Pot Legalization Has Gained Rapid Favor

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MarijuanaIt took 50 years for American attitudes about marijuana to zigzag from the paranoia of “Reefer Madness” to the excesses of Woodstock back to the hard line of “Just Say No.”

The next 25 years took the nation from Bill Clinton, who famously “didn’t inhale,” to Barack Obama, who most emphatically did.

Now, in just a few short years, public opinion has moved so dramatically toward general acceptance that even those who champion legalization are surprised at how quickly attitudes are changing and states are moving to approve the drug — for medical use and just for fun.

It is a moment in America that is rife with contradictions:

People are looking more kindly on marijuana even as science reveals more about the drug’s potential dangers, particularly for young people.

States are giving the green light to the drug in direct defiance of a federal prohibition on its use.

Exploration of the potential medical benefi t is limited by high federal hurdles to research.

Washington policymakers seem reluctant to deal with any of it.

A new approach

Richard Bonnie, a University of Virginia law professor who worked for a national commission that recommended decriminalizing marijuana in 1972, sees the public taking a big leap from prohibition to a more laissez- faire approach without full deliberation.

“It’s a remarkable story historically,” he said. “But as a matter of public policy, it’s a little worrisome.”

More than a little worrisome to those in the antidrug movement.

“We’re on this hundredmile- an- hour freight train to legalizing a third addictive substance,” said Kevin Sabet, a former drug policy adviser in the Obama administration, lumping marijuana with tobacco and alcohol.

Legalization strategist Ethan Nadelmann, executive director of the Drug Policy Alliance, likes the direction the marijuana smoke is wafting. But knows his side has considerable work yet to do.

“I’m constantly reminding my allies that marijuana is not going to legalize itself,” he said.

Where California led the charge on medical marijuana, the next chapter in this story is being written in Colorado and Washington state.

Policymakers there are grappling with all sorts of sticky issues revolving around one central question: How do you legally regulate the production, distribution, sale and use of marijuana for recreational purposes when federal law bans all of the above?

Action up in the air

The Justice Department began reviewing the matter after last November’s election. But seven months later, states still are on their own.

Both sides in the debate paid close attention when Obama said in December that “it does not make sense, from a prioritization point of view, for us to focus on recreational drug users in a state that has already said that under state law that’s legal.”

Rep. Jared Polis, a Colorado Democrat who favors legalization, predicts Washington will take a hands- off approach, based on Obama’s comments. But he’s quick to add: “We would like to see that in writing.”

The federal government doesn’t go after potsmoking cancer patients or grandmas with glaucoma. But it also has made clear that people who are in the business of growing, selling and distributing marijuana on a large scale are subject to potential prosecution for violations of the Controlled Substances Act — even in states that have legalized medical use.

There’s a political calculus for the president, or any other politician, in all of this.

Younger people, who tend to vote more Democratic, are more supportive of legalizing marijuana, as are people in the West, where the libertarian streak runs strong.

Despite increasing public acceptance of marijuana overall, politicians know there are complications that could come with commercializing an addictive substance. Opponents of pot are particularly worried that legalization will result in increased use by young people.

Sabet frames the conundrum for Obama: “Do you want to be the president that stops a popular cause, especially a cause that’s popular within your own party? Or do you want to be the president that enables youth drug use that will have ramifi cations down the road?”

Source: San Jose Mercury News (CA)
Copyright: 2013 Associated Press
Contact: [email protected]
Website: http://www.mercurynews.com/
Authors: Nancy Benac and Alicia A. Caldwell, Associated Press

Flying High on The Fourth

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The flag flying over the Capitol on the Fourth of July might look like your typical Old Glory. But you probably won’t notice the fibers that make it special. It’s believed to be the first hemp flag to flutter over the dome since the government began outlawing marijuana’s less-recreational cousin back in the 1930s.

Colorado hemp advocate Michael Bowman is the man responsible for getting the flag, made from Colorado-raised hemp and screen-printed with the Stars and Stripes, up there.

He cooked up the idea while lobbying Congress this year to include pro-hemp measures in the massive farm bill. That legislation failed last month, of course, but the seed of the hemp flag had been planted.

Rep. Jared Polis (D-Colo.) gave Bowman an assist with the details, which included working with the Capitol’s flag office. (The flag program allows people to buy flags flown over the Capitol, so they rotate in new Old Glories nearly every day.)

“It’s a powerful symbol,” Bowman says, adding that the red, white and blue flying over the Capitol is a reminder of the role that hemp played in the founding and early days of the country. Betsy Ross’s flag was made of hemp, he notes, and Colonial settlers even paid their taxes in the crop, which was used for all kinds of goods, from rope to fabric to paper. Those Conestoga wagons heading west were covered in canvas fashioned from hemp fibers.

So, he thought having it fly on America’s birthday seemed pretty appropriate.

After its Capitol flight, the flag will make its way back to Colorado, where it will fly over the state capitol building in Denver. After that, Bowman is sending it on a tour of statehouses in states where legislation is pending that would legalize hemp. One of the first up: Vermont.

And while advocates are quick to point out that hemp lacks the THC content beloved by stoners, this will still be one high-flying flag.

Source: Washington Post (DC)
Author: Al Kamen
Published: July 3, 2013
Copyright: 2013 Washington Post Company
Contact: [email protected]
Website: http://www.washingtonpost.com/

Senate OKs Bill to Legalize Medical Pot Shops

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Seeking to make it easier for medical pot users to get their medicine and harder for the black market to get its hands on Oregon weed, the state Senate on Wednesday approved a bill that would legalize and license marijuana shops.

Under current Oregon law, nearly 55,000 cardholders must grow the drug themselves or designate someone to grow it for them. Medical pot users say dispensaries are needed, to give them a reliable place to get their medicine.

