Feb 19, 2017 | California Marijuana Laws, Proposed MMJ Law Changes
The California Legislative Analyst’s Office is the state’s nonpartisan fiscal and policy adviser. It issued a paper on Tuesday, February 14, 2017 expressing doubt whether implementation of Proposition 64 will be self-funding in the early stages, or turn out a drain on the treasury.
What follows is a summary of the most relevant points, including opinions expressed by Los Angeles Times and our own thoughts. Here is a link to the official document if you would like to study the long and detailed report.
- We currently have two official approaches towards regulating marijuana in California. These are (a) the Medical Cannabis Regulation and Safety Act of 2015, and (b) Proposition 64 of 2016 for Legalized Nonmedical Cannabis.
- Few doubt the eventual logic of combining the legislation as Gov. Jerry Brown suggests. However many are beginning to question whether there is time to do so before Proposition 64’s deadline of December 30, 2017 runs out.
- The State Legislative Analyst’s Office is urging cash flow restraint. While it agrees with Gov. Jerry Brown, is believes there is ‘significant uncertainty regarding the resource needs for departments to regulate and tax medical and nonmedical cannabis.’ (more…)
Feb 12, 2017 | California Marijuana Laws, Marijuana Legalization, Proposed MMJ Law Changes
It is time we leapfrogged over the indecision. And got on with the business of earning tax on $2.7 billion annual sales of marijuana for the State of California. It is not the industry’s fault legislators framed Proposition 64 less than optimally. If our ancestors took as long to frame the founding statements, they could still be debating the niceties too.
And what about the mom-and-pop businesses that rely on the income? They need certainty big business with corporate advantage is not going to lever them out. Behind the scenes, recreational marijuana is selling well as it always seems to have done in the Golden State. We are trying legalize a reality not embargo it in perpetuity.
One might have thought that with two decades of regulated medical marijuana under our belt we would have at least learned something. Although granted there is still some confusion regarding what is legitimate at city and country level. The holdup is an apparent obsession with tidying these details up at the same time. For the life of me, I can’t see the problem with having two different systems for a while. Surely, this is what the population envisaged?
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Feb 5, 2017 | California Marijuana Laws, Marijuana Legalization, Proposed MMJ Law Changes
Frankly, we are less than surprised about the program slippage. In fact we have been warning for a while that implementation of Proposition 64 will not come in on target. Unlike marijuana entrepreneurs that have been preparing for years, our lawmakers are following a strictly linear process.
It is a shame really. California has a great dealt to benefit in terms of taxes. Yet our lawmakers insist on following a single-level approach. First, they draft a proposition that was bound to get through. Then they hold a ballot the result of which was virtually certain. Then and only then do they put administrative structures in place. These are currently drafting regulations that should have started years ago.
This is no way to begin a profitable business, as I am confident Patrick McGreevy writing in Los Angeles Times will agree. He confirms a stir at the California Capitol on Monday, when lawmakers challenged the ability of state agencies to come in on time.
The Smoking Pot Bomb California Faces
To recap, Proposition 64 wants licenses in place by January 1, 2018. The regulations and system may yet be. However, there will still be numerous license applications in the pipeline. To avoid prejudice and unfair practice there are going to have to be numerous provisional licenses at first.
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Jan 20, 2017 | California Marijuana Laws, Marijuana Legalization, Proposed MMJ Law Changes
Delays in implementing Prop 64 may mean some healthy marijuana users are tapping on the medical door to satisfy their recreational desires. The authorities will have likely already raised their level of scrutiny. Thus getting your application for a medical marijuana card right first time could be crucial for your health.
Your First Step: Do You Really Need the MMJ….(Um – Yes.)
Clinical cannabis is typically not for treating flu or acne. However, nowadays that is probably sufficient to get a doctor’s recommendation. A decade ago, many doctors required more serious medical conditions along the lines of cancer, HIV, epilepsy, or multiple sclerosis for example. Prop 215 also lists depression (which is difficult to diagnose) and “any other condition for which medical marijuana may provide relief”. That statement is the key to providing flexibility to doctors in providing scripts. Given HIPAA laws, law enforcement is not allowed to inquire about your medical condition. As such, once you get your card you are golden! Your next step is to find a doctor to write a recommendation.
Any doctor with a California Medical Board license can do this. However, you may have more sympathy from a ‘Class 420 Doctor’ who already knows the ropes. As you probably know, most ‘420 Doctors’ go “all in” and make marijuana their main focus. These doctor’s specialize in matching your condition with the benefits of medical marijuana.
Your Next Step is Getting a Medical Marijuana Card
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Jan 18, 2017 | California Marijuana Laws, Marijuana Legalization
Before the Trump era dawned on us and caught more than a few asleep, fate seemed to be looking down its nose at medical marijuana. This was, let’s face it a historic workaround for some users hardly classifiable as patients. They had no problem going through the hoops and paying for prescriptions.
Things have been looking a bit grim lately for medicinal strains since Proposition 64 passed the test. Users in the grey area are ready to jump ship anytime soon. Moreover, until medical insurance comes on board and pays for marijuana as medicine (RX), the genuine few will be tempted to follow suit.
