Blog - Page 45 of 54 - Arizona Medical Marijuana Law

Medical Pot Banking Dilemma

Recordnet.com: “Dispensaries run into difficulties dealing with financial institutions. Stockton and other local government agencies in California require medical marijuana dispensaries to promptly deposit cash into bank accounts. The federal government, meanwhile, is putting pressure on financial institutions to make that more difficult. Medical marijuana dispensaries throughout the state have been getting letters in recent months from their banks telling them their accounts are frozen or closed.”

Related Stories

By On the Net|2012-05-12T15:25:15-07:00April 4th, 2011|Banking Issues, California News, Federal Dispensary Attacks|Comments Off

Final DHS Rules Now Available on an Individual Rule Basis

The final Arizona Department of Health Services final Arizona medical marijuana rules are a big pain to read and review. We’ve made it much easier for people to find individual rules and read just that one rule. Each rule on our website also links to any rule or statute referenced within the rule. Do yourself a favor – when you want to read a specific DHS rule move your mouse over the menu heading at the top of the page that says “Rules Table of Contents” then move down to select Article 1, 2 or 3. When your mouse hovers over an Article the individual rules within each Article are displayed. Move your mouse to the right and down then click on the rule you want to read.

By On the Net|2011-04-04T20:45:59-07:00April 4th, 2011|Stories & Articles|Comments Off

What is the Arizona Medical Marijuana Association and Why Is Will Humble Helping It Raise Money?

Today I got an email from [email protected]. The message said

“Seeking a cultivation and product solution to meet the needs of your dispensary? Then attend the Medical Marijuana Industry Forums this week, hosted by the Marijuana Policy Project and the Arizona Medical Marijuana Association, and sponsored by [deleted]. . . . attendees will have the opportunity to meet with AzMMA Partners who can help contribute to the business plan, DHS application, and actual operation of dispensaries. Partners providing insurance, employee benefits, product testing, banking and credit card payment services, security, and more.”

The message concluded with this statement,

“The Arizona Medical Marijuana Association is a non-profit, membership-based, professional association that seeks to advance interests of Arizona’s medical marijuana profession and the patients it serves.”

On Saturday I got another email message from the same sender that started “Need banking services for your dispensary?” and then proceeded to peddle its banking partner. I am confused. Is the AzMMA a “non-profit, membership-based, professional association that seeks to advance interests of Arizona’s medical marijuana profession,” a sales and marketing organization or is it even a legal entity recognized by the State of Arizona?

One thing is certain – the AzMMA is not is a legally created Arizona corporation or a nonprofit professional association. Although Joe Yuhas either reserved the name “Arizona Medical Marijuana Association” or filed Articles of Incorporation for an entity with that name on March 8, 2011, to date no corporation has been formed in Arizona with that name. Nor has an entity with that name formed outside Arizona registered to do business in Arizona. I just checked the Arizona Corporation Commission’s website and it shows that the Arizona Corporation Commission is working on Articles of Incorporation filed on March 22, 2011, and that it’s time to review documents filed on an expedited basis is five business days. Check the ACC’s corporate status website for yourself and see if you can find an entity formed in Arizona or registered to do business in Arizona under the name “Arizona Medical Marijuana Association.”

The AzMMA’s emails and its website claim it is a “professional association.” It’s website even claims that is was formed in 2010 shortly after the passage of Proposition 203. Technically, even if it were an ACC approved corporation the AzMMA could not be a professional association under Arizona law. The terms “professional association” and “professional corporation” under Arizona’s statutory law refer to a specific type of corporation formed pursuant to Arizona Revised Statutes Section 10-2201 et seq. Section 10-2211, states:

“a corporation may elect professional corporation status under section 10-2210 solely for the purpose of rendering professional services, including services ancillary to them, and solely within a single profession.”

Arizona’s professional corporation statutes only allow certain professionals such as doctors, lawyers, Realtors, and accountants to form an Arizona professional association and the corporation’s activities are limited to practicing the profession through its licensed professionals. I have no idea why the AzMMA wants to be or claims to be a “professional association.”

Another thing I noticed is that the AzMMA is very stealthy. When it sent letters to the Arizona Department of Health Services commenting on the proposed rules, the AzMMA had a graphical logo and its name on the letterhead, but no address or phone number. The AzMMA’s website does not have an address or a phone number or even a name of anybody associated with the organization. Why the secrecy? Why can’t the public know where to find the AzMMA and who its leaders are?

