Tag: total harvest coverage

Rhode Island, Maryland, and Missouri Legalize Adult-Use Cannabis in 2022

By: Colene King

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.


Sources:

https://mjbizdaily.com/rhode-island-set-to-launch-recreational-cannabis-market-thursday-dec-1/

https://www.pewresearch.org/fact-tank/2022/11/22/americans-overwhelmingly-say-marijuana-should-be-legal-for-medical-or-recreational-use/

https://www.marijuanamoment.net/maryland-voters-approve-marijuana-legalization-referendum-on-ballot/

https://mjbizdaily.com/missouri-could-begin-recreational-marijuana-sales-by-early-february/

https://mjbizdaily.com/us-marijuana-election-wins-maryland-missouri-but-losses-

Cannabis Facility Security Requirements for Vermont

By: Colene King


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:

  1. Fencing
    • Sufficient to prevent unauthorized entry
  2. Alarm system
  3. 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
  4. Motion activated flood light
  5. 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:

  1. 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
  2. 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:

 

  1. Alarm system
    • Standard commercial-grade alarm system
    • Installed by an expert alarm system company
  2. 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
  3. Strict access controls to areas where Cannabis and Cannabis Product is stored or handled
  4. Employees must wear identification badges while on duty
  5. 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. 

 

Sources:

https://mjbizdaily.com/small-marijuana-cultivators-could-cause-supply-issues-in-vermont-adult-use-market/#:~:text=Vermont%20estimates%20the%20state’s%20new,in%20annual%20sales%20by%202024.&text=Recreational%20sales%20are%20expected%20to,online%20on%20or%20before%20October.

https://mjbizdaily.com/more-than-two-dozen-vermont-towns-to-allow-adult-use-marijuana-stores/

https://ccb.vermont.gov/sites/ccb/files/2021-11/Proposed%20Rule%202%20-%20Regulation%20of%20Cannabis%20Establishments.pdf

https://www.sevendaysvt.com/OffMessage/archives/2021/10/19/vermont-gears-up-for-a-225-million-marijuana-market

Cannabis Facility Security Requirements for New Jersey


By: Colene King


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

For the full list of rules and regulations; please follow this link: https://www.nj.gov/cannabis/documents/rules/NJAC%201730%20Personal%20Use%20Cannabis.pdf


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. 



Sources:

https://www.nj.gov/cannabis/documents/rules/NJAC%201730%20Personal%20Use%20Cannabis.pdf

https://www.nj.gov/cannabis/businesses/personal-use/

https://mgretailer.com/business/finance-acquisitions/cannabis-revenue-forecast-for-2025-jumps-by-20-billion/

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

ArmorStor & KL Security at 2022 New York CannaCon

By: Colene King | October 26, 2021


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!



Sources:

https://norml.org/news/2021/08/12/analysis-legal-cannabis-sales-projected-to-reach-43-billion-by-2025/

https://www.forbes.com/sites/willyakowicz/2021/03/31/new-york-state-legalizes-adult-use-cannabis/?sh=71a4510d395c

https://www.ganjapreneur.com/angela-grelle-the-future-of-cannabis-trade-shows/

Adult Use Marijuana Sales Begin in Michigan

Cannabis is legal in Michigan and up and running with retail dispensaries as of December 1, 2019

The recreational market began legally in Ann Arbor, Michigan on December 1, 2019. As of right now, this is the only city with any licensed recreational stores in the state.

At 10:00am, licensees were able to transfer product from medical inventory to recreational inventory for sale. The transferable product must be within a licensee’s inventory for a minimum of 30 days and may not exceed 50% of total product type available. The thinking is that this will help move product that medicinal patients have elected not to purchase, and the amount limitation will preserve product for medicinal patients over recreational consumers (1). This consideration is important, but foresight was definitely lacking within the licensing process. Especially since industry members have been expressing concerns over product shortages for months (2).

 

Marijuana regulatory agencies (nationwide) have failed to tap experts’ knowledge and assistance when formulating guidelines or planning processes. Anyone with a basic knowledge of economics could explain that product is required to supply demand. Within Michigan’s licensing process, they failed to license growers prior to retailers. It takes roughly four months for marijuana to be ready from seed to sale. Licensees were processed and approved on a first-come first-served basis for all types (2).

 

Any burgeoning industry will experience growing pains as they initiate implementation, but the recreational market in Michigan is not expected to be functioning at full capacity for at least another calendar year. This shortage of product in Michigan has driven the price of marijuana to roughly $4,000 per pound, four times the price as Colorado (2).

 

This is an historic occasion for the normalization and legalization of marijuana. Michigan is the first in the Midwest to legalize marijuana for recreational use, and will be a litmus test for neighboring states such as Illinois, Ohio, Indiana, Iowa and others as to how they frame their regulations in the future.

