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Marijuana News in Arizona and World

Marijuana Business Conference Las Vegas 2016

The marijuana industry’s oldest and largest tradeshow, the Marijuana Business Conference and Expo, returns to Las Vegas on November 16-18 at the Rio All Suites Hotel and Casino for its 5th annual conference.

At the event there will be more than 7,500 business leaders and major investors from the U.S. and Canada, over 300 exhibitors, and a 30,000 square-foot exhibit hall. Attendees have three full days of access to the most target-rich environment in the marijuana industry.

Save $50 on your ticket when you use the discount code “ThanksHempAmerican50” at checkout. Click here to learn more and purchase tickets.

One of the keynote speakers at the conference will be marijuana legalization advocate, entertainer and Emmy award winner Penn Jillete, of Penn & Teller.

Nearly 100 marijuana industry leaders and experts will take part in speaking sessions that offer insight on the industry’s hottest topics. Attendees can learn about taxes, cultivation, law, testing, banking, infusing, and more.

Save $50 on your ticket when you use the discount code “ThanksHempAmerican50” at checkout. Click here to learn more and purchase tickets.


US Marijuana Legalization

Stanford Hospital physician, Nathaniel P. Morris, says that there are differences in the way that doctors view marijuana and the way the federal government views it. He wrote an article for Scientific American regarding the matter. Contrasted in his piece is the impact that alcohol has on the body, observed from his experience working in an emergency room.

88,000 deaths occur annually from excessive alcohol consumption, The Washington Post reports. A recent study compares the dangers of using marijuana on a long-term basis to be as “dangerous” as not flossing your teeth. It is also confirmed that it is virtually impossible to overdose on marijuana.

Morris said directly that, “The federal government’s scheduling of marijuana bears little relationship to actual patient care. The notion that marijuana is more dangerous or prone to abuse than alcohol (not scheduled), cocaine (Schedule II), methamphetamine (schedule II), or prescription opioids (Schedules II, III and IV) doesn’t reflect what we see in clinical medicine.”

Morris’ article in Scientific American includes the statement: “For most health care providers, marijuana is an afterthought” and “we don’t see cannabis overdoses. We don’t order scans for cannabis-related brain abscesses. We don’t treat cannabis-induced heart attacks. In medicine, marijuana use is often seen on par with tobacco or caffeine consumption – something we counsel patients about stopping or limiting, but nothing urgent to treat or immediately life-threatening.”

In 2010, marijuana was classified in polls as less dangerous than alcohol, tobacco, and many other drugs like methamphetamines and opioids. The developments in medical marijuana research have changed the tune of many doctors, most of which now support the regulated use of medical marijuana. The California Medical Association has already called for marijuana legalization.

In 2016, Doctors for Cannabis Regulation was formed. The federal government has been recommended to decriminalize marijuana use for over four decades. Marijuana legalization, at least in the eyes of Doctors for Cannabis Regulation, view marijuana as a public health issue, not as a dangerous drug.

Marijuana USA

Changing federal marijuana laws in the U.S. has proven problematic. But a couple of drug policy specialists have some marijuana legalization models that Congress might actually support, according to journalist Will Yakowicz:

The case for empowering states:

Mark Kleiman, a professor of public policy and the director of the Crime Reduction and Justice Initiative at New York University’s Marron Institute, proposes that the federal prohibition on marijuana remain in place but the state experiments with regulated adult markets should be formalized. The program could operate through state waivers, similar to welfare reform waivers. Kleiman adds that this could be easily adopted without requiring Congress to do much.

“There is a federal paraphernalia statute that says you can’t sell water pipes and stuff unless they are legal in the state you’re selling them in. Congress could create a waiver that says you can’t sell marijuana unless you’re in a state where it’s legal,” says Kleiman.

Kleiman’s ideal plan, which has not been adopted, is a less extreme than full-blown commercialization. Kleiman’s company, BOTEC Analysis, was contracted to advise Washington state regulators and rule-makers before legalizing marijuana for adult use. He believes states should make marijuana available to people for responsible use, as it would put an end to marijuana-related arrests, minimize drug abuse and block sales and marketing to minors. By contrast, he says full-blown commercialization–like what’s in place in the alcohol industry–will be “dependent on dependent users” and free market forces will lead to companies maximizing profits by maximizing consumption. That, he says, is bad for the public.

More on Kleiman’s state-waiver idea: the 25 states that have some form of regulated marijuana right now would get a waiver from the attorney general and the secretary of the Department of Health and Human Services. Of course, the states would need to present a plan to control abuse, diversion, underage consumption, and set rules like monthly quotas for customers and other factors.

