Final Arizona Medical Marijuana Rules Approved & DHS Announces Dispensary Applications will be Accepted May 14th – 25th

The following was posted on Arizona Department of Health Services Director Will Humble’s blog on April 11, 2012:

The tumblers have clicked, and the race to apply for a dispensary is on.  Our revised rules for regulating Medical Marijuana were filed and became official today- and we’ll be accepting applications for Medical Marijuana Dispensary Registration Certificates from May 14 through May 25.

The unofficial rules incorporate the changes that were required by a recent Superior Court Ruling.  The judge ordered us: 1) to strike several of the selection criteria we had been planning to use for competitive areas of the state (areas where there will be more than 1 applicant per Community Health Analysis Area); and 2) to implement the law-  which is what we’re doing.

You can check out our Registration Certificate Application Checklist, Registration Certificate Application Instructions, and the official Registration Certificate Application on our Medical Marijuana Dispensary webpage.  Please don’t try to apply early- the first day we’ll actually accept applications will be May 14.   Starting May 14th, every day or so, we’ll refresh our dispensary application page to show how many applications we’ve received by Community Health Analysis Area (CHAA).

We’ll start reviewing applications as they come in (starting on May 14) and we’ll stop taking applications at the close of business (5 p.m.) on May 25.  We’ll have 30 working days to review the applications- and applicants will have 20 working days to submit any documents or information that were missing during our review of the application.  We expect to award Medical Marijuana Dispensary Registration Certificates on August 7.  If there’s only 1 qualified applicant in a CHAA, that applicant will be awarded a Registration Certificate.  We’ll be holding a random drawing in early August to award Registration Certificates in CHAAs with more than 1 qualified applicant.

Please visit our Medical Marijuana website if you have any further questions.  The materials that you’ll need to apply are all posted on-line- including the Application Checklist, Application Instructions, and the official Medical Marijuana Dispensary Registration Certificate Application

By |2012-04-11T20:54:34-07:00April 11th, 2012|Stories & Articles, Will Humble Speaks|Comments Off on Final Arizona Medical Marijuana Rules Approved & DHS Announces Dispensary Applications will be Accepted May 14th – 25th

AZDHS Accepts Element’s Petition for PTSD Inclusion for Medical Marijuana Therapy

The following is the text of an April 6, 2012, press release from Ingrid Joiya of Elements Caregiver Collective:

“The Arizona Department of Health Services has confirmed that the petition to add Post Traumatic Stress Disorder (PTSD) as a debilitating illness has met the state’s requirements. Elements Caregiver Collective in concert with Compassion First Collective and Southwest Arizona Patient Alliance (SWAPA) presented the petition in January.

Most often associated with veterans who have been in active combat, PTSD can affect anyone who has suffered through a traumatic event. One in five veterans returning from Iran and Afghanistan are affected by PTSD.

Upon hearing the announcement, disability advocate and PTSD patient, Butch Williams said: “This is a great victory for those of us who suffer from this debilitating disorder. Now we can sleep, without fear of a terrifying nightmare, or constantly having to re-live the tragic event that had occurred in our life. This medicine will allow us to reset our thoughts, and understand how to get past what has happened to us. For those that suffer from PTSD, they know that controlling the anxiety and the thoughts that are constantly running through our head is exhausting to say the least; and medical marijuana allows for the anxiety to go away so we can take control of our thoughts.”

“Hopefully Arizona can become a national model for other states to consider adding this diagnosis to their medical Marijuana programs just as New Mexico has also successfully done.” Says Dr. Sue Sisley, Asst. Professor, Arizona Telemedicine Program, U of A College of Medicine. Dr. Sisley awaits DEA approval of her FDA-approved clinical study on the effects of medical marijuana on Veterans suffering from PTSD. In the meantime, the co-sponsors of the petition will work with Dr. Sisley as she conducts observational studies to collect data on these PTSD patients.

There will be a public hearing where DHS will accept public comment

May 25, 2012 from 1:00 – 4:00 p.m.
State Laboratory Conference Room
250 N. 17th Avenue, Phoenix, AZ 85007

Elements Caregiver Collective will be hosting a Patient Appreciation Fair on April 15th, celebrating the first anniversary since the Department of Health Services began accepting applications. The fair will be held from 12-4:15 p.m. at Elements, 12620 N. Cave Creek Rd., Suite 1, Phoenix, AZ 85022. All patients and caregivers are welcome to share in the festivities. Free food, educational seminars and free meds will be distributed. Free registration at www.elementsaz.org

 

By |2012-04-07T07:39:36-07:00April 7th, 2012|Stories & Articles|Comments Off on AZDHS Accepts Element’s Petition for PTSD Inclusion for Medical Marijuana Therapy

Founder of Oaksterdam University Quits Citing Financial Woes after Federal Raid

Fox News:  Richard Lee “The founder of a Northern California medical  marijuana training school said Friday he was giving up his downtown  Oakland-based pot businesses after a federal raid bankrupted him. . . . Oaksterdam University offers classes to would-be medical marijuana providers in  fields ranging from horticulture to business to the legal ins-and-outs of  running a dispensary. It does not distribute marijuana.”

