May 14, 2020

Arizona court rejects online initiative signature gathering for initiatives such as marijuana legalization

The Arizona Supreme Court on Wednesday rejected a request to allow online signature gathering for proposed ballot measures, including one for marijuana legalization. Backers of four initiatives asked the court to let them use an online signature gathering platform used by candidates to avoid the risk of in-person signature gathering during the coronavirus outbreak. The justices ruled without explanation; a full opinion will be released in the future. Leaders of Save Our Schools Arizona, the group seeking limits on school vouchers, said on social media that the ruling forces voters looking to exercise their rights to “endanger their lives.” The sponsors ultimately decided to drop their effort to restrict school vouchers. “We believe that is a failure of justice based exclusively on political bias,” they wrote. Elected officials can currently collect signatures they need to qualify for the ballot using the secretary of state’s online “E-Qual” system. But initiative backers are required to collect their qualifying signatures in-person. Backers of an initiative that would raise taxes on the wealthy to fund education, known as #InvestInEd, said they would continue their efforts and believe they're on track to qualify for the November ballot. The other initiatives seeking to collect electronically sought sentencing reform and marijuana legalization. Lawyers for the four initiatives argued that social distancing orders meant to prevent the spread of the coronavirus made it extremely difficult for people to collect signatures by approaching voters in public places and at mass gatherings. Attorney General Mark Brnovich, House Speaker Rusty Bowers, and Senate President Karen Fann, all Republicans, asked the court to reject the request. They argued the state constitution requires that petition papers be signed by the person collecting them, and that provision can’t be waived.
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May 14, 2020

Risk management issues arise as hemp industry expands

Recent legislative developments that eased restrictions on hemp production have helped elements of the cannabis industry expand but compliance issues still complicate risk management efforts in the sector, a panel of experts said. Meanwhile, wider legislative efforts that could curb potential federal prosecution of cannabis insurers offering coverage in states where the drug is legal may advance quicker than expected, they said. The 2018 Farm Bill, which allowed for the expanded cultivation and transportation of hemp in the United States, has led to increased production of the plant and prices have plummeted, said Gary Broadbent, executive vice president and general counsel at GenCanna Global USA Inc., a Winchester, Kentucky-based hemp producer. He was speaking during a Business Insurance webinar on Wednesday that is part of a series of webinars examining risk management and insurance issues related to cannabis and hemp. Hemp is a cannabis plant that can produce CBD, which is used in dietary supplements and personal care products, but contains limited amounts of THC, the element that gives pot its high. Hemp fiber is also used to make rope, clothing, paper and other products. CBD was selling for more than $40,000 a kilogram in 2014-2015 but now sells for less than $1,000 a kilogram, Mr. Broadbent said, which “has put stress on a number of folks in the hemp-producing industry.” GenCanna filed for Chapter 11 bankruptcy protection in February.
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May 14, 2020

Hemp firms rooting for marijuana banking clause in House’s $3 trillion stimulus bill

Hemp farmers and businesses could get additional banking and financing help if the $3 trillion coronavirus stimulus bill introduced Tuesday by U.S. House Democrats becomes law. The SAFE Banking Act, which passed the House last September but has stalled in the Senate, is included in its entirety in the latest stiumulus proposal. A vote on the 1,815-page bill, which includes language to help secure hemp banking, could come later this week. Jonathan Miller, a Kentucky attorney and hemp lobbyist who leads the U.S. Hemp Roundtable, told Hemp Industry Daily that the House’s inclusion of the SAFE Banking Act in its stimulus effort could help the legislation among conservatives who may be anti-marijuana but pro-hemp. “It demonstrates how much of a priority this legislation is for the House, and it’s clear this is something that they’re going to be fighting for when they get into negotiations with the Senate,” Miller said. But the Republican-controlled Senate already has warned that the stimulus bill, if passed by the House, won’t be considered. The Senate’s Republican leaders say that another huge round of coronavirus-related stimulus funding isn’t yet warranted. Miller told Hemp Industry Daily that advocates are “realistic” about the measure’s prospects but consider the banking inclusion an important signal. “If we don’t get it this time, it’s just an indication that the chances are better now that we’ll get it at some point in the near future.” Financial institutions are already cleared to do business with legal hemp and CBD companies. But Miller said that SAFE Banking Act passage would encourage risk-averse banks, financial institutions and credit card companies to do business with hemp operators.
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May 13, 2020

