Download pdf - 0606 Issue OCC

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In This Issue

Outcomes in Opioid-Dependent Subjects UndergoingTreatment

Clinical Trials For Cannabis: Doctors Weigh In OnEpidiolex

Resolute Parents Demand Marijuana Treatment ForChildren

Dr. Allan Frankel Reports Successful TreatmentWith THC-A

Humble Pie In Ohio For The Marijuana Movement

Marijuana Legalization Is Not Exactly "Inevitable" InCalifornia In 2016

They Got Capone This Way...Why Not You?

Alaska Opened The Door To Cannabis Lounges

Illinois Dispensaries Rake In Over $210,000 From 800MMJ Patients In First Week Of Sales

Marijuana Legalization Initiative In MassachusettsPoised For 2016 Ballot

Eight States That Should Legalize Marijuana NextYear

National News Nugs - News From Around The Nation

Colombia President To Legalize Marijuana

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NNaattiioonnaall NNeewwss

MMeeddiiccaall NNeewwss

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Major Changes Ahead For Cannabis Testing InOregon

Three Last-Minute Changes To Oregon's RecreationalMarijuana Rules

Oregon Radical - Is Oregon As Good As It Gets?

Medford Drops Proposed Residential Growing Ban

At Church & State: Updates From The Capitol

Oregon's "Ban" Wagon Gets Crowded

A Radical Interview - OCC Sits Down With Oregon'sRuss Belville

Advisory Committee On Medical Marijuana -ACMM Meeting Highlights

Oregon News Nugs - News From Around The Beaver State

BBuussiinneessss CCllaassssiiffiieeddss

A Foundation Of Healthy Intentions - By Green Source Gardens

Acclimatized Seeds For Southern Oregon

GGrroowwiinngg WWiitthh GGoooodd EEaarrtthh:: Water Rights

RecipesFive Great Ways To Eat Hemp Seed

Hemp Seed Tabouli

Medicated Munchie Balls

CannaCrack Snacks

UFO Cookies

is abi-monthly publication for theentire cannabis community inOregon. PublishedbyK2PublishingCo. inSouthernOregon,westrive to informthepublicon the valueofmedicalmarijuana,aswell asprovidenews,

information, andopinionsconcerningmarijuana laws, legalization, andmedicine.All information inOCC is intended for legal usebyadultsonly.OCC isadvertiser supportedand

over21,000copiesareavailableFREEatover300 locationsacrossOregon.

FOR A DISTRIBUTION LOCATION NEAR YOU, GO ONLINE TO WWWWWW..OOCCCCNNEEWWSSPPAAPPEERR..CCOOMM

OREGON CANNABIS CONNECTION

Subscriptions are available within the U.S.A for 24.00 per year.Please visit www.OCCNewspaper.com to subscribe.

Correspondences to: K2 Publishing P.O. Box 5552, Grants Pass, OR 97527To advertise or distribute please Email: [email protected]

or contact us at 541 -621 -1723.Next issue is Dec/Jan 2015-16, advertising DDEEAADDLLIINNEE IISS JJAANN 2255TTHH,, 22001166!!

Oregon Cannabis ConnectionDec/Jan 2015-16

OCC Staff:

Keith MansurPublisher/Managing Editor/Writer

Cheryl SmithCopy Editor/Writer

Alexa MansurAd Sales/Social Media Manager/Writer

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OCC Contributors:

Anthony Taylor ­ at Church & State

"Radical" Russ Belville ­ Oregon Radical

Nicholas Mahmood & Elizabeth Luca-Mahmood -Green Source Gardens

Rhea - Growing with Good Earth

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After nearly two years of inadequatetesting rules and poorly operatedlaboratories across the state, OregonHealth Authority adopted new temporaryrules in hopes of combating what is agrowing problem. After the passage ofHB 3460 in 2013, no certification rulesfor testing labs were ever adopted in thestate, as Oregon Cannabis Connectionpointed out in Problems with OregonCannabis Testing (Aug/Sep issue in2014).

A subsequent investigation by TheOregonian in June of this year discoveredthat major problems did indeed existwith contaminated cannabis at Oregondispensaries, especially concentrates:

“A total of 14 chemicals were found ineight of the samples, including a half-dozen the federal government hasclassified as having possible or probablelinks to cancer.”

New Standards, Better Labs

The new standards hope to address thisfailure in the system with a variety ofnew rules and requirements. Theyinclude: mandatory laboratorycertification to the NELAC/TNIStandards by the state’s ownEnvironmental Laboratory Program(ORELAP), testing for 60 specificpesticides commonly used in cultivationof marijuana (see Figure 1), strictersampling requirements (only labpersonnel), destruction of cannabisproducts that fail the minimumstandards (no longer returned tosupplier), testing for residual solventspresent in extracts and concentrates, andmany more.

The rules are available online at OHAwebsite, link here. The administrative

rule that covers testing is OAR 333-007-0300.

Rowshan Reordan of Green LeafLaboratories, one of Oregon's oldesttesting labs and one offering statewideservices, explained to OCC, “It's been theWild West in Oregon's cannabislaboratory industry for years now and weare looking forward to regulation andoversight.”

“At Green Leaf Labs we have had highstandards from the beginning. Withoutoversight there is no accountability. Thishas diminished the credibility ofanalytical science and led to the distrustof laboratory testing in the cannabisindustry,” Reordan explained further.“Having proper standards and oversightfor laboratories will help assist withaccountability and credibility.”

“A lot of these labs that are doing theseso called 'State compliance tests'…they're charging ridiculously [low] pricesthat can't be sustained, but they can'treally be doing these tests,” explainedMike Goldman, COO of Iron Laboratoriesin Eugene. “You can't run a thoroughpesticide test, a thorough potency test, athorough microbial exam, test for yeastsand molds and water activity from agram and a half [sample] that couldpossibly represent any large batch ofcannabis product.”

Lab Accreditation Log Jam?

There are literally scores of testing labs

in Oregon, and all of them will now berequired to get licensed by June of nextyear to continue providing testingservices. The Oregon EnvironmentalLaboratory Accreditation Programcurrently accredits qualified laboratoriesfor testing under the Clean Air Act,Clean Water Act, Resource Conservationand Recovery Act, and the Safe DrinkingWater Act. Now required byadministrative rule, ORELAP is incharge of Cannabis testing laboratories,too.

We asked ORELAP about the processand what they expect in total numbers ofapplicants. So far, they have received 13applications, none of them complete.They expect to receive up to 20, in all,before June.

“When a complete application issubmitted, it will take approximately aweek to be reviewed for completeness,”explained Shannon Swantek one ofOHA's Lead Assessors. “The schedulingof the assessment date will depend onhow many complete applications arereceived at once. Two to three weeks permonth, starting in January, are beingheld open in ORELAP's existing schedulefor new cannabis lab applicants…. Thequality and preparedness of the labsystem and accuracy of their data willdictate how quickly an application isprocessed.”

According to Roger Brauninger, ProgramManager for Bio-Safety at the AmericanAssociation for Laboratory Accreditation(A2LA), Oregon's ORELAP program isone of the best in the country at whatthey do… certifying to the NELAC/TNIstandards for environmental labs.Questions remain about the volume ofwork they may receive and concerns overwhether they can handle the workload.

“Oregon is one of the very best NELAC[certification] states; they do a very goodjob,” explained Brauninger. “But, thequestion is whether they have anadequate amount of resources to be ableto cover the normal environmental work,plus California, plus the cannabislaboratories.”

The Oregon Liquor Control Commissionspent 2015 listening to Oregoniansacross the state; dealing with bills passedby the Oregon Legislature; andconvening rules advisory committees todevelop the rules and regulations thatwill govern the Oregon recreationalmarijuana system for the immediatefuture. The OLCC will eventually holdmore rulemaking sessions, taking inputfrom the OLCC Rules AdvisoryCommittee, and may have to adjust tomore bills passed by the legislature.Until future changes are made, we nowhave 77 pages of administrative rulespromulgated by the OLCC that state-licensed cannabis businesses will have tocomply with, in addition to state andlocal laws.

After months of input, debate and study,the OLCC had a few last-minute changesapproved that may greatly impactmarijuana entrepreneurs and businesses.The 77 pages are a lot to digest andadhering to any local regulations can bea lot to handle, so anyone thinking ofacquiring an OLCC marijuana licenseshould gather all of the information theycan and they may want to hireprofessional help, such as an attorney, tohelp navigate the regulatory waters.

While all of the moving parts of Oregon’smarijuana laws, can be challenging, thefuture does look bright for the industry.It is imperative to have the necessaryinformation on current rules, but also tomobilize and lobby the government sothat we can have an industry thatOregon can be proud of. In addition tothe industry knowledge, the ICBCalways provides insight into howadvocates can impact our government aswell, coming up in San Francisco onFebruary 13-14(See story in National News Nugs on Pg 16)

Oregon NewsDec/Jan 2015­16 Page 5

Image Green Leaf Labs

Cont. on Page 8Cont. on Page 8

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I travel frequently—some 50,000 airmiles this year alone. Wherever I go, Ibrag about Oregon's marijuanalegalization. I often open with "There'sno amount of marijuana I can carry inpublic and get a felony."

But even as Oregon has what I call thenation's best marijuana legalization, Iwonder. Is this as good as it gets?

I'm writing this poolside in Jamaica. I'mat Hotel Gloriana in Montego Bay, whereI finally have Wi-Fi on the island.

Jamaica is technically a country that justdecriminalized marijuana, or ganja, asthey call it. It's okay for religious useamong the Rastafari, and okay formedical use among those who possesssuch authorization from a physicianstateside or internationally.

But, really, on the books it is still acrime. And yet, it is more free here in

Jamaica than anywhere in Colorado,Oregon, Alaska, or Washington.Somebody is smoking ganja in public justabout everywhere you look. Beachrestaurants have to post "No GanjaSmoking" signs, and even then, if thecrowd is light and you ask with a nice$500 Jamaican dollar tip (five bucks US),they'll let you smoke in peace.

I got into a cab in Montego Bay, with anopen Red Stripe beer in one hand and asmoldering spliff in the other. I told thecabbie how illegal that would be whereI'm from, where marijuana is supposedlylegal.

I'm walking down the streets of Negrilyesterday and Montego Bay today, spliffdangling on my lips like HumphreyBogart, and nobody could've cared a bit.

So it's a bit weird now to brag aboutPortland's legalization when I still worryabout a public consumption ticket.

It's weird to brag about a bring your ownbuds, alcohol-free social club when everyclub here allows you to bring your own,smoke it outside, and enjoy plenty of rumpunch.

It's weird that decrim Jamaica is morefree than legalized Oregon.

On the other hand, the Pacific Northwesthas nothing to fear from Jamaican ganjacompetition. There is a Rasta on everycorner offering bags of fresh ganja on thestem, but when they lie to brag abouttheir weed, they say it tests at 14% THC.

I might spend $5 US on a 14% THC pre-roll salad joint. Maybe, if I've only got $5on me. But to brag to 14% a field-weedthat's lucky to hit 8% is a huge breakfrom what I'm used to in Oregon. There'sa reason you see those Rastas puffingtough all day long: They have to.

Let's hope the future of marijuanalegalization is more Oregon genetics andJamaican culture. the only thing thatwould make this rum punch by the poolany better is some real bomb-assAmerican ganja!

© 2015 Oregon Cannabis Connection. AllRights Reserved.

On November 19, 2015, Medford's CityCouncil was overwhelmed with peoplewho were opposed to the residential growban the city had recently proposed. Theyhad to extend the public comment periodto the evening session. With a largeturnout of opponents of the measure,many people who had planned to speakwere not allowed due to the 30 minutetime limit Mayor Gary Wheeler placed onthe afternoon comment period, whichthey handily blew past.

Of the dozen or so people who spoke, notone expressed support for the ordinance,which was brought forth a few weeks agoafter the city voted to allow medicaldispensaries, but not recreational ones,to operate in city limits.

After heated exchanges between MayorWheeler and the crowd over decorum, thespeakers proceeded to explain why theban is a dumb idea, and likely illegal.Speakers included attorneys, businesspeople, growers, patients, and activists.

Attorney Robert Graham, who has foughtMedford in court over their stance onmarijuana dispensaries, explained to thecouncil, “You are demonizing this issueby creating fear in the community....Let’s talk about the issues; let’s notdemonize the patient.”

Councilman Daniel Bunn objected toGraham's characterization, andcomplained that the media took hiscomments out of context. He had beenquoted in the local newspaper about howsome residents are scared. The decorumthe Mayor wanted to see began gettingshaky at that point.

“That was an extremely truncatedquote,” said Councilman Bunn.“Everyone knows that's a ridiculousthing to say—that you should be afraid ofpeople that use marijuana.”

The crowd explained, almost in unison,“That's the problem!”

Soon after that, Councilman ChrisCorcoran broke into the discussion andasked if they could have a “privatesession,” and possibly remove everyonefrom the chamber. That, of course, madethe crowd even more agitated!

After Mayor Wheeler got the situationunder control, comments continued.Speakers were passionate, articulate,and raised many good points. Many toldthe council how the law would affectthem personally, and others explainedthat the people of Oregon had deemed itlegal, so the council was stepping out ofbounds with their ban.

Brent Kenyon, owner of Southern OregonAlternative Medicine, Grateful Meds,and a member of the OLCC RulesAdvisory Committee for marijuana,spoke eloquently and tried to let thecouncillors know that many patientsneed to grow their medicine, so a ban isnot an option for them. He alsomentioned the 12 plant limit inresidential grow sites now mandated atthe state level, and debunked thesupposed “odor problem” which resultedin Medford's current smell ordinance.

With dozens more waiting to comment,the council made a motion to extend thesecond reading and the vote to theevening session. The evening commentperiod ran even longer, as everyone wasfinally allowed to speak.

Finally, the council began discussing theordinance prior to their vote, andCouncilman Michael Zorosinski almostimmediately expressed his discomfortwith the onerous law and said he wouldnot support it. Councilmen Bearnson andStine immediately concurred, and soonthe tide had apparently changed.

With a suggestion to send the issue to acitizen referendum already floated fromPresident Bunn, the council movedrather quickly to strike down theproposed ban, and then moved to begindrafting two referrals for the November2016 ballot: One to ask residents if theywant to ban indoor growing, and one toask if they want to ban outdoor grows.

The vote was 7–1 against the ordinance,a striking change from a couple of weeksago. At that point, the Mayor threatenedto veto the council’s surprisinglyinclusive marijuana business licensingand zoning ordinance they had justpassed in October, and he demanded theban as a compromise. After the firstreading, the council voted 6–2 in favor ofthe ban, and scheduled the secondreading for the session yesterday.