By |2012-04-07T07:26:56-07:00April 7th, 2012|California News|Comments Off on Founder of Oaksterdam University Quits Citing Financial Woes after Federal Raid

State Busts Myrtletown, California Medical Marijuana Dispensary

Times-Standard:  “According to the Humboldt County District Attorney’s Office, DA investigators were assisting the state DOJ in serving search warrants at The Humboldt County Collective, better known as THC, located in the Myrtletown Shopping Center.

By |2012-04-07T07:22:54-07:00April 7th, 2012|California News, Marijuana Crimes|Comments Off on State Busts Myrtletown, California Medical Marijuana Dispensary

Where are the Final Arizona Medical Marijuana Rules?

On February 27, 2012, Will Humble, the Director of the Arizona Department Health Services said that during the prior week ADHS finished the final version of Arizona’s medical marijuana rules and sent the rules to the Arizona Attorney General for its approval.  That was 39 days ago.  What gives?  It does not take 39 days for the AG to approve minor changes made to rules it previously approved in 2011.

Will Humble is silent.  He said “We’re still on track to be able to accept dispensary applications in April,” but we are now one week into April and ADHS, the AG and Arizona Governor Jan Brewer are not talking about the law, the rules or anything related thereto.

Will my March 10, 2012 prediction, come true when I said the Arizona Governor “will order ADHS to terminate the implementation of medical marijuana dispensaries in Arizona for a second time.”

By |2012-04-06T08:43:15-07:00April 6th, 2012|Stories & Articles|Comments Off on Where are the Final Arizona Medical Marijuana Rules?

Feds Raid Marijuana ‘University’ in Oakland

Press TV:  “An Oakland medical marijuana training facility, which billed itself as the nation’s only marijuana university, was raided by federal agents on Monday morning, leaving the building swarming with law enforcement and taped off from all visitors.     It’s not yet clear what the specific charges are, but it’s probably unsurprising that the country’s largest operation training medical marijuana professionals would be targeted by federal law enforcement.     Reports from local media noted that agents were seen walking from Oaksterdam University with large bags overflowing with marijuana.”

Read also “Feds Raid Oakland’s Oaksterdam,” which starts:

“Monday’s raid was the latest move by the federal government to crack down on California’s thriving medical marijuana industry.”

By |2015-04-06T18:53:12-07:00April 3rd, 2012|California News, Federal Dispensary Attacks, Marijuana Crimes|Comments Off on Feds Raid Marijuana ‘University’ in Oakland

U.S. Attorney May Target Grows with Future Closure Letters

Denver West  Word Blogs:  “On Friday, the U.S. Attorney’s Office announced that it had sent another 25 seizure-threat letters to medical marijuana dispensaries within 1,000 feet of schools; see details in our original coverage below. However, some language in the letters differed from the first mailing in January. Now, a spokesman for U.S. Attorney John Walsh confirms one implication of such tweaks: MMJ grows near schools may be targeted next time around. . . . recipients still have 45 days to shut down operations or face the seizure of their property.”

By |2012-04-01T08:11:49-07:00April 1st, 2012|Federal Dispensary Attacks, Marijuana Crimes|Comments Off on U.S. Attorney May Target Grows with Future Closure Letters

Vallejo Medical Marijuana Dispensary Raided for Second Time

Times-Herald:  “For the second time in 30 days, a local marijuana dispensary was raided Friday afternoon.  At about 4:25 p.m., Vallejo police officers served search and arrest warrants at Better Health Group, 3611 Sonoma Blvd., police said.”

By |2015-04-06T18:53:11-07:00April 1st, 2012|California News, Marijuana Crimes, Stories & Articles|Comments Off on Vallejo Medical Marijuana Dispensary Raided for Second Time

Arizona Legislature Passes Ban on Medical Marijuana on College Campuses

East Valley Tribune: “The ability of faculty and students to use medical marijuana on college and university campuses is now in the hands of Gov. Jan Brewer.  And it may end up in court.  With only two dissenting votes, the Senate on Wednesday approved legislation to ban possession and use of the drug, even by people who have a state-issued card entitling them to use it for medical purposes, on college campuses. The House already gave its blessing to HB 2349 on a 52-2 margin.”