Kleiman also proposes state-owned stores, a model some states have adopted for liquor stores. When states receive a waiver, they would have to agree to certain provisions like no more than 5 percent of the crop gets exported to other legal states, that the price doesn’t fall below a certain threshold, and marketing of certain kinds are not allowed. Kleiman says the regulatory program would be expected to do just as well at preventing so-called cannabis-use disorders than prohibition.

“The reason why Congress might go with the waiver idea is so we are not locked in a single national commercial system before we know anything about the impacts of legalization,” says Kleiman. “We should use the laboratory of the states to learn as much as we can about legalization.”

The case for all or nothing:

John Hudak, senior fellow at the Brookings Institute, says federal prohibition has caused a range of serious problems for society, especially as minorities continue to be disproportionately effected by arrest and prosecution. The current model, where half the states have legalized some form of marijuana and the federal government has only made slight policy changes while keeping the drug in the same category as heroin, has created “incoherent public policy,” he says.

State-legal marijuana businesses have to pay taxes under a tax code created for illegal drugs dealers, which doesn’t allow them to take most traditional business deductions. Illegal marijuana businesses, rather, typically aren’t forthright about the nature of their revenues, allowing them to circumvent these restrictions, Hudak says. The effect is legal marijuana business pay higher taxes and face an outsized financial burden compared to people in the black market. Further, employees of national companies can be fired for using marijuana legally. FDIC-insured financial institutions, credit card companies and payment processors are still apprehensive about serving the industry, which forces most businesses to conduct transactions in cash.

These issues encourage armed robberies and money laundering, says Hudak, who adds: “How do you justify that as effective public policy?”

As such, he proposes going further than just state-level reform. “You either have legal marijuana, or you don’t,” says Hudak. “I think the state-level reforms are important, but the right legalization model would give states some freedom, a range in which they can operate, but fix certain issues that are federal in nature, like banking and taxes and criminal justice issues. These issues have to be addressed in concert with state-level reforms. Otherwise, you get a nonsensical public policy that works to a limit and then no longer works.”

While legalization is still hotly debated on Capitol Hill, Hudak points out that Congress has already tweaked federal policy. Consider the Rohrabacher-Farr Amendment, a federal spending bill rider passed in 2014, which prevents the Justice Department from interfering with state medical marijuana laws.

If the federal government wants to perpetuate certain aspects of prohibition, he says, it shouldn’t let states reform. But since the federal government has tolerated state-level reform, Hudak argues, Congress has a responsibility to involve itself with reform.

“Coherent policy at the state and federal level is better than incoherent policy in every case, it’s not unique to marijuana,” says Hudak.

Why neither idea has taken root:

Kleiman says another pathway to legalization could be created if Congress writes an exemption for cannabis under the Controlled Substances Act. They would also have to write a separate law regulating cannabis, like Congress did with alcohol and tobacco. The chances of that happening soon is slim, he says.

“It’s clear you can’t get cannabis legalization through this Congress, but it’s also clear you can’t get cannabis prohibition through this Congress,” says Kleiman. “The status quo bias makes it’s hard to get anything through.”

Fifteen years ago, public opinion was not in favor of legalizing marijuana. As attitudes and culture around drugs and policing change, politicians and citizens are questioning the merits and effects of President Richard Nixon’s “War on Drugs.”

“A lot of Americans, for the first time, are thinking about weighing the costs and risks [of prohibition and legalization] in a more sober way,” says Hudak. “They are doing so through the lens of seeing experimentation around the country, not through the lens of government-controlled rhetoric through a drug war.”

Perhaps the biggest obstacle to get around is the unknown:”Forty years from now we will know if cannabis legalization was a good thing or not,” says Kleiman. “There are too many effects, too many long-term things, too many cross interactions, too many unknowns. Everyone in the world says they know if cannabis legalization is a good thing or bad thing, except for the six of us who study it for a living.”


Marijuana Opiates

In one of the first research studies focused on privately insured patients with opioid problems, researchers uncovered an epidemic of misuse. Researchers found that medical services for patients with opioid dependence diagnoses catapulted by more than 3,000 percent between 2007 and 2014.

The study used claims data from insurers representing over 140 million people, and searched for diagnosis codes associated with opioid dependency and abuse, heroin use, and complications produced by the misuse or abuse of other types of opiates, reports CNN.

Researchers found that the diagnosis of opioid dependency triggers a series of medical services, including office visits, lab tests and other medical treatments. They found that the amount of these services for patients with an opioid dependency diagnosis spiraled from approximately 217,000 in 2007 up to about 7 million in 2014, an increase of over 3,000 percent.

“A 3,000 percent increase is enormous,” said Andrew Kolodny, a senior scientist at Brandeis University. Such a fast increase in a short period of time is a classic definition of an epidemic, said Kolodny.

In July, President Obama signed the Comprehensive Addiction and Recovery Act of 2016, which intends to make drug prevention and treatment more available in America.

