0606 Issue OCC

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Image: Allan Erickson, for Oregon Cannabis Connection

FR E E

Dec/Jan 2015-16 Vol. 6 Issue 6

"Radical" Russ Belville concentrating at his broadcast desk. Belville sat down with OCC in November for an interview.

News Nuggets from Oregon and the Nation Food & Recipes: Hemp Seed Tabouli UFO Cookies & More!

Church & State: Updates From The Capitol Oregon Radical, Our Column from "Radical" Russ Belville Medford Council Opts NOT to Ban Growing Eight States Most Likely To Legalize in 2016 Humble Pie Served in Ohio

Also In This Issue:

Dram ati c Ch an ges To Testi n g R e gu l a t i o n s I n O r e g o n Tem porary " Fi n al " R u l es C h a n ge s

Connecting Oregon's Marijuana Community Since 2010


Dec/Jan 2015-16

In This Issue

Oregon Cannabis Connection

Medical News

Oregon News Major Changes Ahead For Cannabis Testing In Oregon

5

Outcomes in Opioid-Dependent Subjects Undergoing Treatment

18

Three Last-Minute Changes To Oregon's Recreational Marijuana Rules

5

Clinical Trials For Cannabis: Doctors Weigh In On Epidiolex

18

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Resolute Parents Demand Marijuana Treatment For Children

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Oregon Radical - Is Oregon As Good As It Gets? Medford Drops Proposed Residential Growing Ban

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Dr. Allan Frankel Reports Successful Treatment With THC-A

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At Church & State: Updates From The Capitol

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Oregon's "Ban" Wagon Gets Crowded

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A Radical Interview - OCC Sits Down With Oregon's Russ Belville

9

Advisory Committee On Medical Marijuana -

10

ACMM Meeting Highlights

Oregon News Nugs - News From Around The Beaver State

Recipes Five Great Ways To Eat Hemp Seed Hemp Seed Tabouli Medicated Munchie Balls CannaCrack Snacks UFO Cookies

Cultivation

11

National News Humble Pie In Ohio For The Marijuana Movement

12

Marijuana Legalization Is Not Exactly "Inevitable" In California In 2016

12

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

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Alaska Opened The Door To Cannabis Lounges

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

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Marijuana Legalization Initiative In Massachusetts Poised For 2016 Ballot

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Eight States That Should Legalize Marijuana Next Year

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A Foundation Of Healthy Intentions - By Green Source Gardens

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Acclimatized Seeds For Southern Oregon

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Growing With Good Earth: Water Rights

22

Business Classifieds

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OREGON CANNABIS CONNECTION is a bi-monthly publication for the entire cannabis community in Oregon. Published by K2 Publishing Co. in Southern Oregon, we strive to inform the public on the value of medical marijuana, as well as provide news, information, and opinions concerning marijuana laws, legalization, and medicine. All information in OCC is intended for legal use by adults only. OCC is advertiser supported and over 21,000 copies are available FREE at over 300 locations across Oregon.

FOR A DISTRIBUTION LOCATION NEAR YOU, GO ONLINE TO WWW.OCCNEWSPAPER.COM OCC Staff:

OCC Contributors:

Keith Mansur

Copy Editor/Writer

Anthony Taylor 足 at Church & State "Radical" Russ Belville 足 Oregon Radical Nicholas Mahmood & Elizabeth Luca-Mahmood -

Ad Sales/Social Media Manager/Writer

Rhea - Growing with Good Earth

Publisher/Managing Editor/Writer

Cheryl Smith

Alexa Mansur

National News Nugs - News From Around The Nation

16

Colombia President To Legalize Marijuana

17

Green Source Gardens

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 97527 To advertise or distribute please Email: OCCNewspaper420@gmail.com or contact us at 541-621-1723. Next issue is Dec/Jan 2015-16, advertising DEADLINE IS JAN 25TH, 2016!




Dec/Jan 2015­16

After nearly two years of inadequate testing rules and poorly operated laboratories across the state, Oregon Health Authority adopted new temporary rules in hopes of combating what is a growing problem. After the passage of HB 3460 in 2013, no certification rules for testing labs were ever adopted in the state, as Oregon Cannabis Connection pointed out in Problems with Oregon Cannabis Testing (Aug/Sep issue in 2014). A subsequent investigation by The Oregonian in June of this year discovered that major problems did indeed exist with contaminated cannabis at Oregon dispensaries, especially concentrates: “A total of 14 chemicals were found in eight of the samples, including a halfdozen the federal government has classified as having possible or probable links to cancer.”

New Standards, Better Labs The new standards hope to address this failure in the system with a variety of new rules and requirements. They include: mandatory laboratory certification to the NELAC/TNI Standards by the state’s own Environmental Laboratory Program (ORELAP), testing for 60 specific pesticides commonly used in cultivation of marijuana (see Figure 1), stricter sampling requirements (only lab personnel), destruction of cannabis products that fail the minimum standards (no longer returned to supplier), testing for residual solvents present in extracts and concentrates, and many more. The rules are available online at OHA website, link here. The administrative

Oregon News

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in Oregon, and all of them will now be required to get licensed by June of next year to continue providing testing services. The Oregon Environmental Laboratory Accreditation Program currently accredits qualified laboratories for testing under the Clean Air Act, Clean Water Act, Resource Conservation and Recovery Act, and the Safe Drinking Water Act. Now required by administrative rule, ORELAP is in charge of Cannabis testing laboratories, too.