HB 2349 prohibits the use or possession of medical marijuana on Arizona college, high school, junior high school, middle school, common school and preschool campuses and Arizona child care facilities.  Read the text of HB 2349.

By |2012-03-29T07:03:38-07:00March 29th, 2012|AZ Legislation, Stories & Articles|Comments Off on Arizona Legislature Passes Ban on Medical Marijuana on College Campuses

Arizona House Bill 2349

On March 28, 2012, the Arizona Senate approved HB 2349, which had previously been approved by the Arizona House.  The bill now goes to the Arizona Governor for her signature or veto.  HB 2349 prohibits the use or possession of medical marijuana on Arizona college, high school, junior high school, middle school, common school and preschool campuses and Arizona child care facilities.

HOUSE BILL 2349
an Act

amending Title 15, chapter 1, article 1, Arizona Revised Statutes, by adding section 15-108; amending Title 36, chapter 7.1, article 1, Arizona Revised Statutes, by adding section 36-894; relating to medical marijuana.

Be it enacted by the Legislature of the State of Arizona:

Section 1. Subject to the requirements of article IV, part 1, section 1, Constitution of Arizona, title 15, chapter 1, article 1, Arizona Revised Statutes, is amended by adding section 15-108, to read:

15-108. Medical marijuana; school campuses; prohibition; definition

A. In addition to the limitations prescribed in section 36-2802, subsection B, a person, including a cardholder as defined in section 36‑2801, may not lawfully possess or use marijuana on the campus of any public university, college, community college or post secondary educational institution.

B. A person may not lawfully possess or use marijuana on the campus of any high school, junior high school, middle school, common school or preschool in this state.

Sec. 2. Title 36, chapter 7.1, article 1, Arizona Revised Statutes, is amended by adding section 36-894, to read:

36-894. Medical marijuana; child care facilities; prohibition

A person, including a cardholder as defined in section 36‑2801, may not lawfully possess or use marijuana in any child care facility in this state.

Sec. 3. Severability

If a provision of this act or its application to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of the act that can be given effect without the invalid provision or application, and to this end the provisions of this act are severable.

Sec. 4. Requirements for enactment; three-fourths vote

Pursuant to article IV, part 1, section 1, Constitution of Arizona, sections 15‑108, subsection A and 36-894, Arizona Revised Statutes, as added by this act, are effective only on the affirmative vote of at least three‑fourths of the members of each house of the legislature.

By |2012-03-29T07:03:12-07:00March 29th, 2012|AZ Legislation, Stories & Articles|Comments Off on Arizona House Bill 2349

Alan Sobol Accuses Arizona Governor, Phoenix Police Department & Elected Officials of Abusing Power

KPHO 5:  “Strong allegations have been made against Gov. Jan Brewer, the Phoenix Police Department and other elected officials, who may have played a role in the raid of a medical marijuana club.  The 2811 Club in Phoenix was raided on Oct. 12, 2011. . . . Five months later, the club is fighting back by filing a $5 million notice of claim that accuses elected officials of abusing their authority.  Allan Sobol is the developer and promoter of Club 2811 and the man behind the potential lawsuit.”

 

By |2019-06-14T08:25:47-07:00March 28th, 2012|AZ Marijuana Law Lawsuits, Stories & Articles|Comments Off on Alan Sobol Accuses Arizona Governor, Phoenix Police Department & Elected Officials of Abusing Power

Medical Marijuana Odds Get Higher in CT, but Anxiety Grows in NJ

13 WNET:  “What stands between terminally ill patients and the medical marijuana that could ease their pain in New Jersey is not the law, but Not-in-My-Backyard (NIMBY) backlash against dispensaries.  NIMBY battles have stalled New Jersey’s medical marijuana program ever since Gov. Chris Christie tried to move forward with plans to implement dispensaries last summer. Last week, a CEO of one of the dispensary companies said that bureaucratic sluggishness in response to the battles has cost him too much money, and he’s threatening to pull out of the business.”

By |2012-03-27T07:07:25-07:00March 27th, 2012|Stories & Articles|Comments Off on Medical Marijuana Odds Get Higher in CT, but Anxiety Grows in NJ

Delay of AMMA Creates Problem

Yuma Sun:  “A public policy advocate in Yuma is warning Arizonans about the rising threat of unregulated home-grown marijuana cultivation and the potential problems awaiting marijuana dispensaries if the state Legislature fails to change its licensing requirements.”

