Oregon Cannabis License Moratorium: Almost There

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It looks like a permanent Oregon cannabis license moratorium will finally take effect. I say “looks like” because key contingencies are still in play and, although things look promising, it could also get dicey as of March 31st— or even sooner.

In this post, I’ll explain what’s going on with House Bill 4121, which is certainly more than advertised, both in content and in progress. And I’ll explain what it all means for the Oregon cannabis industry.

HB 4121 and the cannabis license moratorium

On February 6th, 2024, I ran our annual legislative forecast and report on the proposed Oregon cannabis laws. We only had one significant cannabis bill in play, which made the 2024 session different than any year going back to 2015. The bill at issue for 2024 is HB 4121.

The enrolled version of HB 4121 is not significantly different than the introduced version previewed in my February 6th blog post. I’ll therefore dispense with another fulsome commentary, except to note that HB 4121 is generally sold as a pro-industry moratorium bill. HB 4121 is much more than that, however– especially when it comes to two big topics: law enforcement and hemp

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Kamala Harris Calls For Marijuana To Be Rescheduled ‘As Quickly As Possible’

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Vice President Kamala Harris on Friday called on the federal government to move “as quickly as possible” to change the way it officially classifies marijuana, saying that “nobody should have to go to jail for smoking weed.”

“I cannot emphasize enough that they need to get to it as quickly as possible,” Harris said. “We need to have a resolution based on their findings and their assessment. This issue is stark when one considers the fact that on the schedule currently, marijuana is considered as dangerous as heroin ― as dangerous as heroin ― and more dangerous than fentanyl, which is absurd, not to mention patently unfair.”

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Marijuana is currently listed as a Schedule 1 drug by the Drug Enforcement Administration. That classification designates it one of the most dangerous drugs possible, with no medicinal uses. Other substances in the same category include heroin, ecstasy and LSD. Marijuana advocates have been pushing for years for the federal government to either reschedule marijuana to a different category or deschedule it entirely.

Harris was speaking at a meeting at the White House with people who received pardons from President Joe Biden for marijuana-related offenses. Rapper Fat Joe, aka Joseph Cartagena, and

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California Allows Cannabis Cultivators to Reduce License Sizes

The California Department of Cannabis Control (DCC) just published some new guidelines for cannabis cultivators following the passage of SB-833. Among other things, California will let cannabis cultivators reduce their canopy size and thereby reduce license costs. This will be a huge benefit. I write a lot about the woes that California’s cannabis industry faces – often due to overly burdensome regulation – but in this case, I think the DCC’s guidelines will have a positive impact on certain cannabis cultivators in the Golden State.

California has about a zillion different types of licenses for cannabis cultivators. They are based on size (specialty cottage, specialty, small, medium, and the relatively new large) and type (indoor, outdoor, or mixed-light). And there are separate licenses for nurseries and processors (you might think processing is manufacturing, because that would make sense, but you’d be wrong!).

Having more than a dozen different types of licenses guaranteed problems. One of those problems is that the state did not create a mechanism to easily change between license size. With the opening of large licensing in 2023, the state made it possible to go “up” in size, but not down. This was a big problem for a lot

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‘They’re All High’: New Orleans Police Say Rats Can’t Stop Eating Marijuana In Evidence Room

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The New Orleans Police Department is battling a slew of unsafe conditions at its headquarters, from faulty elevators to widespread mold.

But that’s not even the worst of it. The department says it’s also facing a major infestation of drugged-up rats at the dilapidated building on Broad Street.

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The gang of pesky rodents became “high” after making their way into the department’s evidence room to nosh on narcotics, New Orleans Police Superintendent Anne Kirkpatrick said.

“The rats are eating our marijuana,” Kirkpatrick told the New Orleans City Council on Monday, CBS News reported. “They’re all high.”

The dangerous conditions aren’t just in the evidence room. Rats have been spreading feces everywhere, including on employees’ desks, leading to poor working conditions, CBS affiliate WWL-TV reported. Cockroaches have also overrun the facility, according to Kirkpatrick.

Among the many maintenance hazards, the building also has broken elevators, non-functioning plumbing and an air-conditioning system that’s been out of commission since last summer, The Guardian reported. The repair bill for all the issues reportedly exceeds $6 million, according to The Guardian.

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“It is not just at police headquarters. It is all the districts. The uncleanliness is off the charts,” Kirkpatrick said.

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Banking for Cannabis Growers

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If you own a cannabis business, a major consideration is where to keep your money. Though many business owners may find banking to be a headache regardless of industry, few business owners have more hurdles to deal with than cannabis growers and dispensaries. The current state of cannabis banking can have a significant impact on where cannabis business owners keep their money and whether they obtain cannabis loans.

With the curious legal status of cannabis at the federal and state level, cannabis banking can be complex. This is where a trusted cannabis lawyer at Harris Sliwoski can help.

Current State of Cannabis Banking

Currently, many states have legalized cannabis for medical use and some have legalized it for recreational use, but cannabis remains illegal at the federal level. Since the legality of cannabis varies at the state and federal levels, this has led to a lot of uncertainty in cannabis banking. While the industry is thriving because cannabis can be sold legally in various states, some financial institutions — including big banks — are hesitant to approve cannabis-related business accounts due to the federally illegal status of cannabis.