Coronavirus spells doom for federal cannabis legislation

Rep. Earl Blumenauer's (D-Ore.) road map for the current Congress ended in full legalization by the end of 2019. But instead of a complete overhaul of the nation's cannabis laws in the 116th Congress, one chamber passed one cannabis bill on one issue. Impeachment killed the remaining momentum, and the coronavirus then changed the course entirely, torching the chances of any standalone cannabis legislation passing Congress this year. The only remaining hope for the blueprint lies in attaching provisions to must-pass coronavirus aid or appropriations bills. "It's gonna be a very difficult prospect," said Rep. Lou Correa (D-Calif.). "It is going to be very difficult to get direct aid for the cannabis industry." The outcome is stark given this was considered the most pro-cannabis Congress ever. Broad legalization may have been a dream given the Senate's makeup, but it seemed possible that Congress could pass some laws that would bridge the gap between federal law and states that have legalized cannabis for adult use. The Senate hasn't budged on a cannabis banking bill the House passed last September. Veterans research legislation languished in the House Veterans' Affairs Committee for a year. Senate Majority Leader Mitch McConnell is a major roadblock for most — if not all — cannabis legislation, but the House has sent him only one bill. Lawmakers and advocates are saying this Congress laid a strong foundation for the next to build on, but it may be time to write off cannabis legislation for the time being. "I think between coronavirus and election season, we are in the bottom of the ninth," said Don Murphy, Marijuana Policy Project’s director of federal policies and a former Republican state lawmaker. "We do not have a whole lot of time for the other stuff." Legislation that would give cannabis businesses access to banking stands the best chance of hitching a ride on a larger coronavirus package. The House included cannabis banking language in its latest $3 trillion relief package, but that bill has been dismissed by the GOP-controlled Senate as a nonstarter. The coronavirus also has given new life to another proposal that didn’t get much attention before the pandemic: making cannabis businesses eligible for Small Business Administration loans and grants. But that proposal wasn’t included in the latest House bill, which likely dooms its chances. Legislation that would essentially legalize marijuana was never really on the table to begin with, according to a Democratic House staffer with close knowledge of cannabis policy. “I think the MORE Act passing the Senate right now, whether or not there was coronavirus — or STATES passing the Senate, whether or not there was coronavirus — was a stretch,” the staffer said. The MORE Act would remove the federal prohibition on marijuana, erase marijuana-related criminal records and create grant programs to help communities disproportionately affected by the war on drugs. It moved out of the House Judiciary Committee in November. Legalization advocates initially hoped the proposal would get a House floor vote this year. The STATES Act — which would allow states to set marijuana policies without fear of federal punishment — was seen as a more likely vehicle for comprehensive reform in the Senate. But the MORE Act has to move through six more committees. Justin Strekal, political director at the National Organization for the Reform of Marijuana Laws, said he continues to talk with House committees about waiving jurisdiction — as the House Small Business Committee did earlier this year — in an effort to speed a floor vote. Waiving jurisdiction also is a show of support for legalization and would build a stronger platform for next year.
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May 13, 2020

Most People In Recreational Marijuana States Believe Legalization Is A Success, Poll Finds