For some baffling reason the AzMMA seems to be the media’s go-to quote-machine whenever something happens related to Arizona medical marijuana. For example, the Phoenix New Times, the Arizona Capitol Times and the Daily Courier all called Andrew Myers of the “Arizona Medical Marijuana Association” for comments when DHS released the final rules on March 28, 2011. Perhaps the story writers should do a little investigative journalism and find out more about the secretive and not quite able to incorporation AzMMA. You would think that a reporter would do a little fact checking before writing a story and quoting a person who claims to be part of a nonprofit association that in reality is not a validly existing Arizona entity.

Tomorrow and the next day the Arizona Medical Marijuana Association and the Marijuana Policy Project are sponsoring a four hour forum with six speakers who will talk about Arizona’s medical marijuana laws. Will Humble is one of the speakers. Why is Will Humble providing his name and the authority of Arizona Department of Health Services in assisting the AzMMA to make a buck? The price of admission is $300. Not bad for a self-proclaimed “nonprofit association.” The sign-up page for the forum is on the Marijuana Policy Project’s website. It says, “If your company wants to sponsor this pair of events for $5,000, please email MPP at [email protected].” Again, not too shabby for a “nonprofit association.”

Besides the AzMMA, there are four sponsors (4 x $5,000 – $20,000) for the event:

Gammage & Burnham law firm – It’s providing an election law attorney (?) and two zoning attorneys (?) as forum speakers.
TAG Employer Services was founded by Ron Bleich and Jack Biltis in 2003
National Cannabis Industry Association whose board of directors includes Joe Yuhas (of Riester and the AzMMA), Rob Kampia (of the Marijuana Policy Project) and Ken Kulow (of Chameleon Glass and the Arizona Medical Marijuana Industry Association). Kampia and Yuhas are speakers at the forum.
Medicine Dispensing Systems – distributor of the marijuana vending machine.

It appears that the forum may be a way for MPP to raise money for its own use. One of MPP’s stated purposes is to “Change state laws to reduce or eliminate penalties for the medical and non-medical use of marijuana.” Whether or not you agree with MPP’s purpose, it just doesn’t seem right for Will Humble and ADHS to assist MPP and AzMMA or any organization to raise money for their private purposes.

Question for Mr. Humble: If another fledgling Arizona medical marijuana industry association (there are a lot of these outfits vying to become the industry’s support organization) were to ask you to speak, would you speak for 30 – 60 minutes so it could charge sponsors $5,000 and attendees $300? If not, why do it for the secretive AzMMA?

By On the Net|2019-06-14T08:24:57-07:00April 3rd, 2011|Stories & Articles|5 Comments

AMML Sets New Monthly Visitor Record for March 2011

Thanks to all who helped this website set a new monthly record for visitors in one month. Last month (March of 2011) was our third month on the net and we had 21,421 visitors.

By On the Net|2011-04-03T21:20:18-07:00April 3rd, 2011|Stories & Articles|Comments Off

Arizona can be Model for Legal Use of Medical Marijuana

Arizona Republic editorial: “The Arizona Republic opposed the medical-marijuana law because such measures in other states have led to widespread abuse. There may be a way to prevent that from happening here, and it’s a goal worth pursuing.”

By On the Net|2011-04-02T14:59:19-07:00April 2nd, 2011|Stories & Articles|Comments Off

Can a the Medical Director of an Arizona Medical Marijuana Dispensary also Write Certifications for Qualifying Patients? Good Question

As an experienced MD clinician who is a strong believer in the right of patients to obtain medical marijuana if it may provide relief for their specific medical condition, I was interested in serving as a medical director for a non-profit that will be successful in obtaining a license to operate a dispensary from DHS later this year. In addition, I was also looking forward to be able to write certifications for qualifying patients. However, the language set forth in R9-17-312.E in the second (1/31) draft rules explicitly prohibited a medical director from providing certifications to any qualifying patients:

“A medical director shall not establish a physician-patient relationship or provide a written certification for medical marijuana for a qualifying patient.”

I suppose DHS felt there might be a conflict of interest if a medical director also provided certifications to patients. Perhaps the agency was concerned that a director might be tempted to act unprofessionally and provide a certification to an unqualified patient in order to drum up business for the dispensary for which he or she was associated – a very unlikely scenario.