Councilman Bearnson expressed hisdisappointment with the efforts of thecouncil, explaining that to focus so muchattention on marijuana while themethamphetamine problem continues torun rampant in the region is not theleadership that is needed. He said, “I amhopeful that once this issue is behind us,that if we as a council are willing toinvoke home rule authority to combatdrug crime problems that we will take arisk by combating methamphetamineuse, which is the scourge of this valley.

More importantly, he also expressed hisappreciation to the large crowds thatday.

“I thank every one of these people forcoming down today, because this is howdemocracy works,” explained Bearnson.“It's best when you show up and it's evenbetter when legislators listen to people.I'm pretty proud of you here, right now.”

The point was made by a council memberthat, under a previous ordinance passedmonths ago that dealt with residentialmarijuana grows, residents are limited toonly four plants. So, medical patientswanting to grow 12 plants as the Statelaw allows will not be allowed.

The rank smell of a lawsuit still lingersin the air if that rule is not changed.

© 2015 Oregon Cannabis Connection. AllRights Reserved.

Oregon News Oregon Cannabis Connection

Medford DropsProposed ResidentialGrowing Ban

Is Oregon As Good As It Gets?

OregonRadical

Our recurring column from "Radical" Russ Belville ofCannabisradio.com, the host of The Russ Belville Showlive daily at 3:00pm PST.

IImmaaggee KKeeiitthh MMaannssuurr,, OOCCCC

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Ballot Measure 91 specifically stated “…the Act may not be construed to affect oramend the Oregon Medical MarijuanaAct” and “[d]o not affect or amend in anyway the functions, duties or powers ofthe Oregon Health Authority under theOregon Medical Marijuana Act.”

In ignoring this directive, the Legislatureadopted changes to the Oregon MedicalMarijuana Program the impact of whichhas not been seen since the Legislaturelast adopted sweeping changes in 2005.Even those changes did not have theenormous effect on patients that thesechanges will have. Many of thesechanges have not been well received bypatients, growers, or the industry.

Effective dates unrealistically put inplace under HB 3400 put pressure onstate agencies to adopt rules quickly, andthe Oregon Health Authority (OHA) hasfelt that pressure.

With a new program administrator, twoseparate marijuana advisory committees,unrealistic effective dates and a mandateto adopt rules that also apply to otheragencies, it has not been an easy task forthe OHA.The rule process involves not onlywriting the rules but doing so within aspecific time frame required under theAdministrative Procedures Act. This hasproved challenging. The Act requiresrules to be filed with the Secretary ofState’s office in time to allow theagencies affected by those rules toestablish forms, application processesand compliance and enforcementprocedures.

In addition, rules may be adopted aseither permanent or temporary. All therules adopted to date have beentemporary, allowing an additional sixmonths to re-work problem areas forinclusion in the final, permanent rules.

For the OHA, this has involved writingrules for packaging, labeling and testingthat will apply to the Oregon LiquorControl Commission, OregonDepartment of Agriculture and the OHAitself. With input from the Retail

Marijuana Scientific Advisory Committeeformed by the OHA to address publicsafety issues around legalized marijuana,the Advisory Committee on MedicalMarijuana (ACMM) and the generalpublic, the temporary rules havegenerated concerns from all sectors,including the infused productsmanufacturers, labs, and industry ingeneral.

The current RAC began meeting inNovember to develop rules for HB 3400and SB 844, and will wrap up theirmeetings before the end of the year andsubmit final temporary rules in January.

Issues facing the OHA includeestablishing rules for the new medicalmarijuana processors license, applicationprocedures for patients under newpatient and plant limits and rules fordispensaries and labs.The new laws adopted under HB 3400established effective dates, including aMarch 1, 2016, deadline regarding newplant limits. The complexities of thisrule have created challenges for theOHA. They also created an unreasonablyshort transition period for patients whoneed to find new growers because of thereduced number of patients allowed peraddress.

Indeed, the “grandfathering” of grow siteaddresses has complicated theapplication process. Now required will beconfirmation of age and residency forgrowers, approval of grandfatheredaddresses by the OHA and the need tomake sure all patient applications arenot designating grow site addresses thatare already at the new limits.

For instance, under new patient/plantlimits, the OHA will have to look to thenext year to determine whether adesignated address exceeds the numberof patients allowed under the new law.This, as of now, will be done on a first-come first-served basis by the OHA andany grow site address submitted by apatient must be cross-checked to ensurethat no applicant’s designated addressexceeds the number of patients peraddress allowed under the new law. Anyaddress that has more than the numberof patients allowed under the new lawmust cut their patient numbers by March1, 2016.

If you are the 17th patient designating aspecific rural grow site address, yourapplication will be rejected. The worstcase scenario under these limits is arenewing patient who becomes the 17thpatient to apply at his own addresswould be denied and have theirapplication rejected. This patient wouldnot be allowed to grow their medicine ontheir own property.

We can expect many changes in thefuture for cannabis laws under theserules, whether adopted by OLCC, OHA,ODA or the Department of Revenue. Weall need to remain vigilant in attendinghearings, reviewing draft rules andsubmitting our comments and proposedchanges.

This is not an easy task in the fast pacedworld of writing and adoptingadministrative rules.

© 2015 Oregon Cannabis Connection. Allrights reserved.

Oregon News Page 7Dec/Jan 2015­16

Anthony Taylor is the President ofCompassionate Oregon and has unique accessand insights into Oregon's lawmaking process,much of which takes place in the Capitolbuilding, near the corners of Church and Statestreets in Salem.

Image:Anthony Taylor, OCC

Oregon Cities continue to ban marijuana dispensaries and businesses of all kinds. Some have chosen to send thedecision to voters, as Medford recently did, while others acted hastily and passed laws that are likely illegal. Foolishordinances abound across the state like: sales taxes on medical marijuana sales in La Pine and Dundee, no outdoorgrowing in Grants Pass, a ban on recreational sales in Klamath Falls, commercial grow bans in some communities,and smell ordinances all over the place.

We suggest keeping close attention on your local Planning Commissions and City Council meetings to be preparedto defend your rights. Patients are in jeopardy of losing their rights to grow in some areas, so diligence is needed.

Below is the current list (Nov 20th) of cities and counties with bans in place, from the OLCC. Douglas County, Mil Cityand Aumsville were added Dec 7th. http://www.oregon.gov/olcc/marijuana/Documents/Cities_Counties_RMJOptOut.pdf

Page 9: 0606 Issue OCC

We will be covering more at MarijuanaPolitics and at the ICBC of course, buthere are 3  last-minute changes toOregon’s recreational marijuana rulesthat can greatly impact one’s business:

1. Out-of-state businesses may end upgetting licensed after all. Residencyrequirements have been a hot-buttonissue among legislators, industryparticipants and policy makers. Whilethe current rule states that an Oregonresident with at least 51% ownership of acompany must be the primary applicantfor wholesaler, grower, processor andretailer licenses, the OLCC addedlanguage that out-of-state businesseswouldn’t get disqualified if they appliedand the Oregon Legislature changed thelaw. Several members of the JointMarijuana Committee have expressedthat they may change the residencyrequirement as they want to ensure thatbusinesses have the resources they needto succeed. Some committee memberswill certainly want to keep the residencyrequirement, so residency will be a hottopic to watch during the 2016 legislativesession.

2. Delivery services will be allowed, butonly in a very limited fashion. TheMeasure 91 legalization initiative calledfor the allowance of delivery services.However, after some pressure from localgovernments, law enforcement and evensome inside the industry, the OLCC isonly allowing deliveries where no morethan $100 of marijuana products arecarried and deliveries may not be madeinto jurisdictions that have bannedmarijuana retail outlets. Allowingdelivery, even into communities thathave banned marijuana businesses, isimportant to some legislators, andcertainly many constituents living withinthese areas, that we may see somelegislative changes regarding delivery aswell.

3. Budtenders may not have felonies ontheir record, unless it is a marijuanafelony more than two years old. Creatingjobs is one of the most excitingcomponents of legalizing marijuana, butsome people will be locked out of theopportunity, unfortunately. While it isgreat that marijuana offenses more thantwo years old may not be used against an

applicant or budtender, there are manynonviolent offenders that deserve thechance to enter the market. A nonviolent(non-marijuana) drug offender, forinstance, wouldn’t be able to even be abudtender (or marijuana handler) underthe last-minute rule change, even if thefelony conviction was 20 years ago.Apparently, the OLCC Commission willlook to raise the issue with the OregonLegislature, but the cannabis communityand concerned citizens should lobbylegislators to give people convicted ofnonviolent offenses, if those offensesdon’t impact their work at a dispensary,another chance.

While all of the rules and regulations canseem daunting, the future of the Oregoncannabis industry is very bright. Therewill certainly be growing pains as theindustry gets off the ground, but theindustry has the opportunity to follow inthe craft beer industry’s footsteps. Somechanges will be made and more areneeded, but compared to other laws andproposals, the Oregon marijuana systemhas a good foundation to ensure that theregulated cannabis industry can be anindustry that Oregon can be proud of.

© 2015 Marijuanapolitics.com. All rightsReserved. Reprinted by permission.

Most California labs needing NELAC/TNIcertification have contracted withORELAP, lending credence to the assertionthat they are very capable. However, theCalifornia situation has already added totheir workload. Could adding a largenumber of cannabis testing labs to theirduties prove difficult?

ORELAP seems to have a handle on it. A30-day turnaround is required on ORELAPassessments, but they currently do it in aunder two weeks. Also, the speed of theprocess is primarily determined by the laband whether they are prepared and theirprocedures are complete.

“The limiting time factor when our report iscomplete is how many deficiencies orfindings of non-compliance the lab has toaddress,” Swantek said. “They are requiredto respond to these deficiencies within 30days but, if the findings are severe, thecorrection must be complete beforeaccreditation is granted.”

What is required and what would be atypical fee for accreditation of a lab? Thereis a fee calculator available for labs that areinterested athttp://public.health.oregon.gov/LaboratoryServices/.

Another Standard for Testing

There is another standard that could beused to accredit labs. According toBrauninger, if they use the requirementsset forth in ISO/IEC 17025:2005, thestandard used by the InternationalLaboratory Accreditation Cooperation(ILAC) mutual recognition arrangement,instead of NELAC/TNI standards, anindependent accreditation programs couldbe a solution to any logjam.

“Other accreditation bodies that operate tojust ILAC [the international accreditationstandards], like A2LA and our competitors,have plenty of auditors and we have theskill set to be able to go in and analyze acannabis laboratory.”

Beyond the accreditation requirement,ORELAP is also required to monitor thelabs in order to check on their proceduresand practices. This process will requiresurprise site visits and analysis of the labs’work.

“They should probably allow for third partyaccreditation of labs so they can handle theoversight of the labs [that are] operating,”explained Joe Rutkowski, a head chemistwith Iron Laboratories who helped withtheir laboratory setup in Oregon.

Iron Laboratories opened a testing lab inEugene a few months ago, but they havebeen operating in Michigan for years andare already ISO 17025 accredited there.They believe a company like theirs mighthave a smoother process since they arealready ISO-certified and know what toexpect.

“It gives you an advantage because youhave already gone through the ISOcertification process so you are morefamiliar with what is necessary,”Rutkowski said.

That change would be a heavy lift,according to Swantek. “The decisionsregarding third-party accreditationprograms would have to be made andchanged at the legislative level. Thelegislature determined the accreditationbody in administrative rule and this wasnot solicited by ORELAP.”

Reordan, of Green Leaf Labs, thinksORELAP’s oversight and NELAC/TNI’sstandards are the best choice for Oregonand she fully supports the Rule requiringORELAP accreditation.

“I believe ORELAP is the best organizationfor accreditation of Oregon Laboratories,”she explained. “They have the knowledge,experience and are extremely reputable.”

“They have experience accrediting otherOregon laboratories,” Reordan added.“They are headquartered in Oregon and areable to have local oversight and insight onOregon’s cannabis testing industry.”

She believes an out-of-state third partyaccreditation company cannot have thesame level of commitment or the same levelof oversight.

“I understand the argument for ISO 17025standards,” Reordan states. “However,NELAC/ TNI not only incorporate many ofthose standards, but go above and beyond,requiring more accountability and moreresponsibility. We have to work at buildingback Oregon’s cannabis industry’s trust inanalytical testing. If we are going to beaccredited, let’s be the leaders inaccreditation and have the higheststandards, which is what ORELAP andNELAC/TNI offer.”

Higher Testing Prices

Another requirement that could be aproblem for many labs is the pesticidetesting standards in the rules, which willrequire very expensive equipment in orderto obtain the level of accuracy required.The type of equipment needed, like a HPLCsystem with triple quadrupole MS-MSdetection, is hundreds of thousands of

dollars, on sale! This requirement alonewill put many labs out of business.

“A reasonable rate for the battery of testsrequired is $200 to $300 dollars,minimum,” explained Goldman, who has aunique view on the pricing. “That's thegoing rate around the rest of the country.Iron Laboratories have performed over50,000 separate tests on cannabisproducts…which sets us apart from otherlabs.”

The current prices as low as $100.00 for a“full state compliance test” under HB 3460will become a thing of the past. The newrules will be in effect in June and priceswill likely rise to sustainable levels for thistype of industry.

Immediate Changes Proposed

Most recently, a suggestion was made tothe OHA that 10–12 most commonpesticides be immediately added to therules to provide a stopgap measure to helpcurtail some pesticide-laden products fromreaching the market.

Oregon NewsPage 8 Oregon Cannabis Connection

3 Last Minute Rules Changes

Image: Iron Laboratories

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Russ Belville has been advocating for theend of marijuana prohibition for over adecade. He is a proud Oregon transplant, asso many of us are, and is instrumental ininforming everyone about cannabis acrossthe nation through his internet radio show

We are glad to havehim contributing to the Oregon CannabisConnection and wanted to give everyone abit more insight into his motivation,inspiration, and plans for the future.Luckily for me, Russ was able to sit downand chat with me during the Thanksgivingweekend while I visited my daughter inPortland. Here are some excerpts of ourconversation.

OCC: When did you become involved in themarijuana legalization movement?

RB: It was kind of late, actually. It wasn't untilMay 2005 that I officially got involved. I grew upin Nampa, Idaho, and didn't smoke pot until Iwas 22, and I never took it as any sort of politicalthing. I just smoked pot, I knew it was illegal,and I knew that was stupid, but I didn't doanything about it.

I got married in 2001 and moved to Oregon in2003 because my wife, Iva Cunningham, neededto be a medical marijuana patient. That's when Istarted to become political, because in Oregoneveryone is more political, about anything, really.There were events happening with OregonNORML, the Seattle Hempfest, and otheractivities, but it was May 7, 2005, that I went tothe Global Cannabis March at Portland’s PioneerCourthouse Square.