Medical marijuana dispensaries that exist now operate without oversight and run the risk of being shut down by law enforcement. Some counties have taken a hands-off approach and allowed the establishments to remain open. But dispensaries in other counties have been raided by police and forced to close.

Another major concern of Oregon’s medical pot program is that the weed supposedly intended for medical marijuana patients is getting sold on the black market.

Architects of the bill passed on Wednesday say it will give cardholders certainty that they can acquire their medicine, and that it is safe. They also hope the bill will keep excess pot from being siphoned off to the black market.

“This is a great way to impose a standard that will keep that from occurring,” said Sen. Floyd Prozanksi, D-Eugene.

The bill, which passed 18-12, would establish a licensing system under the Oregon Medical Marijuana Program to regulate the medicinal pot retail industry. This would bring the estimated 200 lounges, collectives and cafes already in operation under the purview of state law.

Opponents say the bill doesn’t go far enough to stop what they see as abuses to the state’s medical marijuana program. And some lawmakers have argued that authorizing dispensaries is a slippery slope to legalizing marijuana for recreational use.

The bill would authorize growers to legally sell their excess pot to medical marijuana establishments that connect patients with their medicine. Growers could only charge for the cost of supplies and utilities.

Under the bill, medical marijuana retailers would pay $4,000 a year to remain registered. Owners would have to pass criminal background checks, document the marijuana coming into their establishments and verify it’s from state-registered growers. The bill also requires testing all marijuana batches for pesticides, molds and mildews.

A legislative report estimates there will be 225 state-licensed dispensaries in the next two years if the bill is approved.

The bill would also prohibit medical marijuana retail outlets from operating within 1,000 feet of each other or a school. And they would have to operate in agricultural, industrial or commercial areas.

Supporters of the bill include Attorney General Ellen Rosenblum and the League of Oregon Cities.

In a letter endorsing the bill, the organization wrote: “While there are a number of divergent viewpoints on medical marijuana among Oregon’s cities, there is a common need to ensure that those providing medical marijuana do so in a responsible manner.”

A Senate committee modified the bill last week to satisfy concerns raised by some district attorneys who initially opposed the bill. Among other changes, the revised bill would tighten a restriction prohibiting people convicted of certain drug crimes from running a medical marijuana dispensary. The district attorneys are now neutral on the bill.

The legislation now goes to the House, which approved an earlier version of the bill but must agree to the Senate’s changes. A vote is expected this weekend.

Source: Associated Press (Wire)
Author: Lauren Gambino, The Associated Press
Published: July 4, 2013
Copyright: 2013 The Associated Press

Marijuana’s March Toward Mainstream Confounds Feds

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It took 50 years for American attitudes about marijuana to zigzag from the paranoia of “Reefer Madness” to the excesses of Woodstock back to the hard line of “Just Say No.”

The next 25 years took the nation from Bill Clinton, who famously “didn’t inhale,” to Barack Obama, who most emphatically did.

And now, in just a few short years, public opinion has moved so dramatically toward general acceptance that even those who champion legalization are surprised at how quickly attitudes are changing and states are moving to approve the drug – for medical use and just for fun.

It is a moment in America that is rife with contradictions:

People are looking more kindly on marijuana even as science reveals more about the drug’s potential dangers, particularly for young people.

States are giving the green light to the drug in direct defiance of a federal prohibition on its use.

Exploration of the potential medical benefit is limited by high federal hurdles to research.

Washington policymakers seem reluctant to deal with any of it.

Richard Bonnie, a University of Virginia law professor who worked for a national commission that recommended decriminalizing marijuana in 1972, sees the public taking a big leap from prohibition to a more laissez-faire approach without full deliberation.

“It’s a remarkable story historically,” he said.  “But as a matter of public policy, it’s a little worrisome.  It’s intriguing, it’s interesting, it’s good that liberalization is occurring, but it is a little worrisome.”

More than a little worrisome to those in the anti-drug movement.

“We’re on this hundred-mile-an-hour freight train to legalizing a third addictive substance,” said Kevin Sabet, a former drug policy adviser in the Obama administration, lumping marijuana with tobacco and alcohol.

Legalization strategist Ethan Nadelmann, executive director of the Drug Policy Alliance, likes the direction the marijuana smoke is wafting.  But he knows his side has considerable work yet to do.

“I’m constantly reminding my allies that marijuana is not going to legalize itself,” he said.

Eighteen states and the District of Columbia have legalized the use of marijuana for medical purposes since California voters made the first move in 1996.  Voters in Colorado and Washington state took the next step last year and approved pot for recreational use.  Alaska is likely to vote on the same question in 2014, and a few other states are expected to put recreational use on the ballot in 2016.

Nearly half of adults have tried marijuana, 12 percent of them in the past year, according to a survey by the Pew Research Center.  More teenagers now say t hey smoke marijuana than ordinary cigarettes.

Fifty-two percent of adults favor legalizing marijuana, up 11 percentage points just since 2010, according to Pew.  Sixty percent think Washington shouldn’t enforce federal laws against marijuana in states that have approved its use.  Seventy-two percent think government efforts to enforce marijuana laws cost more than they’re worth.

“By Election Day 2016, we expect to see at least seven states where marijuana is legal and being regulated like alcohol,” said Mason Tvert, a spokesman for the Marijuana Policy Project, a national legalization group.

Where California led the charge on medical marijuana, the next chapter in this story is being written in Colorado and Washington state.

Policymakers there are struggling with all sorts of sticky issues revolving around one central question: How do you legally regulate the production, distribution, sale and use of marijuana for recreational purposes when federal law bans all of the above?

How do you tax it? What quality control standards do you set? How do you protect children while giving grownups the go-ahead to light up? What about driving under the influence? Can growers take business tax deductions? Who can grow pot, and how much? Where can you use it? Can cities opt out? Can workers be fired for smoking marijuana when they’re off duty? What about taking pot out of state? The list goes on.