So, you can imagine my delight when I read the final rules that seemed to do away with this unnecessary prohibition. The corresponding rule, R9-17-313.E, no longer states that a medical director cannot have a physician-patient relationship nor provide certifications for any patients qualifying for marijuana as in the prior draft. The current rule appears to just prohibit the medical director from writing certifications for qualifying patients who would obtain marijuana from “the dispensary” for which he or she serves as director:

“A medical director for a dispensary shall not provide a written certification for medical marijuana for a qualifying patient obtaining medical marijuana from the dispensary”

But my delight soon turned to confusion when I read this specific answer to one of the FAQ’s on the DHS website:

“What will a dispensary’s medical director do? The duties of a dispensary’s medical director include developing information and training for dispensary agents and customers. A medical director is not permitted by the rules to provide written certifications for medical marijuana.”

Any reasonable interpretation of R-9-17-313.E would conclude that the phrase “the dispensary” means the dispensary for which the medical director works. For the FAQ to be accurate, the phrase “the dispensary” in the rule would have to mean any dispensary in Arizona. If, indeed, this were the intention of DHS, then why would it change the language in the second draft rule which was so clear about such a prohibition and left no room for interpretation?

Clearly, this is a matter that needs to be clarified for those physicians, like myself, who would like to serve as a dispensary medical director and also provide written certifications for qualifying patients.

Jason E. Gittman, MD
http://www.medlawconsults.com/
[email protected]

By Jason Gittman MD|2011-04-01T18:17:56-07:00April 1st, 2011|Medical Directors|Comments Off

Final Rules on Medical Pot Too Tough on Patients, One Doctor Says; Other Pot Advocates Satisfied With Rules

Ray Stern, Phoenix New Times: “The final rules for medical marijuana are too tough on patients and may encourage a lawsuit, says one Valley doctor. Edgard Suter, an East Valley nuclear medicine physician who has been an outspoken advocate for medical marijuana, decried an addition to the draft rules that requires doctors to state the underlying condition causing “chronic or severe pain.” He already was unhappy that state officials plan to monitor the recommendations that physicians make and turn in prolific recommendation writers to medical boards for possible discipline.”

By On the Net|2011-04-01T02:32:09-07:00April 1st, 2011|Stories & Articles|Comments Off

Pot Users Who Still Have Two Brain Cells to Rub Together Should Try to Obtain Medical Marijuana Card

Ray Stern, Phoenix New Times: “If you ever smoke or use marijuana, it’s time to see the doctor. The Arizona Medical Marijuana Act is the law of the land, and now the state Department of Health Services has provided a map to legal immunity for anyone interested in possessing pot. The final rules from the DHS spell out exactly need to be done to obtain a recommendation from a doctor for a state medical-marijuana card.”

By On the Net|2011-04-01T02:26:45-07:00April 1st, 2011|Stories & Articles|Comments Off

Next Step in Federal Medical Marijuana Recognition is Congressional Action

The American Independent: “Last November, medical marijuana advocates launched the National Cannabis Industry Association (NCIA), a lobbying organization dedicated to representing the interests of the medical marijuana industry on the federal level. Today marks NCIA’s first official ‘congressional lobbying day,’ during which representatives of the organization are meeting with members of Congress to argue for the protection of medical marijuana interests. To kick off the day, NCIA held a press conference this morning that included presentations by medical marijuana dispensary owners, cannabis researchers and U.S. Representative Jared Polis (D-Colo.), an avowed supporter of medical marijuana rights.

See “Congressman Calls For an End to the War on Weed.”

By On the Net|2015-04-06T18:50:22-07:00April 1st, 2011|Stories & Articles|Comments Off

Arizona Medical Marijuana FAQ

This site has an excellent patient and caregiver Frequently Asked Questions. Check it out.