I was blogging at the time and a woman namedAnna Diaz came up to me… and she had beenreading my political blog. She was excited tomeet me at the march, and she introduced me toMadeline Martinez, who was the OregonNORML Executive Director at the time. Fromthat moment on it was just a whirlwind ofactivity getting me involved. Just two weeks in Iwas hosting their Oregon NORML cable accessTV show, and a month in, I was redesigning theirwebsite, and within six months I was theAssociate Director.

OCC: You eventually became involved withthe national NORML organization, how didthat come about?

RB: It was a remarkable case of being at theright place at the right time and having a wholelot of luck. In 2006, with encouragement from mywife Iva, I entered a nationwide talent contest

through a liberal talk radio station, KPOJ inPortland called “The Search for the NextProgressive Talk Radio Star.” I knew nothingabout talk radio, but after weeks of pesteringfrom Iva to enter the competition, I hurriedly puttogether a two minute clip the night before thedeadline… it was something about Bill O'Reillyand how stupid the idea of a “War on Christmas”was. Well, to my surprise, I won the localcompetition, and eventually made it to the finals

out of 24 entries. The final head-to-headcompetition was held at the Center for AmericanProgress, a liberal think tank in WashingtonD.C. before a live crowd of about 300 people. Iwon that event, too, beating a gentleman fromColorado! That led to a talk radio show on XMsatellite radio I did for two years, until it wasdropped after the merger of XM and Sirius andthe subsequent downsizing of shows thatoccurred.

In the meantime, Chris Goldstein had createdthe Daily Audio Stash internet podcast forNORML and coincidentally had to leave as thehost of the program just when I got the ax fromXM radio. NORML put out the call, “Is thereanyone out there that knows a lot aboutmarijuana who also has radio experience?” It wasthe perfect job for me, so I started working fornational NORML doing the Daily Audio Stash.

That's when I learned that a podcast takes morework than a live show. If you want to do a 30-minute podcast it can take four or five hours ofwork, because of editing, re-recording, and fixingand all that. But, if you do a live show, it takes aslong as a live show, so I transitioned the DailyAudio Stash into NORML Show Live—A livepodcast recording. Then, I thought it would begreat if other NORML chapters had that andcould be on the same network, so I created theNORML Network that provided a live 24-hourstream of activist content.

I was also the National Outreach Coordinator forNORML, and was basically responsible forrecruiting new chapters and coordinatingexisting ones. In my four-year tenure, we created71 new NORML chapters.

OCC: When did you start The Russ BelvilleShow?

RB: I left NORML in May 2012 and started 420Radio and The Russ Belville Show independentlyin June. I went through a few changes early on,including the name “Pot Net”, but eventuallydecided on 420 Radio, partly because I could getit. 420Radio.com was taken, but 420Radio.orgwas not.

The whole reason for having 420 Radio was tocontinue that mission of giving activists aroundthe country and around the world a place fortheir messages to be heard. There's a lot of greatpodcasts out there, but unless you're looking forthem, you don't know they exist. I figured if youhave a live stream and you turn it on every oncein a while, you would hear something playingand you might think “Who's that; that's aninteresting topic” and that would lead you tosubscribe to their podcast.

I was always way too busy to develop it properly,to market and advertise it, so now what's comeup is that a group of people who already puttogether a podcasting network for the videogaming industry now want to put together apodcasting network for cannabis. It's calledCannabisRadio.com and they have signed me on.My show, The Russ Belville Show, is exclusivelythrough CannabisRadio.com. 420 Radio is goingto become an all cannabis-related music stream,and also provide entertainment-relatedprogramming like cannabis cups, hempfests,expos and stuff like that. The current talk radioshows will migrate over to CannabisRadio.com.

The CannabisRadio.com lineup will include livetalk radio, live event coverage and electioncoverage, and podcasting for all cannabissubjects. We cover legislation, advocacy,cultivation, legal issues, enthusiasts… all sorts ofcategories. For example, Vivian McPeak ofSeattle Hempfest has a show, Mitch Earlywine ofNORML has a show, SSDP has a show, and KyleKushman, the renowned grower, too. We'rebuilding a one-stop shop for all the best cannabis-related shows.

OCC: You supported Measure 91 in Oregon,can you explain more about what you didduring the campaign?

RB: Over the years I have had many

opportunities to deal with those opposed tocannabis legalization. Currently, the oppositionis led by a guy named Kevin Sabet. His group iscalled Project SAM, or Smart Approaches toMarijuana use, but I like to call them ProjectSAMUEL, Smart Approaches to Marijuana UsesExcept Legalization!

They are the leading anti-marijuana group and Ihad the opportunity to debate him at the BakerInstitute in March of 2012. I have seen him in alot of debates and I'm proud to say I think Iflustered him more than anyone I have ever seen.Kevin Sabet is the Joker to my Batman. All yourbest superheroes are defined by their enemies,and he is my Joker.

Back in 2012, during the failed Measure 80campaign in Oregon, Sabet came out here on thetaxpayers’ dime, where local drug treatment anddrug prevention type organizations used grantmoney to pay for him to spew his reefer madnessall around the state. Well, in 2014 he announcedthe same damn play, except this time Measure91 had more support and the backers objected,citing Oregon's strict campaign laws againstpoliticking with public money. After I startedwriting about it in my Blog, it got picked up on byRepresentative Blumenauer's office (who is myCongressman and I'm proud to say I get to votefor him). His inquiries into the misappropriatedfunds made such a scare that many countiesbacked out. Of the 13 tour stops Sabet hadplanned, he had to cancel six.

Once the evens stops were determined, Iresearched the funding of them using Oregon'sopen records law, which is our Freedom ofInformation law here. The email records Iobtained showed a lot of shenanigans werehappening, which included using countyresources and county time to solicit private fundsto pay for Sabet’s tour. They also showed he waspaid $3,000 dollars per stop, plus expenses, soI'm happy to say I cost Kevin Sabet $18,000dollars, but he still made $21,000 for going tothese other seven places, plus expenses!

To top it off, once Sabet got here, I used a GoFund Me campaign to rent a car and follow himall around the state and attend each event so Icould ask questions, take pictures, and documentthe whole thing. I definitely caused him a lot ofconsternation during the presentations.

OCC: You helped with the creation ofPortland NORML, how did that comeabout?

RB: We formed in January 2015 and it cameabout because my friend Randy Quast, whofounded Minnesota NORML back inMinnea

polis, moved to Portland and he wanted to getinvolved with NORML out here. He didn't see alot happening with Oregon NORML or otherchapters so he asked me if I would be interestedin co-founding a chapter of NORML for Portland,and I thought that was a great idea. Now thatwe’re legal, we need to come up with how we canbe equal, so there's a lot of work left to do.

We have been involved with a couple of the hempexpos, we've been having two or three meetings amonth that are at the Analog Cafe. We arehelping people get their first seedlings andmarijuana seeds and educating them on what'shappening in the city of Portland concerningcommercial regulations, zoning issues, and allthe rules pertaining to recreational marijuanahere in Portland.

OCC: You received a little heat fromactivists in Ohio recently, what happenedthere?

RB: I have done marijuana election nightcoverage every election since 2010. I covered Prop19 in California from Oaksterdam. In 2012, I wasin Seattle and had live correspondents inPortland and Denver, and in 2014 I was here inPortland doing coverage for Measure 9. In 2015,some activists got donations together to fly meout to Columbus at the last minute, literally amonth before the election, and I covered theirelection for Issue 3 of the OCC.

The proposedlegislation wasincrediblycontroversial,especially amongthe activistcommunity. First,it mandated thatthere would beonly 10 “lands”upon whichcommercialcannabis could begrown, and those10 lands werealready owned bythe 10 investmentgroups thatkicked in 10million buckseach to get theissue on theballot. To manythat smacked of an oligopoly of big money beingable to buy themselves the capture of thewholesale marijuana market. It was very, veryunpopular amongst the activist community. Toadd insult to injury, they went and used thiscartoonish mascot called “Buddie” to try andpromote it amongst the college kids, whichplayed into the worst fears of our opponents,when they say, “big marijuana is going to be thenext Joe Camel.” And there they go, they go andmake “Buddie” the next Joe Camel.

It was very unpopular and most in activismcommunity were dead-set against it. I was one ofthe few national voices that was verytriumphantly cheering for it. Colleagues couldn'tbelieve that I would be standing up for this, evenactivists I've known for 10 years, but for me it'sreally simple: I've been dealing with a monopolymy whole life… “the guy.” When you're a weedsmoker, you gotta have “a guy.” You have toknow a black market connection, and usually it's“a” black market connection. Most people don'thave more than one, and if you do, it's two orthree, almost never immediate access. I don'tcare who's growing it, I never have cared who'sgrowing it… I'm from Idaho where we have twokinds of strains, Got Some and Don't!

So, for me I don't care who's growing it. I havefour requirements, basically in this order: can Ipossess it, can I use it, can I grow it, can I buy it.It fulfilled all those requirements for me. For 10years I've been counseled on how the war ondrugs is, as Michelle Alexander put it, “the newJim Crow” or as Judge Jim Gray said,“the worst

Oregon News

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Dec/Jan 2015­16 Page 9

NORML Show LiveImage: Youtube

Image Courtesy: Russ Belville

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OCC sits down with Oregon's"Radical" Russ Belville

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policy decision since slavery.” To say we’renot going to end that because we don't likethe way the business end is set up, meanswe don't really think it’s as bad as slavery orJim Crow. That's where I came down on it.If it ends arrests and ends harassment, therest of the details on the back end can beworked out.

OCC: What are your plans for 2016 withThe Russ Belville Show andCannabisRadio.com?

RB: I'm an old road musician. I startedsmoking weed in 1990 mostly when I wasplaying rock music in bars. I was born onthe road… my dad's an old musician and Iliterally grew up on the road in a base drumcase as my play pen. When I became ayoung man I toured and loved playing on theroad. I always wanted to marry that part ofmyself, the “rambling man,” with themarijuana advocacy and do a tour. Wewould show up in places like Wichita,Kansas, and Enid. Oklahoma, and Fargo,North Dakota, and Richmond, Virginia andall across the country!

We can do 90-minute presentationsexplaining why they should embracecannabis, or everything you ever wanted toknow about marijuana, or something else,and broadcast the Russ Belville show fromthose locations, too! They don't know thisstuff in Oklahoma, they don't know this inWest Virginia, so I want to go to these areasand sort of “seed” the intellectual andpolitical ground to get people to startthinking about legalization as it’s comingaround their way.

My dream may become a reality withCannabisRadio.com. They have a fifth wheelavailable, so we just need to get a pick-up, awrap, some sponsors, and the schedule. Wewill take it to college campuses perhaps. Wewill hopefully have an exhibit—a hemp andcannabis museum of sorts for people to seeso we can show people a block of“hempcrete” and hemp rope and clothing.

We are looking for sponsors! We are in theearly stages, but we will have room for bigsponsors and smaller donors as well, andcan recognize them on the RV or on theshow. Anyone interested should let us knowsoon, we hope to be in San Bernadinocovering the High Times Cannabis CupJanuary 30 and 31—a huge two day event!

To contact Russ Belville, you can simplyemail him at [email protected].

Also, Find him @RadicalRuss on almostevery social media - Gmail, Facebook,Twitter, Instagram, YouTube, SoundCloud,LinkedIn, Snapchat, Periscope, andUstream.

Catch his radio show on weekdays at 6pmEastern and 3pm Pacific atwww.cannabisradio.com

© 2015 OCC. All rights reserved.

Mowgli Holmes, an owner and scientist atPhylos Bioscience in Portland, submittedrecommendations to the OHA committee forchanges to the current standards, whichonly test for four very broad classes ofpesticides.

"The problem is that these pesticide testingrules don't make any sense and can't befollowed," Holmes told the OHA. "Stuff isgoing onto the shelves and it looks like theyhave been testing for pesticides and it hasn'tbeen tested for pesticides."

Whether these recently suggested changesto current standards are adopted is still upin the air, and with no oversight currently inplace, it's hard to say how the temporarystandards proposed by Holmes would beenforced or monitored.

One thing is certain: Next June thelandscape of cannabis testing in Oregon willchange drastically. Growers should bepreparing for the changes, too, and stopusing pesticides not on the OHA pesticidelist. OCC will cover that in our next issue!

© 2015 Oregon Cannabis Connection. AllRights Reserved.

• New OMMP staff were introduced, including Andre Ourso,who is now in charge of the OMMP.

• Andre reported on the backlog campaign, which was startedto get caught up on medical marijuana card applications. Twogroups of staff are working simultaneously on September andOctober paperwork, and they expect to reach their 30turnaround time shortly.

• Verifications for Attending Physicians are no longer beingrequired to be mailed in. Staff can verify by phone whenneeded. This is expected to cut turnaround time by week or so.

• The Medical Marijuana and Dispensary programs are beingmerged, new staff added and the website will consolidate thetwo programs on one portal.

• Michael Tynan and Shannon O’Fallon reviewed therulemaking process for M91 and subsequent legislation.ACMM is represented by Cheryl K Smith. OHA is responsiblefor all rules on labeling, testing and serving size. Membersreceived copies of the current draft of rules.

• An online application for the OMMP is being developed. Thissystem will be more efficient, using a web-based portal, withpaper backup, and include processors, growers anddispensaries. The statutory deadline for this is March 1 . ACMMagreed to do beta testing.

• The report on LEDS (law enforcement inquiries) showed thatthe inquiries are down 66%.

• The budget document showed that OMMP no longer has abalance of $8-9 million. Five million of that was added to PublicHealth systems and support for systems improvement, inaddition to the funding for other programs that has allocatedover the past few years. Much like the lottery, the OMMP hasbecome a cash cow for programs to milk, rather thanallocating from the General Fund.

• Aligra Rainy, chair of the Outreach and Education Committee,reported that they have reached out to Americans for SafeAccess (ASA) for assistance with budtender training.

• Gerry Lehrburger, MD, chair of the Horticulture and ResearchCommittee, shared a draft letter to OHA. This was a followupto the research proposal he submitted last March. The ACMMagreed that he should send the letter, which is asking not for afinancial commitment, but for endorsement of proposedresearch on medical cannabis.

• OHA staff agreed to provide numbers on three differentscenarios for fee decreases developed by the ACMM, whichare expected to be presented to the Marijuana RAC onDecember 7, 2015, as part of the proposed administrativerules.

• ACMM voted in favor of two proposals: 1 . To opposedecoupling of patients from growers; and 2. To interpret thestatute and recommend that residency under the OMMP not belimited to Oregon.

