Business
GOP Senators Kill Veterans Cannabis Research Bill
A bipartisan bill directing the VA to conduct research into the medical potential of cannabis for military veterans was blocked from advancing by a procedural vote in the U.S. Senate.
Republicans in the U.S. Senate voted this week to block a bill that would have directed the Department of Veterans Affairs (VA) to conduct research into cannabis as a treatment for chronic pain and post-traumatic stress disorder (PTSD). In a procedural vote on Wednesday, the Senate declined to advance the Veterans Affairs Medicinal Cannabis Research Bill (S. 326) with a vote of 57-42, falling short of the 60 votes needed to continue debate on the measure.
The bipartisan legislation was introduced by Montana Democrat Senator Jon Tester earlier this year with co-sponsorship by Senator Dan Sullivan, a Republican from Alaska. In February, the bill was approved by the Senate Veterans Affairs Committee with a vote during a closed-door session.
Under the bill, the VA would be required to conduct a large-scale observational study that evaluates the safety and efficacy of cannabis as a treatment for PTSD and chronic pain. An identical bill (H.R. 1003) sponsored by California Democratic Representative Lou Correa is also pending in the House of Representatives, with Republican Representative Jack Bergman signed on as a co-sponsor.
The clinical study would explore the positive and negative health outcomes of cannabis use by military veterans, including whether using marijuana reduces the use of alcohol or opiates. The study would also investigate other aspects of medicinal cannabis use, including pain intensity, sleep quality, agitation, and overall quality of life. Once the study is complete, the legislation requires the VA to report back to Congress on the results and the feasibility of conducting clinical trials.
Vote Blocks New Research For Veterans’ Health
When he introduced the bill earlier this year, Tester, the chair of the Senate Veterans Affairs Committee, said in a statement that the legislation would give military veterans new choices to manage their health care.
“Our nation’s veterans deserve options when it comes to treating the wounds of war, which is why VA needs to have a better understanding of how medicinal cannabis plays a role in their healing,” he said. “Our bipartisan bill ensures VA is listening to the growing number of veterans who find critical relief from alternative treatments like medicinal cannabis, while working to empower veterans in making safe and informed decisions about their health.”
A total of 41 GOP senators voted to block the bipartisan bill, with Senate Majority Leader Chuck Schumer then changing his vote to “no” in order to keep the bill alive under the Senate’s rules.
In a social media post, Tester wrote that “41 Senate Republicans just chose partisan political games over providing our nation’s veterans their hard-earned benefits and care. 41 Senate Republicans are telling the men and women who have defended our country that their government doesn’t value their sacrifices.”
“Not only are they blocking VA from *researching* medicinal cannabis as an alternative treatment for veterans dealing with chronic pain or PTSD—they’re blocking improvements to veterans homeownership efforts, community-based support, outreach, and more,” he continued. “It’s totally unacceptable.”
In a floor speech before the vote, Senate Veterans’ Affairs Committee ranking member Senator Jerry Moran of Kansas, one of the eight Republican senators who voted to advance the cannabis bill, said the measure “is an effort to make certain that veterans are not doing something that is harmful to them and to help them make an informed decision,” according to a report from the Military Times.
But the senators backing the bill on Wednesday were not enough to keep the measure moving forward. GOP Senator John Cornyn of Texas said that the decision to block the cannabis research bill came after “spirited debate” during a Senate Republican policy lunch before the vote.
Cornyn told CNN that there were concerns among GOP senators about the methodology of the clinical trial authorized by the bill because “this retrospective study would be done strictly through volunteers who would come forward and talk about their experience with marijuana and PTSD,” and “it depends on people to self-select and we don’t know how that would skew the results.”
The senator also said that Republicans were not given “assurances” that they would be given the opportunity to offer amendments to the legislation, adding that there were concerns about whether the bill would be taken up by the House of Representatives and the chamber’s GOP leadership.
Political concerns may have also been in play, with critics of advancing the bill suggesting that the potential success of the legislation could be seen as a win for Tester, an incumbent Democratic senator up for re-election in a conservative state.
Cornyn indicated that negotiation on the bill would continue and that the legislation could be revived in the Senate. He explained that Wednesday’s vote was “hitting the pause button” on the measure. Schumer described the vote to stop the bill as “regrettable,” adding that he hopes efforts to resurrect the legislation in the Senate at a later date are successful.
Jeffrey M. Zucker, president of Denver-based cannabis-focused business strategy firm Green Lion Partners and vice chair of the Marijuana Policy Project board of directors, expressed disappointment at the decision to delay action on the Veterans Affairs Medicinal Cannabis Research Bill.
“I’m deeply saddened to hear that the Senate Republicans have blocked a procedural vote to advance this bill. It’s frustrating to see how politics can prevent progress on an issue that could make a huge difference in the lives of veterans and should really have no controversy surrounding it,” Zucker wrote in an email to High Times. “However, I’m still hopeful that lawmakers can come together to pass a bill that allows research into medical cannabis and eventually allows veterans to enjoy the benefits of medical cannabis. Our veterans deserve the best care possible, and medical cannabis could provide much-needed relief to those suffering from chronic pain, PTSD, and other conditions. It’s time for our leaders to put aside their differences and do what’s right for our veterans.”
Source: https://hightimes.com/news/gop-senators-kill-veterans-cannabis-research-bill/
Business
New Mexico cannabis operator fined, loses license for alleged BioTrack fraud
New Mexico regulators fined a cannabis operator nearly $300,000 and revoked its license after the company allegedly created fake reports in the state’s traceability software.
The New Mexico Cannabis Control Division (CCD) accused marijuana manufacturer and retailer Golden Roots of 11 violations, according to Albuquerque Business First.