By On the Net|2011-04-01T17:10:52-07:00March 31st, 2011|Questions People Ask|Comments Off

Q&A: Arizona Medical Marijuana Rules

Arizona Republic: “There have been rumors surrounding Arizona’s medical-marijuana law since voters passed it in November. But now that the state health department has finalized its rules, Arizonans can weed out the truth. . . . Here are basics to know about Arizona’s medical-pot program.:

By On the Net|2011-04-01T01:23:18-07:00March 30th, 2011|Stories & Articles|Comments Off

DHS Makes Forms Available for Medical Marijuana Cards

East Valley Tribune: “Arizonans who act quickly can be among the first to qualify to buy, possess and use marijuana, which voters legalized for medical use last November. State health officials on Monday made the forms available on the agency’s website that a doctor has to fill out to get a patient a medical marijuana card. State Health Director Will Humble said while applications won’t be accepted until April 14, those who think they qualify can jump-start the process right now.”

By On the Net|2011-03-29T17:27:50-07:00March 29th, 2011|Stories & Articles|Comments Off

Pot Cases in Mohave County Dismissed ‘Cause of Out-of-State Medical-Weed Cards

Ray Stern, Phoenix New Times: “Proposition 203 has sparked dismissal of pot-possession charges in Mohave County against at least 10 people who had out-of-state medical-weed cards. Though the charges shouldn’t have been brought against such marijuana card-holders in the first place, what’s been happening in northwestern Arizona is a definite sign that ‘the times they are a changin’.”

By On the Net|2011-03-29T15:10:47-07:00March 29th, 2011|Marijuana Crimes|Comments Off

Maricopa City Council will Vote on Pot Dispensary Rules

inMaricopa.com: “The city of Maricopa will hold a last public comment session Tuesday night before the city council either approves or rejects a medical marijuana zoning ordinance proposed by city staff.”

By On the Net|2017-02-11T17:33:15-07:00March 29th, 2011|Stories & Articles, Zoning|2 Comments

AMML Sets New Record for Daily Visitors

Yesterday, March 28, 2011, this website set a new record for the most visitors in a single day – 1,572. I anticipate that we will also set a new record for monthly visitors for our third full month around 20,000 visitors.

By On the Net|2011-03-29T08:13:14-07:00March 29th, 2011|Stories & Articles|Comments Off

Want a dispensary? Think Rural

From Will Humble’s blog:

“One of our objectives as we developed the final set of Rules for Medical Marijuana was to ensure reliable access to medication in rural Arizona. . . . we added a provision in the final rules that allow rural dispensary owners to move their dispensaries anywhere in the State after 3 years . . . . By applying in a rural CHAA, they can increase their chances of successfully being awarded a Registration Certificate and keep their options open for moving to a part of the state with a high density of qualified patients after a few years. Likewise, if a prospective applicant has had a previous bankruptcy or lacks access to $150K in capital (which are part of our competitive screening criteria), they’ll be in a better position to compete for Registration Certificates in rural AZ.”

By On the Net|2011-03-29T07:24:32-07:00March 29th, 2011|Will Humble Speaks|Comments Off

Dispensary Zoning Issues

From Will Humble’s blog:

“The final rules outline a 2-step process whereby applicants enter into a competitive screening in each Community Health Analysis Area (CHAA) for a dispensary Registration Certificate, followed by a build out and inspection before receiving an Operating License from ADHS. Each dispensary applicant will be required to sign an attestation that the address that they are applying under is in accordance with local zoning (note that this doesn’t mean that they need to establish whether they have a special or conditional use permit). . . .

Once an applicant has been awarded a Registration Certificate, they’re allowed to move their dispensary inside their CHAA (subject to local zoning approval, Department approval, and paying our $2,500 fee). The Registration Certificate holder is also allowed to move their dispensary location (inside the CHAA) after they receive their Operating License.”

By On the Net|2011-03-29T07:19:32-07:00March 29th, 2011|Will Humble Speaks|Comments Off

Health Department’s Final Pot Rules Main Objective: Keep Recreational Users Out of the System

Arizona Capital Times: “Almost five months after voters passed Proposition 203, the Arizona Medical Marijuana Act, the Health Department has released the final version of the rules that will guide how the system will actually go into effect.”

By On the Net|2011-04-03T22:35:52-07:00March 29th, 2011|Stories & Articles|Comments Off

Lake Havasu City Officials: New Rules won’t Change Medical Marijuana Ordinance

Today’;s News Herald: “The latest medical marijuana rules shouldn’t have an impact on Lake Havasu City laws. The Arizona Department of Health Services released the final set of rules Monday for medical marijuana use and distribution. But city officials agree that no changes will be necessary to an ordinance adopted earlier this year.”