Oregon NewsPage 10 Oregon Cannabis Connection

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US Postal Service Says No to LegalMarijuana Ads in OregonFrom The Leaf Online

Neither snownor rain norheat nor gloomof night staysthe US PostalService from itsappointed rounds — but apparently a singlead for legal cannabis is all it takes to stopthe agency in its tracks. That’s the gist of anew memo issued by the Postal Service torural newspapers in the Pacific Northweston December 1st.

The memo, issued from the Portland,Oregon, Postal Service office, remindednumerous rural weeklies, many of whichoften rely on the postal service to delivertheir papers to their subscribers, that it wasa violation of the federal ControlledSubstances Act to “place an ad in anypublication with the purpose of seeking oroffering illegally to receive, buy or distributea Schedule I substance.” When thisprovision is combined with the broad reachof federal conspiracy laws, it effectivelymakes any newspaper that publishes suchmaterial complicit in a scheme to distributea federally illegal substance.

The Friday memo is just the latest in aseries of double standards targetingcannabis-themed advertising. This summer,ABC television network pulled an ad for theOregon Medical Marijuana BusinessConference to be held in Portland, despitethe fact that the ad did not promote the useof marijuana in any way. Far fromendorsing any illegal activity, the adpromoted a conference that had the specificpurpose to help entrepreneurs operate incompliance with Oregon’s cannabis laws —yet apparently, even information on how toobey the law is too inflammatory for thepublic to receive.

The absurd episode simply underlines theneed to reform outdated federal law, which

continues to treat cannabis as theequivalent of heroin — despite extensiveevidence showing that it is less harmfulthan alcohol and growing evidence of itsmedical benefits.

© 2015 The Leaf Online. All rights reserved.

Reprinted by permission.

Cannabis Lounges In Oregon May HaveTo Close January 1stOregon Cannabis Connection

The World Famous Cannabis Cafe (WFCC),and possibly a few other marijuana“lounges” in Oregon, will be closing onJanuary 1, 2015. They will be forced to closeby the Oregon Health Authority because ofnew laws passed this year. House Bill 2546was designed to deal with e-cigarettesindoors, but changes to the definitions inthe statutes were made to include cannabisso, beginning January 1, smoking weed in aindoor public place will be illegal.

Although dispensaries cannot permitconsumption on premises, the few “lounges”that do exist allow patients under theOregon Medical Marijuana Act to bringtheir own, also known as BYOB, or BringYour Own Bud. For years these lounges, theWFCC being the nation’s first, were allowedto operate in a legal gray area, because theywere private clubs. That will come to an endwith the new year.

Attorney Leland Berger told the OCC, “I amconcerned that OHA is following the OLCCpoint of view about what is or is not a publicplace .”

Madeline Martinez,the WFCC founder,told The Oregonian:

"All of the peoplewho come here aregoing to go into theircars and smoke or gointo parks andsmoke. Where dothey go? What do wedo? We'll just havemasses of peoplewalking down the street imbibing. To me,that's a nuisance. That's not what we want.That is not what Oregonians signed up for

when we passed this law."

If they do, any publicly accessible business,or private club that has employees, will notbe allowed to have smoking on site, of anysort. That will include cigarettes, cannabis,or e-cigs and vaporizers, too. Currently onlycigar bars and smoke shops are allowed tohave smoking on site, and a certificationfrom the state is required.

© 2015 Oregon Cannabis Connection. All rights

reserved.

La Pine Imposing Illegal 5% Sales Taxon Medical MarijuanaOregon Cannabis Connection

Community “leaders” in La Pine Oregonfoolishly passed a 5% tax on medicalmarijuana sales in the small CentralOregon town. The tax, which is prohibitedunder legislation last year, has gotten thetown a lot of press recently, much to thesurprise of their seriously uninformed CityManager, Rick Allen, who told TheOregonian he was surprised that La Pine“stands out” for their decision.

Theirdecision toimpose thetax, whichwas followedthrough onby only oneother Oregonhamlet,Dundee, goesdirectlyagainst lawspassed in the last session in Salem.Oregon's legislative council explained in aletter that no community can pass a tax onmedical marijuana, only on recreationalsales at OLCC licensed dispensaries whichare far from being open. Even then, only a3% local tax will be allowed, not a 5% tax asLa Pine imposed.

The city has collected over $5,400 dollars intaxes from the two dispensaries in the town,which has a population of about 1,700residents. They have not spent the money,understanding full well it is not going tohold up. Allen told The Oregonian, "Notknowing where this all will shake out, wewill not spend it on anything, It's justsitting there."

Matt Toepfer, owner of High DesertBotanicals, pays over $700 dollars to thecity, on average, every month. He told TheOregonian's Noelle Crombie, "We pay waymore in taxes a month to the city than wedo for our own rent and some of our otherbig bills. We are not passing that tax ontothe customer; we are eating it every month.”

They may be reconsidering the tax inDecember. Check with the OCC CannabisNewsgroup on Facebook for updates. Onecan only hope they pull their heads out oftheir… well, I will let your imagination runwith that.

© 2015 Oregon Cannabis Connection. All rights

reserved.

Oregon NewsDec/Jan 2015­16 Page 11

OregonNews Nugs

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Ohio took a shot at legalizing marijuanalast month, and fell far short. They wereso far short that they not only failed topass a voter initiative, the electoratevoted to ban monopolistic control overmarkets that deal in controlledsubstances—most specifically, Cannabis.So, not only did Ohio fail with a yes voteof only 36%, they managed to put a majorroadblock in the way of futurelegalization efforts for medical orrecreational marijuana by passing theopposing measure, Issue 2.

Let's break this down into the majorparts that were at play in the failure ofIssue 3 on November 3, 2015.

First, the measure was too broad fora state like Ohio.

Issue 3, created by Responsible Ohio,legalized both medical and recreationalsimultaneously, a bold move for sure.But, was that the right move in aMidwestern, rust-belt state like Ohio?With the poor results seen Tuesday, itappears it may not have been.

In every state, even in liberal states likeCalifornia and Oregon, initiatives thatare controversial tend to struggle at theballot box in non-presidential electionyears. Recent examples just concerningmarijuana include: Oregon's Measure 74in 2010 for medical dispensaries (only44% yes), California Prop 19 in 2010 forfull legalization (only 34% yes), Florida'sAmendment 2 for medical use in 2014(only 58% and needed 60%).

Second, the measure sharply dividedthe pro-marijuana crowd acrossOhio.

With the oligopoly set up by the measure,Issue 3 would have created only 10properties allowed to grow marijuana inthe state. Though over 1000 independentdispensaries were called for, and ediblemanufacturers, concentrate makers, andmany other businesses would not havehad restrictions like the growers, theoutcries from small farm marijuana

supporters was loud and fierce: “No bigbusiness control of marijuana in Ohio!”The same factor was at play in Californiain 2010, and they failed miserably, too.

In fact, the monopolistic flavor of the billand broad legalization spurred theopposition to create a competing bill,Issue 2, that restricts monopolies fromoperating in the state and would havemade Issue 3 a moot point, if it hadpassed. Issue 2 was successful and thestiff rules regarding monopolies are nowin place, making future legalizationefforts in Ohio more difficult.

Last, and most important, Ohio hasan abysmal voter turnout in odd yearelections.

Five times in the past 20 years Ohio hada voter turnout rate of less than 37% andevery time it was an off year, and oddyear election. In 2007, turnout was sobad it was below 27% of registeredvoters. The turnout number is important.It shows the number of people who arealready registered to vote who actuallyshow up to cast a ballot in that election.

How important is voter turnout? Huge!Oregon passed Measure 91 in 2014, anoff year election (non-presidential), butwe were also electing our Governor, aU.S. Senator, and every OregonRepresentative in Congress. Even manylocal elections were held for city councils,sheriffs, and mayors, which is typical ineven numbered non-presidential electionyears.

But the biggest advantage Oregon hasover all the other states is their citizenempowering vote-by-mail system. Oregonhas no polling places and everyone eithermails in their ballot or they drop it off atone of hundreds of locations. Everyonevotes by mail, not just those withabsentee ballots. It's simple and effective.

After looking at the biggest factorsbehind the Ohio marijuana initiative, itbecomes apparent that Issue 3 wasdoomed from the beginning. If you startwith the broadness and magnitude of themeasure, sprinkle on some discontentwithin the marijuana community, andsmother it in voter apathy, you get alarge portion of humble pie served up tothe marijuana movement.

© 2015 Oregon CannabisConnection. All rights reserved

I read several articles recently that madeit sound like California is a total slamdunk to legalize marijuana in 2016. Theword ‘inevitable’ was found throughoutthe articles. Does California have a goodchance of legalizing in 2016? Absolutely.Is it inevitable? Not by a long shot.

There is still a ton of work to be done inCalifornia if any of the current initiativeefforts are to even make the 2016 ballot.Hundreds of thousands of signatures arerequired to get a marijuana legalizationinitiative on the ballot, and thosesignatures aren’t going to gatherthemselves. It will take a small army ofpeople to do it, and they will have togather significantly more than therequired amount to calculate for onesthat will be deemed invalid for variousreasons.

Then, only after ballot access is achieved,does the next phase of the campaignbegin, which involves promoting theinitiative and convincing voters to votefor it. California will be one of thehardest states to do that in two ways.The first is that in a lot of people’s minds,marijuana is largely legal already via thestate’s medical marijuana program. I amnot one of those people, but I recognizethat there are a lot of swing voters thatfeel that way, and believe that marijuanaopponents will try to use that to theiradvantage.

The second isthatCalifornia isthe mostexpensivestate to runa campaignin due to thesize of thestate, thehugepopulationspread out intoseveral different mediamarkets, and the priceto run ads in thosemedia markets. When political analyststake into account how much a successfulmarijuana legalization campaign mediaeffort would cost in California, they arealways quick to say that a victory is farfrom certain, and that doesn’t even takeinto account all the other hurdles that acampaign will face.

Just because a campaign has a lot ofmoney, doesn’t guarantee victory. Ohio2015 was an example of that. Obviously,there aren’t any efforts in California thatare as poorly written as the 2015 Ohioeffort, but the point about moneyremains the same – money alone doesnot ensure an automatic victory. In orderfor California to legalize in 2016, peopleneed to put visions of inevitability andguaranteed victory out of their heads.People need to instead put their headsdown, and get to grinding. Californianeeds to unite behind one solid effort,gather as many signatures as possibletowards that effort, and if it results inballot access, then push qualityinformation and awareness to the veryend. Anything short of that, andCalifornia will continue to be left on theoutside looking in when it comes torecreational marijuana legalization.

© 2015 The Weed Blog. All rights reserved.Reprinted by permission.

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280E – What You Don’t Know Can Hurt You

Other than the obvious ill fatedcomparisons that are being made betweenAl Capone (mobster), Aldrich Ames (spy)and the medical or recreational marijuanaretailer, a taxpayer must declare income,regardless of whether that income wasacquired legally or illegally; regardless ofwhether that income was acquired legallyat the State level but illegally at theFederal level. According to the UnitedStates government, if you sell marijuana,you are no different than Capone or Ames.

In 1974, a man named Jeffrey Edmondsonwas arrested for moving 100 pounds ofmarijuana, 13 ounces of cocaine and 1.1million amphetamine tablets. When theIRS came calling to collect from therevenue on his ill-gotten gains, he appliedfor a substantial amount of businessdeductions arising from the logisticalexpenses of moving the drugs. As a result,in 1982, Congress closed this loophole,through the passage of Section 280E,ironically sponsored by a Colorado Senator.

To understand how it effects you we need tofirst understand what it is, so let’s beginwith an examination of what Section 280Eis and how it’s applied.

26 U.S.C. §280E provides: “No deduction orcredit shall be allowed for any amount paidor incurred during the taxable year incarrying on any trade or business if suchtrade or business (or the activities whichcomprise such trade or business) consists oftrafficking in controlled substances (withinthe meaning of schedule I and II of theControlled Substances Act) which isprohibited by Federal law or the law of anyState in which such trade or business isconducted.”

The result is that instead of paying a taxrate of 30 to 40 percent those operating inthe legal marijuana industry arepotentially paying rates of 80 to 90 percent,and some, shockingly are paying even morethan a 100 percent effective tax rate. Thisis contrary to the popular belief that thoseoperating marijuana businesses are simplyprinting money, but this is not the case, atleast not unless the marijuana businesshas significant knowledge of 280E and itsinteraction with the remaining relevant taxcode.

Cannabis is currently a Schedule Icontrolled substance. As a result the IRShas the ability to deny deductions of anyfacility that sells marijuana. And it does,all the time. In late January 2015, the IRSreleased an Internal Memorandum201504011, which provides some newinsight on what expenses a marijuanabusiness may or may not deduct, butunderstanding this memo, requires anunderstanding of Sections 61, 471 and263A and a further understanding of howthose sections relate to Section 280E.

Section 61 does not distinguish betweenlegal and illegal revenue, but ratherexplicitly requires that taxable incomeinclude revenue from all sources, illegal ofother. Consequently, even businesses thatare illegal at the federal level are requiredto report their revenue to the IRS and paythe relevant tax liability.

Before 1982, an illegal business was able toreduce its revenue by the cost of any goodssold, also referred to as COGS, as well asother ordinary and necessary general and

administrative, G&A, business expenses.This could constitute expenses like rent,utilities, registers and fixtures, packaging,etc.

In 1982, the IRS enacted §280E, which hadthe effect of prohibiting businesses thattrafficked in a controlled substance fromtaking these deductions.

Since 1996, 23 States have legalizedmedical marijuana and 4 States and theDistrict of Columbia have fully legalizedmarijuana, but because marijuanacontinues to be listed as a Schedule Icontrolled substance, the IRS has usedSection 280E for the last 20 years to attackthe legal marijuana industry.

The IRS regularly denies all G&Adeductions for medical marijuana facilities,however, in the pivotal case CaliforniansHelping to Alleviate Medical Problems, 128T.C. 173 (2002), the industry won a victory,of sorts. The court was convinced that onlya portion of the business involved thetrafficking of marijuana, while theremainder focused on counseling services.As a result the expenses incurred by thecounseling part of the business were notbarred by 280E. But it’s not this simple, asother tax courts have found contrary to theCalifornians court.

The Californians case allowed marijuanabusinesses to deduct the COGS, which leadto an industry attempt to maximize theirCOGS while minimizing their G&A, whichwould normally be denied pursuant to280E. These are significant distinctionsbecause the COGS can amount to 75% of amedical marijuana businesses’ grossrevenue.

So how does a marijuana businessmaximize the COGS under the tax code?The answer, thankfully, is in the languageof the statute.

When a business carries an inventory, theyare required to report their income on anaccrual method pursuant to Section 471.Under the accrual method the business willcapitalize the costs to acquire or produce itsinventory and then deduct these amountsafter items of inventory are sold as COGS.

The formula for the Cost of Goods Sold is:Beginning inventory + Production costs (ifa grower) or Purchases (if a reseller) –Ending inventory.

