Thorson, Mitchell. June 4, 2020. Tracking protests across the USA in the wake of George Floyd’s death. USA Today. Retrieved from: https://www.usatoday.com/in-depth/graphics/2020/06/03/map-protests-wake-george-floyds-death/5310149002/
  2. Khazan, Olga. June 2, 2020. Why people loot. The Atlantic. Retrieved from: https://www.theatlantic.com/health/archive/2020/06/why-people-loot/612577/
  3. https://www.gsa.gov/cdnstatic/Door__Vault__Security.PDF

New Jersey Voters to Decide on Legal Cannabis in 2020

This holiday season, New Jersey lawmakers are discussing a different kind of ‘trees’. A measure to place marijuana on the 2020 ballot was passed yesterday (Monday, December 16, 2019). This ballot will give New Jersey constituents the choice in whether they want to allow marijuana available for adult legal purchase without a prescription.

New Jersey Cannabis Facilities and Dispensaries poised for potential growth.

 

New Jersey currently allows marijuana use for medicinal purposes. This past summer, the Governor signed an act into law expanding their current medical marijuana program. It would appear that New Jersey is paying attention, and making alterations where needed. Let’s hope when it comes time to draft regulations for the adult use market, they are still paying attention. Many states have been purposefully vague within their crafting of regulations. Future licensees can only hope that New Jersey will be more concise and direct within their instructions for operation of the adult-use market.

 

If an individual is contemplating entering the legal cannabis market in New Jersey, now would be a great time to start doing research on security plans, facility design and more.

 

At KL Security, we’ve completed medical marijuana security projects in New Jersey, and 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.

 

We work with leading architects, interior designers and construction management firms to ensure projects are completed from start to finish. With an established track record of completed facility designs, including medical marijuana facilities in New Jersey, we set the standard for growing, cultivation and retail dispensary for medical and recreational marijuana plans, layouts and project management.

 

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

 

Catalini, Mike. December 17, 2019. NJ lawmakers pass marijuana referendum for 2020 ballot. Associate Press. Retrieved from: https://apnews.com/372117448cd3dfbb415b1a67204a71b3

 

New Jersey Department of Health: Division of Medical Marijuana

https://www.nj.gov/health/medicalmarijuana/