Financial institutions are concerned about facing repercussions

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Quick Guide to Cannabis Business Opportunities

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Although cannabis remains illegal at the federal level, many states and municipalities have loosened their regulations. As of early 2023, 37 states have approved medical cannabis use by qualified individuals, and 21 states have approved it for recreational use.

As a result, the cannabis industry is growing at breakneck speed, especially when it comes to refined cannabis products. The edible market alone is projected to grow by $25.27 billion from 2020 to 2025 at a CAGR of 21.74%.

While this kind of growth is promising, entrepreneurs looking to take advantage of these cannabis industry opportunities must be aware of their legal responsibilities before getting started.

Business Opportunities in the Cannabis Industry

There are two main categories of cannabis businesses — plant-touching and ancillary. The legal requirements for each type are different, so it’s essential to research the laws around the company you want to start.

Plant-Touching Businesses

As the name implies, plant-touching cannabis businesses deal directly with the cannabis plant from seed to dispensary shelf. All plant-touching businesses must apply for a license to operate legally, and the licensing requirements can vary by region.

Some examples of plant-touching businesses include:

Cultivation and breeding: Cultivators and breeders

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Sharon Osbourne Reveals Just How Often Ozzy Osbourne Was Stoned During MTV Show

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Millennials might remember Sharon Osbourne on “The Osbournes” as the tireless matriarch and wife of rock star Ozzy Osbourne, who practically spoke in outbursts on the reality series. Now, for former fans of the MTV series, one giant suspicion about the musician has finally been confirmed.

“He was stoned on every episode,” Sharon Osbourne, currently a contestant on Britain’s “Celebrity Big Brother,” told People in an interview published Tuesday. “He was never sober … He’s never seen it, doesn’t want to see it, and he never watched one episode.”

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She’s spoken about her husband’s cannabis use before — and even admitted last year that she once defecated into his weed stash to keep him from smoking it.

“I will say this: It definitely is a gateway drug,” Ozzy Osbourne said in an episode of “The Osbournes Podcast” last year. “But I’d rather have people smoke marijuana than smoke tobacco. Tobacco, without any second thought, is the most addictive thing I ever put in my body.”

For the past four years, the “Osbournes Podcast” has delivered weekly insights into the famous family’s life and has seen its members — including their children Kelly, 39, and Jack, 38 — explore the

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Indigenous Innovation in the Minnesota Cannabis Industry

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A Tradition of Excellence

For thousands of years, Native tribes across North America have harnessed the benefits of the hemp and cannabis plants. These plants have held sacred and significant roles in many Indigenous cultures, deeply intertwined with spiritual practices, medicinal applications, and traditional ways of life.

It’s no wonder, then, that Indigenous people are emerging as leading entrepreneurs and innovators in the burgeoning cannabis industry. They are advancing the cannabis sector, guided by their rich cultural heritage and a commitment to sustainable practices. Today, tribes in Minnesota are poised for their turn.

Pioneering Tribal cannabis projects and organizations

Innovative endeavors like Nuwu’s Sky High Lounge in Las Vegas, Nevada, highlight the social and cultural dimensions of cannabis, offering a unique gathering space that celebrates Indigenous traditions and promotes responsible consumption. Meanwhile, groups such as the Indigenous Cannabis Industry Association underscore the blend of business savvy and creativity Indigenous people bring to the industry. These initiatives demonstrate a commitment to moving the cannabis industry forward, enriching it with cultural values, innovative business models, and a holistic approach to sustainable growth.

A milestone in Minnesota

Minnesota, a state newly legalizing recreational cannabis, has seen

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Common Pitfalls in Cannabis Brand License Agreements

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Cannabis companies and (depending on the state) brands often use license agreements to grow their brands. If done correctly, they can be a huge driver of revenue for the brands and licensees, and can grow the good will of the brand across a particular territory. However, they are notoriously easy to botch. A bad license agreement can be devastating for a cannabis brand. In this post, I’ll examine some of the most common problems I’ve seen in license agreements across a host of different states.

It may help if I first explain what I mean by “license agreement.” I’m using the term loosely to refer to a situation where a company (a licensor) licenses its intellectual property (like its brand name) to a third party to use in a defined way. There are a million different ways license agreements can take shape.

One common example would be a license of IP to a cannabis company for purposes of manufacturing and selling the branded products. In general, this is the kind of license agreement I want to focus on in this post.

#1 Failure to consider regulatory impact

Cannabis is a highly regulated industry.

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Washington State Eliminates Medical Cannabis Taxation

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In November 2012, Washington voters approved the production, processing, and retail sales of recreational cannabis within Washington state under what is known as Initiative 502 (“I-502”). Washington state then provided a regulatory framework for how the legalization of recreational cannabis production, processing, and retail sales would be regulated under what would become the Washington State Liquor and Cannabis Board (“LCB”).

Washington State’s unfair taxation of medical cannabis

The LCB is tasked with reviewing, approving, regulating, and monitoring cannabis licenses within Washington state. The LCB is also tasked with administering and collecting excise taxes concerning the retail sale of cannabis concentrates, useable cannabis, and cannabis-infused products within the state. Cannabis sales in Washington state are currently taxed at a rate of 37%, in addition to the general state and local sales and use taxes. Qualifying patients and providers are exempt from the general and local sales and use taxes on the sale of cannabis products compliant with the Department of Health (“DOH”) but have continued to be subject to the 37% excise tax, until now.

HB 1453 seeks to alleviate the unfair tax burden on medical cannabis patients and providers

On March 6, 2024,

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