In 1986 as part of the Tax Reform Act,Congress added Section 263A. UnderSection 263A(a), both producers and sellersare required to capitalize into inventory allof the costs required under Section 471,and also a portion of their G&A costs, suchas costs associated with their payroll, legal,and personnel functions. In addition, areseller also is required to capitalizepurchasing, handling, and storageexpenses.

Now this is all very technical but generallyspeaking, Sections 471 and 263A areunfavorable to taxpayers, because costs

that are required to be included in the costof inventory cannot be deducted until theinventory is sold. As a result, when section263A, for example, forces a business tocapitalize into its inventory cost a portionof what would normally be immediatelydeductible expenses, such as depreciation,insurance or officers compensation, thoseexpenses are deferred until the underlyinginventory sold. This means that any costallocable to the taxpayers ending inventorywill get deducted in a later year then theynormally would have.

Despite its unfavorable impact, those in themarijuana industry are eager to apply theprovisions of Section 263A, because whileSection 280E does not allow them to deductG&A expenses, their COGS are allowed tobe deducted and reduce their gross income.

However, there is a problem. Section 263Awas never intended to change an expensefrom nondeductable to deductible and forthe taxpayer to be permitted to capitalize aG&A expense under Section 263A, it mustnot run afoul of the section which states:Any cost which could not be taken intoaccount in computing taxable income forany taxable year shall not be treated as acost described in this paragraph. In otherwords, the taxpayer can’t capitalize aportion of a nondeductible expense into itsinventory cost under Section 263A becauseit would change it from a nondeductibleexpense into a deductible one when theinventory is sold. Because Section 280Emakes all a marijuana seller’s G&Anondeductible, it creates a serious problemfor those in the industry trying to maximizetheir COGS under Section 263A.

For example, a medical marijuanadispensary might have $1,000,000 of grossrevenue, $600,000 of COGS beforeapplication of Section 263A, and $400,000of other G&A expenses such as rent,depreciation, and compensation. ApplyingSection 263A, the taxpayer may wish tocapitalize $125,000 of its G&A expensesinto its inventory cost. Assuming only$10,000 of those costs are allocable to thetaxpayer’s ending inventory balance, thetaxpayer would be able to deduct $115,000of its G&A expenses as COGS during theyear, reducing its taxable income from$400,000 ($1,000,000 – $600,000) to$285,000 ($1,000,000 – $600,000 –$115,000).

However, the marijuana business is notpermitted to do this because barringapplication of Section 263A, the $400,000 of

Alaska’s Marijuana Control Board voted topermit consumption of marijuana at retailstores, which could make it the first stateto allow consumption outside of a person’shome. While the board voted 3-2 in favor ofthe amendment, Lt. Governor ByronMallott must sign off on the new rules inorder for them to be written into law afterits reviewed by the Department of Law toensure that it meets all of the requirementsfor an amendment.

The amendment will serve as a placeholderfor the time being until the board decidesexactly what these establishments will looklike in practice, but after explicitly banningcannabis social clubs, users will be eagerlyawaiting the specifics of the amendment. Inmany cases, users are hoping that cigarlounges present a precedent for the activitygiven the similarities in the way that theoperate and contain the pungent odors.

In addition to being able to enjoymarijuana with friends outside of theirhomes, many cannabis users may not wantto smoke near their children, makingexternal establishments the only otheroption. The problem for lawmakers is thatpublic consumption may expose the generalpublic to cannabis at a time when tobaccosmoking has even been banned in manyplaces.

Finally, Amsterdam-like cannabis cafescould also help create jobs and tax revenuefor the state by creating additionalmonetization opportunities.

When it comes to existing laws,Washington State has banned publicconsumption and explicitly outlawedcannabis social clubs for the time being,while Colorado is at least considering thelegalization of social clubs. Oregon’s lawsneither permit to ban cannabis social clubs,but they have explicitly banned theconsumption of cannabis in public spaces.Alaska’s new amendment, if passed, couldset an important precedent for the industrymoving forward.

© 2015 TDM Financial LLC. All RightsReserved. Reprinted by permissionfrom www.Cannabisfn.com

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Illinois finished its first week of legal sales,which resulted in over $210,000 dollars ofmedical cannabis being transferred,according to Joseph Wright, Director ofIllinois Medical Cannabis Program. Thetotal amounted to an average of more than$26,000 for each ofthe eightdispensaries thatwere operating.More than 800patients hadpurchased 13,000grams (or 28pounds) of medicalmarijuana fromNovember 9ththrough November13th—just fivedays.

According to thestatewide trackingsystem, customersspent an average ofmore than $260each for theirmedicine, and paidabout $16 dollarsper gram. Thatworks out toaround $450 anounce, retail price. That is $100 dollars perounce more than the black market streetvalue in Illinois, according towww.thepriceofweed.com, which indicatesthe current price at $350 an ounce for highquality cannabis.

Even at those prices, and with only 3,300registered patients, a total of 25dispensaries are expected to open beforethe end of 2015, with 60 dispensariesauthorized in the State overall. TheChicago Tribune reported that The ClinicMundelein had 96 patients waiting to signup when their doors opened.

Green Thumb Industries CEO Ben Kovlertold the Associated Press, the sales were “avery strong start.”

Under an unusual requirement in Staterun medical marijuana programs, patientsin Illinois must designate a “dispensary ofchoice” where they will purchase theircannabis. Unfortunately, some patients didnot appear in the database used by theIllinois Department of Public Health, sothey were denied medicine even thoughthey were prequalified. Wright indicatedthey were trying to solve those problems.

The eight medical marijuana dispensariesthat were opened by November are in thecities of Addison, Canton, Marion,Mundelein, North Aurora, Ottawa, Quincyand Schaumburg.

Medical marijuana is taxed in Illinois. Theprogram assesses a seven percent tax on

the wholesale product. The tax figures werenot yet available, said Wright.

If typical markups are occurring, as inother legal states, the wholesale price ofthe cannabis should be around $1,800 to$2,400 a pound, which would translate intoonly about $4,000 dollars in tax revenue forthe State, so far. But, with as many as 60dispensaries opening around the statewithin a couple of years, and an increase inmedical marijuana patients to come, thosetax numbers will likely increase… rapidly.Click here for a list dispensaries currentlyregistered with the State of Illinois.

© 2015 Oregon Cannabis Connection. All rightsreserved.

A proposed initiative to regulate marijuanalike alcohol in Massachusetts is poised forthe November 2016 ballot after proponentssubmitted their final petition signatures tothe Secretary of theCommonwealth onTuesday.

The Campaign toRegulate MarijuanaLike Alcohol submittedmore than 103,000total signatures, and64,750 validsignatures ofregistered statevoters are requiredto qualify for theNovember 2016 ballot.The Secretary of theCommonwealth is expectedto validate the signaturesby mid-December, at whichtime the petition will betransmitted to theMassachusetts Legislature.If the legislature does notadopt the measure, initiative backers mustcollect 10,792 additional signatures in June2016 to place the initiative on theNovember 2016 ballot.

“This is direct democracy in action,” saidcampaign manager Will Luzier. “People cansee that our current prohibition policy isn’tworking, and they’re taking action toreplace it with a more sensible system.Based on the level of support andenthusiasm we saw during the petitiondrive, voters are ready to end prohibitionand start treating marijuana more like howour state treats alcohol.”

The proposed initiative would:

Allow adults 21 and older to possess up toone ounce of marijuana and grow a limitednumber of marijuana plants in their homes,similar to home-brewing;

Create a tightly regulated system oflicensed marijuana retail outlets,cultivation facilities, productmanufacturing facilities, and testing

facilities, which will be overseen by acommission similar to the Alcohol BeverageControl Commission (ABCC);

Provide local governments with theauthority to regulate and limit the numberof marijuana establishments in their city ortown; and

Create a 3.75% state excise tax on retailmarijuana sales (in addition to thestandard state sales tax) and allow localgovernments to establish an additionallocal sales tax of up to 2%. [Medicalmarijuana will NOT be subject to theseadditional taxes.]

“Most of the voters who signed the petitioncited a desire to replace the undergroundmarijuana market with a more controlledsystem in which marijuana is taxed andregulated,” Luzier said. “There’s a generalconsensus that we’d be better off ifmarijuana were produced and sold bylicensed businesses instead of cartels andgangs. Also, most people agree that adultsshould not be punished simply forconsuming a product that is less harmfulthan alcohol.”

The Campaign to Regulate Marijuana LikeAlcohol is supporting a 2016 statewideballot initiative to end marijuanaprohibition in Massachusetts.

For more information, visithttp://www.RegulateMassachusetts.org.

© 2015 The Weed Blog. All rights reserved.Reprinted by permission.

National NewsPage 14 Oregon Cannabis Connection

The 201 2 Medical Marijuana Initiative passedwith over 63% of voters in favor. graphic: en.wikipedia.org

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Beginning in 2012, four states and theDistrict of Columbia have voted to legalizemarijuana. By this time next year, thatnumber could well double, and then some.National polls now consistently showmajorities in favor legalization, with arecent Gallup poll having 58%support—tied for the highest level in thepoll’s history.

That doesn’t mean legalization is inevitablein any given state, as the case of Ohioearlier this month demonstrated. There, aninitiative led by non-movement investorswho sought monopolistic control ofcommercial pot cultivation got trounceddespite spending millions of dollars.

But the Ohio result was probably a fluke, aconvergence of a number of factors,including tone-deaf initiative organizers, aflawed initiative, a widely criticized mascot,and the fact that it was an off-off-yearelection with low voter turnout. There is noreason to believe that legalizationinitiatives likely next year in other stateswill be defeated just because the Ohio effortwent down in flames.

At this point, it looks like there are sixstates likely to legalize weed through theinitiative process next year, with thoseefforts at varying stages, and a couple morethat could do it through the legislativeprocess.Here they are:

INITIATIVE STATES

ALREADY ON THE BALLOT

Nevada. Thelegalizationinitiative fromthe MarijuanaPolicy Project-backedCampaign toRegulate Marijuana Like Alcohol qualified

for the ballot last December. That meansthat by the time Election Day 2016 arrives,organizers will have had nearly two yearsto make their case to voters. Under statelaw, the legislature could have acted on thepetitions and legalized weed, but it declinedto do so, so now it goes direct to the voters.There are no recent state polls onlegalization, but it had 54% support in2013, and there is no reason to think it hasdeclined since then.

PETITION DRIVES WELL ADVANCED

Arizona. The Marijuana Policy Project-backed Campaign to Legalize MarijuanaLike Alcohol in Arizona announced lastweek that it had already collected 100,000signatures for its legalization initiative. Itneeds tocollect150,000 validsignatures bynext July toqualify forthe ballot,appears well on the way to doing so, andsays it is aiming for 230,000 raw signaturesto have a healthy cushion. A June poll hadsupport at 53%.

Maine. Once there were two competinginitiative campaigns in the state, but nowthere is only one. The Marijuana PolicyProject-backed Campaign to RegulateMarijuana Like Alcohol has quit signaturegathering for its legalization initiative andjoined forces with Legalize Maine insupport of its slightly looser legalizationinitiative.Bothcampaignshad gatheredabout 40,000rawsignatureseach before coalescing. The Legalize Mainecampaign will need 61,000 valid votersignatures to qualify, and it has untilFebruary 1 to get them.  That seemseminently doable, and if it makes theballot, it should win: A poll in April hadsupport for legalization at a whopping 65%.

Massachusetts. Unlike Maine, theMarijuana Policy Project has so far beenunable to form a united front with local

activists, so there are two ongoinglegalization campaigns. The MPP-backedCampaign to Regulate Marijuana LikeAlcohol and its legalization initiative isvying with thehomegrownBay StateRepeal anditslegalizationinitiative. Asin Maine, thelocal initiative is slightly looser. Earlierthis month, the Campaign said it hasalready collected 100,000 signatures. Itonly needs 64,750 valid signatures toqualify, so it already has a nice cushion andthe rest of this month to gather more. It’snot known how advanced the Bay StateRepeal signature drive is, but it alreadylooks like at least one legalization initiativewill be on the ballot next year. Under statelaw, if an initiative has enough signatures,the legislature can then move to enact it. Ifthe legislature doesn’t act, the campaignmust then gather an additional 10,800signatures to put it before the voters. Onerecent poll had support for legalization atonly 41%, but it had a small sample sizeand large margin of error. Polls from 2014had legalization winning by anywhere fromsix to 13 points, and the voters previouslysupported medical marijuana anddecriminalization initiatives with a 63%vote.

Michigan. Another state with twocompeting campaigns, and the one thatlooks the iffiest in terms of qualifying forthe ballot. Some 252,000 valid votersignatures are needed to qualify, andneither campaign is there yet. Backed byRepublican business interests,the Michigan Cannabis Coalition said ithad collected 200,000 signatures foritslegalizationinitiative bythe end ofOctoberbeforemaking a“strategicdecision” totemporarily suspend petitioning. It hasuntil the end of January to come up withmore. Meanwhile, state activists havecreated the Michigan ComprehensiveCannabis Law Reform Committee (MILegalize) and are signature gatheringaround their ownlegalization initiative.Last week, they said they were 90,000signatures short—although it that is justraw numbers, they will need substantiallymore to have a comfortable cushion—andthey have until the end of December to getthem. Both campaigns have money in thebank and are paying signature-gatherers.

STILL IN A CONFUSED MUDDLE

California. California should have beenan almost sure there next year, andprobably still is, but it is getting late in the

game, and the evident divisions amonglegalization proponents are starting tomake for some worried wondering. Thereare no fewer than 18 legalization initiativesin play (some various versions of the sameinitiative), most of which have little to nochance of coming up with the 365,000signatures needed to qualify. State activistsorganized as the California Coalition forCannabis Policy Reform (ReformCA)thought they had the support of nationalreformorganizationsandassociatedpots of moneyfortheirinitiative, butthat hasn’tturned out to be the case. Instead, groupssuch as the Marijuana Policy Project andthe Drug Policy Alliance seem to bethrowing their support to an initiativesponsored by tech billionaire Sean Parker.Neither the latest version of the ReformCAinitiative nor the Sean Parker initiativehas been cleared for signature gathering.Both initiatives now face a ticking clock.Campaigns have six months to get thosenecessary signatures, but the real harddeadline is June 30. Initiatives must havebeen cleared for the ballot by then in orderto make the November ballot.

LEGISLATIVE STATES

Rhode Island. This year, the legislaturetook up a legalization bill only to see it heldfor further study by the JudiciaryCommittees in both chambers. Next year, itcould actually move, and it would if thelegislaturelistens to thevoters. In anApril poll,57% saidthey wouldsupport a billto tax andregulate marijuana.