Image Green Leaf Labs

rule that covers testing is OAR 333-0070300. Rowshan Reordan of Green Leaf Laboratories, one of Oregon's oldest testing labs and one offering statewide services, explained to OCC, “It's been the Wild West in Oregon's cannabis laboratory industry for years now and we are looking forward to regulation and oversight.” “At Green Leaf Labs we have had high standards from the beginning. Without oversight there is no accountability. This has diminished the credibility of analytical science and led to the distrust of laboratory testing in the cannabis industry,” Reordan explained further. “Having proper standards and oversight for laboratories will help assist with accountability and credibility.” “A lot of these labs that are doing these so called 'State compliance tests'… they're charging ridiculously [low] prices that can't be sustained, but they can't really be doing these tests,” explained Mike Goldman, COO of Iron Laboratories in Eugene. “You can't run a thorough pesticide test, a thorough potency test, a thorough microbial exam, test for yeasts and molds and water activity from a gram and a half [sample] that could possibly represent any large batch of cannabis product.”

Lab Accreditation Log Jam? There are literally scores of testing labs

We asked ORELAP about the process and what they expect in total numbers of applicants. So far, they have received 13 applications, none of them complete. They expect to receive up to 20, in all, before June. “When a complete application is submitted, it will take approximately a week to be reviewed for completeness,” explained Shannon Swantek one of OHA's Lead Assessors. “The scheduling of the assessment date will depend on how many complete applications are received at once. Two to three weeks per month, starting in January, are being held open in ORELAP's existing schedule for new cannabis lab applicants…. The quality and preparedness of the lab system and accuracy of their data will dictate how quickly an application is processed.” According to Roger Brauninger, Program Manager for Bio-Safety at the American Association for Laboratory Accreditation (A2LA), Oregon's ORELAP program is one of the best in the country at what they do… certifying to the NELAC/TNI standards for environmental labs. Questions remain about the volume of work they may receive and concerns over whether they can handle the workload. “Oregon is one of the very best NELAC [certification] states; they do a very good job,” explained Brauninger. “But, the question is whether they have an adequate amount of resources to be able to cover the normal environmental work, plus California, plus the cannabis laboratories.” Cont. on Page 8

The Oregon Liquor Control Commission spent 2015 listening to Oregonians across the state; dealing with bills passed by the Oregon Legislature; and convening rules advisory committees to develop the rules and regulations that will govern the Oregon recreational marijuana system for the immediate future. The OLCC will eventually hold more rulemaking sessions, taking input from the OLCC Rules Advisory Committee, and may have to adjust to more bills passed by the legislature. Until future changes are made, we now have 77 pages of administrative rules promulgated by the OLCC that statelicensed cannabis businesses will have to comply with, in addition to state and local laws. After months of input, debate and study, the OLCC had a few last-minute changes approved that may greatly impact marijuana entrepreneurs and businesses. The 77 pages are a lot to digest and adhering to any local regulations can be a lot to handle, so anyone thinking of acquiring an OLCC marijuana license should gather all of the information they can and they may want to hire professional help, such as an attorney, to help navigate the regulatory waters. While all of the moving parts of Oregon’s marijuana laws, can be challenging, the future does look bright for the industry. It is imperative to have the necessary information on current rules, but also to mobilize and lobby the government so that we can have an industry that Oregon can be proud of. In addition to the industry knowledge, the ICBC always provides insight into how advocates can impact our government as well, coming up in San Francisco on February 13-14 (See story in National News Nugs on Pg 16) Cont. on Page 8


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Oregon Radical Our recurring column from "Radical" Russ Belville of Cannabisradio.com, the host of The Russ Belville Show live daily at 3:00pm PST.

Is Oregon As Good As It Gets? I travel frequently—some 50,000 air miles this year alone. Wherever I go, I brag about Oregon's marijuana legalization. I often open with "There's no amount of marijuana I can carry in public and get a felony." But even as Oregon has what I call the nation's best marijuana legalization, I wonder. Is this as good as it gets? I'm writing this poolside in Jamaica. I'm at Hotel Gloriana in Montego Bay, where I finally have Wi-Fi on the island.

Oregon News Jamaica than anywhere in Colorado, Oregon, Alaska, or Washington. Somebody is smoking ganja in public just about everywhere you look. Beach restaurants have to post "No Ganja Smoking" signs, and even then, if the crowd 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 an open Red Stripe beer in one hand and a smoldering spliff in the other. I told the cabbie how illegal that would be where I'm from, where marijuana is supposedly legal. I'm walking down the streets of Negril yesterday and Montego Bay today, spliff dangling on my lips like Humphrey Bogart, and nobody could've cared a bit. So it's a bit weird now to brag about Portland's legalization when I still worry about a public consumption ticket. It's weird to brag about a bring your own buds, alcohol-free social club when every club here allows you to bring your own, smoke it outside, and enjoy plenty of rum punch. It's weird that decrim Jamaica is more free than legalized Oregon. On the other hand, the Pacific Northwest has nothing to fear from Jamaican ganja competition. There is a Rasta on every corner offering bags of fresh ganja on the stem, but when they lie to brag about their weed, they say it tests at 14% THC. I might spend $5 US on a 14% THC preroll salad joint. Maybe, if I've only got $5 on me. But to brag to 14% a field-weed that's lucky to hit 8% is a huge break from what I'm used to in Oregon. There's a reason you see those Rastas puffing tough all day long: They have to.

Jamaica is technically a country that just decriminalized marijuana, or ganja, as they call it. It's okay for religious use among the Rastafari, and okay for medical use among those who possess such authorization from a physician stateside or internationally. But, really, on the books it is still a crime. And yet, it is more free here in

Let's hope the future of marijuana legalization is more Oregon genetics and Jamaican culture. the only thing that would make this rum punch by the pool any better is some real bomb-ass American ganja! © 2015 Oregon Cannabis Connection. All Rights Reserved.