Golden Roots operates the The Cannabis Revolution Dispensary.
The majority of the violations are related to the Albuquerque company’s improper use of BioTrack, which has been New Mexico’s track-and-trace vendor since 2015.
The CCD alleges Golden Roots reported marijuana production only two months after it had received its vertically integrated license, according to Albuquerque Business First.
Because cannabis takes longer than two months to be cultivated, the CCD was suspicious of the report.
After inspecting the company’s premises, the CCD alleged Golden Roots reported cultivation, transportation and sales in BioTrack but wasn’t able to provide officers who inspected the site evidence that the operator was cultivating cannabis.
In April, the CCD revoked Golden Roots’ license and issued a $10,000 fine, according to the news outlet.
The company requested a hearing, which the regulator scheduled for Sept. 1.
At the hearing, the CCD testified that the company’s dried-cannabis weights in BioTrack were suspicious because they didn’t seem to accurately reflect how much weight marijuana loses as it dries.
Company employees also poorly accounted for why they were making adjustments in the system of up to 24 pounds of cannabis, making comments such as “bad” or “mistake” in the software, Albuquerque Business First reported.
Golden Roots was fined $298,972.05 – the amount regulators allege the company made selling products that weren’t properly accounted for in BioTrack.
The CCD has been cracking down on cannabis operators accused of selling products procured from out-of-state or not grown legally:
- Regulators alleged in August that Albuquerque dispensary Sawmill Sweet Leaf sold out-of-state products and didn’t have a license for extraction.
- Paradise Exotics Distro lost its license in July after regulators alleged the company sold products made in California.
Golden Roots was the first alleged rulebreaker in New Mexico to be asked to pay a large fine.
Source: https://mjbizdaily.com/new-mexico-cannabis-operator-fined-loses-license-for-alleged-biotrack-fraud/
Business
Marijuana companies suing US attorney general in federal prohibition challenge
Four marijuana companies, including a multistate operator, have filed a lawsuit against U.S. Attorney General Merrick Garland in which they allege the federal MJ prohibition under the Controlled Substances Act is no longer constitutional.
According to the complaint, filed Thursday in U.S. District Court in Massachusetts, retailer Canna Provisions, Treevit delivery service CEO Gyasi Sellers, cultivator Wiseacre Farm and MSO Verano Holdings Corp. are all harmed by “the federal government’s unconstitutional ban on cultivating, manufacturing, distributing, or possessing intrastate marijuana.”
Verano is headquartered in Chicago but has operations in Massachusetts; the other three operators are based in Massachusetts.
The lawsuit seeks a ruling that the “Controlled Substances Act is unconstitutional as applied to the intrastate cultivation, manufacture, possession, and distribution of marijuana pursuant to state law.”
The companies want the case to go before the U.S. Supreme Court.
They hired prominent law firm Boies Schiller Flexner to represent them.
The New York-based firm’s principal is David Boies, whose former clients include Microsoft, former presidential candidate Al Gore and Elizabeth Holmes’ disgraced startup Theranos.
Similar challenges to the federal Controlled Substances Act (CSA) have failed.
One such challenge led to a landmark Supreme Court decision in 2005.
In Gonzalez vs. Raich, the highest court in the United States ruled in a 6-3 decision that the commerce clause of the U.S. Constitution gave Congress the power to outlaw marijuana federally, even though state laws allow the cultivation and sale of cannabis.
In the 18 years since that ruling, 23 states and the District of Columbia have legalized adult-use marijuana and the federal government has allowed a multibillion-dollar cannabis industry to thrive.
Since both Congress and the U.S. Department of Justice, currently headed by Garland, have declined to intervene in state-licensed marijuana markets, the key facts that led to the Supreme Court’s 2005 ruling “no longer apply,” Boies said in a statement Thursday.
“The Supreme Court has since made clear that the federal government lacks the authority to regulate purely intrastate commerce,” Boies said.
“Moreover, the facts on which those precedents are based are no longer true.”
Verano President Darren Weiss said in a statement the company is “prepared to bring this case all the way to the Supreme Court in order to align federal law with how Congress has acted for years.”
While the Biden administration’s push to reschedule marijuana would help solve marijuana operators’ federal tax woes, neither rescheduling nor modest Congressional reforms such as the SAFER Banking Act “solve the fundamental issue,” Weiss added.
“The application of the CSA to lawful state-run cannabis business is an unconstitutional overreach on state sovereignty that has led to decades of harm, failed businesses, lost jobs, and unsafe working conditions.”
Business
Alabama to make another attempt Dec. 1 to award medical cannabis licenses
Alabama regulators are targeting Dec. 1 to award the first batch of medical cannabis business licenses after the agency’s first two attempts were scrapped because of scoring errors and litigation.
The first licenses will be awarded to individual cultivators, delivery providers, processors, dispensaries and state testing labs, according to the Alabama Medical Cannabis Commission (AMCC).
Then, on Dec. 12, the AMCC will award licenses for vertically integrated operations, a designation set primarily for multistate operators.
Licenses are expected to be handed out 28 days after they have been awarded, so MMJ production could begin in early January, according to the Alabama Daily News.
That means MMJ products could be available for patients around early March, an AMCC spokesperson told the media outlet.
Regulators initially awarded 21 business licenses in June, only to void them after applicants alleged inconsistencies with how the applications were scored.
Then, in August, the state awarded 24 different licenses – 19 went to June recipients – only to reverse themselves again and scratch those licenses after spurned applicants filed lawsuits.
A state judge dismissed a lawsuit filed by Chicago-based MSO Verano Holdings Corp., but another lawsuit is pending.
Source: https://mjbizdaily.com/alabama-plans-to-award-medical-cannabis-licenses-dec-1/
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