By |2015-04-06T18:53:11-07:00March 25th, 2012|Stories & Articles|Comments Off on Delay of AMMA Creates Problem

The Role of the Physician in Arizona’s Medical Marijuana Program

Will Humble, the Director of the Arizona Department of Health Services, published a February 17, 2012, Powerpoint presentation for Arizona doctors involved in writing recommendations for Arizona medical marijuana patients.  The objectives of the slide show are:

  • Identify the 3 roles a physician can have in the Arizona Medical Marijuana Program
  • List 3 risks of marijuana use
  • Identify 3 conditions that make patients eligible for the medical marijuana act
  • List 2 duties of a dispensary medical director
  • Identify 1 action that can get physicians reported to their board
By |2012-03-25T07:28:19-07:00March 24th, 2012|Stories & Articles, Will Humble Speaks|Comments Off on The Role of the Physician in Arizona’s Medical Marijuana Program

Will Humble, AZ DHS Director, Not Worried About Running Medical-Pot Program Despite New Federal WarningWill Humble, AZ DHS Director, Not Worried About Running Medical-Pot Program Despite New Federal Warning

Phoenix New Times:  “If the feds decide to pull up their jackboots and bust state employees for administering Arizona’s medical-marijuana program, the director of the state Department of Health Services could be a target.  After all, Will Humble is the boss at DHS, the state agency that will be approving applications for dispensaries and inspecting marijuana grow-shops and inventory.  But Humble says he’s not worried — despite a February 16 letter by Arizona U.S. Attorney Ann Scheel warning that state employees aren’t ‘immune’ from prosecution under federal drug laws.”

Read Governor Brewer’s January 13, 2012, letter to U.S. Attorney for the District of Arizona Ann Scheel.

Scheel Response to Governor Brewer

By |2012-03-22T08:44:51-07:00March 22nd, 2012|Federal Dispensary Attacks, Stories & Articles|Comments Off on Will Humble, AZ DHS Director, Not Worried About Running Medical-Pot Program Despite New Federal WarningWill Humble, AZ DHS Director, Not Worried About Running Medical-Pot Program Despite New Federal Warning

Arizona Governor Jan Brewer Unfazed by Fed’s Medical Pot Warning

Associated Press:  “The federal government reiterated to Arizona that it will prosecute state workers for implementing the medical-marijuana program. . . . The governor will not change course and will allow the state’s medical marijuana program to move forward, Brewer spokesman Matt Benson told The Arizona Republic.”

By |2012-03-21T18:59:56-07:00March 21st, 2012|Stories & Articles|Comments Off on Arizona Governor Jan Brewer Unfazed by Fed’s Medical Pot Warning

Feds Again Warn Arizona on Medical Marijuana

Azcentral.com:  “The U.S. Department of Justice has reiterated its warning that state employees are subject to federal prosecution for implementing the state’s medical-marijuana program. . . . In a Feb. 16 letter, Acting U.S. Attorney Ann Birmingham Scheel wrote to Gov. Jan Brewer that her office will continue to ‘vigorously enforce’ federal laws against those who ‘operate and facilitate large marijuana production facilities and marijuana production facilities involved in the cultivation, sale and distribution of marijuana, even if purportedly for medical purposes.’  Scheel said that state employees who participate in the Arizona Medical Marijuana Act ‘are not immune from liability’ “

By |2012-05-12T14:38:20-07:00March 20th, 2012|Federal Dispensary Attacks, Marijuana Crimes, Stories & Articles|Comments Off on Feds Again Warn Arizona on Medical Marijuana

Gunmen Invade Tucson Pot-growing House

Arizona Daily Star:  “Three gunmen burst into Tucson home where marijuana is legally grown Sunday, making off with several thousand dollars and pot, officials said.”

By |2012-03-20T06:37:12-07:00March 20th, 2012|Stories & Articles|Comments Off on Gunmen Invade Tucson Pot-growing House

DEA, Police Raid Upland, California Marijuana Dispensary

Toke of the Town:  “The Drug Enforcement Administration at 9:30 on Monday morning served a search warrant at G3 Holistic, Inc., a medical marijuana dispensary that has been at odds with the city of Upland, California for a couple of years. . . . Upland’s zoning ordinance prohibits medical marijuana dispensaries.”

By |2012-05-12T14:38:32-07:00March 13th, 2012|California News, Federal Dispensary Attacks, Marijuana Crimes, Stories & Articles|Comments Off on DEA, Police Raid Upland, California Marijuana Dispensary

People Experienced with Internal Revenue Code Section 280E

Entities that actually obtain a dispensary registration certificate from the Arizona Department of Health Services will be required to file federal income tax returns that are substantially different than tax returns of other businesses.  Medical marijuana dispensaries must keep financial books in a way that will assist the dispensaries’ CPAs in preparing the federal and state income tax returns.  A particularly troublesome issue arises from Internal Revenue Code Section 280E that prohibits deductions for expenses paid or incurred in connection with trafficking in marijuana.