Medford Drops Proposed Residential Growing Ban On November 19, 2015, Medford's City Council was overwhelmed with people who were opposed to the residential grow ban the city had recently proposed. They had to extend the public comment period to the evening session. With a large turnout of opponents of the measure, many people who had planned to speak were not allowed due to the 30 minute time limit Mayor Gary Wheeler placed on the afternoon comment period, which they handily blew past. Of the dozen or so people who spoke, not one expressed support for the ordinance, which was brought forth a few weeks ago after the city voted to allow medical dispensaries, but not recreational ones, to operate in city limits. After heated exchanges between Mayor Wheeler and the crowd over decorum, the speakers proceeded to explain why the ban is a dumb idea, and likely illegal. Speakers included attorneys, business people, growers, patients, and activists. Attorney Robert Graham, who has fought Medford in court over their stance on marijuana dispensaries, explained to the council, “You are demonizing this issue by creating fear in the community.... Let’s talk about the issues; let’s not demonize the patient.” Councilman Daniel Bunn objected to Graham's characterization, and complained that the media took his comments out of context. He had been quoted in the local newspaper about how some residents are scared. The decorum the Mayor wanted to see began getting shaky at that point. “That was an extremely truncated quote,” said Councilman Bunn. “Everyone knows that's a ridiculous thing to say—that you should be afraid of people that use marijuana.” The crowd explained, almost in unison, “That's the problem!” Soon after that, Councilman Chris Corcoran broke into the discussion and asked if they could have a “private session,” and possibly remove everyone from the chamber. That, of course, made the crowd even more agitated! After Mayor Wheeler got the situation under control, comments continued. Speakers were passionate, articulate, and raised many good points. Many told the council how the law would affect them personally, and others explained that the people of Oregon had deemed it legal, so the council was stepping out of bounds with their ban. Brent Kenyon, owner of Southern Oregon Alternative Medicine, Grateful Meds, and a member of the OLCC Rules Advisory Committee for marijuana, spoke eloquently and tried to let the councillors know that many patients need to grow their medicine, so a ban is not an option for them. He also mentioned the 12 plant limit in residential grow sites now mandated at the state level, and debunked the supposed “odor problem” which resulted in Medford's current smell ordinance.

Oregon Cannabis Connection

Image Keith Mansur, OCC

With dozens more waiting to comment, the council made a motion to extend the second reading and the vote to the evening session. The evening comment period ran even longer, as everyone was finally allowed to speak. Finally, the council began discussing the ordinance prior to their vote, and Councilman Michael Zorosinski almost immediately expressed his discomfort with the onerous law and said he would not support it. Councilmen Bearnson and Stine immediately concurred, and soon the tide had apparently changed. With a suggestion to send the issue to a citizen referendum already floated from President Bunn, the council moved rather quickly to strike down the proposed ban, and then moved to begin drafting two referrals for the November 2016 ballot: One to ask residents if they want to ban indoor growing, and one to ask if they want to ban outdoor grows. The vote was 7–1 against the ordinance, a striking change from a couple of weeks ago. At that point, the Mayor threatened to veto the council’s surprisingly inclusive marijuana business licensing and zoning ordinance they had just passed in October, and he demanded the ban as a compromise. After the first reading, the council voted 6–2 in favor of the ban, and scheduled the second reading for the session yesterday. Councilman Bearnson expressed his disappointment with the efforts of the council, explaining that to focus so much attention on marijuana while the methamphetamine problem continues to run rampant in the region is not the leadership that is needed. He said, “I am hopeful that once this issue is behind us, that if we as a council are willing to invoke home rule authority to combat drug crime problems that we will take a risk by combating methamphetamine use, which is the scourge of this valley. More importantly, he also expressed his appreciation to the large crowds that day. “I thank every one of these people for coming down today, because this is how democracy works,” explained Bearnson. “It's best when you show up and it's even better when legislators listen to people. I'm pretty proud of you here, right now.” The point was made by a council member that, under a previous ordinance passed months ago that dealt with residential marijuana grows, residents are limited to only four plants. So, medical patients wanting to grow 12 plants as the State law allows will not be allowed. The rank smell of a lawsuit still lingers in the air if that rule is not changed. © 2015 Oregon Cannabis Connection. All Rights Reserved.


Oregon News

Dec/Jan 2015­16

Marijuana Scientific Advisory Committee formed by the OHA to address public safety issues around legalized marijuana, the Advisory Committee on Medical Marijuana (ACMM) and the general public, the temporary rules have generated concerns from all sectors, including the infused products manufacturers, labs, and industry in general. Anthony Taylor is the President of Compassionate Oregon and has unique access and insights into Oregon's lawmaking process, much of which takes place in the Capitol building, near the corners of Church and State streets in Salem.

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

Image:Anthony Taylor, OCC

In ignoring this directive, the Legislature adopted changes to the Oregon Medical Marijuana Program the impact of which has not been seen since the Legislature last adopted sweeping changes in 2005. Even those changes did not have the enormous effect on patients that these changes will have. Many of these changes have not been well received by patients, growers, or the industry. Effective dates unrealistically put in place under HB 3400 put pressure on state agencies to adopt rules quickly, and the Oregon Health Authority (OHA) has felt that pressure. With a new program administrator, two separate marijuana advisory committees, unrealistic effective dates and a mandate to adopt rules that also apply to other agencies, it has not been an easy task for the OHA. The rule process involves not only writing the rules but doing so within a specific time frame required under the Administrative Procedures Act. This has proved challenging. The Act requires rules to be filed with the Secretary of State’s office in time to allow the agencies affected by those rules to establish forms, application processes and compliance and enforcement procedures. In addition, rules may be adopted as either permanent or temporary. All the rules adopted to date have been temporary, allowing an additional six months to re-work problem areas for inclusion in the final, permanent rules. For the OHA, this has involved writing rules for packaging, labeling and testing that will apply to the Oregon Liquor Control Commission, Oregon Department of Agriculture and the OHA itself. With input from the Retail