The Justice Department began reviewing the matter after last November’s election and repeatedly has promised to respond soon.  But seven months later, states still are on their own, left to parse every passing comment from the department and President Obama.

In December, Obama said in an interview that “it does not make sense, from a prioritization point of view, for us to focus on recreational drug users in a state that has already said that under state law that’s legal.”

Source: Republican & Herald (PA)
Copyright: 2013 Associated Press
Contact: [email protected]
Website: http://republicanherald.com
Author: Alicia A. Caldwell and Nancy Benac, Associated Press

Legalizing MJ is Hard Regulating Pot is Harder

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It’s not every day that a former Microsoft executive holds a press conference to announce his new venture into the exciting and profitable world of drug dealing. But that’s exactly what happened earlier this month when Jamen Shively, a former Microsoft corporate strategy manager, announced that he wants to create the equivalent of Starbucks in the newly legalized pot industry in Washington state.

All this is happening at the same time that the Washington State Liquor Control Board is looking to finalize rules on the new, legal marijuana industry. And one of the major debates right now among board members is how much they ought to prevent or encourage the kind of market consolidation in which a few firms dominate the whole industry.

As Chris Marr of the Liquor Control Board argued, “How do you prevent a Microsoft millionaire from getting this idea and deciding that — playing by the rules — they’re going to dominate the market?” And if that is the concern, what can economics inform us about how this new market should be set up?

To provide some background, voters in Washington state passed Initiative 502 last fall in a general ballot, creating a statewide legal market in pot. Unlike Colorado, which has passed a bill to expand its medical marijuana industry and make pot legally available to everyone, Washington is folding pot under regulations for the liquor industry. As such, the Washington Liquor Board has regulatory control over the new marijuana industry.

As with alcohol, a marijuana firm is classified as a producer, processor or retailer. The first question, therefore, is how aggressively regulators should try to check the market power of front-line sellers. As of now, if there is excess demand for licenses, which cost $1,000 each, they will be subject to lottery. Licenses can’t be traded in a secondary market, and it is possible that the regulators will cap the number of licenses per holder.

The law also requires regulation for public safety and public health. As with the tobacco industry, voters don’t want firms marketing and selling pot to underage users. And public health officials are concerned about companies marketing to “problem users” who would like to quit or reduce their usage but find themselves unable to.

If that’s the case, then perhaps having pot dealers with large market power is a good idea. Economists usually consider monopolists a problem because they produce too little of a product and charge too much for it, earning substantial profits. But that could be a good thing for the pot industry. Safe profit margins mean that a firm might be less likely to compete on price for every potential consumer — and also much more likely to follow the law.

Yet people involved with the Washington law have two main responses to this. The first is that firms with market power could go outside the market and use their extensive profits and influence to exert political power.

“The idea is to prevent the retail industry from becoming so large that they have enough wealth and power to roll over anyone trying to enforce, expand or update the public-health-focused rules that are designed to protect the public’s health and safety,” says Roger Roffman, a University of Washington professor and author of the forthcoming book “Marijuana Nation.”

Second, consolidated firms may that they themselves pose threats to public health. “If a firm has market power, the profits they get from selling above market costs means that they can have a bigger marketing department,” says UCLA public policy professor Mark Kleiman. “In the real world, spending here will increase their market share by creating additional problem users. This, combined with lobbying efforts that will rival the alcohol industry in terms of avoiding taxes and adjusting the rules, is a major problem.”

A third argument comes from University of Chicago economics professor E. Glen Weyl. He argues that “long-term players who have market power have an incentive to get people addicted. A monopolist, in particular, has a big incentive to advertise to get people addicted over the long-term, as they are sure to reap all those rewards.” If a marijuana firm has a monopoly, then the financial gains of turning someone into a heavy, problem user of a product (rather than a specific brand) will all go to that firm. A market with smaller, fragmented firms with greater turnover would be a check on this dynamic.

Both Weyl and Kleiman argue that Washington should consider bolder ideas to regulate the industry. Weyl suggests some sort of mandatory turnover policy to discourage firms from turning people into problem users. Another possibility, which Kleiman considers, is to create a state-run nonprofit retail firm that has no interest in creating problem users or expanding the market. (Given that pot is still illegal at the federal level, this isn’t likely to happen).

Market consolidation is also an issue when it comes to a firm’s vertical structure. Under Washington state law, if a firm is a retailer, it can’t be a producer as well as a processor. This is meant to fragment the vertical chain of production, and it contrasts with Colorado’s system, in which dealers are required to grow 70 percent of what they sell (as that is how the medical marijuana system works).

Another related economic issue is the location of pot retailers. The law in Washington, as currently structured, requires pot retailers to be at least 1,000 feet away from a school, day-care facility, playground, teen arcade game center, recreation center, transit center or library. Though this may sound minor, in practice it means that it will be very difficult to put pot retailers in dense population spaces. Retailers might be limited to industrial or largely depopulated areas.

That could force what economists who study spatial models of economies call the agglomeration model — as when certain kinds of restaurants all cluster together to create an area people go to for certain goods. As Weyl notes, “often ethnic restaurants cluster into neighborhoods so that people can find the best places, creating ethnic neighborhoods. Do we want a ‘pot town’ to grow up in our cities? Perhaps not, but that is the logical consequence of forcing dealers away from a convenience model.”

Kleiman thinks the main issue with regard to pot retailers’ ultimate location has more to do with advertising and discretion than anything else. “An alcoholic trying to quit drinking will pass by alcohol in bars, billboards and grocery stores. That person uses up a lot of emotional energy always having to say no.” Instead of focusing on 1,000 feet within certain buildings, the bigger issue Kleiman emphasizes is whether storefronts and signs aggressively advertise their product.

It’s important to get these issues right because they interact with the three background constraints on this new market. The first is the black market, while the second is the legal medical marijuana market. For some reason, the medical marijuana market won’t be taxed, while the new legal market will be taxed around 25 percent. (The black market is, of course, not taxed at all.)

