Cannabis Regulatory Update: NY Sen. Fights For Distressed Marijuana Farmers & More In MI, SD, OK

CRS’ Report Warns High Federal Cannabis Taxes Could Hinder Industry’s Economic Potential

Congressional Research Service (CRS) recently released a report suggesting that federal lawmakers should be careful about imposing high federal taxes on cannabis products in case of federal legalization. Why? According to the document, high federal taxes could hinder the industry’s economic potential.

“For example, some research has suggested that high marijuana tax rates—and resulting high recreational marijuana prices—may contribute to the risk of turning potential consumers toward the untaxed black market, in turn jeopardizing recreational marijuana’s economic potential,” the report reads.

See Also: Congressional Research Service Foresees Potential DEA Endorsement Of Marijuana Rescheduling

Michigan: 3 Stores Closed, 4 Cities Reject Adult-Use Sales, Apple Cider Recalled 

Earlier this month, Menominee Circuit Judge Mary Barglind ordered three U.P. cannabis stores involved in a legal case to close, reported Mlive. Stores that had to close their doors include Lume which runs around 40 shops, Higher Love which has six U.P. stores and Nirvana Center with 13 other Michigan pot shops.

According to the judge, there’s currently a cannabis turf war going on in Menominee, with the first two licensed cannabis stores Rise and the Fire Station fighting against competition in the town. The next hearing is scheduled for Nov.15 when the parties could make a case to remain open at least until a permanent injunction hearing, which is scheduled for Feb. 22.

Meanwhile, Birmingham, Grosse Pointe Park, Rochester and Keego Harbor rejected a proposal to allow adult-use cannabis sales, and Michigan’s Cannabis Regulatory Agency recalled a batch of cannabis-infused apple cider following reports of bursting cans.

See Also: Amid Rising Debt Rates, 82% Of Michigan Cannabis Businesses Bear Debt: Are Sales On The Horizon?

New York: State Sen. Fights For Cannabis Farmers As They Reach A Breaking Point 

New York State Sen. Michelle Hinchey (D) and Assemblywoman Donna Lupardo (D) are pushing for a marijuana relief fund, according to New York Up State. Hinchey, a chair of the Senate Agriculture Committee said the “Recompense Fund” should help recover losses beard by cannabis farmers who have “been hit twice due to the CBD price collapse, and now a languishing cannabis market roll-out.”

Meanwhile, The Cannabis Farmers Alliance recently surveyed their membership about how the slow roll-out of the NY cannabis market impacts their operations and lives, writes Syracuse. Many surveyed farmers responded being on the verge of financial ruin, deteriorating personal relationships and subsiding mental health.

South Dakota: Lawmakers Shut Down Proposals To Ban Flavorings In Pot Edibles And To Test The Rolling Papers 

South Dakota lawmakers rejected a proposal to ban flavoring in cannabis edibles and vape products, reported South Dakota Search Light. The regulatory also turned out a proposal to force marijuana producers to test the rolling papers as well as the weed inside them. Under the current law, manufacturers can test cannabis before rolling it into a joint, making pre-rolls exempted from “final form” testing. 

Sen. Jim Mehlhaff, (R) said it “does seem somewhat inefficient” to require the testing of papers and pot separately.

Oklahoma: Medical Marijuana Authority Takes Legal Action Against 165 Grow Facilities

The Oklahoma Medical Marijuana Authority (OMMA) recently submitted 165 petitions for revocation against legal cultivation facilities for failing to have signage required under the state law.

“As a regulatory body, it’s our job to ensure the licensed medical marijuana industry is in compliance with state laws and regulations,” stated executive director Adria Berry. “Consistent regulation is essential for shaping a balanced and well-regulated cannabis market in our state. Kudos to the thousands of businesses out there that took the time to put up proper signage.”

See Also: Oklahoma Studies Accidental Marijuana Ingestion Among Children, Cracks Down On Illegal Operators

Photo: Benzinga edit with images by EKATERINA BOLOVTSOVA via Pexels