Dispensaries should hire an accountant and tax advisor who have experience representing and advising medical marijuana dispensaries.  They should not pay an inexperienced person to learn on the job.  Here are two people who have experience dealing with the federal income tax treatment of medical marijuana dispensaries.

  • Henry (Hank) Levy, CPA/ABV, is the owner of an accounting and consulting firm in Oakland, California, which specializes in income tax planning and tax compliance for individuals, corporations, partnerships, LLCs, trusts, estates and non-profit clients. The firm obtained its first medical cannabis client in 1998, and now has more than 150 clients in this field. Hank has held faculty positions at City College of San Francisco, Laney College and San Francisco State University, and he is regularly appointed by the Superior Courts of California as a forensic expert, business appraiser and referee in family law, civil litigation and tax matters. He has been continually involved in professional and community service, serving as past president of the East Bay Chapter of California Society of CPAs and as a current director on various non-profit boards.
  • Henry Wykowski, Esq., is a San Francisco-based trial attorney representing numerous cannabis dispensaries in tax and litigation matters, including Harborside Health Center. He is widely considered to be one of the country’s leading authorities on taxation of the medical marijuana industry. Henry is a graduate of Tulane University School of Law and has been practicing for more than 35 years. He began his career in the Tax Division of the U.S. Department of Justice and also served as an Assistant U.S. Attorney in the Northern District of California. Henry was the tax attorney in the landmark case of Californians Helping to Alleviate Medical Problems (CHAMP) v. Commissioner, 128 T.C. No. 14 (2007). Henry currently serves on the board of the National Cannabis Industry Association, and he is actively engaged in the effort to exclude state-authorized dispensaries from Sec. 280E.
By |2012-03-13T07:25:22-07:00March 13th, 2012|Stories & Articles, Tax Issues|Comments Off on People Experienced with Internal Revenue Code Section 280E

Why Has the Arizona Department of Health Services Failed to Issue the Revised Medical Marijuana Rules?

On January 13, 2012, Arizona Governor Jan Brewer issued a press release that said in part:

“I have directed the Arizona Department of Health Services to begin accepting and processing dispensary applications, and issuing licenses for those facilities once a pending legal challenge to the Department’s medical marijuana rules is resolved. . . . Know this: I won’t hesitate to halt State involvement in the AMMA if I receive indication that State employees face prosecution due to their duties in administering this law.”

In a January 13, 2012, blog post Director of the Arizona Department of Health Services Will Humble wrote:

“the Governor has asked us to implement the dispensary portion of the AZ Medical Marijuana Act.”

On January 25, 2012, Will Humble wrote:

“Our teams are busy dotting the i’s and crossing the t’s right now on an express rule package that would remove the dispensary selection criteria that was struck down last week (AZ residency, child support, previous bankruptcies etc.) and to set new dates to accept dispensary applications.”

On February 27, 2012, Will Humble wrote:

“Last week our team finished the revisions to the regulations by making adjustments to comply with the judge’s decision and to set a process for identifying a new timeline for accepting dispensary applications. We’ve shipped the revised rules to the Attorney General’s Office for final review. Once their review is complete, the AG’s office will file the final package with the Secretary of State- and the revised rules will become immediately effective.  I’ve heard that there’s a buzz in the community that we’re completely revamping the rules for dispensaries. This is not the case. We’ve simply made revisions to comply with the recent Superior Court Ruling. We’re still on track to be able to accept dispensary applications in April.”

The Court in  Compassion First, LLC vs. Arizona ruled that the ADHS rules must eliminate the following provisions from the Rules that prohibited ADHS from issuing a license for an Arizona medical marijuana dispensary if any principal officer or director of the applicant:

  • Was not an Arizona resident for at least three years immediately before filing for a dispensary license.
  • Had ever filed personal or corporate bankruptcy.
  • Did not file Arizona personal income tax returns for three years immediately before filing for a dispensary license;
  • Was not current on court-ordered child support.
  • Is delinquent in paying taxes, interest or penalties to the government or has an unpaid judgment to the government or is in default on a government issued student loan.

It is a simple matter to eliminate those provisions from the Rules and would have taken ADHS less than an hour.  The only other changes to the rules would be the dates for accepting dispensary applications and all the other dates in the dispensary licensing process.  ADHS determined these dates last year so all it has to do is pick a new dispensary application start date and the other dates would flow from that date.  In short, the time needed for ADHS to revise its Rules and for the Attorney General to approve the revised Rules is/was very short.  Why then has the Arizona Attorney General failed to approve the revised rules?