The current RAC began meeting in November to develop rules for HB 3400 and SB 844, and will wrap up their meetings before the end of the year and submit final temporary rules in January. Issues facing the OHA include establishing rules for the new medical marijuana processors license, application procedures for patients under new patient and plant limits and rules for dispensaries and labs. The new laws adopted under HB 3400 established effective dates, including a March 1, 2016, deadline regarding new plant limits. The complexities of this rule have created challenges for the OHA. They also created an unreasonably short transition period for patients who need to find new growers because of the reduced number of patients allowed per address. Indeed, the “grandfathering” of grow site addresses has complicated the application process. Now required will be confirmation of age and residency for growers, approval of grandfathered addresses by the OHA and the need to make sure all patient applications are not designating grow site addresses that are already at the new limits. For instance, under new patient/plant limits, the OHA will have to look to the next year to determine whether a designated address exceeds the number of patients allowed under the new law. This, as of now, will be done on a firstcome first-served basis by the OHA and any grow site address submitted by a patient must be cross-checked to ensure that no applicant’s designated address exceeds the number of patients per address allowed under the new law. Any address that has more than the number of patients allowed under the new law must cut their patient numbers by March 1, 2016. If you are the 17th patient designating a specific rural grow site address, your application will be rejected. The worst case scenario under these limits is a renewing patient who becomes the 17th patient to apply at his own address would be denied and have their application rejected. This patient would not be allowed to grow their medicine on their own property. We can expect many changes in the future for cannabis laws under these rules, whether adopted by OLCC, OHA, ODA or the Department of Revenue. We all need to remain vigilant in attending hearings, reviewing draft rules and submitting our comments and proposed changes. This is not an easy task in the fast paced world of writing and adopting administrative rules. © 2015 Oregon Cannabis Connection. All rights reserved.

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Oregon Cities continue to ban marijuana dispensaries and businesses of all kinds. Some have chosen to send the decision to voters, as Medford recently did, while others acted hastily and passed laws that are likely illegal. Foolish ordinances abound across the state like: sales taxes on medical marijuana sales in La Pine and Dundee, no outdoor growing 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 prepared to 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 City and Aumsville were added Dec 7th. http://www.oregon.gov/olcc/marijuana/Documents/Cities_Counties_RMJOptOut.pdf


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Oregon News

3 Last Minute Rules Changes Most California labs needing NELAC/TNI certification have contracted with ORELAP, lending credence to the assertion that they are very capable. However, the California situation has already added to their workload. Could adding a large number of cannabis testing labs to their duties prove difficult?

We will be covering more at Marijuana Politics and at the ICBC of course, but here are 3 last-minute changes to Oregon’s recreational marijuana rules that can greatly impact one’s business:

1. Out-of-state businesses may end up

getting licensed after all. Residency requirements have been a hot-button issue among legislators, industry participants and policy makers. While the current rule states that an Oregon resident with at least 51% ownership of a company must be the primary applicant for wholesaler, grower, processor and retailer licenses, the OLCC added language that out-of-state businesses wouldn’t get disqualified if they applied and the Oregon Legislature changed the law. Several members of the Joint Marijuana Committee have expressed that they may change the residency requirement as they want to ensure that businesses have the resources they need to succeed. Some committee members will certainly want to keep the residency requirement, so residency will be a hot topic to watch during the 2016 legislative session.

2. Delivery services will be allowed, but

only in a very limited fashion. The Measure 91 legalization initiative called for the allowance of delivery services. However, after some pressure from local governments, law enforcement and even some inside the industry, the OLCC is only allowing deliveries where no more than $100 of marijuana products are carried and deliveries may not be made into jurisdictions that have banned marijuana retail outlets. Allowing delivery, even into communities that have banned marijuana businesses, is important to some legislators, and certainly many constituents living within these areas, that we may see some legislative changes regarding delivery as well.

3. Budtenders may not have felonies on

their record, unless it is a marijuana felony more than two years old. Creating jobs is one of the most exciting components of legalizing marijuana, but some people will be locked out of the opportunity, unfortunately. While it is great that marijuana offenses more than two years old may not be used against an

ORELAP seems to have a handle on it. A 30-day turnaround is required on ORELAP assessments, but they currently do it in a under two weeks. Also, the speed of the process is primarily determined by the lab and whether they are prepared and their procedures are complete. Image: Oregon State

applicant or budtender, there are many nonviolent offenders that deserve the chance to enter the market. A nonviolent (non-marijuana) drug offender, for instance, wouldn’t be able to even be a budtender (or marijuana handler) under the last-minute rule change, even if the felony conviction was 20 years ago. Apparently, the OLCC Commission will look to raise the issue with the Oregon Legislature, but the cannabis community and concerned citizens should lobby legislators to give people convicted of nonviolent offenses, if those offenses don’t impact their work at a dispensary, another chance. While all of the rules and regulations can seem daunting, the future of the Oregon cannabis industry is very bright. There will certainly be growing pains as the industry gets off the ground, but the industry has the opportunity to follow in the craft beer industry’s footsteps. Some changes will be made and more are needed, but compared to other laws and proposals, the Oregon marijuana system has a good foundation to ensure that the regulated cannabis industry can be an industry that Oregon can be proud of. © 2015 Marijuanapolitics.com. All rights Reserved. Reprinted by permission.