People who live in states that have legalized marijuana for adult use broadly feel that the policy has been a success, according to a new poll. A majority of people from eight states that were surveyed said the programs are working well. And in Maine, which legalized cannabis in 2016 but still doesn’t have any adult-use retail shops open, people still said the law is more of a success than a failure by a greater than two-to-one plurality. YouGov asked more than 32,000 people the following question: “In the states that have decided to allow recreational marijuana use, do you think the legislation has been a success or a failure?” They were given five options: “Success only, more of a success than a failure, more of a failure than a success, failure only or don’t know.” Here’s a breakdown of percentages of people in legal states who said the policy has been a success compared to a failure: Colorado (71-17 percent) Oregon (69-20 percent) Massachusetts (67-15 percent) Washington (65-18 percent) Nevada (64-17 percent) California (59-20 percent) Illinois (59-17 percent) Michigan (56-20 percent) Maine (47-20 percent) In Colorado, one of the first states to legalize in 2012, about a quarter of respondents (26 percent) said the system has been a success only, whereas 45 percent said it was more of a success than failure. The survey was conducted from April 17-20. The research firm said that it did not get a reportable state-level sample size for Alaska or Vermont, which have also enacted legalization laws, and so they were not included in the new analysis.
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May 11, 2020

Top Vermont lawmaker says legal marijuana sales bill will be taken up after coronavirus response

A top lawmaker in Vermont says the Legislature will reconsider a bill to legalize marijuana sales later this year, though she feels lawmakers and the administration are appropriately focused on responding to the coronavirus pandemic for now. House Speaker Mitzi Johnson was pressed Thursday about why state leaders aren’t giving more attention to the pending tax-and-regulate legislation given the revenue the state could derive and the jobs that could be created from legal cannabis sales. The speaker told Vermont Public Radio that after both chambers approved a bill to provide for retail sales this session, one of her last acts before leaving the State House to work remotely was appointing members of a conference committee to resolve differences between the House and Senate versions. That said, “our attention, I believe rightly, has been entirely on the COVID crisis and making sure that we get Vermonters through this very intense desperate period,” she stated. “This issue is still before us. We will be talking about it before the year ends,” Johnson said of the marijuana bill. “But I think our energy has been where it needs to be, which is getting Vermonters through this crisis.” Vermont legalized the possession and cultivation of marijuana through the Legislature in 2018, but the current law does not include a sales component. The speaker added that while she appreciated the argument that creating a commercial cannabis market could produce revenue and jobs for the state, the costs of implementing the program and the amount of time it would take to roll out a legal sales system would mean Vermont stands to lose money and add to the deficit for the first three years after legalization’s enactment.
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May 11, 2020

USDA Approves Hemp Plans for Massachusetts and Five Native Tribes

The U.S. Department of Agriculture last week approved hemp production plans for Massachusetts, and the Miccosukee Tribe of Indians of Florida, the Winnebago Tribe of Nebraska, Cheyenne and Arapaho Tribes, Rosebud Sioux Tribe, and the Pala Band of Mission Indians. It marks the 17th state plan to be approved by the agency; the total of approved tribal plans stands at 25. The USDA indicated in a press release that it “continues to receive and review hemp production plans from states and Indian tribes.” Under Massachusetts hemp law, the crop can be produced for fiber, seed, hemp seed oil, seed for cultivation, seed meal and seed oil, and CBD – so long as the crop is certified by the state Department of Agricultural Resources. Currently, however, Massachusetts does not allow some CBD products to be sold in the state, including food products, products containing hemp as a dietary supplement, animal feed containing the cannabinoid, CBD flower, or products making medical claims. Many of those products are also banned federally. Late last month, the Food and Drug Administration sent warnings to two CBD companies over their claims that CBD is efficacious for treating opioid addiction. Massachusetts Department of Agricultural Resources spokesperson Katie Gronendyke told Marijuana Moment that since 2018, the state has “licensed more than 100 entities and produced 250 acres of certified industrial hemp.”
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May 10, 2020

Huge cannabis farm worth £1 million and containing hundreds of plants has been discovered by police