For retail dispensaries and cannabis facilities seeking security planning or architectural plans and programming, please visit Total Harvest Coverage

(1) Adult-Use Marijuana Transfer Window Opens Sunday in Michigan https://www.michigan.gov/lara/0,4601,7-154-89334_79571_79784-513379–,00.html
(2) Beggin, Riley. “Why easy access to recreational marijuana is taking so long in Michigan.” Bridge Magazine. November 25, 2019. https://www.bridgemi.com/michigan-government/why-easy-access-recreational-marijuana-taking-so-long-michigan

Marijuana Licensing in Missouri: An Abundance of Applicants

Protocols for Security Planning & Architectural Programming

The state of Missouri is in the process of establishing a system to regulate the sale of marijuana for medicinal use. And, it would appear Missourians are eager to cash in.

The state is offering an initial 348 licenses for marijuana businesses. These licenses include: cultivation, dispensaries, manufacturing, testing labs, and transporters. The Missouri Department of Health and Senior Services received over 2,000 applications. [1]

The lucky winners will be announced December 31, 2019. It is estimated that cannabis facilities will open mid 2020 in Missouri.

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All cultivation, dispensing, and manufacturing facilities are required to utilize security cameras as per 2019 MO Regulation Text 25597

Proper planning to ensure compliance with state regulations is vital to ensure protocols for diversion and reporting are met.

3 Key Components to Designing Intelligent Video Surveillance Systems

Assessment, Planning & Design – Work with experts to evaluate compliance with state laws and meeting business goals. This will help to identify gaps or challenges and put a plan in place for strategic initiatives that will improve cannabis business success.

Architectural Planning & Programming – Working closing with a surveillance system expert and your architect is vital to ensuring that both the compliance requirements are met as well as the schematic designs are planned, implemented and deployed correctly. Seasoned consultants and camera experts will be able to integrate intelligent video analytics (IVA) Intelligent IP video cameras and searchlight software into existing buildings and new construction environments.

Operate & Optimize – the Total Harvest Coverage methodology is implemented by leading cannabis businesses to ensure seed-to-sale compliance, reporting and to improve operations. Using a scalable platform, cannabis businesses can start with security cameras, data storage and smart-safe point of sale (SSPOS) systems to create a 360 degree view of the operation to meet compliance requirements.

According to the 2019 MO Regulation Text 25597 -, the following security equipment requirements must be met for safes, vaults and surveillance systems

(H)  All cultivation, infused products manufacturing, and dispensary facilities shall ensure the security of medical marijuana and facility employees by taking at least the following measures:

  1. Facilities shall install and maintain security equipment designed to prevent unauthorized entrance into limited access areas and to prevent diversion and inversion of medical marijuana including:
  2. Devices or a series of devices to detect unauthorized intrusion, which may include a signal system interconnected with a radio frequency method, such as cellular or private radio signals, or other mechanical or electronic devices;
  3. Except in the case of outdoor cultivation, exterior lighting to facilitate surveillance, which shall cover the exterior and perimeter of the facility;
  4. Electronic video monitoring, including

(I)  At least one (1) call-up monitor that is nineteen inches (19″) or more;

(II)  A printer capable of immediately producing a clear still photo from any video camera image;

(III)  Video cameras with a recording resolution of at least 1920 x 1080, or the equivalent, at a rate of at least fifteen (15) frames per second, that operate in such a way as to allow identification of people and activities in the monitored space, in all lighting levels, that are capable of being accessed remotely by the department or a law enforcement agency in real-time upon request, and that provide coverage of

(a)  All entrances and exits of the facility, including windows, and all entrances and exits from limited access areas;

(b)  The perimeter and exterior areas of the facility, including at least twenty feet (20′) of space around the perimeter of an outdoor grow area;

(c)  Each point-of-sale location;

(d)  All vaults or safes; and

(e)  All medical marijuana, from at least two (2) angles, where it is cultivated, cured, trimmed, processed, rendered unusable, and disposed;

(IV)  A method for storing recordings from the video cameras for at sixty (60) days in a secure on-site or off-site location or through a service or network that provides on-demand access to the recordings and that allows for providing copies of the recordings to the department upon request and at the expense of the facility;

(V)  A failure notification system that provides an audible and visual notification of any failure in the electronic monitoring system; and

(VI)  Sufficient battery backup for video cameras and recording equipment to support at least sixty (60) minutes of recording in the event of a power outage;

 

When you’re ready to begin the process of security planning for your cannabis business operation, the consultants at KL Security are available to assist with plans, security equipment, ArmorStor vaults, THC360 and more. Well versed in government regulations and recent legal mandates, we are prepared to help your business plan and pass requirements for Cannabis facility design and security programming.