My guess is that the AG’s delay in issuing the final revised Rules is because Jan Brewer and Tom Horne are trying to come up with another excuse to kill medical marijuana dispensaries in Arizona.  Governor Brewer now has concrete evidence to base her decision to shut down Arizona’s medical marijuana dispensaries for a second time.  The Delaware United States Attorney office sent a letter to Delaware Governor Jack Markell dated February 9, 2012, that said in part:

“[G]rowing, distributing and possessing marijuana, in any capacity, other than as part of a federally authorized research program, is a violation of federal law regardless of state laws permitting such activities . . . . Moreover, those who engage in financial transactions involving the proceeds of such activities may also be in violation of federal money laundering statutes. . . . State employees who conduct activities mandated by the Delaware Medical Marijuana Act are not immune from liability under” the Controlled Substances Act

Here is Governor Markell’s February 12, 2012, statement on this issue:

“I am very disappointed by the change in policy at the federal department of justice, as it requires us to stop implementation of the compassion centers.  To do otherwise would put our state employees in legal jeopardy and I will not do that.   Unfortunately, this shift in the federal position will stand in the way of people in pain receiving  help.  Our law sought to provide that in a manner that was both highly regulated and safe.”

Given the Governor’s statement in her January 13, 2012, press release that she would not “hesitate to halt State involvement in the AMMA if I receive indication that State employees face prosecution due to their duties in administering this law” I am predicting that she will order ADHS to terminate the implementation of medical marijuana dispensaries in Arizona for a second time.

By |2015-04-06T18:58:27-07:00March 10th, 2012|Stories & Articles|Comments Off on Why Has the Arizona Department of Health Services Failed to Issue the Revised Medical Marijuana Rules?

Medical-pot Dispensary Fee Charged Twice by Scottsdale

Arizona Republic:  “A yearlong delay in state authorization of medical-marijuana dispensaries has winnowed the field of applicants in Scottsdale to just four businesses.  Each of the four applicants is seeking a city use permit to operate a marijuana dispensary in the Scottsdale Airpark. Under state rules, only one will be awarded a dispensary license. . . . applicants are: The Giving Tree Wellness Center, 7655 E. Evans Road. MMRX, 15455 N. Greenway Road, Suite C-22. True Health Care LLC, 14666 N. 74th St.  Valley Wellness Center, 7825 E. Redfield Road.”

By |2012-08-18T10:09:25-07:00March 10th, 2012|Stories & Articles, Zoning|Comments Off on Medical-pot Dispensary Fee Charged Twice by Scottsdale

Medical Marijuana Lawsuit Dismissed By Federal Judge In Sacramento

Huff Post:  “Medical marijuana advocates faced another setback Tuesday, when a federal judge in Sacramento dismissed a lawsuit claiming that the Obama administration broke its promise to leave the pot industry alone when it began an aggressive crackdown against California dispensaries last fall. . . . In the four months since the reinstated crackdown, a number of medical cannabis clubs across the state have been forced to shut down, including five in San Francisco and the legendary Marin Alliance for Medical Marijuana in Marin County, California’s oldest. The District Attorney’s office has begun investigating 12 more stores in San Francisco this year.

By |2012-03-10T08:15:36-07:00March 10th, 2012|Stories & Articles|Comments Off on Medical Marijuana Lawsuit Dismissed By Federal Judge In Sacramento

Smokey’s Lounge In Salem, Oregon Was Raided By Local Police

The Weed Blog:  “Smokey’s Lounge in Salem, Oregon was raided Tuesday, making it the third ‘official’ medical marijuana ‘dispensary’ in Oregon to be raided.  Unlike medical marijuana ‘dispensary’ raids in other states, all three raids in Oregon were by locate police.  However, unlike previous raids which were isolated to Washington County Oregon, this raid was in Marion County Oregon, multiple counties away.  In Washington County, the sheriff’s office has gone rogue and has been harassing medical marijuana patients and entrepreneurs for quite some time now.  But the raid in Salem is different.”