“The limiting time factor when our report is complete is how many deficiencies or findings of non-compliance the lab has to address,” Swantek said. “They are required to respond to these deficiencies within 30 days but, if the findings are severe, the correction must be complete before accreditation is granted.” What is required and what would be a typical fee for accreditation of a lab? There is a fee calculator available for labs that are interested at http://public.health.oregon.gov/LaboratoryS ervices/.

Another Standard for Testing There is another standard that could be used to accredit labs. According to Brauninger, if they use the requirements set forth in ISO/IEC 17025:2005, the standard used by the International Laboratory Accreditation Cooperation (ILAC) mutual recognition arrangement, instead of NELAC/TNI standards, an independent accreditation programs could be a solution to any logjam.

Oregon Cannabis Connection Reordan, of Green Leaf Labs, thinks ORELAP’s oversight and NELAC/TNI’s standards are the best choice for Oregon and she fully supports the Rule requiring ORELAP accreditation. “I believe ORELAP is the best organization for accreditation of Oregon Laboratories,” she explained. “They have the knowledge, experience and are extremely reputable.” “They have experience accrediting other Oregon laboratories,” Reordan added. “They are headquartered in Oregon and are able to have local oversight and insight on Oregon’s cannabis testing industry.” She believes an out-of-state third party accreditation company cannot have the same level of commitment or the same level of oversight. “I understand the argument for ISO 17025 standards,” Reordan states. “However, NELAC/ TNI not only incorporate many of those standards, but go above and beyond, requiring more accountability and more responsibility. We have to work at building back Oregon’s cannabis industry’s trust in analytical testing. If we are going to be accredited, let’s be the leaders in accreditation and have the highest standards, which is what ORELAP and NELAC/TNI offer.”

Higher Testing Prices Another requirement that could be a problem for many labs is the pesticide testing standards in the rules, which will require very expensive equipment in order to obtain the level of accuracy required. The type of equipment needed, like a HPLC system with triple quadrupole MS-MS detection, is hundreds of thousands of

“Other accreditation bodies that operate to just ILAC [the international accreditation standards], like A2LA and our competitors, have plenty of auditors and we have the skill set to be able to go in and analyze a cannabis laboratory.” Beyond the accreditation requirement, ORELAP is also required to monitor the labs in order to check on their procedures and practices. This process will require surprise site visits and analysis of the labs’ work. “They should probably allow for third party accreditation of labs so they can handle the oversight of the labs [that are] operating,” explained Joe Rutkowski, a head chemist with Iron Laboratories who helped with their laboratory setup in Oregon. Iron Laboratories opened a testing lab in Eugene a few months ago, but they have been operating in Michigan for years and are already ISO 17025 accredited there. They believe a company like theirs might have a smoother process since they are already ISO-certified and know what to expect. “It gives you an advantage because you have already gone through the ISO certification process so you are more familiar with what is necessary,” Rutkowski said. That change would be a heavy lift, according to Swantek. “The decisions regarding third-party accreditation programs would have to be made and changed at the legislative level. The legislature determined the accreditation body in administrative rule and this was not solicited by ORELAP.”

Image: Iron Laboratories

dollars, on sale! This requirement alone will put many labs out of business. “A reasonable rate for the battery of tests required is $200 to $300 dollars, minimum,” explained Goldman, who has a unique view on the pricing. “That's the going rate around the rest of the country. Iron Laboratories have performed over 50,000 separate tests on cannabis products…which sets us apart from other labs.” The current prices as low as $100.00 for a “full state compliance test” under HB 3460 will become a thing of the past. The new rules will be in effect in June and prices will likely rise to sustainable levels for this type of industry.

Immediate Changes Proposed Most recently, a suggestion was made to the OHA that 10–12 most common pesticides be immediately added to the rules to provide a stopgap measure to help curtail some pesticide-laden products from reaching the market. Cont. on Page 10


Oregon News

Dec/Jan 2015­16

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

Russ Belville has been advocating for the end of marijuana prohibition for over a decade. He is a proud Oregon transplant, as so many of us are, and is instrumental in informing everyone about cannabis across the nation through his internet radio show We are glad to have him contributing to the Oregon Cannabis Connection and wanted to give everyone a bit more insight into his motivation, inspiration, and plans for the future. Luckily for me, Russ was able to sit down and chat with me during the Thanksgiving weekend while I visited my daughter in Portland. Here are some excerpts of our conversation. OCC: When did you become involved in the marijuana legalization movement? RB: It was kind of late, actually. It wasn't until May 2005 that I officially got involved. I grew up in Nampa, Idaho, and didn't smoke pot until I was 22, and I never took it as any sort of political thing. I just smoked pot, I knew it was illegal, and I knew that was stupid, but I didn't do anything about it. I got married in 2001 and moved to Oregon in 2003 because my wife, Iva Cunningham, needed to be a medical marijuana patient. That's when I started to become political, because in Oregon everyone is more political, about anything, really. There were events happening with Oregon NORML, the Seattle Hempfest, and other activities, but it was May 7, 2005, that I went to the Global Cannabis March at Portland’s Pioneer Courthouse Square. I was blogging at the time and a woman named Anna Diaz came up to me… and she had been reading my political blog. She was excited to meet me at the march, and she introduced me to Madeline Martinez, who was the Oregon NORML Executive Director at the time. From that moment on it was just a whirlwind of activity getting me involved. Just two weeks in I was hosting their Oregon NORML cable access TV show, and a month in, I was redesigning their website, and within six months I was the Associate Director. OCC: You eventually became involved with the national NORML organization, how did that come about? RB: It was a remarkable case of being at the right place at the right time and having a whole lot of luck. In 2006, with encouragement from my wife Iva, I entered a nationwide talent contest

