Hi all,

Next up in our virtual event series, we’ll be hosting a January 11 conversation with a Humboldt legend, to discuss some familiar issues, and some less familiar ones as well. It’s a great sponsorship opportunity. Let me know if you’re interested before we announce the program, probably next week.

Also, don’t forget to send along your party pics from Vegas for a special upcoming edition of High Society.

In the newsletter:

• Feds release docs on rescheduling proposal

Rock on,

Alex

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More than three months after news leaked that the Department of Health and Human Services is recommending that cannabis be made a Schedule III controlled substance , the agency released 250+ pages of redacted documents related to the decision.

The documents were obtained through a freedom of information request by lawyers Shane Pennington and Matt Zorn who write the On Drugs Substack.

Marijuana Moment:

“Broadly, the documents outline new scientific information that’s come to light in recent years subsequent to an earlier denial of a rescheduling petition, which HHS suggests might now necessitate rescheduling marijuana.

“The current review is largely focused on modern scientific considerations on whether marijuana has a CAMU [currently accepted medical use] and on new epidemiological data related to the abuse of marijuana in the years since the 2015 HHS” evaluation of marijuana under the CSA’s eight-factor analysis.”

The U.S. Department of Justice is now considering the recommendation. If it concurs with HHS, and the rescheduling goes through, the move could end industry-hated tax rule 280E.

Read the story…

Federal:

• Ohio Congressman David Joyce (R) plans to introduce a bill to de-schedule federally, Forbes reported.

Business:

• Many unlicensed operations have ties to Chinese interests, the WSJ reports.
• Ailing MSO MedMen, which has delayed filing its annual report, won a lawsuit accusing it of fraud.
  Green Market Report
• Chicago-based CannMenus acquired Nugget Data creating a source of retail data that covers 90% of dispensaries in the U.S. and Canada.
• Can solar power subsidies curb the industry’s demand for energy?
  Solar Power World
• Sales dipped in October according to BDSA. But Green Wednesday sales popped 11%, stronger growth “than Black Friday itself.”
  Retail Brew
• Canna Law Blog asks if Ketamine clinic MSOs can make it work.

State and local:

• REC in Ohio is now legal though Republican lawmakers still hope to curtail homegrow and other aspects of the law.
  AP
• The Anchorage, Ak. Assembly will consider allowing dispensaries to give free samples and have drive-thrus.
  Anchorage Daily News
• Nevada Gov. Joe Lombardo (R) named a new top regulator for the state.
  Carson Now
• With Democrats taking control of the Virginia General Assembly in January, there’s hope for REC sales.
  MJBiz
• Once again, Oregon has a product surplus.
  Willamette Week

Health and science:

• Former New York City and Philadelphia health commissioner Thomas Farley compared the cannabiz to “big tobacco in the 1950’s.”
  Stat News

Fun and interesting:

• Weedmaps shares the history of Whitethorn Rose a strain grown by Huckleberry Hill Farms in Humboldt Co.

State:

• A new report confirmed that California social equity programs have a long way to go.
  Green Market Report
• The state law protecting the jobs of most workers who use REC off the clock takes effect January 1.
  CBS

Business:

• It’s not clear if craft cannabis can survive argues Ross Gordon, a policy exec with the Humboldt County Growers Alliance and the Origins Council.
  Eureka Times-Standard
• The industry welcomed a bill from State Senator Mike McGuire (D-Healdsburg) that would enable growers to pause their license fees or reduce their license size.
  Lake County Record-Bee
• East Bay Express asks if the state industry is on the road to recovery.

Local:

• Whether to cut Sacramento’s pot tax has dispensaries and the youth groups that benefit at odds.
  SacBee
• Crystal Nugs recently became the first pot shop in Sacramento owned by a Black woman.
• MLive reports on a complex licensing dispute in a small town on Michigan’s Upper Peninsula.
• An explosion at a cannabis business in Palm Desert (Riverside Co.) has caused a sinkhole and other problems for local businesses. The cause of the explosion is not clear.
  KESQ
• Residents of affluent Carpinteria have filed a class action lawsuit against two pot farms alleging the odor has lowered their property values. It’s the latest sign of tension between residents and the industry in greenhouse growing hub Santa Barbara County.
  SFGate
• Long Beach may cut its pot tax for shops that pay their workers better and meet other “high road” qualifications.
  Long Beach Post
• Richmond (Contra Costa Co.) appears ready to double its dispensary count.
  Richmond Confidential

Crime:

• A Ventura Co. woman was convicted of murdering a man she had been dating in an episode of weed-induced psychosis.
  Nexstar

Company milestones:

• Tech shop Meadow announced an integration with fintech Green Check Verified.
• Gold Flora announced the opening of King’s Crew, it’s 16th shop, in Corona.
• Cookies’ could open in Fresno this month.
  The Business Journal

Upcoming:

• Industry alliances in Sonoma and Mendocino counties are hosting a joint harvest event December 16 in Sebastopol.
  North Bay Business Journal

Organized by Treehouse Dispensary, Let’s Be Blunt: A Green Gathering aimed to spark unity, camaraderie and collaboration. It took place November 14 at Moe’s Alley in Santa Cruz.

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