Issue 63: New England Cannabis Updates
Rhode Island and Massachusetts Are The Focus During This Eventful Week in Cannabis News
This was a tough newsletter to write this week. This space was never meant to be the paper of record for the cannabis space, but I can't help but feel that there’s a lot not being captured here.
Activists Gather to Ensure Little Rhody’s Cannabis Industry Isn’t Dominated By Big Players
Rhode Island Activists Are Pushing To Ensure That The State’s Cannabis Laws Aren’t Progressive In Name Only
Desperate for a reprieve from the chaos and controversy that has swallowed up the Massachusetts scene as of late, I hoped in the car on Monday and headed down to Southern Rhode Island, where a number of activists and other stakeholders were meeting for the final Social Equity Policy Salon. This edition was hosted at Lovewell Farms, an idyllic hemp farm tucked away in Hope Valley.
The first thing I noticed upon arriving was the impressive turnout. With some exceptions, I’ve witnessed attendance trending in the wrong direction at many cannabis events, particularly those that are focused on policy and discussions. But with so much still to be decided in Rhode Island, interest in the details of the state’s roll out remains high.
The various stakeholders represented prospective and current business owners, consumers, activists and journalists. While the topics ranged from MSOs to lab testing to price gouging to licensing, the central focus of the event was clear: to prevent the state’s cannabis industry from being dominated by large, out-of-state actors.
All of this feedback and work will culminate in a proposed re-draft of the state’s cannabis law to address the number of loopholes and mistakes that activists see in the statute.
Lots Of Work Still To Do
The inclusion of set aside licenses for social equity and worker cooperative has led some to paint Rhode Island’s cannabis laws as some of the most progressive we’ve seen yet, but the current reality on the ground is quite different. The state’s Cannabis Control Commission still getting off the ground, but all of the existing dispensaries in Rhode Island are medical marijuana dispensaries that were allowed to open up for recreational sales last December.
Of these seven companies, three of them also have other operations in other states. One of them, RISE Dispensary in Warwick, is owned by Green Thumb Industries, one of the largest cannabis companies in the world.
Each day that passes gives these existing operators a leg up against future competition, which is still likely over a year away. With many Rhode Island residents also living within a short drive of Massachusetts dispensaries, there’s a lot of legitimate concern that there’s going to be slim pickings for social equity and worker co-op dispensaries, who will have to attempt to attract customers who have already been buying weed elsewhere for quite some time.
Additional coverage of this event:
ICYMI: I previously put out a guide to Rhode Island’s cannabis situation, including a map of the state’s cannabis zones. I’ll be back next week with some reflections from the currently ongoing Cannabis Science Conference in Providence.
Getting Lost In The Regulatory Sauce
I Attempt To Process Hours Upon Hours Of CCC Discussions…Without Being Consumed By Them
I’d be lying if I told you that I wasn’t have problems processing this week’s CCC meetings, which are planned to resume for a fifth consecutive day about the time time this newsletter drops. I’ll touch upon some of the highlights in a bit, but I’m going to wait until I have some time to actually digest everything that occurred before I start opining on it.
While the topic of this week’s meetings was supposed to be policy, things got off to a rocky start on Monday when a dispute arose over whether Commissioner Kimberly Roy or Ava Callender Concepcion would be chairing the proceedings.
There was a solid few minutes when it seemed like the four commissioners might be at an impasse, as the lack of a tie-breaking 5th vote threatened to derail the planned policy discussions before they even began. Eventually, a compromised was reached that allowed Concepcion to chair the agency’s meetings until the end of this round of policy discussions.
I was one of the few non-staffers in the room when the dispute over who would be the chair occurred. While it’s hard to overstate how tense the room felt when all of this was going on, it’s also interesting to note that things more or less went back to normal after the commission came back from break following the drama. If you tuned in late, you might have no idea that the whole meeting nearly came to a grinding halt earlier in the day. Progress was still slow as they went the new proposed regulations line by line, but it didn’t really seem to be impacted by any simmering tensions.
Even when the topic of who would be Chair had to be raised again on Thursday, it didn’t end up leading to a deadlock that prevented work from getting done. It’s clear that underlying tensions will come to a head at some point, but for now, the regulatory work continues.
As of press time, Commissioners are getting ready to sit down for the fifth consecutive meetings. I’ll be back with a recap of everything next week.