NORML Show Live Image: Youtube

through a liberal talk radio station, KPOJ in Portland called “The Search for the Next Progressive Talk Radio Star.” I knew nothing about talk radio, but after weeks of pestering from Iva to enter the competition, I hurriedly put together a two minute clip the night before the deadline… it was something about Bill O'Reilly and how stupid the idea of a “War on Christmas” was. Well, to my surprise, I won the local competition, and eventually made it to the finals

out of 24 entries. The final head-to-head competition was held at the Center for American Progress, a liberal think tank in Washington D.C. before a live crowd of about 300 people. I won that event, too, beating a gentleman from Colorado! That led to a talk radio show on XM satellite radio I did for two years, until it was dropped after the merger of XM and Sirius and the subsequent downsizing of shows that occurred.

polis, moved to Portland and he wanted to get involved with NORML out here. He didn't see a lot happening with Oregon NORML or other chapters so he asked me if I would be interested in co-founding a chapter of NORML for Portland, and I thought that was a great idea. Now that we’re legal, we need to come up with how we can be equal, so there's a lot of work left to do. We have been involved with a couple of the hemp expos, we've been having two or three meetings a month that are at the Analog Cafe. We are helping people get their first seedlings and marijuana seeds and educating them on what's happening in the city of Portland concerning commercial regulations, zoning issues, and all the rules pertaining to recreational marijuana here in Portland.

In the meantime, Chris Goldstein had created the Daily Audio Stash internet podcast for NORML and coincidentally had to leave as the host of the program just when I got the ax from XM radio. NORML put out the call, “Is there anyone out there that knows a lot about marijuana who also has radio experience?” It was the perfect job for me, so I started working for national NORML doing the Daily Audio Stash. That's when I learned that a podcast takes more work than a live show. If you want to do a 30minute podcast it can take four or five hours of work, because of editing, re-recording, and fixing and all that. But, if you do a live show, it takes as long as a live show, so I transitioned the Daily Audio Stash into NORML Show Live—A live podcast recording. Then, I thought it would be great if other NORML chapters had that and could be on the same network, so I created the NORML Network that provided a live 24-hour stream of activist content. I was also the National Outreach Coordinator for NORML, and was basically responsible for recruiting new chapters and coordinating existing ones. In my four-year tenure, we created 71 new NORML chapters. OCC: When did you start The Russ Belville Show? RB: I left NORML in May 2012 and started 420 Radio and The Russ Belville Show independently in June. I went through a few changes early on, including the name “Pot Net”, but eventually decided on 420 Radio, partly because I could get it. 420Radio.com was taken, but 420Radio.org was not. The whole reason for having 420 Radio was to continue that mission of giving activists around the country and around the world a place for their messages to be heard. There's a lot of great podcasts out there, but unless you're looking for them, you don't know they exist. I figured if you have a live stream and you turn it on every once in a while, you would hear something playing and you might think “Who's that; that's an interesting topic” and that would lead you to subscribe to their podcast. I was always way too busy to develop it properly, to market and advertise it, so now what's come up is that a group of people who already put together a podcasting network for the video gaming industry now want to put together a podcasting network for cannabis. It's called CannabisRadio.com and they have signed me on. My show, The Russ Belville Show, is exclusively through CannabisRadio.com. 420 Radio is going to become an all cannabis-related music stream, and also provide entertainment-related programming like cannabis cups, hempfests, expos and stuff like that. The current talk radio shows will migrate over to CannabisRadio.com. The CannabisRadio.com lineup will include live talk radio, live event coverage and election coverage, and podcasting for all cannabis subjects. We cover legislation, advocacy, cultivation, legal issues, enthusiasts… all sorts of categories. For example, Vivian McPeak of Seattle Hempfest has a show, Mitch Earlywine of NORML has a show, SSDP has a show, and Kyle Kushman, the renowned grower, too. We're building a one-stop shop for all the best cannabisrelated shows. OCC: You supported Measure 91 in Oregon, can you explain more about what you did during the campaign? RB: Over the years I have had many

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OCC: You received a little heat from activists in Ohio recently, what happened there?

Image: Keith Mansur, OCC

opportunities to deal with those opposed to cannabis legalization. Currently, the opposition is led by a guy named Kevin Sabet. His group is called Project SAM, or Smart Approaches to Marijuana use, but I like to call them Project SAMUEL, Smart Approaches to Marijuana Uses Except Legalization! They are the leading anti-marijuana group and I had the opportunity to debate him at the Baker Institute in March of 2012. I have seen him in a lot of debates and I'm proud to say I think I flustered him more than anyone I have ever seen. Kevin Sabet is the Joker to my Batman. All your best superheroes are defined by their enemies, and he is my Joker. Back in 2012, during the failed Measure 80 campaign in Oregon, Sabet came out here on the taxpayers’ dime, where local drug treatment and drug prevention type organizations used grant money to pay for him to spew his reefer madness all around the state. Well, in 2014 he announced the same damn play, except this time Measure 91 had more support and the backers objected, citing Oregon's strict campaign laws against politicking with public money. After I started writing about it in my Blog, it got picked up on by Representative Blumenauer's office (who is my Congressman and I'm proud to say I get to vote for him). His inquiries into the misappropriated funds made such a scare that many counties backed out. Of the 13 tour stops Sabet had planned, he had to cancel six. Once the evens stops were determined, I researched the funding of them using Oregon's open records law, which is our Freedom of Information law here. The email records I obtained showed a lot of shenanigans were happening, which included using county resources and county time to solicit private funds to pay for Sabet’s tour. They also showed he was paid $3,000 dollars per stop, plus expenses, so I'm happy to say I cost Kevin Sabet $18,000 dollars, but he still made $21,000 for going to these other seven places, plus expenses! To top it off, once Sabet got here, I used a Go Fund Me campaign to rent a car and follow him all around the state and attend each event so I could ask questions, take pictures, and document the whole thing. I definitely caused him a lot of consternation during the presentations. OCC: You helped with the creation of Portland NORML, how did that come about? RB: We formed in January 2015 and it came about because my friend Randy Quast, who founded Minnesota NORML back in Minnea