Note that if the price goes too high, or if the location restrictions prove too inconvenient, pot consumers might just stick with medical marijuana or the black market. State lawmakers are currently trying to get the medical marijuana market folded under the same regulations that the Liquor Board is creating for the legal pot market, and Mark Kleiman notes that police may need to escalate crackdowns on illegal distribution as they legalize the market.

A third constraint is the federal government, which enforces laws that still make pot illegal. If legalization is seen as a disaster, it is possible that the federal government will move to shut down the process by preempting state law. But even if it doesn’t, background laws will probably hurt the scale and efficiency of pot retailers.

As Jack Finlaw explains, since marijuana is banned at the federal level, new pot retailers “often cannot conduct their businesses through banks. They also cannot deduct business expenses from their federal taxes.” It is possible the normal interactions between businesses that allow them to thrive — things like having a legal bank account — won’t be immediately available.

Markets are constructed through laws and regulations, and the market for pot that is being created in Washington state is no exception. The regulators see how the consolidated alcohol industry is able to avoid taxation and accountability and are determined to avoid these problems in the new pot industry. Thus this market may help economists understand a crucial role of regulations that has lapsed in recent decades: the role of government in curbing the excess power of the private sector.

Mike Konczal is a fellow at the Roosevelt Institute, where he focuses on financial regulation, inequality and unemployment. He writes a weekly column for Wonkblog.

Source: Washington Post (DC)
Author: Mike Konczal
Published: June 29, 2013
Copyright: 2013 Washington Post Company
Contact: [email protected]
Website: http://www.washingtonpost.com/

Five Reasons Cops Want to Legalize Marijuana

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Most people don’t think “cops” when they think about who supports marijuana legalization. Police are, after all, the ones cuffing stoners, and law enforcement groups have a long history of lobbying against marijuana policy reform. Many see this as a major factor in preventing the federal government from recognizing that a historic majority of Americans – 52 percent – favors legalizing weed.

But the landscape is changing fast. Today, a growing number of cops are part of America’s “marijuana majority.” Members of the non-profit group Law Enforcement Against Prohibition (LEAP) say that loosening our pot policy wouldn’t necessarily condone drug use, but control it, while helping cops to achieve their ultimate goal of increasing public safety. Here are the five biggest reasons why even cops are starting to say, “Legalize It!”

1. It’s about public safety.

While marijuana is a relatively harmless drug, the black market associated with it can cause significant harm. Much like the prohibition of alcohol, marijuana’s illegality does not erase the profit incentive – instead, it establishes a risky, unregulated market in which violence and intimidation are used to settle disputes.

“When we ended the prohibition of alcohol, Al Capone was out of work the next day,” says Stephen Downing, Los Angeles’ former Deputy Chief of Police. “Our drug policy is really anti-public safety and pro-cartel, pro-street gang, because it keeps them in business.”

Marijuana trafficking represents a significant chunk of business for black-market cartels. Though the exact percentage of cartel profits from pot is disputed, lowball estimates fall at around 20 percent.

“During my time on the border, I saw literally tons of marijuana come over the border from Mexico,” says Jamie Haase, a former special agent in the Department of Homeland Security’s Immigration and Customs Enforcement division. “Competition over the profits to be made from this illicit industry has led to the deaths of tens of thousands of individuals in that country, and an ever-increasing amount of violence spilling over into the United States, where the Justice Department estimates Mexican cartels now operate in more than 1,000 American cities.”

2. Cops want to focus on crimes that hurt real victims.

In the past decade, police made more than 7 million marijuana arrests, 88 percent of them for possession alone. In 2010, states spent $3.6 billion enforcing the war on pot, with blacks nearly four times as likely as whites to be arrested. That’s a lot of police time and resources wasted, says former Seattle Chief of Police Norm Stamper, who had an “aha moment” about marijuana policy while working for the San Diego Police Department in the late 1960s.

“I had arrested a 19-year-old in his parents’ home for the possession of a very small quantity of marijuana, and put him in the backseat of a caged police car, after having kicked down his door,” recalls Stamper. While driving the prisoner to jail, he says, “I realized, mainly, that I could have been doing real police work, but instead I’m going to be out of service for several hours impounding the weed, impounding him, and writing arrest, impound, and narcotics reports. I was away from the people I had been hired to serve and in no position to stop a reckless drunk driver swerving all over the road, or to respond to a burglary in progress, or intervene in domestic violence situation.”

Cops have limited resources, and spending them on marijuana arrests will inevitably divert them from other policing. Adds Stamper, “In short, making a marijuana arrest for a simple possession case was no longer, for me, real police work.”

3. Cops want strong relationships with the communities they serve.

Baltimore narcotics veteran Neil Franklin says the prevalence of marijuana arrests, especially among communities of color, creates a “hostile environment” between police and the communities they serve. “Marijuana is the number one reason right now that police use to search people in this country,” he says. “The odor of marijuana alone gives a police officers probable cause to search you, your person, your car, or your home.”

Legalizing pot, says Franklin, could lead to “hundreds of thousands of fewer negative police and citizen contacts across this country. That’s a hell of an opportunity for law enforcement to rebuild some bridges in our communities – mainly our poor, black and Latino communities.”

Franklin adds that this would increase citizens’ trust in police, making them more likely to communicate and help solve more serious crimes. Building mutual respect would also protect cops on the job. Adds Franklin, “Too many police officers are killed or injured serving the War on Drugs as opposed to protecting and serving their communities.”

4. The war on pot encourages bad – and even illegal – police practices.

Downing says that monetary incentives for drug arrests, like asset forfeiture and federal grants, encourage an attitude where police will make drug arrests by any means necessary, from militarized SWAT raids to paid informants who admit to lying. “The overall effect is that we are losing ground in terms of the traditional peace officer role of protecting public safety, and morphing our local police officers into federal drug warriors,” Downing says.