Massachusetts Lawmakers Consider Oversight As Mystery Around O’Brien “Suspension” Continues
Some Elected Officials Call For Oversight Hearing and Independent Auditor
The ongoing saga at the CCC hasn’t escaped the attention of Beacon Hill.
This week, Senator Michael O. Moore and five other members of the legislature sent a letter to the heads of the Joint Committee on Cannabis Policy pointing out a number of issues they claim are impacting the agency.
All of this comes on the heels of Shannon O’Brien beginning a campaign to fight back against an apparent attempt to remove her from office. Speaking to the Boston Business Journal last Friday, O’Brien painted herself as someone who was put into her role by State Treasurer to clean up the agency. She stopped short of saying she was removed as part of some sort of conspiracy to undermine that mission, but expressed hope that she’ll be able to return to her role soon. The Globe’s Frank Phillips also reported this week that O’Brien has enlisted the help of a local law firm to push back against her suspension and potential termination.
What’s Going On?
Of course, it’s also possible that the agency has deep systemic issues AND that Goldberg had a legitimate motivation for removing O’Brien.
This would be a much easier case to make if her office would give us the slightest bit of information about what is actually going on.
Regardless of whether you think O’Brien wasn’t capable of doing the job or you think this claimed suspension is part of some sort of punishment for doing the very thing she was hired to do, it’s not hard to argue that there’s been a lack of transparency from the Treasurer’s office. Other than their brief statement, Goldberg’s office has so far refused to provide any explanation of their decision or even any sort of evidence that they have the right to “suspend” a commissioner in the first place.
Even if we eventually find out that she had a clear cut case for removing O’Brien — who has been effectively blocked from providing input into the draft regulations that are currently being debated — it doesn’t mean that Goldberg went about this process in the correct manner.
O’Brien’s camp hasn’t exactly stepped up to the plate to explain what’s going on either. The Globe got their hands on a statement made by O’Brien, but they only published a short excerpt from it. From what I can tell, the full statement hasn’t been publicly released, and attempts to reach her new legal team to request a copy have been so far met with silence.
Both O’Brien and Goldberg probably have their reasons for not laying all their cards on the table, but the lack of clarity creates a breeding ground for speculation.
Other Issues Mentioned
The O’Brien saga wasn’t the only focus of the letter. Other topics of focus included:
The ongoing executive sessions regarding governance issues; the letter claims that this shows that the agency “knew their existing governance structure was not working” as early as April of last year.
Alleged delays in the licensing process that are having a negative impact on prospective business owners.
A claim of “opaque, extended and overly aggressive investigations,” with references to the claims made by MCR labs.
That whole “inadvertent records release” that I was involved in back in the spring.
The alleged retaliation against Grant Smith Ellis that I covered last week.
The issue of sex offenders being allowed to be retail and delivery operator agents, which is being discussed by the CCC in today’s meeting.
The letter calls for an oversight hearing and also brings attention to proposed legislation that would establish an internal audit unit within the agency.
You can read the full letter here.
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New England
MAJOR BLOOM AND FEMME PRE-ROLL PROVIDES HEALING AND APHRODISIAC QUALITY USING HERBS (Major Bloom)
The joints contain a lower dose of THC at 10.2%, providing a more chill and mellow high. Youngblood says the herbs provide a tea-like flavor with each pull. The pre-rolls come in a pack of five 2.5-gram joints and retail for $15.
They’re packaged in a mylar bag — something Major Bloom uses frequently as a nod to street culture — that includes an image of Femme’s signature mural of a confident Medusa-like woman, sporting gold jewelry and neon snakes for hair.
ANALYSIS: This is a cool partnership between two local small businesses right here in Worcester.
Rest of U.S / National
SAFE[R] Banking Act
There’s been so much action involving this much discussed piece of legislation this week, I couldn’t find just one story to sum it all up. So here’s some of what I’ve been reading:
The SAFER Banking Act Deep Dive: What’s Next? ( Noelle Skodzinski | Cannabis Business Times)
Bipartisan Senators Officially File Revised Marijuana Banking Bill Ahead Of Key Committee Vote (Kyle Jaeger | Marijuana Moment)
A summary of the SAFER Bank Act language (via Natalie Fertig from Politico)
CRITICISMS OF OFFICE OF CANNABIS MANAGEMENT SCRUBBED FROM PUBLIC VIDEO (Rosalind Adams | The City)
After THE CITY contacted the agency about the video and shared the comments of the Committee on Open Government, Ghitelman said in a statement that “The Office of Cannabis Management is in the process of editing the video of the recent Cannabis Control Board meeting to remove a short section during which an individual made a threat of self-harm and violence.”
