The jump is being attributed to new customers entering the market.
So who are these new customers? The data suggests newbies are coming from Generation Z – those born in 1997 and later – and consumers who continue to transition out of the illicit market and into the regulated, legal industry.
This year’s legislative session isn’t expected to have as many cannabis bills – or the drama (well, maybe) – as last year. But five new bills ranging from prohibiting employers from firing employees for using marijuana during off-hours to reducing felonies for criminal marijuana possession have been introduced. And bills addressing diversity in cannabis-industry ownership and statewide expungement of former marijuana crimes are expected in the near future.
Highlights of proposed legislation are below. For more detailed info on all cannabis-related bills, go here.
“High time” to legalize cannabis, says New Mexico Guv During her State of the State, New Mexico Gov. Michelle Lujan Grisham told lawmakers that legalization of marijuana provides a lucrative economic opportunity for the state and is supported by a vast majority of state residents.
New Mexico only has a 30-day session, so lawmakers need to hustle if they want to be the 12th state in the country to legalize cannabis for adult use.
And yes, she really did say that.
U.S. Rep. Ed Perlmutter and three other congressmen who’ve been pushing to give cannabis businesses access to banking services sent a letter to the Senate Committee on Banking, Housing and Urban Affairs to address the chairman’s concerns about the Secure and Fair Enforcement (SAFE) Banking Act and urging him to take action.
The chairman, Mike Crapo of Idaho, recommended adding public health and safety requirements to the bill, including potency disclosures and a possible 2% THC limit on products before banks could do business with cannabis companies.
The representatives said they are hesitant to expand the scope of the bill, saying “we should exercise caution before adding limitations on the legislation’s safe harbor that impose unworkable burdens on financial institutions.”
Colorado Attorney General Phil Weiser and five other attorneys general also weighed in a separate letter to the U.S. Senate, stating “the SAFE Banking Act is a narrowly tailored solution that would provide immediate public safety benefits without supporting expansion of the existing cannabis industry.”
Industry observers say it’s unlikely the Republican-controlled Senate will pass a major piece of marijuana reform this year, but they expect the momentum to continue.
The number of break-ins at Denver marijuana businesses hit a three-year high in 2019, according to the Denver Police Department.
“We probably won’t see any relief in these kinds of robberies until these businesses aren’t forced to deal only in cash,” said John Goutell, general counsel for Frosted Leaf.
The Green Solution, Colorado’s largest marijuana chain, was bought by multi-state operator Columbia Care for $140 million last week. It was the first Colorado acquisition of a publicly-traded MSO since the passage of House Bill 1090.
A week before the deal, Westword told readers to brace themselves for upcoming mergers and acquisitions. Read More »
After the deal, Westword wrote that Colorado cannabis companies were ready for “the challenges of big money.” Read More »
The Centers for Disease Control and Prevention announced a breakthrough in its vaping-related investigation, citing Vitamin E acetate as a “very strong culprit” in lung injuries that have led to the deaths of 39 people and serious illnesses of more than 2,000 others. Many of the people who became ill did not get their products from legal and regulated sources. Makers of illicit vaping fluids sometimes add Vitamin E acetate to dilute THC in order to increase their profits.
The CDC cautions, however, that they still have more work to do before completely ruling out legal sources. And despite the breakthrough, there isn’t much federal regulators can do about it. The Food and Drug Administration’s hands are tied because cannabis remains illegal at the federal level.
In Colorado, Vitamin E acetate was banned this week by the Marijuana Enforcement Division. Public health officials have confirmed 11 cases of vaping-related illness in the state. The death of an 18-year-old Colorado man is being investigated to determine if it is related to vaping. Autopsy results are expected in about a month.
At the federal level, the National Cannabis Industry Association continued advocating for descheduling and uniform federal regulations , noting that the vaping-related illnesses show the shortcomings of the current patchwork of state laws. The Cannabis Trade Federation released a statement saying: “This health crisis and the recent breakthrough in the investigation underscore the importance of existing state cannabis regulations, as well as the need for strict cannabis regulation at both the state and federal levels.”