Quotas and pressure for officers to make drug arrests – which profit police departments via federal funding and asset forfeiture – also encourage routine violations of the Fourth Amendment ban on unreasonable searches and seizures. The NYPD, for example, stops and sometimes frisks well over 500,000 people a year, the vast majority of them youths of color – the basis for a pending federal lawsuit challenging the policy on constitutional grounds. While New York Mayor Michael Bloomberg has defended stop-and-frisk as a way to get guns off the street, in fact, it’s more often used to arrest kids with small amounts of weed. Stamper adds that legalization would allow police officers “to see young adults not as criminals, but members of their community” – and start respecting those young people’s civil liberties.

5. Cops want to stop kids from abusing drugs.

Marijuana’s illegality has done very little to stop its use. A recent survey by the National Institutes of Health found that 36 percent of high school seniors had smoked marijuana in the past year. Legalization would most likely involve age restrictions on marijuana purchases, while at the same time providing quality control over product. “The only way we can effectively control drugs is to create a regulatory system for all of them,” says Stamper.

“If you are truly a proponent of public safety, if you truly want safer communities, then it’s a no-brainer that we have to end drug prohibition and treat [marijuana] as a health issue, like we did with tobacco,” says Franklin. “Education and treatment is the most effective and cost-efficient way to reduce drug use.”

On the other hand, adds Franklin, “If you support a current system of drug prohibition, then you support the very same thing that the cartel and neighborhood gangs support. You might as well be standing next to them, shaking hands. Because they don’t want an end to prohibition, either.”

Source: Rolling Stone (US)
Author: Kristen Gwynne
Published: June 27, 2013
Copyright: 2013 Straight Arrow Publishers Company, L.P.
Contact: [email protected]
Website: http://www.rollingstone.com/

Marijuana Crops in California Threaten Forests

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It took the death of a small, rare member of the weasel family to focus the attention of Northern California’s marijuana growers on the impact that their huge and expanding activities were having on the environment.

The animal, a Pacific fisher, had been poisoned by an anticoagulant in rat poisons like d-Con. Since then, six other poisoned fishers have been found. Two endangered spotted owls tested positive. Mourad W. Gabriel, a scientist at the University of California, Davis, concluded that the contamination began when marijuana growers in deep forests spread d-Con to protect their plants from wood rats.

That news has helped growers acknowledge, reluctantly, what their antagonists in law enforcement have long maintained: like industrial logging before it, the booming business of marijuana is a threat to forests whose looming dark redwoods preside over vibrant ecosystems.

Hilltops have been leveled to make room for the crop. Bulldozers start landslides on erosion-prone mountainsides. Road and dam construction clogs some streams with dislodged soil. Others are bled dry by diversions. Little water is left for salmon whose populations have been decimated by logging.

And local and state jurisdictions’ ability to deal with the problem has been hobbled by, among other things, the drug’s murky legal status. It is approved by the state for medical uses but still illegal under federal law, leading to a patchwork of growers. Some operate within state rules, while others operate totally outside the law.

The environmental damage may not be as extensive as that caused by the 19th-century diking of the Humboldt estuary here, or 20th-century clear-cut logging, but the romantic outlaw drug has become a destructive juggernaut, experts agree.

“In my career I’ve never seen anything like this,” said Stormer Feiler, a scientist with California’s North Coast Regional Water Quality Control Board. “Since 2007 the amount of unregulated activities has exploded.” He added, “They are grading the mountaintops now, so it affects the whole watershed below.”

Scott Bauer, of the state Department of Fish and Wildlife, said, “I went out on a site yesterday where there was an active water diversion providing water to 15 different groups of people or individuals,” many of them growers. “The stream is going to dry up this year.”

While it is hard to find data on such an industry, Anthony Silvaggio, a sociology lecturer at Humboldt State University, pointed to anecdotal evidence in a Google Earth virtual “flyover” he made of the industrial farm plots and the damage they cause. The video was later enhanced and distributed by Mother Jones magazine.

Brad Job’s territory as a federal Bureau of Land Management officer includes public lands favored, he said, by Mexican drug cartels whose environmental practices are the most destructive. “The watershed was already lying on the ground bleeding,” Mr. Job said. “The people who divert water in the summer are kicking it in the stomach.”

That water is crucial to restoring local runs of imperiled Coho salmon, Chinook salmon and steelhead, which swam up Eel River tributaries by the tens of thousands before the logging era. Scott Greacen, executive director of Friends of the Eel River, said, “It’s not weed that drove the Coho to the brink of extinction, but it may kick it over the edge.” By various estimates, each plant needs at least one gallon and as much as six gallons of water during a season.

The idea that the counterculture’s crop of choice is bad for the environment has gone down hard here. Marijuana is an economic staple, particularly in Humboldt County’s rural southern end, called SoHum. Jennifer Budwig, the vice president of a local bank, estimated last year that marijuana infused more than $415 million into the county’s annual economic activity, one-quarter of the total.

For the professed hippies who moved here decades ago, marijuana farming combines defiance of society’s strictures, shared communal values and a steady income. “Marijuana has had a framework that started in the 1930s with jazz musicians,” said Gregg Gold, a psychology professor at Humboldt State University. “It’s a cultural icon of resistance to authority.”

“In 2013,” he added, “you’re asking that we reframe it in people’s minds as just another agribusiness. That’s a huge shift.”

It is a thriving agribusiness. Derek Roy, a special agent enforcing endangered species protections for the National Marine Fisheries Service, said, “These grow sites continue to get larger and larger.” Things took off after 1996, when California decriminalized the use of medical marijuana, Mr. Roy said.

The older farmers say that as the fierce antidrug campaigns waned and the medical marijuana market developed, newcomers arrived eager to cash in, particularly in the past decade, according to two growers who spoke on the condition of anonymity.