 

*information not available as to how many transporter licenses will be awarded

[1] Schiller, Melissa. (2019, September 5). Cannabis Business Times. Missouri Receives More Than 2,000 Medical Cannabis Business License Applications. Retrieved from:  https://www.cannabisbusinesstimes.com/article/missouri-receives-more-than-2000-medical-cannabis-business-license-applications/

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

Marijuana Business Licensing in Illinois

On January 1, 2020, marijuana will be legal for adult use in Illinois. While residents and neighbors of Illinois may be counting the days, dispensaries and growers are trying to plan for demand.

“…55 existing stores will have to meet the demands of a 13 million-person state with a massive tourist population.” [1]

The current medical cannabis structure serves roughly 70,000 residents. Even if only a quarter of the population decides to partake in the newly legal activity, that’s an additional 3.18 million people. That number doesn’t consider tourists (and/or neighbors to Illinois).

“…our tourism industry welcomes more than 110 million visitors per year, who spend billions of dollars annually.” – Illinois Office of Tourism [2]

What does this mean for entrepreneurs looking to open their own

As a premier partner of Total Harvest Coverage (THC360) we help leading cannabis entrepreneurs and businesses with security plans and integration to stay compliant.

marijuana growing, cultivation, processing or Illinois dispensary business?

Businesses currently operating under a medical marijuana license are going to be able to remain in operation and sell recreational cannabis. These existing businesses are also granted an additional location under their current license.

 

Security Plans & Architectural Planning –

Success in the cannabis market depends on a solid business plan & security plan that is designed to maintain compliance, meet regulatory standards and optimize business operations. Leading cannabis companies utilize the Total Harvest Coverage method to plan, grow and scale their business security.


Applications for new dispensaries are due no later than January 1, 2020. Illinois has until May 1, 2020 to either approve or deny an application. The license awarded from this round is conditional or a pre-license. An establishment must then pass inspection and pay all fees to receive their final licensing to sell marijuana product.

“Non-Social Equity Applicants will pay a $5,000 application fee. Should they be awarded a license, the fee for an Adult Use Dispensing Organization License is $60,000 for a two-year license. Social Equity Applicants will pay a $2,500 application fee. Should they be awarded a license, the fee for an Adult Use Dispensing Organization License is $30,000 for a two-year license.” [3]

Applicants should begin collaborating with industry consultants now to ensure construction of the dispensary occurs quickly and efficiently. Detailed plans for every facet of the business are required within the conditional application, and must be adhered to during implementation. This is where industry experts come into play.

KL Security has successfully developed and implemented security measures for multiple marijuana dispensaries and secure cannabis facilities in multiple states. Our security experts are knowledgeable and eager to assist your business in developing a one of a kind plan to best suit your needs, learn more about Security Plans and cannabis facility design 

ArmorStor™ MJ7840D Controlled Substance Vault Door with Day Gate   Our Vault Doors are manufactured to meet GSA Approved Class 5 Ratings and in their native form are used by the US Government for the storage of Classified Information as well as items such as weapons, ammunition, narcotics, etc.  The sale of the standard doors is restricted however, to only the US Government and Military.  GSA now allows us to market the exact same door, without the GSA Approved Label, to the private sector. 

Restricted Access Approved Vaults

Prevent diversion, theft or loss of medical marijuana at a dispensary with UL Class 1 rated vaults. Our modular vaults are a fraction of the cost of a poured concrete vault and are fully scalable to your business growth. These vaults are in place in multiple states for DEA or pharmacy board approved applications.

Access Control & Entry Doors

BR Glass for retail dispensary locations and safety, we have you covered.

Locking entry door barriers for secure rooms and limited access for key employees that can be monitored with video surveillance to meet any potential codes for cannabis dispensaries and retail marijuana locations.

 

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

SOURCES

[1] Krane, Kris. (2019, June 25). Forbes Magazine. Illinois Legalization Is Historic, But Good Luck Finding Cannabis To Buy. Retrieved from:

https://www.forbes.com/sites/kriskrane/2019/06/25/illinois-legalization-is-historic-but-good-luck-finding-cannabis-to-buy/#4d59bb65e253

[2] https://www2.illinois.gov/dceo/AboutDCEO/Pages/Tourism.aspx

[3] https://www.idfpr.com/FAQ/AUC/FAQ%20-%20Adult%20use%20license%20for%20new%20dispensing%20organizations_.pdf

DEA Rules, security requirements and regulations per the Code of Federal Regulations 21CFR1301.72

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

All license information found at the website for the Illinois Department of Financial and Professional Regulation: https://www.idfpr.com/profs/adultusecan.asp

 

 

Legalizing Marijuana for Medicinal Use in Kentucky

UPDATE:

February 13, 2020–In August 2019, State Representative Jason Nemes was optimistic about the potential success of a bill he co-sponsored. This bill, House Bill 136, would legalize marijuana for medicinal use in Kentucky.