By On the Net|2011-04-01T01:30:19-07:00March 29th, 2011|Stories & Articles|Comments Off

Legal Pot Growing Coming

The Daily Courier: “Potential medical marijuana users are just a few weeks away from being able to legally grow their own pot in Arizona. And it’s likely that people who receive medical marijuana user cards before October will be able to continue growing their own legal pot for a year.”

By On the Net|2017-02-11T17:33:12-07:00March 28th, 2011|Stories & Articles|Comments Off

Arizona Department of Health Services Publishes Dispensary FAQ

The Arizona Department of Health Services published a Frequently Asked Questions for prospective Arizona medical marijuana dispensaries. This is a very enlightening document. Here are some gems I discovered in the FAQ.

When can I apply for a dispensary license?ADHS will accept applications for dispensaries between June 1st and June 30th, 2011.

When will you award the dispensary certificates? ADHS anticipates the allocation process for initial dispensary certificates to be completed in August 2011.

On what basis will dispensary registration certificates be awarded? The Department will issue dispensary registration certificates using an evaluation process. If only one complete application is received for a dispensary in a particular CHAA, that applicant will be awarded a dispensary registration certificate. If more than one complete application is received for a dispensary in a particular CHAA, the Department will use the evaluation process to allocate the dispensary registry certificate.

Once I apply for a dispensary certificate, can I change the address in my application before I begin operating? Yes, as long as the new address complies with local zoning and you pay the fee.

Do I need a certificate of occupancy from my city in order to apply? No, applicants do not need to submit a certificate of occupancy in the initial application.

How many dispensary registration certificates will one entity be able to obtain? A person may be an applicant, principal officer, or board member on only one dispensary registration certificate application for a location in a single CHAA and on no more than five dispensary registration certificate applications for locations in different CHAAs.

In the dispensary application, I have to confirm whether: I’ve been a resident of Arizona for 3 years, whether I am delinquent on federal, state and local taxes, child support, or student loans etc., whether I’ve ever been bankrupt, whether Everyone with a 20% financial interest in the dispensary is an applicant or board member, and whether I have access to $150K in startup capital.

Are these requirements? All principal officers, board members and dispensary applicants must have lived in Arizona for the preceding three years before application. According to rules, a delinquency on federal, state, or local taxes, child support, or student loans, an unpaid judgment due to a governmental agency, or a past bankruptcy does not disqualify an applicant from being allocated a dispensary registration certificate. However, ADHS may use those factors as criteria in the selection of who will be allocated a dispensary registration certificate if there is more than one qualified applicant for a given CHAA.

Can a dispensary change the location of the dispensary? Within the first three years after receiving a dispensary registry certificate, a dispensary may move; the new location must also be within the CHAA for which the dispensary registration certificate was issued. After the first three years, a dispensary may move to a location in another CHAA.

Is a dispensary in a rural area of Arizona required to remain in the CHAA for which the dispensary registration certificate was issued? A dispensary in a rural CHAA must remain in the CHAA for which the dispensary registration certificate was issued for the first three years. After the first three years, a dispensary in a rural CHAA may move to a location in another CHAA but it must prove the new site complies with local zoning requirements.

By On the Net|2011-03-28T14:41:03-07:00March 28th, 2011|DHS Rules|Comments Off

Arizona Department of Health Services Publishes the Final Medical Marijuana Rules

The Arizona Department of Health Services published its final medical marijuana rules (92 pages).

Here are my first impressions of the provisions that apply to would-be dispensaries:

DHS took my recommendation and added the owners of entities to its definition of board members who must satisfy the eligibility requirements to obtain a dispensary license. R9-17-301.B adds the owners of limited liability companies, partnerships and members of a cooperative to the list of board members. The section starts, “in addition to the individual or individuals identified in the dispensary’s by-laws as board members of the dispensary the following individuals are considered board members: If a corporation is applying for a dispensary registration certificate, the officers of the corporation” Wow! This subsection is astonishing because it shows how totally unaware of the business world DHS is. First, the Bylaws do not normally name the members of the board of directors. Second, the shareholders of the corporation are not considered principal officers or directors – only the officers of the corporation are deemed to be board members!!!!!!!!!!!!!!!!!!!!! DHS open the door a mile wide. People with excluded felonies and non-Arizona residents apparently can be shareholders of a for profit corporation that seeks a dispensary license.