“There is a gold rush,” Mr. Greacen said. “And it’s a race to the bottom in terms of environmental impacts.”

Now that Colorado and Washington voters have approved the recreational use of the drug, there is a widespread belief that the days of high prices for marijuana are nearly over.

As Mikal Jakubal, a resident of SoHum who is directing a documentary film about Humboldt County’s marijuana business, puts it, “Everyone thinks, ‘This might be the last good year.’ ” That helps fuel the willy-nilly expansion of cultivation, the tearing up of hillsides and the diversions that dry out creeks.

The worst damage is on public lands. There, extensive plantings are surrounded by d-Con-laced tuna and sardine cans placed around perimeters by the dozens, Dr. Gabriel said. Mr. Job of the land management bureau said these illegal operations have 70,000 to 100,000 plants; they are believed to be the work of Mexican drug cartels.

But small farmers have an impact, too. Mr. Bauer of the State Fish and Wildlife Department said that when he found the water diversion last week and asked those responsible about it, “these people we met with were pointing a finger all over the watershed, saying: ‘We’re not that big. There are bigger people out there.’ ”

Federal environmental agents, including Mr. Roy and Mr. Job, have brought two cases to the United States attorney’s office in San Francisco. The office declined to prosecute a case last year, they said. A new one is under review. But, they said, manpower for enforcement is limited.

Given federal prohibitions against profiting from marijuana, county officials have a limited toolbox. “We have land-use authority, that’s it,” said Mark Lovelace, a Humboldt County supervisor. He chafes at the county’s inability to establish a system of permits, for fear of running afoul of federal law. His board did just pass a resolution asking local businesses not to sell d-Con. (A representative of Reckitt Benckiser, which makes the poison, wrote a letter of protest.)

Mr. Lovelace and others contend that legalizing marijuana would open the door to regulation and put the brakes on environmental abuses.

In the meantime, the industry has begun to police itself. Some growers have benefited from a program run by a local nonprofit organization, Sanctuary Forest, that subsidizes the installation of tanks that can store water in the winter, when it is plentiful, for use in dry months.

“There may be people who grow pot in our group,” said Tasha McKee, executive director of Sanctuary Forest. “I’m sure there are. We don’t ask that question.”

A local group, the Emerald Growers Association, recently produced a handbook on sustainable practices.

“There is an identity crisis going on right now,” said Gary Graham Hughes, executive director of the Environmental Protection Information Center in Arcata. “The people who are really involved with this industry are trying to understand what their responsibilities are.”

A version of this article appeared in print on June 21, 2013, on page A1 of the New York edition with the headline: Marijuana Crops in California Threaten Forests and Wildlife.

Source: New York Times (NY)
Author: Felicity Barringer
Published: June 21, 2013
Copyright: 2013 The New York Times Company
Contact: [email protected]
Website: http://www.nytimes.com/

Dream of ‘Cannabis Empire’ Raises Fears, Hackles

posted in: Cannabis News 0

For the activists who led the effort to legalize recreational marijuana in Washington state last fall, Jamen Shively was one of their biggest fears: an aspiring pot profiteer whose unabashed dreams of building a cannabis empire might attract unwanted attention from the federal government or a backlash that could slow the marijuana reform movement across the country.

With visionary zeal, the 45-year-old former Microsoft manager described his plans to a conference room packed with reporters and supporters last month, saying he was tired of waiting for a green light from the Obama administration, which still hasn’t said how it will respond to the legalization of recreational pot in Washington and Colorado. Shively vowed to quickly raise $10 million and eventually build his company, Diego Pellicer, into an international pot powerhouse.

Though he promised a “cautious and measured” expansion, Shively’s approach nevertheless contrasted with that of state regulators who want to avoid repeating the national experience with Big Tobacco and Big Alcohol, industries that profited wildly on addiction and abuse. Mark Kleiman, who heads the team hired to be Washington’s official marijuana consultant, responded on his blog: “It was inevitable that the legalization of cannabis would attract a certain number of insensate greedheads to the industry.”

Shively’s ambitions – “We are Big Marijuana,” he proclaimed – don’t merely raise questions about what marijuana legalization might look like in the long run and whether large corporations will come to dominate. He also risks getting himself indicted.

The Justice Department has said while it doesn’t intend to prosecute sick people for using marijuana, it will go after those who try to get rich from commercial sales. It hasn’t said yet whether it will sue to block Washington and Colorado from licensing pot growers, processors and stores.

The legalization votes in Washington and Colorado have created a fever for cannabis-related investing, to an extent. Conferences have focused on the parameters for legally investing in “ancillary businesses” – those that supply equipment needed by pot grows, for example – without financing the actual production or distribution of marijuana, which remains illegal under federal law.

Shively isn’t skirting the edges of the nascent industry, but diving right in, in a way that few other entrepreneurs are. Some companies that make high-end marijuana-infused products, such as Colorado-based Dixie Elixirs, are planning to make their brands available in other states, but it’s not clear anyone else is taking steps to create a pot empire.

“Developing a national brand in an industry in which it is illegal to move the core product across state lines presents some serious logistical challenges,” said Betty Aldworth, deputy director of the National Cannabis Industry Association.

Diego Pellicer’s business plan estimates $120,000 of pure profit per month, per recreational pot store. Shively said he plans dozens of stores in Washington and Colorado.

At the May 30 news conference, Shively announced Diego’s first corporate deal – an arrangement with a Seattle medical marijuana company called the Northwest Patient Resource Center. He said Diego would be starting in the medical marijuana market in Washington and Colorado, and then transitioning some dispensaries to recreational pot stores once the states begin issuing licenses.

Shively said the arrangement was “not in violation of either federal or state law,” but it was troubling enough to one of the dispensary company owners that he’s walking away from the deal – and the company he helped found – because he fears it puts everyone involved at risk of federal prosecution.