A study from the Journal of the American Medical Association found that marijuana legalization helps reduce opioid-related use and overdoses. Death records from a period of 1999 – 2010 were analyzed in states where medical marijuana is legal, and researchers found that these states had a 25 percent decrease in opioid-induced overdoses.


Arizona Marijuana Legalization Prop 205

Arizona may soon see recreational marijuana legalized for adult use. If Proposition 205 passes, it would make it legal for adults 21 years of age and older to grow and use limited amounts of marijuana.

Prop 205 will be voted on this November. If voted into law, it would take effect in September 2018.

Here is a basic outline of what Prop 205 will and will not do:

Will do:   

  • It allows adults 21 years of age and older to possess up to one ounce of marijuana and consume marijuana in private.
  • It allows adults to grow up to six marijuana plants in an enclosed, locked space within their residences and possess the marijuana produced by those plants in the location where it was grown. No more than 12 total marijuana plants can be grown in a single residence. Property owners and landlords will have the right to prohibit marijuana from being grown on their property.
  • It establishes the Department of Marijuana Licenses and Control to oversee a tightly controlled system of licensed marijuana retail stores, licensed cultivation facilities, licensed product manufacturing facilities, and licensed testing facilities. The department will include a law enforcement unit that will be responsible for enforcing regulations, conducting compliance checks, and investigating violations.
  • It allows a limited number of licensed marijuana retail stores to sell marijuana to adults 21 years of age and older. The number of retail stores will be capped at 10 percent of the number of liquor store licenses, which is currently fewer than 180.
  • It allows localities to impose limits on where and when marijuana businesses are allowed to operate.
  • It requires businesses to test marijuana products and adhere to strict packaging and labeling guidelines.
  • It enacts a 15% excise tax on retail marijuana sales, which will be used to fund the implementation and enforcement of regulations. Any additional marijuana tax revenue will be allocated as follows: 40% to the Department of Education for school construction, maintenance, and operating costs; 40% to the Department of Education for full-day kindergarten programs; and 20% to the Department of Health Services for public education regarding the relative harms of alcohol, marijuana, and other substances.

Will not do:

  • It does NOT allow marijuana to be used in public. Public use will remain illegal.
  • It does NOT change existing penalties for possession of more than one ounce of marijuana or cultivation of more than six marijuana plants. It will also remain entirely illegal to sell any amount of marijuana without the proper business license.
  • It does NOT allow unlicensed individuals to produce marijuana extracts using butane or other potentially hazardous products.
  • It does NOT affect employers’ current marijuana policies or their ability to establish workplace restrictions on marijuana consumption by employees.
  • It does NOT change existing laws regarding driving under the influence of marijuana. Driving while impaired by marijuana will remain illegal.
  • It does NOT enact a tax on the sale of medical marijuana or affect the rights of medical marijuana patients that were established by Proposition 203

Learn more about Proposition 205

Cannabinoid Research Science

The recent debate surrounding the DEA rescheduling marijuana will at least lead to more research becoming possible. Research on specific cannabinoids, the naturally-occurring chemicals in cannabis, will be the primary focus for researchers. Since cannabinoids mirror natural chemicals already in the body, researchers are interested in the way that they are released in the body.

Additional changes will allow smaller, private companies to grow and test cannabis, according to The Denver Post. For profit companies may develop marijuana-based medicines that would undergo FDA approval for distribution. This is the first time that marijuana will be able to be grown by more than just accredited universities.

University of Colorado chemistry professor, Robert Sievers, said, “I regard this as a red-letter day. If things work as they should, this will be the first day of a cannabinoid pharmaceutical industry.”

The process of growing marijuana for research purposes is not as easy as having an application approved. The application process takes several years due to inspections and the significant amount of security equipment required.

CU Skaggs School of Pharmacy and Pharmaceutical Science, Dr. Jacci Bainbridge, said, “So, it seems like they’re giving us a little leeway, but there are still so many barriers you have to get over.”

Issues surrounding potency and precise chemical compositions make it difficult for scientists to do their job. Brookings Institution senior fellow John Hudak said, “They either scrap the study or they change the study to meet what the supply can offer. And that’s not good science.”

Following the DEA’s announcement, it was said that the DEA has a goal to diversify the marijuana that is available for research. If marijuana-derived experimental logs become important, reclassification may take place. It would occur due to additional research being conducted and proof of medical benefits from marijuana.

Some are hoping that increased research will start to breakdown all or some of the prohibition laws.

DEA spokesperson Russell Baer did say that, “Parts of it could definitely move. And I believe that’s kind of the direction this is moving toward.”

Sievers has been waiting for several years to research marijuana. He said, “There so many people who are interested in so many ways in what the promise could be. But, I think everybody is also looking over their shoulders.”