R9-17-302.A states, “If more than one dispensary registration certificate application. . . is received for a single CHAA, the Department shall review the dispensary registration certificate applications for the CHAA to determine if:

1. Each applicant, principal officer, or board member associated with a dispensary registration certificate application has submitted Arizona state income tax returns for the previous three years with the dispensary registration certificate application;

2. Each applicant, principal officer, or board member associated with a dispensary registration certificate application:

a. Is current on paying court-ordered child support;

b. Is not delinquent paying taxes, interest, or penalties due to a governmental agency;

c. Does not have an unpaid judgment due to a governmental agency; and

d. Is not in default on a government-issued student loan;

3. Each individual who has 20% or more interest in the dispensary is the applicant or a principal officer or board member of the dispensary;

4. Each applicant, principal officer, or board member has never filed for personal or corporate bankruptcy; and

5. Documentation, from an in-state financial institution or an out-of-state financial institution, demonstrating that the dispensary has at least $150,000 available to begin operating was submitted with the dispensary registration certificate application.

Holy money bags Batman! I didn’t see that one coming. I guess the big money players won. Mom & pops lose. This new and outrageous rule apparently means that applicants for a dispensary license must have at least $150,000 in a bank account to get in the lottery.

What’s with the bankruptcy exclusion? Many good people have been forced to file for bankruptcy. There is no relationship to bankruptcy and being involved with a medical marijuana dispensary. It’s just a DHS excuse to limit the possible pool of owners for what reason I cannot imagine.

R9-17-302.A.3 seems to require that every person who owns 20% or more of an entity (including a for profit corporation) that applies for a dispensary license must be a principal officer or a board member.

There are major changes in the way dispensary registration certificates will be awarded. The lottery may or may not be used, depending on the actual to be determined facts associated with each CHAA. DHS may award a dispensary registration certificate based on if there are no qualified applicants or multiple applicants at each of the five levels set forth in R9-17-302.A. Think of R9-17-302.A as containing five review levels. If only one qualified applicant exists at the A(1) level, that applicant gets a dispensary registration certificate. If there are multiple qualified applicants at a R9-17-302.A level, they move to the next round/level. For example, if there are multiple qualified applicants that meet the requirements of A(1), A(2) and A(3), they move to the A(4) level and if only one qualified applicant meets the A(4) level, that applicant gets the dispensary registration certificate. If there are multiple qualified applicants that satisfy A(1), A(2), A(3), A(4) and A(5) then “the Department shall randomly select one of the dispensary registration applications” to get the dispensary registration certificate. So, the lottery lives!

Looks like there will be a dispensary in all 124 of the 126 CHAAs. If there are no qualified applicants for a dispensary registration certificate in a CHAA, DHS will select an applicant from another CHAA and award the dispensary registration certificate to that “lucky” or ‘unlucky” applicant. R9-17-302.B.3 states, “If the Department determines that none of the reviewed dispensary registration certificate applications meets the criteria in subsection (A)(1), the Department shall randomly select one dispensary certificate registration application and allocate a dispensary registration certificate to that applicant.”

Multiple dispensary applications are allowed with one catch. R9-17-302.C states, “If an applicant submits more than one dispensary registration certificate application, the documentation in subsection (A)(5) needs to demonstrate there is at least $150,000 available for each dispensary registration certificate application submitted.”

R9-17-303.C states, “A city or town that contains more than one CHAA may request the reassignment of a dispensary registration certificate allocation from one CHAA to another CHAA under the jurisdiction of the city or town by submitting a written request to the Department by June 1, 2011”

DHS pushed back the start date for accepting applications for a dispensary registration certificate to June 1, 2011. R9-17-303.D states, “The Department shall accept dispensary registration certificate applications for 30 calendar days beginning June 1, 2011.”

R9-17-304.A states, “An individual shall not be an applicant, principal officer, or board member on:

1. More than one dispensary registration certificate application for a location in a single CHAA, or

2. More than five dispensary registration certificate applications for locations in different CHAAs”

DHS sanctions multiple applications for dispensaries so long as the applications are in different CHAAs, no more than five applications are submitted and the applicant can get a letter from a bank that it has at least $150,000 for each dispensary application. Big money wins again! Shame on DHS for misleading people who don’t have $150,000 cash in the bank into believing for months that they could possibly obtain an Arizona medical marijuana dispensary license.