A huge cannabis farm worth £1 million has been uncovered by police. Police found the cannabis farm of more than 500 plants at a house in Bury on Saturday after receiving reports from residents. Almost 200 plants were being kept in the attic alone, Prestwich neighbourhood officers discovered. Altogether the stash is estimated to be worth up to £1 million, says Greater Manchester Police. A man was detained and arrested by police on suspicion of cultivating cannabis - and was also 'of interest to immigration authorities', according to the police. He was interviewed but has since been released under investigation. Police say the set-up inside the house was 'extremely dangerous' as the electrics had been directly connected to the National Grid. The garden at the property had to be dug up by Electricity North West in order to cut off the supply. The farm and its equipment was destroyed by police after it was uncovered and the cannabis will now be incinerated. Bury police quipped 'cue the cannabis legalisation debate' after they shared pictures showing the industrial-scale farm.
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May 9, 2020

Mass. cannabis executives ‘look forward to safely reopening’ after meeting with governor’s advisory board

A group of Massachusetts cannabis industry representatives on Saturday has made its pitch to a reopening advisory board appointed by Gov. Charlie Baker. The Commonwealth Dispensary Association, among those at the meeting, says it has a COVID-19 safety plan that incorporates national best practices and input from all its 38 members. In addition to the CDA, industry representatives that met with the 17-member advisory board on Saturday morning were Joseph Lusardi, the CEO of Curaleaf, Amanda Rositano, the president of NETA, Jay Youmans, a principal at Smith, Costello & Crawford and Kobie Evans, a co-founder of Pure Oasis in Boston, the first economic empowerment applicant to open in the state. “We are greatly appreciative to the Lieutenant Governor [Karyn Polito], Secretary [of Housing and Economic Development Mike Kennealy], and the advisory board for their time and service,” said David Torrisi, the president of the CDA, in a statement on Saturday afternoon. “We look forward to safely reopening the Massachusetts economy in close collaboration with the Administration.” Recreational marijuana shops have been closed since March 24 after being deemed non-essential by Baker. Massachusetts is the only state with legal marijuana that has shut down recreational businesses during the pandemic. Medical marijuana, however, was deemed essential. The CDA represents 80% of the state’s medical and adult-use industry, according to the statement. In the time since recreational marijuana stores have been closed, the CCC has reported a spike in new registrations of medical patients. That increase in medical patients led to concern about the medical supply chain. The commission last month decided to allow the recreational market to support the medical market with wholesale transfers.
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May 8, 2020

Montana Marijuana Activists Will Begin Signature Gathering For Legalization Measure With New Safety Protocols

Montana activists announced on Thursday that they will proceed with a signature gathering drive for a marijuana legalization initiative, and they laid out multiple internal policies that will be in place to protect circulators and the public during the coronavirus pandemic. New Approach Montana is behind two proposed ballot measures: one statutory initiative to establish a regulated cannabis market for adult use as well as a constitutional amendment stipulating that only those 21 and older can participate in the market. Faced with a stay-at-home order and social distancing requirements, the campaign filed a lawsuit imploring a court to allow them to collect signatures digitally. It also requested an extension of the deadline to submit petitions. But after a judge dismissed that case last month—and because the state is gradually reopening—the group said it is moving ahead with plans to collect signatures in person, albeit under strict policies to mitigate the risk of spreading the virus. “As our state reopens for business, we must also reopen for democracy,” Pepper Petersen, political director for New Approach Montana, said in a press release. “Our signature drive will allow Montana voters to exercise their constitutional right to a ballot initiative in a safe and responsible way.” Circulators must adhere to a number of requirements, including a mandate to wear disposal gloves and use single-use wrapped pens, discarding them after each signature. The must wear masks at all times, except on breaks. Hand sanitizer and disinfecting wipes will be provided to them. They must maintain six feet of distance from the public, and tables will be set up so that they can witness people signing without getting close. They will also be issued disposable clear plastic bags to carry their supplies in, while backbacks and other reusable storage solutions will not be allowed.
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