By |2012-03-10T08:09:50-07:00March 10th, 2012|Marijuana Crimes, Stories & Articles|Comments Off on Smokey’s Lounge In Salem, Oregon Was Raided By Local Police

Brea, California, and Marijuana Dispensaries at Stalemate

The Orange County Register:  “City officials are claiming victory against medicinal-marijuana dispensaries attempting to set up shop within city limits – but the lawyer for one dispensary said the fight is not over.At a City Council meeting, City Attorney Jim Markman told the panel that the half-dozen businesses attempting to open a dispensary have been whittled down to one, thanks to a combination of laws prohibiting the dispensaries in Brea, and legal action. . . . the most-recent victory was a decision by Physis Patients Association to drop its appeal of a court-ordered injunction to close its doors; the court ruling that the dispensaries were in violation of city law. Councilman Roy Moore said it was imperative that the city take action to prevent more dispensaries from opening in Brea.”

By |2012-03-10T08:07:18-07:00March 10th, 2012|California News, Stories & Articles|Comments Off on Brea, California, and Marijuana Dispensaries at Stalemate

U.S. Attorney for Northern California Shuts Down another Medical Marijuana Dispensary

SF Weekly:  “Melinda Haag, the U.S. Attorney for Northern California. Haag cites the park as a reason why medical marijuana dispensary Shambhala Healing Center, four blocks away on Mission Street, must close.  Shambhala would be the sixth San Francisco pot club shuttered by Haag, whose office has shut five dispensaries since November, and the most politically connected: one of Shambhala’s operators is a former candidate for Congress with connections to progressive politicians. . . . On Feb. 21, Haag mailed to property owner Ebrahim Poura of Beverly Hills a form letter that’s arrived in five other dispensary landlords’ mailboxes since Oct. 7, when California’s four federal prosecutors announced a coordinated crackdown on the state’s medical marijuana industry.  The letter gave Poura 45 days to close or risk ‘enhanced penalties’ because of Shambhala’s proxmity to Jose Coronado such as property forfeiture and ‘a penalty of up to 40 years in prison when operating within a prohibited distance of a school, playground, etc.,’ Haag wrote.”

By |2015-04-06T18:53:11-07:00March 7th, 2012|California News, Federal Dispensary Attacks, Marijuana Crimes, Stories & Articles|Comments Off on U.S. Attorney for Northern California Shuts Down another Medical Marijuana Dispensary

Mark Moen, OC Weekly’s “Marijuana Martyr,” Pleads Guilty to Money Laundering

OC Weekly:  “Mark Moen, the former owner and operator of Lake Forest‘s 215 Agenda medical marijuana dispensary, has pleaded guilty to 73 counts of money laundering, four counts of selling marijuana, two counts of possessing it with the intent to sell, and one count of possessing more than $100,000 in cash from what the Orange County District Attorney refers to as ‘narcotics proceeds’.”

By |2019-06-14T08:25:47-07:00March 7th, 2012|California News, Marijuana Crimes, Stories & Articles|Comments Off on Mark Moen, OC Weekly’s “Marijuana Martyr,” Pleads Guilty to Money Laundering

Mendocino Marijuana Truce Ended By Federal Warning

Huffington Post:  “Residents of Mendocino County, the redwood and marijuana-rich territory in California’s fabled Emerald Triangle, thought they had reached detente in the decades-old clash between pot growers and local law enforcement two years ago when the sheriff agreed to stop raiding medical cannabis producers who paid to have their crops inspected. . . . But this month, the permitting system became the most striking casualty of the crackdown on medical marijuana cultivation and distribution by California’s federal prosecutors. The board of supervisors ended the experiment after the U.S. attorney for Northern California threatened take the county to court for helping produce an illegal drug.”

By |2017-02-12T07:38:04-07:00March 7th, 2012|California News, Federal Dispensary Attacks, Stories & Articles|Comments Off on Mendocino Marijuana Truce Ended By Federal Warning

Northeast Phoenix Medical-pot Site Exercises Caution

Arizona Republic:  “Patients with medical-marijuana cards can buy their medicines at one location in Phoenix.   Elements Caregivers Collective is the only permitted location for a dispensary so far in northeast Phoenix, and the only one of several applications for the area to meet the city’s zoning standards and receive a permit. The nearest dispensary applicants with approved permits are near Deer Valley Airport and Metrocenter. . . . According to permit holder Ingrid Joya, the shop is able to distribute medical marijuana as a group of caregivers who are allowed by law to grow marijuana for their patients. . . . Memberships range from $75 to $100, and they entitle patients to 1/8 ounce. Further purchases cost extra.  The collective keeps tight records on its patients, Joya says, and exceeds legal requirements.”

This story is troubling from a legal perspective for several reasons:

1.  Arizona’s medical marijuana law does not allow patients to buy medical marijuana from any source other than a dispensary licensed by the Arizona Department of Health Services.  ADHS has not issued a single medical marijuana dispensary license so how can patients legally buy marijuana from Elements Cargivers Collective or its caregivers?  Was the reporter ignorant of the law and did he misstate what actually happens at the collective?