Meanwhile, a POLITICO-Harvard poll shows that despite the vaping crisis, Americans view e-cigarettes as far more dangerous than marijuana.
It turns out digital marketing isn’t as effective as . . . wait for it . . . an in-person experience! Even in the digital age, some people like to look up from their phones once in a while and interact with other people who have looked up from their phones.
And this is good for business. Consumers say that a face-to-face experience helps them remember a cannabis brand. More »
Kristen Soltis Anderson, a columnist for the Washington Examiner, said two years ago that “the robots are coming, whether we like it or not.” But there was no indication she thought robots would be dispensing CBD alongside Big Gulps and Big Bites. But that is exactly what’s happening at select 7-Eleven stores in Colorado. More »
A good wrap of the state of cannabis reform across the country and at the national level.
Maybe. A martech startup called Vana claims it has built a platform that can help cannabis and CBD brands run ads legally using age-gating and state-gating technology. The company says it has signed on more than 6,000 cannabis and CBD brands and retailers and has been running ads across its publisher network that includes BuzzFeed, Hearst, and USA Today.
The Wall Street Journal looks at how brokerage firms are navigating the divide between state and federal marijuana laws. More »
The country’s highest court granted a request to extend the deadline to legalize marijuana. Instead of October 31, the legislature now has until April 30, 2020. More »
Marijuana Business Daily’s chart shows that cannabis investment activity is up 40% over 2018, but it’s slowing. Analysts say slowed investment isn’t unexpected after a period of rapid growth. More »
Colorado Gov. Jared Polis shared some tips on Facebook (or FACEBOOK) about how to grow bonsai-style marijuana plants. We will just leave the link here. More »
Leafly does a good job of discussing waste generated by the cannabis industry, why there is so much waste, and what innovative tactics U.S. states (including Colorado) and countries are doing to minimize it. More »
Karson Humiston , CEO and founder of the Denver-based cannabis industry recruiting firm Vangst, talks about the need for more industry diversity. She remains optimistic, she said, because of the enthusiasm she sees from companies about solving the issue. More »
Also, Wanda James talks about what it’s like to own a marijuana dispensary as a woman of color in Colorado and dispels the misconception that dispensary owners are “rolling in dough.”
Cannabis. No really. The National Republican Senatorial Committee tweeted: “We can’t believe we’re tweeting a @Playboy article, but we have to agree that @CoryGardner is working hard to find solutions for Coloradans in light of marijuana legalization.”
The Playboy article — How a Republican Senator Became the Biggest Cannabis Power Broker in Congress — is here. More »
Colorado’s marijuana regulators Tuesday held a public hearing on new rules, which would ban certain additives in cannabis vape products. The proposed ban of ingredients used in marijuana concentrates or products intended for inhalation include:
Colorado’s Pot Shops Are The Place To Find Them – Colorado Public Radio
Cannabis monthly sales reached the highest monthly total ever in August, according to the Colorado Department of Revenue. In the first eight months of 2019, Colorado has reported over $1.15 billion in dispensary sales – indicating that the industry is on track to eclipse last year’s overall sales of $1.55 billion.
Axios looks at Colorado House bill 1090, which takes effect next month. The new law permits investment opportunities for publicly traded companies, venture capitalists and private equity firms, which were previously barred.
Colorado Leads members last week met with U.S. Sen. Cory Gardner, who introduced the STATES Act with Massachusetts Democrat U.S. Sen. Elizabeth Warren. The bill would amend the Controlled Substances Act so states have the right to decide whether to legalize marijuana without facing repercussions from federal law enforcement.
Gardner noted that the winds of change are moving slowly through Congress, but they are blowing in the right direction. Senators who wouldn’t touch the issue a year or two ago are now open to discussing it.
Gardner is also a co-sponsor of the SAFE Banking Act, which would prevent federal banking regulators from prosecuting banks for working with cannabis-related businesses that comply with state laws.