RB: I have done marijuana election night coverage every election since 2010. I covered Prop 19 in California from Oaksterdam. In 2012, I was in Seattle and had live correspondents in Portland and Denver, and in 2014 I was here in Portland doing coverage for Measure 9. In 2015, some activists got donations together to fly me out to Columbus at the last minute, literally a month before the election, and I covered their election for Issue 3 of the OCC. The proposed legislation was incredibly controversial, especially among the activist community. First, it mandated that there would be only 10 “lands” upon which commercial cannabis could be grown, and those 10 lands were already owned by the 10 investment groups that kicked in 10 million bucks each to get the issue on the Image Courtesy: Russ Belville ballot. To many that smacked of an oligopoly of big money being able to buy themselves the capture of the wholesale marijuana market. It was very, very unpopular amongst the activist community. To add insult to injury, they went and used this cartoonish mascot called “Buddie” to try and promote it amongst the college kids, which played into the worst fears of our opponents, when they say, “big marijuana is going to be the next Joe Camel.” And there they go, they go and make “Buddie” the next Joe Camel. It was very unpopular and most in activism community were dead-set against it. I was one of the few national voices that was very triumphantly cheering for it. Colleagues couldn't believe that I would be standing up for this, even activists I've known for 10 years, but for me it's really simple: I've been dealing with a monopoly my whole life… “the guy.” When you're a weed smoker, you gotta have “a guy.” You have to know a black market connection, and usually it's “a” black market connection. Most people don't have more than one, and if you do, it's two or three, almost never immediate access. I don't care who's growing it, I never have cared who's growing it… I'm from Idaho where we have two kinds of strains, Got Some and Don't! So, for me I don't care who's growing it. I have four requirements, basically in this order: can I possess it, can I use it, can I grow it, can I buy it. It fulfilled all those requirements for me. For 10 years I've been counseled on how the war on drugs is, as Michelle Alexander put it, “the new Jim Crow” or as Judge Jim Gray said,“the worst Cont. on Page 10


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policy decision since slavery.” To say we’re not going to end that because we don't like the way the business end is set up, means we don't really think it’s as bad as slavery or Jim Crow. That's where I came down on it. If it ends arrests and ends harassment, the rest of the details on the back end can be worked out. OCC: What are your plans for 2016 with The Russ Belville Show and CannabisRadio.com? RB: I'm an old road musician. I started smoking weed in 1990 mostly when I was playing rock music in bars. I was born on the road… my dad's an old musician and I literally grew up on the road in a base drum case as my play pen. When I became a young man I toured and loved playing on the road. I always wanted to marry that part of myself, the “rambling man,” with the marijuana advocacy and do a tour. We would show up in places like Wichita, Kansas, and Enid. Oklahoma, and Fargo, North Dakota, and Richmond, Virginia and all across the country!

Mowgli Holmes, an owner and scientist at Phylos Bioscience in Portland, submitted recommendations to the OHA committee for changes to the current standards, which only test for four very broad classes of pesticides.

My dream may become a reality with CannabisRadio.com. They have a fifth wheel available, so we just need to get a pick-up, a wrap, some sponsors, and the schedule. We will take it to college campuses perhaps. We will hopefully have an exhibit—a hemp and cannabis museum of sorts for people to see so we can show people a block of “hempcrete” and hemp rope and clothing. We are looking for sponsors! We are in the early stages, but we will have room for big sponsors and smaller donors as well, and can recognize them on the RV or on the show. Anyone interested should let us know soon, we hope to be in San Bernadino covering the High Times Cannabis Cup January 30 and 31—a huge two day event! To contact Russ Belville, you can simply email him at radicalruss@gmail.com. Also, Find him @RadicalRuss on almost every social media - Gmail, Facebook, Twitter, Instagram, YouTube, SoundCloud, LinkedIn, Snapchat, Periscope, and Ustream. Catch his radio show on weekdays at 6pm Eastern and 3pm Pacific at www.cannabisradio.com

© 2015 OCC. All rights 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 started to get caught up on medical marijuana card applications. Two groups of staff are working simultaneously on September and October paperwork, and they expect to reach their 30 turnaround time shortly. • Verifications for Attending Physicians are no longer being required to be mailed in. Staff can verify by phone when needed. This is expected to cut turnaround time by week or so.

Image: Keith Mansur, OCC Newspaper

We can do 90-minute presentations explaining why they should embrace cannabis, or everything you ever wanted to know about marijuana, or something else, and broadcast the Russ Belville show from those locations, too! They don't know this stuff in Oklahoma, they don't know this in West Virginia, so I want to go to these areas and sort of “seed” the intellectual and political ground to get people to start thinking about legalization as it’s coming around their way.

Oregon Cannabis Connection

• The Medical Marijuana and Dispensary programs are being merged, new staff added and the website will consolidate the two programs on one portal. • Michael Tynan and Shannon O’Fallon reviewed the rulemaking process for M91 and subsequent legislation. ACMM is represented by Cheryl K Smith. OHA is responsible for all rules on labeling, testing and serving size. Members received copies of the current draft of rules.