“I’m not an activist. I’m just a businessman,” said the part-owner, Thomas Jun, a 42-year-old father of three. “I can’t afford to do any federal time.”

According to Shively, Diego Pellicer has acquired the option to buy Northwest Patient Resource Center, but does not actually own it. That’s what gives Diego Pellicer some protection and allows it to position itself for the time when more states legalize pot and Congress changes federal laws, he said. No marijuana will be moved interstate.

“We don’t touch cannabis. We don’t have ownership of cannabis,” he said. “It’s not a perfect insulation or buffer, but it’s the best possible mechanism that we can come up with.”

Through his lawyer, Douglas Hiatt, Jun provided the AP with internal company documents, including a draft of the $1.6 million agreement dated May 30. The deal directs monthly payments of up to $50,000 from Diego be used to “to further develop and enhance NWPRC’s customer locations and to otherwise grow its business as currently conducted.” Former federal prosecutors say that could be seen as a conspiracy to violate federal law.

“It certainly would make me nervous to be involved in anything like this,” said Laurie Levenson, a professor at Loyola Law School-Los Angeles and a former assistant U.S. attorney.

Shively called the draft provided to AP “an obsolete document,” but declined to provide further details. He also declined to discuss a $10,000 check he wrote to the dispensary company May 27.

The deal highlights the tension between the varying degrees of acceptance of marijuana by the states and the outright prohibition by the federal government, which makes banking and other business functions problematic. For example, beyond the growing and sale of marijuana constituting federal crimes, the movement of money related to marijuana sales likely constitutes money laundering.

Dixie Elixirs won’t be directly involved in the growing, processing or sale of pot in multiple states, said Tripp Keber, its managing director. Instead, it will license its technical know-how and recipes to people in Washington or elsewhere who want to produce products under the Dixie Elixirs brand – and try to avoid the attention of federal prosecutors by adhering to state laws.

“Big public federal indictments are going to do the industry a disservice,” Keber said.

If Shively’s model is endorsed by the regulators writing rules for Washington’s pot industry, “then we would be increasing the risk of intervention by the federal government,” said Alison Holcomb, the Seattle lawyer who drafted Washington’s law.

Shively said investors are advised that the company and those involved could face federal prosecution. A copy of Diego’s business plan includes 11 bullet points listing risks the company faces. None specifically suggests those involved could be prosecuted.

Source: Associated Press (Wire)
Author: Gene Johnson, Associated Press
Published: June 17, 2013
Copyright: 2013 The Associated Press

Dream of ‘Cannabis Empire’ Raises Fears, Hackles

posted in: Cannabis News 0

For the activists who led the effort to legalize recreational marijuana in Washington state last fall, Jamen Shively was one of their biggest fears: an aspiring pot profiteer whose unabashed dreams of building a cannabis empire might attract unwanted attention from the federal government or a backlash that could slow the marijuana reform movement across the country.

With visionary zeal, the 45-year-old former Microsoft manager described his plans to a conference room packed with reporters and supporters last month, saying he was tired of waiting for a green light from the Obama administration, which still hasn’t said how it will respond to the legalization of recreational pot in Washington and Colorado. Shively vowed to quickly raise $10 million and eventually build his company, Diego Pellicer, into an international pot powerhouse.

Though he promised a “cautious and measured” expansion, Shively’s approach nevertheless contrasted with that of state regulators who want to avoid repeating the national experience with Big Tobacco and Big Alcohol, industries that profited wildly on addiction and abuse. Mark Kleiman, who heads the team hired to be Washington’s official marijuana consultant, responded on his blog: “It was inevitable that the legalization of cannabis would attract a certain number of insensate greedheads to the industry.”

Shively’s ambitions – “We are Big Marijuana,” he proclaimed – don’t merely raise questions about what marijuana legalization might look like in the long run and whether large corporations will come to dominate. He also risks getting himself indicted.

The Justice Department has said while it doesn’t intend to prosecute sick people for using marijuana, it will go after those who try to get rich from commercial sales. It hasn’t said yet whether it will sue to block Washington and Colorado from licensing pot growers, processors and stores.

The legalization votes in Washington and Colorado have created a fever for cannabis-related investing, to an extent. Conferences have focused on the parameters for legally investing in “ancillary businesses” – those that supply equipment needed by pot grows, for example – without financing the actual production or distribution of marijuana, which remains illegal under federal law.

Shively isn’t skirting the edges of the nascent industry, but diving right in, in a way that few other entrepreneurs are. Some companies that make high-end marijuana-infused products, such as Colorado-based Dixie Elixirs, are planning to make their brands available in other states, but it’s not clear anyone else is taking steps to create a pot empire.

“Developing a national brand in an industry in which it is illegal to move the core product across state lines presents some serious logistical challenges,” said Betty Aldworth, deputy director of the National Cannabis Industry Association.

Diego Pellicer’s business plan estimates $120,000 of pure profit per month, per recreational pot store. Shively said he plans dozens of stores in Washington and Colorado.

At the May 30 news conference, Shively announced Diego’s first corporate deal – an arrangement with a Seattle medical marijuana company called the Northwest Patient Resource Center. He said Diego would be starting in the medical marijuana market in Washington and Colorado, and then transitioning some dispensaries to recreational pot stores once the states begin issuing licenses.

Shively said the arrangement was “not in violation of either federal or state law,” but it was troubling enough to one of the dispensary company owners that he’s walking away from the deal – and the company he helped found – because he fears it puts everyone involved at risk of federal prosecution.

“I’m not an activist. I’m just a businessman,” said the part-owner, Thomas Jun, a 42-year-old father of three. “I can’t afford to do any federal time.”

According to Shively, Diego Pellicer has acquired the option to buy Northwest Patient Resource Center, but does not actually own it. That’s what gives Diego Pellicer some protection and allows it to position itself for the time when more states legalize pot and Congress changes federal laws, he said. No marijuana will be moved interstate.