R9-17-304.D.5 states,”As required in A.R.S. § 36-2804(B)(1)(d), a sworn statement signed and dated by the individual or individuals in R9-17-301 certifying that the dispensary is in compliance with any local zoning restrictions.”

Note: DHS appears to have taken my suggestion and that of Alan Sobol to clarify that dispensary applicants do not have to get final city or county zoning approval to be able to file an application for a dispensary registration certificate. Rule R9-17-304.D.5 combined with R9-17-305.A give dispensary applicants a two stage zoning process. R9-17-305.A requires final zoning approval only after the would-be dispensary obtains a dispensary registration certificate. Unfortunately DHS took my suggestion and will allow the winner of a dispensary registration certificate to change its dispensary site to a different location within its CHAA if final zoning is denied or some other reason exists to move to a different location arises. Getting final zoning approval is a good thing to do before getting a dispensary registration certificate, but not a requirement to filing an application as some people said.

DHS actually set minimum requirements for a business plan. R9-17-304.D.7 states that the application for a dispensary registration certificate must contain “A business plan demonstrating the on-going viability of the dispensary on a not-for-profit basis that includes:

a. A description of and total dollar amount of expenditures already incurred to establish the dispensary or to secure a dispensary registration certificate by the individual or business organization applying for the dispensary registration certificate,

b. A description and total dollar amount of monies or tangible assets received for operating the dispensary from entities other than the individual applying for the dispensary registration certificate or a principal officer or board member associated with the dispensary including the entity’s name and the interest in the dispensary or the benefit the entity obtained,

c. Projected expenditures expected before the dispensary is operational,

d. Projected expenditures after the dispensary is operational, and

e. Projected revenue;”

DHS apparently clarified that applicants for a dispensary registration certificate do not need to jump through all the city and county zoning hoops just t be eligible to apply for a dispensary license. R9-17-305.A states, “To apply for approval to operate a dispensary, a person holding a dispensary registration certificate shall submit to the Department, at least 60 calendar days before the expiration of the dispensary registration certificate, the following:

2. A copy of documentation issued by the local jurisdiction to the dispensary authorizing occupancy of the building as a dispensary and, if applicable, as the dispensary’s cultivation site, such as a certificate of occupancy, a special use permit, or a conditional use permit;

3. A sworn statement signed and dated by the individual or individuals in R9-17-301 certifying that the dispensary is in compliance with local zoning restrictions”

Finally, we get some guidance on what it means for a dispensary to operate on a not-for-profit basis. R9-17-310.A states, “A dispensary shall:

13. Not lend any part of the dispensary’s income or property without receiving adequate security and a reasonable rate of interest;

14. Not purchase property for more than adequate consideration in money or cash equivalent;

15. Not pay compensation for salaries or other compensation for personal services that is in excess of a reasonable allowance;

16. Not sell any part of the dispensary’s property or equipment for less than adequate consideration in money or cash equivalent; and

17. Not engage in any other transaction that results in a substantial diversion of the dispensary’s income or property.”

R9-17-316.B states, “A dispensary shall only acquire marijuana from:

1. The dispensary’s cultivation site,

2. Another dispensary or another dispensary’s cultivation site,

3 A qualifying patient authorized by the Department to cultivate marijuana, or

4 A designated caregiver authorized by the Department to cultivate marijuana.”

By Richard Keyt|2011-04-03T22:43:13-07:00March 28th, 2011|DHS Rules, Video|Comments Off

AMML Sets New Weekly Traffic Record

Thanks for everybody who visited this website last week. We had a new record high of 5,096 visitors for the week ending at midnight March 27, 2011. Not bad for a website that is not quite three months old.

By On the Net|2011-03-28T06:26:53-07:00March 28th, 2011|Stories & Articles|Comments Off

Entrepreneurs Look to Cash In on Medical Marijuana Biz

myFOXphoenix.com: “Many business owners are hoping to get a license to sell — and make a lot of money legally selling pot. Those hoping to open dispensaries in Arizona seem to be satisfied with the finalized set of rules — but its clear owners will have to jump through a lot of hoops if they want to get into the pot business.”