Vermont. This is probably the best bet forthe first state to legalize pot through thelegislative process. The groundwork hasbeen being laid for years, it has the supportof key state political figures, including Gov.PeterShumlin (D)and HouseSpeakerShap Smith(D), andlegislativehearings on how—not whether—to legalizenext year are already underway. Thelegislature failed to move legalization billsthis year, but the stage is set for 2016.

© 2015 StopTheDrugWar.org. Article first

appeared on Alternet.org. Reprinted under

modified creative commons license.

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San Francisco Hyatt Regency HostingICBC in FebruaryOregon Cannabis Connection

The next International Cannabis BusinessConference (ICBC) will be held in SanFrancisco at the downtown Hyatt Regency,February 13–14, 2015. Once again, theICBC will feature top marijuana businessowners and political leaders from aroundthe world, as well as an exhibit hall forcannabis-related industries.

“The ICBC will provide the latestinformation on legalization efforts inCalifornia and across the United States aswell as business tips from successfulentrepreneurs that will help any marijuanabusiness succeed,” said conference producerAlex Rogers, who is also CEO of AshlandAlternative Health and NorthwestAlternative Health medical cannabisclinics. 

"One of the major differences between theICBC and other marijuana businessconferences is the strong focus on politicalactivism,” stated Anthony Johnson, whodevelops content for the ICBC andsuccessfully helped lead Oregon’slegalization campaign as director of theNew Approach Oregon Vote Yes on 91campaign. “The ICBC works to bridge thatgap to ensure that legalization measureswork for the industry, but doesn’t forget thefocus of keeping people out of prison andensuring safe access to patients.”

Speakers currently include: AndrewSullivan, a blogging pioneer and one oftoday's most astute political commentators;cannabis icon Tommy Chong; Debby

Goldsberry, a longtime cannabis activistwho is currently executive director ofMagnolia Wellness after previously co-founding Berkeley Patients Group; andDale Sky Jones, chancellor of OaksterdamUniversity and chair of the Coalition forCannabis Policy Reform. Cannabis activistand comic Ngaio Bealum will emcee,keeping attendees engaged and entertainedthroughout the event. The first 500 ticketpurchasers will also have special access toan exclusive VIP event with Tommy Chong,Andrew Sullivan and Bay Area hip-hoplegend Del the Funky Homosapien.

For tickets or more info, check outwww.internationalcbc.comor call 888-920-6076. 

© 2015 Oregon Cannabis Connection. All rightsreserved.

In Uruguay, The Only Country WithLegal Cannabis, Price Is Less Than $1a GramFrom The Joint Blog

With Canada currently examining ways tolegally regulate the distribution ofrecreational cannabis, we thought it was agood idea to take an updated look at theonly country in the world that has legalizedthe sale of cannabis: Uruguay (othercountries may turn a blind eye to cannabissales, but Uruguay is the only one where ithas been statutorily legalized).

In Uruguay, it’s entirely legal for those 18and older to cultivate up to six cannabisplants at any given time, with an allowedannual harvest of roughly 500 grams.Adults can also join cannabis clubs, wherecannabis can be shared and consumed, andcan purchase cannabis from designatedcannabis pharmacies. Although the UnitedNations has warned Uruguay about movingforward with this new law, they’ve done soanyway.

Within thecountry,cannabis isbeing soldentirely tax-freeto helpundercut theblack market.This brings theaverage priceper gram down to just 22 Uruguayan pesos,or roughly $1. Although this results in lessrevenue earned by the country, it preventssituations where the black market simplylowers their prices to compete with thetypically higher price of legal cannabis.

Although he didn’t win, Uruguay’s then-President José Mujica, who was theprimary advocate of the measure thatlegalized cannabis, was nominated for aNobel Peace Prize in 2014, shortly after themeasure was passed into law.

© 2015 The Joint Blog. Reprinted by permission.

Minnesota Adds Intractable Pain AsQualifying Condition For MMJ

From Marijuana Policy Project

Minnesota Commissioner of Health Dr. EdEhlinger announced Wednesday thatintractable pain, as defined in Minnesotalaw, will be added to the list of qualifyingconditions for which patients can legallyaccess medical marijuana.

The commissioner must notify the chairsand ranking minority members of thelegislative health and public safety policycommittees. Intractable pain will become aqualifying condition for medical marijuanaeffective August 1, 2016, unless thelegislature passes a law stating otherwise.The vast majority of the 23 states withworkable medical marijuana programsallow the use of medical marijuana to treatintractable pain.

Statement from Robert Capecchi of theMarijuana Policy Project:

“This is a sensible and compassionatedecision that will help a lot of Minnesotanswho suffer every day from intractable pain.The commissioner heard from countlessmedical professionals, patients, andfamilies from across the state about thebenefits of medical marijuana for peoplesuffering from this debilitating condition.We commend Commissioner Ehlinger andeveryone elseinvolved intaking thisimportant steptowardimproving thelives ofcountlessMinnesotans.

“Medicalmarijuana has been found to be an effectivetreatment option for people suffering fromsevere and chronic pain. It is oftentimesmore effective than prescription painkillers,and it is undeniably far less addictive andless toxic. Recent research shows that statesthat allow medical marijuana for severeand chronic pain have lower rates of fatalprescription drug overdoses. The decision toadd intractable pain as a qualifying

condition in Minnesota will improve notonly the health of individual patients, butalso the community as a whole.”

© 2015 MPP. All rights reserved. Reprinted bypermission.

THIS! Is Why We Fight MJ ProhibitionOregon Cnnabis Connection

Just four years ago, Washington, D.C., lawenforcement arrested over 2,300 people formarijuana. The ACLU pointed out the averagemarijuana arrest in America costs $750.00,before court costs and other “fees” that can addup. That's $1.7 million the city may havewasted trying to enforce marijuana laws in2011.

This year—the year following legalization foradult use in the nation’s capitol—there haveonly been seven arrests… SEVEN! The weekof November 4, 2015, which marked one year

after the 2014 vote to legalize, the WashingtonCity Paper reported, “MPD has only issuedseven arrests for possession of marijuana thisyear, as of Nov. 6.”

So, the costs incurred by the city chasing andprosecuting marijuana arrests in 2015 isaround $5,200, using the same figure asabove. That's also a whole lot of people whowere saved from a police arrest record. Almost890 suffered the humiliation just this pastyear.

Just so everyone who may be confusedunderstands why so many Americans want toend cannabis prohibition… THIS IS WHY! Ithas been the biggest waste of money andresources law enforcement and the courtshave ever been involved in, and they are stillclinging on for dear life! It is time for newpriorities, and Washington, D.C., can be theshining example of how well just simplelegalization can work!

© 2015 Oregon Cannabis Connection. All rightsreserved.

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G&A expenses would be nondeductibleunder Section 280E as a result of the factthat they were involved in the sale of acontrolled substance.

Now, while the IRS memo may not becited by taxpayers it does provide insightinto how IRS officials are analyzingSection 280E and how they aredetermining COGS. So as a result of theIRS internal memo, a taxpayer in themarijuana industry (either medical orrecreational) “may not use the provisionsof Section 263A, because the types ofG&A expenses the taxpayer would becapitalizing are not deductible underSection 280E.” Rather, the taxpayer mayonly calculate its COGS by using thosecosts required by Section 471 as of thedate Section 280E was enacted in 1982.

For example, for retailers this is theinvoice price of the marijuana, less tradeor other discount, plus transportationand other “necessary charges” incurred

in its acquisition; for producers thisincludes direct material costs, such asseeds and direct labor costs such asplanting, harvesting, and cultivating.Indirect costs are allowed provided theyare “incidental and necessary forproduction,” such as, repair,maintenance, utilities, indirect labor,indirect material and supplies andquality control. Additionally, certainother indirect costs may be included suchas depreciation, excise taxes, factoryadministration expenses and insurance.However, the memo states that the IRSwill not allow marijuana businesses toallocate purchasing, handling, storageand administrative costs to their COGS.

While several members of Congress haveasked the IRS to repeal 280E, the IRShas said that it has had no choice but totax marijuana businesses more thanothers. They have said that “the resultyou seek would require the Congress toamend either the Internal Revenue Codeor the Controlled Substances Act,”neither of which has been done.

Consequently, I encourage you to contactyour U.S. Congressmen and Senatorsand encourage them to enact legislationrepealing Section 280E or amending theControlled Substances Act to removemarijuana as a Schedule I or IIcontrolled substance and in themeantime do what you can to bestprotect yourself and reduce your taxliability.

About the author: Ted Roe specializes in

intellectual property, business,

employment and securities law. He

regularly works with the entertainment

and cannabis industries, as well as a

variety of other domestic and

international industries. He is the

principal attorney with the Roe Law

Firm, PO Box 82657, Portland, Oregon

97282. He can be reached at

[email protected] and 877-636-6275 x1.

© 2015 Oregon Cannabis Connection and Ted

Roe. All rights reserved.

Colombian President Juan ManuelSantos will soon sign a law that willlegalize medicinal marijuana within thecountry. The new policy will allow thecultivation, processing and sale ofmarijuana for medical and scientificpurposes.

Justice Minister Yesid Reyes announcedthe new policy on Thursday, November12, 2015, in an interview with aColombian radio station. The new lawwill allow and regulate everything fromlicensing of growers to the eventualexport of products made from marijuana.Colombia is already the largest exporterof cocaine to the United States, and hometo a number of potent strains ofmarijuana. Health Minister AlejandroGaviria stated in an interview with BluRadio that he hopes to see Colombiabecome a major exporter of marijuanaproducts, with investors and businessesalready showing interest in the country’smarijuana sector.

Colombia is the latest in a wave of over10 South American countries nowlegalizing marijuana. Colombia, however,has been a long-time American ally inthe “war on drugs,” a federal governmentmilitary and prohibition campaign thathas been underway since the early 1970s.

Sen. Juan Manuel Galan introducedlegislation for legalizing medicalmarijuana earlier this year, arguing thatup to 400,000 Colombians with ailments,such as epilepsy and cancer, will benefitfrom the new law. While the policy hadearlier been met with resistance amongconservatives in the executive andlegislative branches, the newdevelopments have been seen as aweakening of the conservative faction ofthe Colombian government.

For two decades Colombians have beenallowed to possess narcotics in smallamounts for the “free development ofone’s personality,” but the use ofmarijuana will be legal solely for medicaland scientific purposes, and Reyes madeit clear that “nobody is talking aboutlegalizing except for those two purposes.”

© 2015 Oregon Cannabis Connection. All

rights reserved.

National NewsDec/Jan 2015­16 Page 17

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Advertise in theONLYOregonBasedCannabis Publication

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Cannabis use is associated with improvedoutcomes in opioid-dependent subjectsundergoing outpatient treatment, accordingto data published online ahead of print inthe journal Drug and Alcohol Dependence.Researchers at Columbia Universityassessed the use of cannabinoids versusplacebo in opioid-dependent subjectsundergoing in-patient detoxification andoutpatient treatment with naltrexone, anopiate receptor antagonist. Investigatorsreported that the administration of oralTHC (dronabinol) during the detoxificationprocess lowered the severity of subjects’withdrawal symptoms compared to placebo,but that these effects did not persist overthe entire course of treatment. By contrast,patients who consumed herbal cannabisduring the outpatient treatment phasewere more readily able to sleep, were lessanxious, and were more likely to completetheir treatment as compared to thosesubjects who did not.

“One of the interesting study findings wasthe observed beneficial effect of marijuanasmoking on treatment retention,” authorsconcluded. “Participants who smokedmarijuana had less difficulty with sleepand anxiety and were more likely to remainin treatment as compared to those whowere not using marijuana, regardless of

whether they were taking dronabinol orplacebo.”

The findings replicate those of two priorstudies, one from 2001 and another from2009, reporting greater treatmentadherence among subjects who consumedcannabis intermittently during outpatienttherapy.

Population data from states wheremedicinal cannabis is permitted reportlower rates of opioid-abuse and mortality ascompared to those states where the plant isprohibited. Clinical data and case reportsalso indicate that the adjunctive use ofcannabis may wean patients from opiateswhile successfully managing their pain.Survey data of state qualified medicalcannabis patients demonstrates thatsubjects with access to the plant oftensubstitute it for opioids because theyperceive it to possess fewer adverse sideeffects.

Overdose deaths involving opioids haveincreased dramatically in recent years.While fewer than 4,100 opiate-inducedfatalities were reported for the year 1999,by 2010 this figure rose to over 16,600according to an analysis by the US Centersfor Disease Control.

An abstract of the study, “The effects ofdronabinol during detoxification and theinitiation of treatment with extendedrelease naltrexone,” appears online here.(http://www.ncbi.nlm.nih.gov/pubmed/26187456)

© 2015 NORML. All rights reserved. Reprintedby permission.

PHOENIX – Parent advocatesnationwide are clamoring for access tomedical marijuana for children whosuffer from severe and intractabledisorders.

In response, the Food and DrugAdministration authorized 450 childrento participate in clinical trials involvingEpidiolex, a marijuana-derived oiltreatment that is high in cannabidiol, thenon-psychoactive component ofmarijuana.

Early results from the ongoing clinicaltrials are mixed – some children appearto benefit from using Epidiolex whileothers do not – and some members of themedical community remain concernedabout whether or not marijuana is a safetreatment for children.

Twenty-five children with Dravet or Lennox-Gastaut syndromes recentlyparticipated in a clinical trial ofEpidiolex at the Children’s Hospital ofPhiladelphia.

“We had lots of familieswho were interested, andwe actually had to do alottery to select the 25patients,” said Dr. EricMarsh, assistant professorof neurology and pediatricsand attending physician atthe hospital.

A similar clinical trial tookplace at the PrimaryChildren’s Hospital inUtah. Chief MedicalOfficer and Chair ofPediatrics Dr. Ed Clarksaid finding the 25participants took three tofour months.

Both clinical trials had similar results:More than half of the children whoreceived the oil showed an average 50percent reduction in seizures. A fewchildren experienced minor side effectslike drowsiness or diarrhea. Marsh andClark, however, said researchers need toconduct further studies before theywould consider Epidiolex a validtreatment option.

“One of the tensions is we want the bestscientific evidence we can have versuswhat we can do for a child and family atthe time,” Clark said. “We’re trying tobalance risk with compassion. Balancingall the issues, our goal is to help childrenand their families. The child is first,always.”

The doctors said they were concernedabout the small number of children inthe trials and the parent-reportedresults.

“There was so much excitement aboutthis, you have to be concerned about alarge placebo effect,” Marsh said. “All themedia hype and the social media hypeand the individual hype really couldskew results. Without the randomized,double-blind, controlled trials, it’svirtually impossible to know whether ornot any medicine is working.”