“We don’t touch cannabis. We don’t have ownership of cannabis,” he said. “It’s not a perfect insulation or buffer, but it’s the best possible mechanism that we can come up with.”

Through his lawyer, Douglas Hiatt, Jun provided the AP with internal company documents, including a draft of the $1.6 million agreement dated May 30. The deal directs monthly payments of up to $50,000 from Diego be used to “to further develop and enhance NWPRC’s customer locations and to otherwise grow its business as currently conducted.” Former federal prosecutors say that could be seen as a conspiracy to violate federal law.

“It certainly would make me nervous to be involved in anything like this,” said Laurie Levenson, a professor at Loyola Law School-Los Angeles and a former assistant U.S. attorney.

Shively called the draft provided to AP “an obsolete document,” but declined to provide further details. He also declined to discuss a $10,000 check he wrote to the dispensary company May 27.

The deal highlights the tension between the varying degrees of acceptance of marijuana by the states and the outright prohibition by the federal government, which makes banking and other business functions problematic. For example, beyond the growing and sale of marijuana constituting federal crimes, the movement of money related to marijuana sales likely constitutes money laundering.

Dixie Elixirs won’t be directly involved in the growing, processing or sale of pot in multiple states, said Tripp Keber, its managing director. Instead, it will license its technical know-how and recipes to people in Washington or elsewhere who want to produce products under the Dixie Elixirs brand – and try to avoid the attention of federal prosecutors by adhering to state laws.

“Big public federal indictments are going to do the industry a disservice,” Keber said.

If Shively’s model is endorsed by the regulators writing rules for Washington’s pot industry, “then we would be increasing the risk of intervention by the federal government,” said Alison Holcomb, the Seattle lawyer who drafted Washington’s law.

Shively said investors are advised that the company and those involved could face federal prosecution. A copy of Diego’s business plan includes 11 bullet points listing risks the company faces. None specifically suggests those involved could be prosecuted.

Source: Associated Press (Wire)
Author: Gene Johnson, Associated Press
Published: June 17, 2013
Copyright: 2013 The Associated Press

Pot More Dangerous Than You Know

posted in: Cannabis News 0

With the recent article published on May 12, 2013, “Mont.  goes its own way on pot,” it seems like the perfect opportunity to provide some clarifying facts about marijuana.

There is no scientific basis for using smoked marijuana as a medicine, no sound scientific studies supporting the medical use of marijuana for treatment in the United States, and no animal or human data supporting the safety or effectiveness of marijuana for general medical use.  The Food and Drug Administration ruled that smoked marijuana does not meet the modern standards of medicine in the United States.  Marijuana is NOT approved nor endorsed by the FDA, the American Medical Association, the National Multiple Sclerosis Society, the American Glaucoma Society, the American Academy of Ophthalmology, the American Cancer Society or the American Pediatric Society.  The National Academy of Sciences, Institute of Medicine has concluded that smoked marijuana should “not be recommended for medical use.”

Marijuana has over 500 components ( THC, CBD, etc.  ) that have been proven to increase the risk of cancer, lung damage, and poor pregnancy outcomes.  In comparison, most prescription medication contains a single compound in a standardized dosage.

The use of marijuana under the guise of “medicine” has given rise to numerous problems:

Affected youth drug use patterns.

States with “medical” marijuana laws had marijuana abuse/dependence rates almost double the states without such laws.

There is a direct correlation between “medical” marijuana and decreases in perception of harm and social disapproval.

Individuals who begin using the drug in their teens have approximately a one-in-six chance of developing marijuana dependence.  In fact, children and teens are six times likelier to be in treatment for marijuana than for all other illegal drugs combined.

Addiction rates among 12- to 17-year-olds are among the highest levels nationally in states that have “medical marijuana” programs.

Marijuana use negatively impacts adolescent brain development.  A recent study found that those who used cannabis heavily in their teens and continued through adulthood showed a permanent drop in IQ of eight points.  A loss of eight IQ points could drop a person of average intelligence into the lowest third of the intelligence range.

“Medical” marijuana could negatively impact employability.  More than 6,000 companies nationwide and scores of industries and professions require a pre-employment drug test.

Twenty percent of crashes in the U.S.  are caused by drugged driving.  Marijuana is the most prevalent illegal drug detected in impaired drivers, fatally injured drivers, and motor vehicle crash victims.

States that have fully implemented “medical” marijuana programs, to include dispensaries, are experiencing public safety issues.  They have seen first-hand that dispensaries lead to increased crime and adversely affect the quality of life in their communities.

The total overall costs of substance abuse in the U.S., including loss of productivity, health and crime-related costs exceed $600 billion annually.  This includes approximately $235 billion for alcohol, $193 billion for tobacco, and $181 billion for illicit drugs.

Marijuana is much more powerful today than it was 30 years ago, and so are its mind-altering effects.  Average THC levels rose from less than 1 percent in the mid-1970s to more than 6 percent in 2002.  Sinsemilla potency increased in the past two decades from 6 percent to more than 13 percent, with some samples containing THC levels of up to 33 percent.

Legalizing marijuana would significantly decrease the price of the drug and could result in an up to 50 percent increase in use.  This can have widespread ramifications in areas such as adolescent brain development, the academic achievement of our nation’s youth, employability, highway and public safety, as well as the economy.

The average “medical” marijuana user is a 32-year-old white male with a history of alcohol, cocaine and meth use, but NO history of a life-threatening illness.

Marijuana is not a harmless natural compound.  The “medical marijuana” movement is a well-developed strategic plan to dupe the common man into believing that an illicit, illegal drug, with no proven medical benefit, should be used as medicine.  Take a stand.  Become better informed.  Help the efforts to make our community a safe, healthy, drug free community.

Source: Montana Standard (Butte, MT)
Copyright: 2013 Montana Standard
Contact: [email protected]
Website: http://www.mtstandard.com/
Author: Pat Prendergast

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