The Implications of the ‘Cannibalization of Cannabis’
The Motley Fool had interesting things to say about this on January 1 this year. It thinks the ‘cannibalization of cannabis’ could threaten the long-term sustainability of the medical marijuana industry. While it is true the under 21’s will theoretically still need to see a doctor, there are similar illegal workarounds as happens in the case of alcohol. For this reason, most pot clinics are rebranding to include other forms of alternative medicine.
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Jan 9, 2017 | California Marijuana Laws, Proposed MMJ Law Changes
We enter the New Year with a myopic food and drug administration. It still classifies cannabis as schedule one narcotic, while the majority of California citizens believe we should treat it the same way as alcohol. To compound the problem, most California banks are still scared of accepting marijuana money. They fear of prosecution under money laundering laws.
This creates a legal logjam. Deputy Attorney James M Cole tried unsuccessfully to break this on August 29, 2013. He pleaded for prosecutorial discretion and the ‘efficient use’ of federal resources when deploying law enforcement. Thus far, we have limped along in an elaborately choreographed legal pas de deux. Now California state treasurer John Chiang has made his move.
The Marijuana Money Problem We Need to Solve
“We need quick action and practical solutions,” he told reporters including Orange County Register late December. “California is willing to assume a leadership role nationally to effectively achieve this goal.”
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Dec 19, 2016 | Marijuana Legalization
California may be the sixth biggest economy in the world, after the United States, China, Japan, Germany, and the United Kingdom in that order. But, when it comes to implementing the wishes of its citizens insofar as recreational marijuana is concerned, we are behaving like a bunch of first-year boy scouts at a picnic.
If you thought there was a brain on down at the California State Legislature you may have got it sadly wrong. Nobody in government appears to have spared a thought of what would happen when democracy finally had its way. However, if you think the obfuscations come from law enforcement and the anti-marijuana brigade, you might be correct.
The Legal Complications Littering the Road Ahead
The situation is chaotic – we may have to wait until 2019 to get up to speed. The complications are that medical and recreational rules have different approaches to basic items like timelines, license categories, residency requirements, and business ownership.
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Dec 9, 2016 | Marijuana Legalization
The Cannabis Business Times recently curated eleven tips on winning a marijuana cultivation license. These were too good not to pass on with thoughts added from our own huge experience. If they help new businesses get started sooner this post will have proved worthwhile. If they help the state licensing boards understand their roles better … that would be the cherry on the top.
Advice on Winning a Marijuana Cultivation License
– Pure passion has its place but there are no substitutes for planning, and great teamwork. Follow through on this with a well-founded, well-presented business plan.
– Getting a marijuana cultivation license compares well with a game of golf. Each hole has its unique challenges. Know your state’s licensing peculiarities and adapt.
– Beware the company you keep. Your state licensing board may judge you for it. A team member may have industry experience, but they will likely need a background check
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Dec 2, 2016 | California Marijuana Laws, Marijuana Legalization
Boys may be boys, and girls may be girls, but there has always been a thin line between medical and recreational marijuana. After Prop 64 passed the poll on Tuesday 8 November, we might have thought medical marijuana dispensaries would see a drop in sales as people can grow their own and no longer need a Dr.’s recommendation to smoke.
Quite the opposite has happened. You see, the regulations will take months to create and approve. Only then, can the Bureau of Marijuana Control start issuing licenses after disposing of delaying tactics by law enforcement and other naysayers. We predict there will be plenty of these, until folk come to terms with what happened.
A Sudden Surge Marijuana Interest
Meanwhile, there has been a surge of interest on the recreational side, because the possibility of prosecution is now almost non-existent. Water will always find a way through, and so will those wanting herb. The way through in California is obtaining a medical marijuana recommendation from a doctor. By all accounts, participating doctors and dispensaries are in for a busy 2017 which is just about upon us.
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Nov 23, 2016 | California Marijuana Laws, Marijuana Legalization, Proposed MMJ Law Changes
Marijuana & Business as Usual In California
Well not quite, because now we have to follow standard business practices which will be a pain for some. Instead of the feds breathing down our necks, we have AUMA (The Control, Regulate, and Tax Adult Use of Marijuana Act of California) on its way to passage. Our phones are ringing off the hook. Here are the hot FAQ’s we are currently answering.
Question: Who Is Regulating the California Cannabis Business Now?
AUMA established a Bureau of Marijuana Control in the Department of Consumer Affairs. Its job is to license and regulate the industry although it is still finding its feet. Note that this is not the same as the Bureau of Medical Marijuana Regulation. The Bureau of Marijuana Control should supersede it but this will not happen right away.
These bureaus are not the only regulators we may have to placate. Marijuana retailers, distributors, and micro businesses still have to deal with the Department of Consumer Affairs. The Department of Food and Agriculture will continue to license and oversee marijuana cultivation, with the Department of Public Health taking care manufacturing and testing. Finally, the State Board of Equalization will collect marijuana taxes. Well we did want government to treat us like a business.
Question: To What Time Line We are Working?
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