Dr. Charles Cutler, vice president of thePennsylvania Medical Society, agreed

that anecdotal success stories can bemisleading. Cutler cited multiple caseswhere parents reported that medicalmarijuana helped their child, but doctorsand electroencephalograms – consideredthe gold standard in measuring seizureactivity – still showed significant seizureactivity.

“One of the most heartbreakingexperiences for a doctor is to see a sickchild,” Cutler said. “When I walk throughthe hospital floors and see children whoare hospitalized, hooked up to an IV,receiving oxygen with prongs in theirnose, my feelings are the same, I think,as every doctor. We want children to behealthy, but we simply can’t usemedication that isn’t proven.”

Another complication is how little isknown about epilepsy itself.

“Epilepsy is like a roller coaster,” Marshsaid. “There are good months and badmonths. Some of these kids would getbetter over time naturally, so (of those)who’ve responded, did they respondbecause of the drug or because they weregoing to get a little better anyway?”

Dr. John Knight, a pediatrician atBoston Hospital, encouraged parents towait until doctors conduct more researchand clinical trials.

“My heart goes out to parents,” Knightsaid. “The problem is that they may betrading away an immediate relief fortheir child’s future. (Marijuana) isuntested and the scientific evidence isthat it can be devastating to thedeveloping brain.”

Steve Schultz, vice president of investorrelations at GW Pharmaceuticals, themanufacturers of Epidiolex, said parentswill have a consistent pharmaceuticalmedicine they can trust once Epidiolexgains FDA approval.

But until that happens, many medicalexperts urge parents to wait.

© 2015 Carnegie-Knight News21.com.Reprinted under Creative Commons License.

Medical News

Business Classifieds

on Page 23!

Page 18 Oregon Cannabis Connection

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PITTSBURGH — In room 716 of theChildren’s Hospital of Pittsburgh, 12-year-old Hannah Pallas is motionless,but for an occasional turn of her headand the blink of her eyes, following aseries of life-threatening seizures. On thesame day, five-year-old Sydney Michaelsis down the hall in room 749, waiting tobe discharged after 15 grand malseizures within 36 hours.

Their mothers have known each other foryears, though it’s a hapless coincidencecaused by their daughters’ epilepsy thatbrings them to the pediatric unit on thesame day.

The two women are part of a tenaciousgroup of parents and national marijuanaadvocates demanding that politiciansand state legislators legalize medicalmarijuana treatment for their children,whose medications have had limitedsuccess treating seizures and othersevere conditions.

“This is something that needs to happenacross the country so that every childwho might need this would have access,"said Julie Michaels, Sydney's mother anda member of Campaign for Compassion,which is pushing for comprehensivemedical marijuana laws in Pennsylvania."Why should the state lines be the factoras to whether my child can get help ornot?”

Sydney is one of only a few hundredchildren around the country enrolled in aclinical trial to test the use of marijuana-based treatments for epilepsy. ButHannah is not.

“I’m watching my daughter die everyday,” said Heather Shuker, Hannah’smother. “Hannah has so many seizures,and every seizure could take her fromme. I firmly believe that medicalcannabis will help her.”

“There’s so much that I want for herright now that she just can’t do,”Michaels said about Sydney. “Just beingable to go out and experience life, to beable to go out and play in the yardwithout fear of seizures starting.”

Since 2014, 17 states have legalized theuse of marijuana-derived cannabidiol(CBD) in children: Utah, Wyoming,Wisconsin, Iowa, Missouri, Oklahoma,Texas, Louisiana, Mississippi, Alabama,Tennessee, Georgia, Florida, SouthCarolina, North Carolina, Kentucky andVirginia. The laws are intended mostly to

treat intractable epilepsy and, in somecases, other conditions. Florida, Georgiaand Louisiana, for example, allow limitedmedical marijuana use for cancertreatment.

CBD is the non-psychoactive componentof the marijuana plant. It has yet to beproven scientifically as a successfultreatment, though anecdotal evidencesuggests it helps some children.

Tetrahydrocannabinol (THC) is the partof the plant that produces a high, but itis also known – if not proven – to treatpain, nausea and insomnia, among othersymptoms.

The 17 states that recently passed CBDlegislation all placed limits on the THCconcentration of medical marijuanaextracts to minimize the psychoactiveeffects of the medication. They rangefrom 0.3 percent in Oklahoma to 5percent in Georgia.

Shuker said her daughter Hannah,diagnosed with severe intractableepilepsy and Lennox-Gastaut syndrome,has about 250 seizures a month. Theyhave tried more than 18 different seizuremedications and special diets.

Pharmaceuticals made her daughter’sseizures worse, Shuker said. Hannahnow has a surgical feeding tube becauseshe can no longer swallow on her own.Doctors have told Shuker that Hannah’sonly remaining option to try to reducethe seizures is a brain surgery procedurewith risks of infection, increased seizuresor stroke.

Meanwhile, visits to the emergency roomand pediatric ward have become routine,Shuker and Michaels say their livesrevolve around doctor appointments andunexpected stays in the hospital. Whileother mothers track their children’sheight on walls with markers, thesemothers track dates and times andnumbers of seizures on homemadecharts.

Sydney is one of 25 children in theclinical trial at Children’s Hospital ofPhiladelphia who are receiving doses ofEpidiolex, a purified CBD created byLondon-based GW Pharmaceuticals. Partof the drug’s attraction is that it is low inTHC.

“Prior to this study, she couldn’t do apuzzle. After about two weeks, she waswhipping through puzzles on an iPadand we’re like, ‘Who is this kid?’”Michaels said. “We’re talking about a kidwho was seizing easily from 1,000 to3,000 times in a week. It was incredible.”

Dr. Eric Marsh, assistant professor ofneurology and pediatrics at theChildren’s Hospital of Philadelphia andattending physician for the Philadelphiaclinical trial, was cautiously optimisticabout the overall results, with parentsreporting a 50 to 60 percent reduction in

their children’s seizures. However,Marsh encourages families to wait untilmarijuana-derived medications earnFood and Drug Administration (FDA)approval.

“There’s so much interest and excitementover this that it really could skewresults,” Marsh said. “It does seem thatCBD interacts with some of the othermedications. Clearly it’s not a miracledrug. It has interactions with otherdrugs, and it does have side effects.”

For many parents, the 2013 airing of theCNN documentary "Weed" was thewatershed moment that ignited amovement to make cannabis oil availableto children. The report featuredCharlotte Figi, a then-five-year-old girlfrom Colorado Springs, Colorado, who

used cannabis oil to treat the 300 grandmal seizures she suffered each week.

The oil she uses, Charlotte’s Web, isnamed after her and produced byColorado-based Stanley Brothers SocialEnterprises.

"We tried this on her, and it stopped herseizures,” said Paige Figi, Charlotte’smother. “Now, three and a half yearslater, she has two seizures a month –down from 1,200.”

“They’ve responded very well, obviouslyit's not a silver bullet for everyone,” saidJesse Stanley, who grows and producesthe oils with his brothers. Theirnonprofit, the Realm of Caring, offers oilsto patients at reduced prices.

Many other parents, inspired byCharlotte Figi’s story and frustrated withunsupportive politicians, have sincemoved from their home states toColorado, where marijuana treatmentsare legal. According to the ColoradoDepartment of Public Health andEnvironment, there are 434 children onthe state’s medical marijuana registry. InAugust 2013, there were 60.

To watch the videos of these interviews,go to:http://weedrush.news21.com/resolute-parents-demand-marijuana-treatment-for-children/

© 2015 Carnegie-Knight News21.com.Reprinted under Creative Commons License.

While there is significant progress beingmade in the effort to legalize medicalcannabis in United States, andinternationally, recent treatment resultshave made us consider the followingquestion – are we focusing on the wrongaspect of cannabis? Dr. Allan Frankelhas found the non-psychoactive versionof THC, known as THC-Acid, is provingeffective for some patients as an adjuncttherapy to CBD as well as a therapy forpeople on which CBD is not as effectiveas expected. This is another positiveadvance for treating various conditions,except for those needing treatment inlocations that have only legalized CBD.What we should be focusing on is therelative psychoactivity of the medicinerather than just the THC or CBDcontent.

“Evidence shows THC-A, THC that hasnot been processed to activate itspsychoactive properties, is actually lesspsychoactive than CBD,” stated Dr.Frankel. “With recent evidence of theeffective treatment of seizures, Dystoniaor Torticollis it appears THC-A haseffects in both the central and peripheralnervous system. I have seen a goodresponse with a Parkinson’s patient andam hoping there will be positiveresponses with other neuro-musculardisorders.”

A huge step was recently made in thetreatment of a patient with Lou Gehrig’sdisease (ALS) using a combination ofTHC-A and CBD. This patient hadvirtually no use of any of his extremities.He had not used his right hand forseveral years. On modest doses, after twodays he noted a significant improvement.Now a couple of months into treatment,one of his legs and his right arm are nowbeginning to function.

With results this life changing it onlymakes sense to delve further into thepossibilities of THC-A. If the focus wouldshift to psychoactivity of the medicinerather than just the CBD or THCcontent, there is huge progress to bemade.

©2015 Greenbridge Medical Services. AllRights Reserved. Reprinted by Permission

Medical News

Great Recipes

NEXT PAGE!

Page 19Oregon Cannabis Connection

(Image |News 21)

(Photo by Nick Swyter | News 21)

(Photo by Calah Kelley | News 21)

Image: OCC newspaper

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Food & RecipesPage 20

5 GreatWays to EatHemp SeedsBy The Joint Blog

UFO Cookies(Unusually FruityOatCookies)

Hemp Seed TabouliBy OCC Staff

CannaCrack SnacksThe Weed Scene

Hemp seeds are one of the mostnutritious foods on the planet. Inaddition to providing a massive amountof protein and other nutrients such asomega-3 fatty acids, studies have shownthat they provide medical benefits suchas treating and preventing high bloodpressure. Given these benefits, and thesimple fact that hemp seeds taste good,it’s always agood idea toinclude themin meals;they’re reallyincrediblyversatile andcan be addedto almostanything.

With all ofthis in mind, here is a list of five of thebest ways to consume hemp seeds (otherthan baking them into items or drinkinghemp milk). Here they are:

Put them in a salad (see tabouli recipe)

Hemp seeds are perfect in salads. Theslight nutty flavor of the seeds shinesthrough particularly well when using alight Italian or vinaigrette dressing, andthe subtle crunch added to each bitereally brings the salad together.

Put them on a pizza

Adding hemp seeds to pizza doesn’t adda lot of flavor, as the sauce, cheese andany additional topping tends to drown itout, but it does add an additional layerof appreciated texture to the pizza, anda huge boost of nutrients.

Put them on ice cream

The joy of eating hemp seeds certainlyexpands into sweet foods as well, andhow well they pair with ice cream is theperfect example. Enjoyed on somevanilla ice cream (if you have veganhemp ice cream; even better!) by itself,or with a dollop of fudge, hemp seedsadd a burst of both flavor and texture toa bowl of ice cream.

Put them in oatmeal

This is an obvious one, but thecombinations works far too well to notinclude on this list. The hemp seedsblend in perfectly with the oatmeal,giving a massive boost of nutrients. Theflavor is subtle to the point of beingunnoticeable, but if you put in a lot,you’ll add a nice nut-like flavor profile tothe oatmeal.

Put them on a sandwich

Adding hemp seeds to a sandwich is agreat way to add a nice crunch andextra flavor depth. This worksparticularly well on sandwiches thathave lettuce and tomato. Do you have any favorite ways of eatinghemp seeds that we didn’t mention, orany hemp seeds recipes you’d like toshare? Visit us online and let us know!www.TheJointBlog.com

© 2015 Thejointblog.com. All rights reserved.Reprinted by permission.

WARNING: Medical cannabis consumptioncan be unpredictable. Always start with a

quarter serving and give it time. Effects cantake up to an hour and sometimes longer. If

you have doubts, you should contact acannabis clinician about dosage.

MedicatedMunchie BallsBy Krist Anderson

Non-medicated heart-healthy recipe

By Habit 420

Page 22: 0606 Issue OCC

It seems as though everyone wants thesecret formula for growing the bestCannabis. We get a lot of curious growersasking for tips and methods that willincrease their garden’s potential andproductivity. For years we have beenchallenged with answering suchquestions because there is so much morethan formulas and tricks of the tradethat factor into generating vitality andabundance with your grow.

Spirit and connection to Earth areessential to success in the garden. Yetthese crucial aspects of the humanexperience are often overlooked. Yourstate of mind absolutely affects yourgarden. We must begin the journey intoourselves if we want to develop a goodrelationship with our surroundings. It is

in our self that we find and form ourintention upon the Earth. The Earth andall life and elements can absorbintention.

Unfortunately, too often, Cannabis istainted with negative intentions due toprohibition and greed. Cannabis is areceptor and manifestation of itsenvironment. Paranoia, fear of failure,financial expectations and stress arecommon energies that plague cannabisproduction. Cannabis carries power in itsability to transfer energy from thegarden to the consumer. This is whyknowing the story of where our cannabiscame from is important for ensuring apositive experience.

We encourage anyone who is growinganything to look deeper into theirgrowing experience. Spend more timereceiving rather than projecting. Insteadof thinking about what the plant needs,based on a grow recipe or instructions,try observing the plant and intuitivelyreceive the information. All life—human,plant, animal and microbe alike—isconnected on this journey through thecosmos. Focusing on that interconnectionand the things that we have in commonwith all the life that surrounds us helpstap our consciousness into the deeperframework of existence. That foundationof awareness helps steer your intentionsin the garden away from fear and stressand toward respect, appreciation andawe. One love.

© 2015 OCC. All rights reserved.

There's a new cannabis seed companyproviding unique strains to the SouthernOregon region, which are uniquely suitedfor the climate. Moonflower Gardens isnow providing strains such as Royal BlueDurban to the market, especially aimedat the commercial outdoor growers.

Richard Reames,the company'sfounder, is aresident ofOregon and livesin the ApplegateValley, where hehas spent manyyears as a treesculptor. He is acertified arboristand can createliving sculptureswith trees. He hasclients across thecountry who haveemployed him todesign pieces ofliving art fortheir gardens.His property iscovered in arboricultural masterpieces,too. They are a tribute to his prowesswith plants.

His love of nature, and growing,conveniently extended to his fondness ofcannabis. Reames grew cannabis foryears, and eventually got busted in 1987for growing, spending 120 days in jail inGrants Pass, where the Judge advisedhim to try to change the law and not tobreak it.

“After that, I became more politicallyactive and took the Judge’s advice, andtried to change the law,” Reamesexplained. “And, things unfolded fromthere with OMMA and with our ability togrow uninhibited.”

Under the OMMA, he was free toexperiment legally, which made thingseasier. He was able to talk to othersfreely and trade genetics to developbetter strains. He was able to develop anexpertise in cannabis horticulture duringthat period.