By On the Net|2011-04-01T01:26:48-07:00March 28th, 2011|Stories & Articles, Video|Comments Off

Group Closes in on Dispensary Location Outside Sierra Vista

Sierra Vista Herald: “After being unable to find a suitable location that meets Sierra Vista’s recently passed zoning restrictions, a group of area businessmen are seeking to establish a medical marijuana dispensary adjacent to a retirement community nestled just outside of the city limits off of Highway 90. “

By On the Net|2015-04-06T18:50:22-07:00March 27th, 2011|Stories & Articles, Zoning|Comments Off

Scottsdale Panel Recommends First Marijuana Dispensary Site

Arizona Republic: “The first conditional-use permit for a medical-marijuana dispensary in Scottsdale gained the Planning Commission’s support Wednesday, but some members said approval ‘puts the cart before the horse.’ By a 3-2 vote, the commission recommended City Council approval of a permit for the Virtue Center, at 7301 E. Evans Road, in the Scottsdale Airpark. . . . ‘It’s all speculative, no one knows if they’re going to get a license’,”

By On the Net|2012-08-18T10:10:03-07:00March 26th, 2011|Stories & Articles, Zoning|Comments Off

Paradise Valley asked to OK Permit for Marijuana Dispensary

Arizona Republic: “Paradise Valley has received its first permit request to dispense medical marijuana in the town. Mountain View Medical Center recently submitted a special-use permit application to operate a dispensary at the medical complex at the southeastern corner of Tatum and Shea boulevards.”

By On the Net|2012-08-18T09:43:34-07:00March 26th, 2011|Stories & Articles, Zoning|Comments Off

Federal Agents Raid Montana Medical Marijuana Businesses

Great Falls Tribune: “Federal and local law enforcement officials raided medical marijuana operations in at least six Montana cities Monday. . . . at least 10 businesses were raided across the state,”

By On the Net|2017-02-12T07:38:37-07:00March 26th, 2011|Federal Dispensary Attacks, Marijuana Crimes|Comments Off

Lawyer in the CHAMPS Marijuana Dispensary Tax Comments on IRS Dispensary Audits

Taxes.com: “Henry Wykowski . . . represented Californians Helping to Alleviate Medical Problems . . . in that dispensary’s landmark 2007 case against the IRS. Now, many of the growing number of California dispensaries facing what could amount to debilitating audits have sought out Wkyowski’s services. . . . ‘The most successful dispensaries do more than strictly offer cannabis.’ Says Wykowski, ‘I personally believe that a large part of the government decided that because they had not been successful through the DEA to shut [the dispensaries] down, maybe they could tax them out of business’.”

By On the Net|2015-04-06T18:57:50-07:00March 26th, 2011|Federal Dispensary Attacks, Tax Issues|Comments Off

Will Humble on the Final Version of the Arizona Department of Health Services Rules

Today Arizona Department of Health Services Director Will Humble said:

“We’re finished making our policy decisions regarding the final medical marijuana rules, and our rules team will be spending Friday and probably part of the weekend crossing the T’s and dotting the I’s on the final medical marijuana rules. We’ll be releasing them on our website first-thing on Monday morning. We’ll also be having a media conference at some point later that day. We’ve developed a long set of Frequently Asked Questions to help prospective qualified patients, caregivers, dispensary applicants and physicians understand the final set of rules. While the final rules will be posted on Monday, the actual law takes effect at the start of the business day on April 14. We expect to be ready to go on the 14th.

We believe the final rule package accomplishes most of our objectives which include:

ensuring convenient access for folks with debilitating medical conditions identified in the Initiative;

ensuring access to the medication in rural Arizona;

clear expectations regarding criteria for medical marijuana certifications;

a way to identify physicians that act unprofessionally and write certifications for recreational use;

a fair, effective, and orderly way to award dispensary licenses this year and in future years;

clear medical, administrative, inventory, and security expectations for dispensary operation;

reasonable compliance and enforcement provisions;

a clear method for adding debilitating medical conditions over time;

efficient administrative oversight designed to minimize cost; and

reasonable fees that will cover the costs of implementing the program.

Over the last few months we have carefully examined medical marijuana programs in other states, reviewed more than 3,000 comments from the public on our 2 draft rule packages, and used the full range of expertise and creativity among our staff to develop what we believe is a responsible set of regulations that will ensure the near-term and future success of the program. Thanks for all the hard everybody!

By On the Net|2011-03-25T07:12:20-07:00March 25th, 2011|Will Humble Speaks|Comments Off

Previous 444546 Next