Ghitelman continued: “The full video, absent these comments, will be posted once the editing process is complete.”
ANALYSIS: I’m a completely self taught video editor and I don’t have access to professional video editing software. Even then, it would take me less than 15 minutes to edit out a few minutes of a video. I respect the idea that we should be sensitive to the potential triggering nature of threats of self-harm, but that’s not an excuse to violate open meeting law. A trigger warning before the video would also work, but then the OCM would actually have to acknowledge the impact their actions have had on the mental health of business owners.
NFL LEGEND JIM MCMAHON LAUNCHES MARIJUANA BRAND REVENANT IN ILLINOIS (PR Newswire)
Fans and cannabis enthusiasts can experience Revenant's Mac 9 flower, pre-rolls, and vape cartridges while meeting NFL legend Jim McMahon at select dispensaries during the Revenant Dispensary Launch Tour. The first 100 customers at each dispensary will receive a Mac-9 mini football, which they can have Jim sign.
ANALYSIS: I wouldn’t blame consumers for looking at this brand launch as another celebrity cannabis cash grab, but at least McMahon is partnering with a craft cultivator. He’s also been outspoken about the benefits of medical cannabis for a while now. Still, it seems like it’s a huge missed opportunity to not have McMahon’s signature product to be some sort of Headband strain, given the fact that he was famous for wearing one.
COLUMBIA CARE CHANGES NAME TO THE CANNABIST COMPANY (Green Market Report | Debra Borchardt)
Columbia Care Inc. (NEO: CCHW) (OTCQX: CCHWF) is changing its legal name to The Cannabist Company Holdings Inc. as it aligns more closely with its retail store name. The company is rebranding to The Cannabist Company and is also changing its trading symbols on the CBOE Canada to “CBST” and “CBST.WT”, respectively, for the common shares and warrants.
ANALYSIS: This move is a followup to Columbia Care’s decision to rebrand their retail stores a few years ago.
Despite this name change, there will still only be one true Cannabist in my heart.
International
🇩🇪 SPD STATE MINISTERS WANT TO SLOW DOWN LEGALIZATION [TRANSLATED] (Legal Tribune Online | Hasso Suliak)
They largely agree: the traffic light law fails to protect health, children and young people, encourages consumption rather than deterring young people from it and also stimulates the black market. Not to mention the impending burden on the judiciary and administration. So when the state chamber meets on September 29th to take a position on the Cannabis Act (CanG) , among other things, it will be painful for the traffic light coalition in Berlin.
ANALYSIS: No matter what country we’re talking about, the path towards legalization will never be a straight line. It seems like Germany’s proposed law may need to be watered down in order to even have a chance of making it through the Bundestag, as some regions of the country seem more enthusiastic about this idea than others.
(The frequent reference to “traffic lights” in this article refers to the coalition between three German political parties.)
🇹🇭 THAI LAWMAKERS PLAN FRESH PUSH TO TIGHTEN USE OF CANNABIS (Chayut Setboonsarng and Panarat Thepgumpanat | Reuters)
The new law will target an industry projected to be worth up to $1.2 billion over the next few years, with cannabis shops having sprung up across the capital Bangkok and tourist hot spots, such as the resort island of Phuket.
"Cannabis will be - double underline - for medical purposes and research," said Saritpong Kiewkong of the Bhumjaithai party, which spearheaded the decriminalisation and is now the second largest component of Thailand's 11-party coalition government.
ANALYSIS: No word if this is all the fault of that one American tourist I talked about a few weeks ago. I have a feeling this will still result in a situation with pretty lenient medical regulations.
I’ve been watching way too many CCC meetings this week to have time to enjoy too much content, but I did recently start playing Sonic Spinball via the Nintendo Switch’s Sega app. It’s a fun “spin” on traditional pinball games if you’re in to that type of thing.
Lots of Rhode Island talk in this issue, so let’s pick a Ocean State cat. This week it’s Mami, who’s available for adoption via the Providence ARL.