“I got started by just maintaining myown strains when I first started growingback in the 80's,” Reames told OCC. “Istarted with a strain called “Frosty” thata lot of locals loved, and from there I juststarted maintaining my own seed linesand collected the best I could findamongst my friends and neighbors.”

A classic tale of Oregon cannabishorticulture practices, Reames has beenable to develop strains that areacclimatized for the typical outdoorgrower in Oregon's southwesterngrowing region. They finish early enoughand are mold- and mildew-resistant todeal with the often wet, autumnconditions.

At the moment they Moonflower Gardenshave four main strains: Royal BlueDiesel, Royal Blue Durban (a mostlyleafless variety), Mana Gooey (his largestyielding variety), and Royal Blue ManaDurban (a cross between RB Durban andManna Gooey).

His “leafless” strains have a super highcalyx to leaf ratio, so the buds have fewleaves protruding from the stem past thebuds. They are a trimmer’s dream,according to Reames.

The other main aspect of his breeding isthe terpenes. Terpenes are a large classof organic hydrocarbons produced by awide variety of plants, and are calledterpenoids when denatured by oxidation(drying and curing, in the case ofcannabis). They are a main component ofany plant resin and contribute to thescent, flavor, and colors in “essentialoils.”

“Using chromatographic analysis fromgood labs like Sunrise Analytical inWilsonville gives you the terpene profile,”he said. “It's where the plant exhibits thevarious characteristics of the 'high,'whether it's going to be a stimulant or asedative, and the properties of theterpenes are well-known.”

Armed with this knowledge, Reames hasdeveloped plants he says are

CultivationDec/Jan 2015­16 Page 21

Cont. on Page 22

AFoundation ofHealthyIntentions

Image: GS Gardens

Image: OCC Newspaper

Image: Green Source Gardens

IImmaaggee:: MMoooonnfflloowweerr GGaarrddeennss

Image: Moonflower Gardens

Page 23: 0606 Issue OCC

Cont from Pg 21

easy to grow and harvest and highlydesirable in effect and terpene profile. Inaddition to leafless varieties and terpenes,he picks for harvest date and larger buds.The larger “fat” bud varieties he has comein earlier to help avoid mold, and the laterharvesting plants tend towards thinner-type buds that resist mold.

His seeds are dioecious, and not feminized,so his seedlings will include males. With aprice point low enough to make hisdioecious seeds competitive, Reamesthinks it’s not a big deal. His seeds will beavailable in dispensaries at a verycompetitive price, but he hopes to gofurther and work with commercial grows.

“I hope to work with people who getpermits,” Reames stated. “We want to sellmany seeds to those with recreationalpermits and then be able to select a fewamongst their progeny for our own futureuse.”

“I want to work with permit holders toadvance the genetics of the plant underhigher numbers than any one person isallowed,” he expounded further. “We canalso provide the grows with four differentstrains so their harvest is spread out andthey are not inundated all at once.”He intends to work with the commercialgrows to produce seed for Moonflower andcross-breeding as well as the permittedgrow’s use the following year. With amutually beneficial relationship, he cancontinue to work on his own genetic linesand the growers get the strains they needat a discount.

Moonflower Seed Strain

Information:

Mana Gooey Seed

Large plant, high yielding.Harvest date outdoor southern Oregon- earlyvariants are ready to harvest in the last week ofSeptember later variants mature in the middle ofOctober.Variations of pink or white pistils on large thickbuds. - Fruity aroma.

Royal Blue Durban Seed (leafless)

Know Pedigree: Blue Berry X Shoe Polish X DurbanPoisonHarvest date- Sept 22 to Oct 1stSouthern Oregon acclimatizedYields- 4 to 5 lbsOne stabilized phenotype has very little leaf.

Royal Blue Diesel Seed

Know Pedigree: Blue Berry X Shoe Polish X SourDieselHarvest date- Sept 25 to Oct 10th Southern Oregonacclimatized.Yields- to 7 lb'sSativa dominate- Shows bud mold resistance.Temporarily sold out.

Kush Wreck

Known Pedigree: Purple Kush X Russan X Kush XTrain WreckHarvest outdoors southern Oregon 2nd week inOctober.Large high yielding .Sativa dominate - High potency and resin content.

Royal Blue Mana Durban

Known Pedigree: Manitoba wrecker x bubba-gootooth x Royal Blue DurbanLarge plant, high yield.Harvest early October - Hardy F1 hybridTerpene test pending

For more information on Moonflower seeds,visit their website atwww.moonflowergardens.com.Email Richard Reames [email protected], or youcan reach them at 541-787-7054. Look fortheir seeds at your local dispensaries, andcontact him if you are planning acommercial grow!

© 2015 OCC. All rights reserved.

Recently, water rights have become anespecially hot topic among growers andmarijuana entrepreneurs alike when theOregon Liquor Control Commission(OLCC) approved temporary rules forOregon’s recreational marijuana programin which “producers” will be required tohave them. Did you know, legally, allwater in Oregon is publicly owned? Yes,this refers to all water, both public andprivate, including rivers and creeks, ponds,lakes, springs, and even water from thewell on your own property. The OregonWater Resources department states, “Withsome exceptions, a water right, permit, orlicense is required to use the waters ofOregon.” In recent conversations I’venoticed that, unless someone has and useswater rights, it is a pretty foreign topic formost people. Considering this, here’s thegist on water rights and how they may ormay not impact your marijuana growing.

So you’re a grower, butdo you really needwater rights? Notnecessarily. In manyscenarios, generalresidential water usefrom a well ormunicipal source doesnot require a permit.Oregon’s residentialwater use is generous,with a limit of no morethan 15,000 gallons perday per household.This water allowanceapplies to domesticapplications andincludes an outdoorarea restriction ofwatering no more than one half acre oflawns and gardens. Generally speaking, itis unlikely for hobby gardens or medicalmarijuana grows to exceed this limit. Ofcourse, water needs for each garden willvary depending on a multitude of factors,including but not limited to: the overallsize of the garden, number of plants, size ofplants, strain of plants, type of growingmedia or soil, method of watering, andtemperature.

If you use a stock tank for storing water,mixing nutrient feed, or brewing composttea, you may have a pretty clear idea ofhow much water you use daily for yourgarden. On the other hand, if you just turnon the faucet and let it run, it may be alittle harder to quantify your water use.Using a flow meter can be a helpful tool toestimate your water use, or simply use astopwatch to time how long it takes to fill afive gallon bucket with your wateringwand, emitter hose or drippers, and do themath.

Consider your water consumption,household and garden combined, and talkto your local watermaster if you think youuse or need more than the standardresidential allowance.

When it comes to water, recreationalmarijuana growing is a different story.While Oregon water law allows commercialwater use under 5,000 gallons a daywithout a water use permit, this watercannot be used for “watering to promoteplant growth.” This condition is no

exception in regard to recreationalcannabis, and is outlined in the OLCC’sapproved temporary rules applicationpacket for “producers”:

“A water right permit or certificatenumber; a statement that water issupplied from a public or private waterprovider, along with the name and contactinformation of the water provider; or prooffrom the Oregon Water ResourcesDepartment that the water to be used forproduction is from a source that does notrequire a water right.”This is a very important factor if you areconsidering applying for a recreationalproducer permit, especially because notevery property has what it takes to getwater rights.

Unfortunately, there is no easy answer asto whether or not your property can begranted water rights, but your localwatermaster can tell you if it meets thecriteria. If you are unable to get waterrights on your land, water supplied by awater provider will also satisfy therequirement. Ultimately, garden size andlocation will help determine which watersource makes the most sense for yourneeds. If you are planning a smaller indoorgrow, city water may suffice (likely with a

permit for commercial use). If you areplanning a 40,000 square foot Tier 1outdoor grow, rural land that is eligible forwater rights would likely be far preferable.But, hey, if you can’t get water rights,water delivery is always an option.

I see many of my fellow growers feelingwary about increased regulation in themarijuana industry but, when it comes towater, let me offer the encouragingreminder that marijuana is a weed andreally doesn't need that much water! Infact, overwatering is a common mistakeamong new and experienced growers alike,a mistake that can be detrimental to plantgrowth. While research is somewhat slim,recent studies in California estimate thatmarijuana takes only approximately onegallon per day for each pound of flowerproduced. As a crop, marijuana uses farless water than corn, potatoes or tree fruitsand half as much water as alfalfa.

As we see more rules and regulations ongrowing cannabis, and anticipate morestringent enforcement and oversight, itwould be a good idea to contact your localcounty watermaster to be sure you arecompliant. Just like any other law, when itcomes to water, know your rights!

For more information please visit OregonWater Resources Department atwww.oregon.gov/OWRD or contact yourlocal county watermaster.

CultivationPage 22 Oregon Cannabis Connection

Growing with

Good Earth

Image: Moonflower Gardens

Page 24: 0606 Issue OCC

GRATEFUL MEDS OF OREGON

www.gratefulmedsoregon.com

2 Locations:

PORTLAND, OR

7050 NE MLK Jr. Blvd.

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CANNABIS PACIFIC NORTHWEST

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ROE LAW FIRM, LLC

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(877) 636-6275 [email protected]

OREGON SUNGROWN GROWERS GUILD

Growers Uniting To Help Growers

& Patients Join Today!

www.oregonsungrown.org

UMPQUA CANNABIS ASSOCIATION

Helping the Oregon Cannabis Community

Thrive in Umpqua Valley and Beyond.

www.umpquacannabisassociation.com

NORML AND THE NORML FOUNDATION

1 600 K Street, NW Suite 501

Washington, DC 20006-2832

(888) 67-NORML (888-676-6765)

(202) 483-5500

www.norml.org

AMERICANS FOR SAFE ACCESS

1 322 Webster Street, Suite 402

Oakland, CA 9461 2

(51 0) 251 -1 856

www.americansforsafeaccess.org

DRUG POLICY ALLIANCE

925 1 5th Street NW, 2nd Floor

Washington, DC 20005

(202) 21 6-0035

www.drugpolicy.org

MARIJUANA POLICY PROJECT

P.O. Box 77492 Capitol Hill

Washington, DC 2001 3

(202) 462-5747

www.mpp.org

APPLEGATE SOILS

61 0 Rossanley Dr.

Medford, OR

(541 ) 952-2378

www.applegatesoils.com

BEST BUD BAGS

Quality Dispensary Supplies for Oregon

The Best Bags for Your Best Buds!

(908) 800-2247

www.bestbudbags.com

DRAGON HERBARIUM

4638 S.W. Beaverton- Hillsdale Hwy

Portland, OR 97221

(503) 244-7049

www.dragonherbarium.com

GREEN BROZ INC.

Take the Work Out of Trim Time!

The Ultimate Machine!

(844) DRY-TRIM

www.greenbroz.com

GROBOTS INTERNATIONAL, INC.

"The Green Lamp"

Mobile, Modular and Automatic

Light Deprivation System!

Outperforms Any Other Light Source

www.grobots.com or (800) 547-6268

I'D HIT THAT SMOKIN' GLASS

Roseburg's Best Glass Shop

1 502 SE Stephens St.

Roseburg, OR (541 ) 677-TOKE (8653)

The Only Glass You'd Wanna Hit!

MAGIC MUSHROOM / OREGON GIFTS

"Look For The Giant Mushrooms"

Next to I-5, Exit 1 36

Sutherlin, OR 97479

(541 ) 459-7481

NEW WORLD DISTRIBUTION

Wholesale Butane!

Quality Butane at Great Prices!

(541 ) 450-2935

www.cheapbutane.com

ORGANIC GLASS ART

201 Broadway

Coos Bay, OR 97420

(541 ) 808-0577

PIRATE GLASS SMOKE SHOP

865 W. Central

Sutherlin, OR 97479

(541 ) 767-8846

thebigbear1 [email protected]

SILVER SPOON

8521 S.W. Barbur Blvd.

Portland, OR 9721 9

(503) 245-0489

www.silverspoonpdx.com

SKY HIGH SMOKE N' ACCESSORIES

So. O's Premier Pipe Shop

91 2 S. Central

Medford, OR 97504

(541 ) 622-81 81

SMOKE POINT

7580 Hwy 62 (behind Stop N Go)

White City, OR 97503

(541 ) 879-0396

SMOKIN DEALS CUSTOM GLASS

www.smokin-glass.com

4 Locations:

ASHLAND, OR

300 E. Main St.

(541 ) 767-831 0

MEDFORD, OR

1 246 S. Riverside

(541 ) 767-8636

GRANTS PASS, OR

61 3 SE 6th Street

(541 ) 767-831 0

KLAMATH FALLS, OR

1 939 S. Sixth Street

(541 )767-8909

T ZONE

Your Alternative Store

3 Locations:

SALEM, OR

1 75 Commercial St. NE

(503) 363-41 74

SALEM, OR

1 65 Lancaster Dr. S

(503) 581 -1 71 2

KEIZER, OR

31 09 North River Rd.

(503) 463-1 711

THE GOOD EARTH ORGANICS

30088 Redwood Hwy.

Cave Junction, OR 97523

Roy (541 ) 840-9352

www.thegoodearthorganics.com

THE PERFECTPIPE.COM™

A Pipe For ALL Smokers

Filtered Smoking Device

www.theperfectpipe.com

VICTORIA'S STATION THE STATION

1 20 Galice Rd.

Merlin, OR 97532

(541 ) 471 -1 396

DUB'S ST. JOHNS

Home of Mack n Dub's

Excellent Chicken and Waffles!

9520 N. Lombard St. John's

Portland, OR (503) 998-8230

PLEW'S BREWS

8409 N. Lombard St.

Portland, OR 97203

(503) 283-2243

www.plewsbrews.com

THE GYPSY

The BEST Bar in Meddy!

205 W. 8th St.

Medford, OR 97501

(541 ) 770-1 21 2

KSKQ COMMUNITY RADIO

89.5 FM "Home Grown" Radio

Streaming Live at KSKQ.com

330 East Hersey St, Ste #2

Ashland, OR 97520 (541 ) 482-3999

MACK & DUB AND THE SMOKIN'

SECTION

Medicated Hip Hop/R&B

Incorporating Live Instrumentation and

Harmonies for that Mack & Dub Sound

www.mackanddub.com

THE RUSS BELVILLE SHOW

"Radical" Russ Belville

The Independent Voice of the

Marijuana Nation

cannabisradio.com

www.RadicalRuss.com

ROGUE CANNABIS RADIO

WIth Wendy King of J. State Vibes

Streaming LIVE Tuesdays

from 7 to 9pm PST on www.kskq.org &

KSKQ 89.5FM in the Rogue Valley

Business ClassifiedsDec/Jan 2015­16 Page 23

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