 

Yesterday (Wednesday, February 12, 2020), HB 136 passed the House Judiciary Committee 17-1. The bill now moves on to the House of Representatives, where Nemes expects it to pass.

 

“We won the battle in the House committee,” Nemes said. “It’s almost, pretty much over in the House of Representatives. Now we’ve got to let our senators understand where you are and educate them on the bill.”  – Jason Nemes1

 

Sources & Helpful Links

  1. Desroches, Daniel. February 12, 2020. Medical Marijuana bill clears KY House panel, gains momentum heading into House vote. Lexington Heard Leader. Retrieved from: https://www.kentucky.com/news/politics-government/article240232736.html

Kentucky House Bill 136

https://apps.legislature.ky.gov/record/20rs/hb136.html

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August 16, 2019 –Kentucky politicians are and have been optimistic about the legal status of marijuana within their state. “State Rep. Jason Nemes of Louisville predicts medical marijuana will be legal in Kentucky within the next year. The Louisville Republican has co-sponsored a bill that he believes addresses most of the past concerns about medical marijuana…’ Fundamentally, we’re going to have, I believe, medical marijuana in Kentucky within the next year,’ said Nemes. ‘I strongly believe that.’”  [1]

as a premier partner of Total Harvest Coverage, we help businesses with security plans, architectural planning and programming and design of compliant solutions for cannabis facilities.

Mr. Nemes was a little off on his prediction. We are fast approaching the one-year mark from when Mr. Nemes made this prediction. Kentucky has moved closer, and many are sure the legislation will pass in the upcoming session. The community of Louisville has agreed that possession of small quantities of marijuana shouldn’t be a priority for law enforcement. [2]

Jason Nemes is co-sponsor of House Bill 136, legislation to legalize and regulate marijuana for medicinal use in Kentucky. In March of 2019, the House Judiciary Committee approved this bill almost unanimously [3].

This bill proposes that a new organization be formed within the powers of state government to regulate the medicinal marijuana industry, ‘The Department for Alcoholic Beverage and Cannabis Control’. While there is no legislation to review as of yet, it would appear that their requirements and guidelines for facilities will mirror those of Michigan and Illinois. Why not mirror your midwestern neighbors if their system is working efficiently?

A recent story posted by High Times, indicates that even though cannabis remains illegal in Kentucky, the state has the highest per capita rate of plants destroyed by the DEA. Approximately 80 percent of voters in the State of Kentucky favor reform or legalization of cannabis and marijuana plants and products. Kentucky house bill HB 136 would provide for improved access for medicinal marijuana. Security plans and requirements have yet to be released or published as of this article.

In other news, Hempwood and hemp processing facilities are up and running in Murray, Kentucky

 

KL Security is able to help at all levels of the supply chain:

Deter Diversion & Theft with Security Planning and Cannabis Facility Design Standards

Reinforced Vault Rooms & Custom Vaults of All Sizes

Smart Cash Management Safes & CashControl Software

  • Ideal for Retail Dispensaries in Kentucky, Growers & Cash Businesses

Bulletproof Glass, Doors and Retail Dispensary Design & Build

Security Cameras, Recorders and Software for Surveillance and Cash in Transit

 

[1] Lawmaker says medical marijuana will be legal in Ky. ‘within the next year’. (2018, August 24). Retrieved from: https://www.wdrb.com/news/lawmaker-says-medical-marijuana-will-be-legal-in-ky-within/article_62e82cd3-ef4a-5491-a7de-f5dd13a6ac82.html

[2] Costello, Darcy. (2019, June 19) “Louisville is moving closer to telling police not to prioritize marijuana possession”. Louisville Courier Journal. Retrieved from: https://www.courier-journal.com/story/news/politics/metro-government/2019/06/19/louisville-moves-closer-effectively-decriminalizing-pot/1499214001/

[3] Cheves, John. (2019, March 6) Medical marijuana approved by Kentucky House panel. More legislative hurdles remain. Lexington Herald Leader. Retrieved from: https://www.kentucky.com/news/politics-government/article227177759.html

 

Helpful Links:
Code of Federal Regulations: Title 21

https://www.accessdata.fda.gov/scripts/cdrh/cfdocs/cfCFR/CFRSearch.cfm?fr=205.50

 

Kentucky House Bill 136

https://apps.legislature.ky.gov/record/19rs/hb136.html

 

When you’re ready to begin the process of securing your facility, the consultants at KL Security are available to assist. Well versed in government regulations and recent legal mandates, we are prepared to ensure your business will pass requirements.

TOLL FREE 1-866-867-0306

[email protected]

Information has been gathered from sources deemed reliable but not guaranteed and is subject to change without notice. All license information and security measures taken directly from the Code of Federal Regulations: 21CFR205.50

Image source: http://thesource.com/2018/10/30/weed-marijuana-2018-midterm-elections/