This article is by Green Bits’ regulatory compliance team which serves as policy, legislative, and regulatory subject matter experts for the cannabis industry.
The Green Bits’ regulatory compliance team helps us support legal cannabis retailers with informed decision making by being a reliable source of expertise on cannabis rules and requirements. This team serves as the main point of contact for state regulators and traceability vendors, creates champions in the industry to unlock restrictions, protects our products from unnecessary over-regulation, and aligns policymakers and partners to support the legalization of cannabis through managed compliance.
Below you will find a state-by-state breakdown of regulatory compliance updates from January 1, 2019 to February 8, 2019.
Regulators held a meeting about proposed changes to cannabis tax rules on February 5, 2019.
State Treasurer Fiona Ma and four legislators proposed a bill that would cut the state excise tax on marijuana sales from 15% to 11% for three years, and suspend the cultivation tax of $148 per pound during that period.
California’s three state cannabis licensing authorities announced that the Office of Administrative Law (OAL) has officially approved state regulations for cannabis businesses across the supply chain from cultivation to retail. These new regulations take effect immediately. It is also now written into the rules that temporary licenses will no longer be issued.
A category for seeds has been added to the CCTT system. The CCTT training will be updated in the near future.
When cannabis or cannabis products are sold or transferred to a cannabis retailer in an arm's length transaction, the distributor and cannabis retailer shall enter the cannabis retailer's wholesale cost of the cannabis or cannabis products.
When cannabis or cannabis products are sold in a retail sale, the cannabis retailer shall enter the retail selling price of the cannabis or cannabis products.
On January 29, 2019, Maine named a point person to create an office to lead the roll-out of legalized marijuana sales.
Michigan is allowing applicants that applied before February 2018 to continue operating until March 31, 2019. Here’s the resolution.
The 3% excise tax on provisioning centers is repealed effective March 6, 2019 (LARA Notice).
Per a January 29, 2019 bulletin on recreational/adult use cannabis sales - “MRTMA imposes a 10% excise tax on marihuana sales at the retail level, which will be administered by the Department of Treasury. The 10% excise tax is levied in addition to any other applicable state taxes, including the existing 6% sales tax.”
After 18 months of legal sales, Nevada lawmakers are looking at what’s worked and what needs improvement as the new legislative sessions began in February.
OLCC confirmed the medical monthly purchase limit is based on a calendar month and that the monthly limit is per store.
There was a bill introduced in Senate to allow Oregon wholesalers to export cannabis products to other legal states such as Washington State and California, but it would not be legal to transport through non-legal states.
Proposed Rules with regard to hemp - public Hearing on January 15, 2019 and a two-week comment period. The amendments enable industrial hemp to be sold into and processed in the recreational market.
Washington state regulators temporarily suspended the requirement that marijuana products be tested for heavy metals because there are currently no labs certified to do so. Uncle Ike’s is doing it voluntarily.
Bill (SB 5318) to reform the compliance and enforcement provisions for marijuana licensees and make cannabis license enforcement less complaint driven. Hundreds of licensees had one or no visits by enforcement officers, but “69 of them had over 50 visits from enforcement.”
SB 5298 Revised labeling of marijuana products - in Committee review
The next software release for Leaf Data Systems is coming soon. Release 1.37.5 will include a variety of workflow improvements, especially related to waste reporting, inventory type attributes, lab results, inventory transfers, and the ability to adjust previously entered sales data. General improvements will include numeric standardization that will standardize decimal values pertaining to weights and the replacement of drop-down menus with “type-ahead” search fields for batches, inventories and inventory types. It’s anticipated that the release will be launched in March. Updated training materials will be made available at the same time. Two additional software releases will follow, bringing Leaf Data Systems to full functionality.
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