2.  How can Elements Caregivers Collective be the “only permitted location for a dispensary”  when there are no licensed medical marijuana dispensaries in Arizona?

3.  Sounds like patients are paying money to purchase marijuana, which is not authorized by Arizona’s medical marijuana laws.  Arizona Revised Statutes Section 36-2811.B, states:

“A registered qualifying patient or registered designated caregiver is not subject to arrest, prosecution or penalty in any manner, or denial of any right or privilege, including any civil penalty or disciplinary action by a court or occupational or professional licensing board or bureau . . . For offering or providing marijuana to a registered qualifying patient or a registered designated caregiver for the registered qualifying patient’s medical use or to a registered nonprofit medical marijuana dispensary if nothing of value is transferred in return and the person giving the marijuana does not knowingly cause the recipient to possess more than the allowable amount of marijuana.”

4.  How can a collective have patients?  Arizona’s medical marijuana law does not authorize anybody to have medical marijuana patients except licensed dispensaries and a licensed caregiver who can have as many as five patients.  Elements Caregivers Collective is not a licensed dispensary nor is it a licensed caregiver.

4.  What does it mean to “keep tight records on patients?”   Does Elements Caregivers Collective keep written records of the following transactions:

a.  Source of all medical marijuana, date of acquisition, amount of marijuana and consideration paid for the marijuana?

b.  Indicate on all marijuana its source so the marijuana can be tracked?  Caregiver A’s marijuana must go only to Caregiver A’s patients.  Caregiver B’s marijuana must go only to Caregiver B’s patients.  The collective must be able to prove the trail of marijuana from its source to the patient.

c.  Name of patient who receives marijuana, name of caregiver who provided the marijuana, date of the delivery, amount, and a signed representation and warranty from the patient that the receipt of the marijuana will not cause the patient to exceed his or her allowable 2.5 ounces of marijuana every two weeks.

I recommend that the transactions described in a. and c. above be evidenced by a written document signed by each party whose signatures are acknowledged before an Arizona notary public.  I  would also attach a copy of each signer’s photo id and a copy of the patient’s and caregiver’s ADHS registration card to the signed document.

When it comes to record keeping, the caregiver must be able to prove to the police and ADHS that the caregiver gave his or her marijuana to one of his or her patients and that the gift did not cause the patient to exceed the two week allowance of 2.5 ounces.  If you are a caregiver can you prove your marijuana went to your patients?  If not, you are not complying with Arizona’s medical marijuana laws.

5.  Does Elements Caregivers Collective or its agents ever possess marijuana?  The only parties who are allowed to possess marijuana under Arizona medical marijuana laws are licensed:  (i) patients, (ii) caregivers, (iii) dispensary agents, and (iv) dispensaries.  Elements Caregivers Collective is none of those.

I am not suggesting that Elements Caregivers Collective is violating Arizona’s medical marijuana laws.  I don’t know what it does exactly.  My information about Elements Caregivers Collective comes from the article in the Arizona Republic linked to above, which was apparently written by a reporter who does not understand Arizona’s medical marijuana laws and may have made statements that are misleading and/or inaccurate.

P.S.  Words of advice to all licensed Arizona medical marijuana patients, caregivers and dispensaries (would be and actual in the future):  Do not give interviews to the media.  Keep a low profile.  Try to be invisible.  Stay off the radar scope of ADHS, the police and the DEA.

For more on this topic read my article called “Are Arizona Cannabis Clubs Legal Under Arizona’s Medical Marijuana Laws?

By |2012-03-07T07:45:45-07:00March 6th, 2012|Cannabis Clubs, Stories & Articles|2 Comments

Medical-Marijuana Warehouse Brings Pot Growers Together to Serve Patients’ Needs

Phoenix New Times:  “The freedom to grow marijuana granted by the state’s 2010 medical-pot law is blossoming along with the plants in an El Mirage warehouse.  Bill Hayes, founder of the Arizona Cannabis Society, invited New Times inside last week for a peek at their operation. (See our slideshow of the tour here.)  A couple of years ago, this marijuana nursery would have been kept top-secret by growers who risked going to prison for it. But because of the successful passage of the 2010 Medical Marijuana Act, those growers are now gainfully employed in a legal business. . . .  For ‘donations,’ Arizona’s 20,000-or-so registered medical-pot patients can obtain clones, seeds, or whole plants.”

By |2017-02-12T07:38:04-07:00March 5th, 2012|Cannabis Clubs, Stories & Articles|Comments Off on Medical-Marijuana Warehouse Brings Pot Growers Together to Serve Patients’ Needs
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