UFC Marijuana CBD

Following a tough loss over the weekend at UFC 202, UFC fighter Nate Diaz won the hearts of medical marijuana advocates by hitting a cannabidiol (CBD) vape pen during his post-match interview.

In Nevada, and the UFC, all cannabinoids (the naturally occurring chemicals in cannabis) are banned in competition. However, just hours after a fight is over, so is the “in-competition” phase, which allowed Diaz the ability to legally hit is vape pen, according to MMA Junkie.

Nate Diaz, and his brother Nick, are both UFC fighters and supporters of CBD use for athletes. If urine samples are collected within the 6-hour in-competition period and the sample comes back with even a trace of CBD in it, it could violate the anti-doping policies in place by the Nevada State Athletic Commission and the UFC.

Attorney Erik Magraken said, “Assuming Nate Diaz provided a post bout sample to the NSAC (assuming they wished to collect one) before vaping and assuming that sample comes back negative then this escapade will not amount to an NSAC anti-doping violation.”

Magraken also said, “Interestingly, if USADA wishes to collect a sample in the hours following vaping, depending on the substance being ingested, Nate’s choice may prove problematic.”

Diaz, when speaking about his CBD oil use, points out that CBD does not cause psychoactive effects like THC, and only provides medicinal benefits.


Regulate Marijuana Like Alcohol Arizona

Today, August 19, a Maricopa County Superior Court judge dismissed a lawsuit filed by opponents of Proposition 205, the Regulation and Taxation of Marijuana Act, who were attempting to keep the initiative off the November ballot.

The Campaign to Regulate Marijuana Like Alcohol in Arizona, which supports Prop 205, is asking Maricopa County Attorney Bill Montgomery and Yavapai County Attorney Sheila Polk, who were plaintiffs in the lawsuit, to accept the court’s ruling and focus on fighting serious crimes instead of citizen initiatives.

“We are pleased with the court’s ruling and that Arizona voters will be able to exercise their right to vote on Proposition 205,” said J.P. Holyoak, CRMLA Campaign Chairman. “This was a frivolous and politically motivated lawsuit. If these county prosecutors dislike this ballot measure, they should take their arguments to the voters, not to our overburdened court system. We hope they will accept the court’s ruling and return to waging legal battles against dangerous criminals rather than citizen initiatives.”

If passed, Prop 205 will allow adults 21 and older to possess limited amounts of marijuana, establish a government-regulated system in which marijuana is regulated similarly to alcohol, and enact a 15-percent tax on retail marijuana sales. A majority of the tax revenue would be directed to Arizona schools and other education programs.

“Roughly 84 years ago, it was the voters who put an end to the failed policy of alcohol prohibition in Arizona,” Holyoak said. “Today’s ruling confirmed they will have the opportunity to end an equally disastrous prohibition policy this November.”


Clinton Marijuana

The DEA decided against rescheduling or descheduling marijuana last week, so it will remain on the Controlled Substances Act as a Schedule I drug. But now, Hillary Clinton is saying that she plans to reschedule marijuana if she is elected.

Clinton’s announcement is a direct response to the DEA’s failure to reschedule marijuana, according to SF Gate. Although, the one thing that the DEA did do was reduce restrictions on marijuana research.

Clinton’s plans are to reschedule marijuana as a Schedule II substance. This would acknowledge marijuana as medicine for treating chronic health conditions.

Clinton’s senior policy advisor, Maya Harris said, “Marijuana is already being used for medicinal purposes in states across the country, and it has the potential for even further medical use. As Hillary Clinton has said throughout this campaign, we should make it easier to study marijuana so that we can better understand its potential benefits, as well as its side effects.”

Harris also said, “As president, Hillary will build on the important steps announced today by rescheduling marijuana from a Schedule I to a Schedule II substance. She will also ensure Colorado, and other states that have enacted marijuana laws, can continue to serve as laboratories of democracy.”

Arizona Cannabis Conference and Expo

Healthcare, law, politics, pro sports, investment opportunities, business and consumer trends, entrepreneurs and startups are among the many national cannabis industry hot topics that will be covered at the upcoming Arizona Cannabis Conference and Expo.

The event will be in downtown Phoenix at the Phoenix Convention Center on Saturday, October 15 and Sunday, October 16. Admission is $50 each day.

Along with marijuana industry professionals speaking, there will be more than 300 businesses, non-profit organizations and budding entrepreneurs at the expo.

Organizers say the Arizona Cannabis Conference and Expo is expected to draw nearly 10,000 attendees from across Arizona and the nation to learn about the blooming industry.

“We have created national demand for our shows because they uniquely merge business, education and entertainment. They allow participants to reach medical patients, mainstream consumers, and business-to-business professionals. Attendees can learn directly from industry leading doctors, scientists, attorneys, finance experts and even their favorite former NFL gridiron heroes,” said an event spokesperson.