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WHY ARE LIQUOR STORES AND MARIJUANA DISPENSARIES CONSIDERED ESSENTIAL BUSINESSES?

As nonessential businesses shutter in nearly every state plus the District of Columbia to slow the spread of the coronavirus, many liquor stores and cannabis dispensaries are making use of key exemptions to remain open and carry on with their operations.

According to the National Governors Association, 42 states have thus far enacted measures to close businesses deemed nonessential, a determination that has veered from technocratic to political in some cases, such as with the wrangling over firearms dealers.

Marijuana sales ‘on fire’ as demand spikes amid coronavirus outbreak

Toilet paper, hand sanitizer and food aren’t the only things flying off the shelves amid the coronavirus scare in Southern California. Marijuana is the latest addition to the consumer stockpile.

Industry professionals are enjoying the spike in sales, which has prompted one proprietor to buy two used Priuses in the past week as deliveries soar. He said he is planning to buy three more in case his dispensaries are ordered shut and he has to transition his shop workers to drivers.

California pot dispensaries are open during coronavirus crisis. Some want them closed!

In designating California’s marijuana industry as essential under the state's COVID-19 stay-at-home order, the administration of Gov. Gavin Newsom has argued that the health benefits of keeping pot shops open outweigh the risks — even as opponents of the policy call it reckless.

Critics say it doesn't make sense to allow people to congregate at cannabis stores, increasing the chance of infection, so they can buy products that are smoked at a time when the virus is attacking respiratory systems.

Coronavirus and Cannabis: “Every Single Day has been Busier than 4/20”

Nothing in the brief history of legal marijuana has ever spurred sales quite like coronavirus preppers, and now a week after its record day, the industry looks back at a wild run of days and wonders what the future holds.

Last Monday, it quickly became apparent that, as word of pending lockdown orders started to spread across California, consumers were rushing to dispensaries. Unsure of what would happen to the cannabis supply chain in that moment, they bought huge amounts of pot.

“Every single day has been busier than 4/20,” an employee at People’s OC dispensary in Santa Ana told L.A. Weekly.

COVID-19 Will Change How Consumers Purchase Cannabis

Despite some studies showing us that THC is actually bad for those fighting off COVID-19, during this great American lock-down cannabis sales are thriving, providing an opportunity for the industry as many states have deemed marijuana essential, just like grocery stores and gas stations.

This has been a boon for retailers and also an uptick for the brands they carry, but also gives the cannabis industry a window to gain larger acceptance with the consumer public.

Cannabis Deemed Essential

Millions of Americans are looking for something today to provide some mental relief, and meanwhile, medical marijuana can be used to help ease anxiety and help manage an uncertain world.

“What’s important is that cannabis is considered medicine, and people need access to medicine during this time,” said Chanda Macias, of the Washington, D.C. based National Holistic Healing Center, and a board member of the National Cannabis Roundtable advocacy group.

Immigrants Can Be Denied Citizenship for Working in Legal Marijuana Industry

U.S. Citizenship and Immigration Services (USCIS) issued guidance a day before the unofficial marijuana holiday that makes clear working in the marijuana industry, or even just possessing cannabis could be grounds to reject a citizenship application—regardless of whether it is done in a state where it is legal.

Violations of federal marijuana laws “are generally a bar to establishing good moral character for naturalization, even where that conduct would not be an offense under state law,” according to the guidance issued Friday. Merely being “involved in certain marijuana-related activities” could be sign that an applicant for citizenship “may lack good moral character” regardless of whether “such activity has been decriminalized under applicable state laws,” according to the USCIS statement.

California bill encourages banks to work with pot businesses

California legislators considered a plan Monday intended to encourage more banks to do business with marijuana companies that have been frozen out of thousands of financial institutions.

Most Americans live in states where marijuana is legally available in some form. But most financial institutions don't want anything to do with money from the cannabis industry for fear it could expose them to legal trouble since the federal government still considers marijuana illegal.

The conflict between state and federal law has left businesses in California's emerging legal pot industry in a legal dilemma, shutting many out of everyday services such as opening a bank account or obtaining a credit card. It also has forced many businesses to operate only in cash — sometimes vast amounts — making them ripe targets for crime.

Bill Allowing Locals to Ban All Cannabis Deliveries Defeated in Committee

A bill that would have allowed local jurisdictions to ban cannabis deliveries originating outside their jurisdictional borders, was defeated in its first committee hearing today after cannabis activists and industry representatives objected to the bill.

Cal NORML wrote to the committee and testified against the bill, and promulgated an Action Alert that generated hundreds of letters to lawmakers in opposition. Thanks to all of our members and supporters who took action!

In introducing the bill, Asm. Cooley noted that he has been involved in both cannabis and local control issues for many years, citing his success as mayor of Rancho Cordova in enacting a local tax on cannabis businesses (however, that tax is overly high and was objected to by Cal NORML). Several times he referred to locals getting past a "parade of horribles" and tried to argue that passing the bill would somehow encourage locals to license cannabis businesses. He conceded that Prop. 64 allowed locals to ban adult-use cannabis businesses, not medical ones.

Los Angeles hiring cannabis social equity program manager

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The Department of Cannabis Regulation (DCR) in the city of Los Angeles is looking for someone to run its social equity program.

The project is part of a handful of efforts in California intended to get minorities and those negatively affected by the war on drugs involved directly in the state’s legal marijuana industry.

According to an online job posting, the position pays $95,776 to $140,021, requires a master’s degree and at least three years of experience with either economic and community development or providing services to low-income, minority or underserved communities.

The L.A. social equity program has been a point of contention for many in the city’s struggling legal cannabis market and has not yet been fully rolled out.

Other California cities that have social equity programs include Oakland, Sacramento and San Francisco.

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California only made half as much on 2018 marijuana taxes as expected

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When California, the most populous state in America, legalized recreational marijuana last year, many had high hopes for the industry, writes Joseph Misulonas. But unfortunately, it appears initial projections for the success of the industry were a little off.

The California Department of Tax and Fee Administration announced that in 2018 the state collected $345.2 million from marijuana taxes. While that is a huge number, it's actually only slightly more than half of the state's initial projections of $643 million in tax revenue that they predicted they would receive in 2018. 

Many have argued why the state didn't make more money off of legal sales. The biggest reason seems to be the tax rate. California has some of the highest cannabis taxes in the nation, and customers can sometimes pay tax rates up to 45 percent on their marijuana purchases. These high prices are forcing many cannabis users to continue purchasing black market marijuana. This would also explain why California cannabis sales actually decreased between 2017 and 2018, despite it being legal recreationally last year.

Despite the fact that almost everyone acknowledges the tax rate is an issue, California legislators continue dragging their feet on the issue and not passing bills to lower the rate, despite several proposals to do so.