Image TTI/Vanguard

"The problem is that these pesticide testing rules don't make any sense and can't be followed," Holmes told the OHA. "Stuff is going onto the shelves and it looks like they have been testing for pesticides and it hasn't been tested for pesticides." Whether these recently suggested changes to current standards are adopted is still up in the air, and with no oversight currently in place, it's hard to say how the temporary standards proposed by Holmes would be enforced or monitored. One thing is certain: Next June the landscape of cannabis testing in Oregon will change drastically. Growers should be preparing for the changes, too, and stop using pesticides not on the OHA pesticide list. OCC will cover that in our next issue! © 2015 Oregon Cannabis Connection. All Rights Reserved.

Image: Green Source Gardens Column on Page 22

• An online application for the OMMP is being developed. This system will be more efficient, using a web-based portal, with paper backup, and include processors, growers and dispensaries. The statutory deadline for this is March 1. ACMM agreed to do beta testing. • The report on LEDS (law enforcement inquiries) showed that the inquiries are down 66%. • The budget document showed that OMMP no longer has a balance of $8-9 million. Five million of that was added to Public Health systems and support for systems improvement, in addition to the funding for other programs that has allocated over the past few years. Much like the lottery, the OMMP has become a cash cow for programs to milk, rather than allocating from the General Fund. • Aligra Rainy, chair of the Outreach and Education Committee, reported that they have reached out to Americans for Safe Access (ASA) for assistance with budtender training. • Gerry Lehrburger, MD, chair of the Horticulture and Research Committee, shared a draft letter to OHA. This was a followup to the research proposal he submitted last March. The ACMM agreed that he should send the letter, which is asking not for a financial commitment, but for endorsement of proposed research on medical cannabis. • OHA staff agreed to provide numbers on three different scenarios for fee decreases developed by the ACMM, which are expected to be presented to the Marijuana RAC on December 7, 2015, as part of the proposed administrative rules. • ACMM voted in favor of two proposals: 1. To oppose decoupling of patients from growers; and 2. To interpret the statute and recommend that residency under the OMMP not be limited to Oregon.


Dec/Jan 2015­16

Oregon News

Oregon News Nugs

continues to treat cannabis as the equivalent of heroin — despite extensive evidence showing that it is less harmful than alcohol and growing evidence of its medical benefits.

US Postal Service Says No to Legal Marijuana Ads in Oregon

© 2015 The Leaf Online. All rights reserved. Reprinted by permission.

From The Leaf Online

Neither snow nor rain nor heat nor gloom of night stays the US Postal Service from its appointed rounds — but apparently a single ad for legal cannabis is all it takes to stop the agency in its tracks. That’s the gist of a new memo issued by the Postal Service to rural newspapers in the Pacific Northwest on December 1st. The memo, issued from the Portland, Oregon, Postal Service office, reminded numerous rural weeklies, many of which often rely on the postal service to deliver their papers to their subscribers, that it was a violation of the federal Controlled Substances Act to “place an ad in any publication with the purpose of seeking or offering illegally to receive, buy or distribute a Schedule I substance.” When this provision is combined with the broad reach of federal conspiracy laws, it effectively makes any newspaper that publishes such material complicit in a scheme to distribute a federally illegal substance. The Friday memo is just the latest in a series of double standards targeting cannabis-themed advertising. This summer, ABC television network pulled an ad for the Oregon Medical Marijuana Business Conference to be held in Portland, despite the fact that the ad did not promote the use of marijuana in any way. Far from endorsing any illegal activity, the ad promoted a conference that had the specific purpose to help entrepreneurs operate in compliance with Oregon’s cannabis laws — yet apparently, even information on how to obey the law is too inflammatory for the public to receive. The absurd episode simply underlines the need to reform outdated federal law, which

Cannabis Lounges In Oregon May Have To Close January 1st Oregon Cannabis Connection

The World Famous Cannabis Cafe (WFCC), and possibly a few other marijuana “lounges” in Oregon, will be closing on January 1, 2015. They will be forced to close by the Oregon Health Authority because of new laws passed this year. House Bill 2546 was designed to deal with e-cigarettes indoors, but changes to the definitions in the statutes were made to include cannabis so, beginning January 1, smoking weed in a indoor public place will be illegal. Although dispensaries cannot permit consumption on premises, the few “lounges” that do exist allow patients under the Oregon Medical Marijuana Act to bring their own, also known as BYOB, or Bring Your Own Bud. For years these lounges, the WFCC being the nation’s first, were allowed to operate in a legal gray area, because they were private clubs. That will come to an end with the new year. Attorney Leland Berger told the OCC, “I am concerned that OHA is following the OLCC point of view about what is or is not a public place .” Madeline Martinez, the WFCC founder, told The Oregonian: "All of the people who come here are going to go into their cars and smoke or go into parks and smoke. Where do they go? What do we do? We'll just have masses of people walking 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 not be allowed to have smoking on site, of any sort. That will include cigarettes, cannabis, or e-cigs and vaporizers, too. Currently only cigar bars and smoke shops are allowed to have smoking on site, and a certification from the state is required. © 2015 Oregon Cannabis Connection. All rights reserved.

La Pine Imposing Illegal 5% Sales Tax on Medical Marijuana Oregon Cannabis Connection

Community “leaders” in La Pine Oregon foolishly passed a 5% tax on medical marijuana sales in the small Central Oregon town. The tax, which is prohibited under legislation last year, has gotten the town a lot of press recently, much to the surprise of their seriously uninformed City Manager, Rick Allen, who told The Oregonian he was surprised that La Pine “stands out” for their decision. Their decision to impose the tax, which was followed through on by only one other Oregon hamlet, Dundee, goes directly against laws passed in the last session in Salem. Oregon's legislative council explained in a letter that no community can pass a tax on medical marijuana, only on recreational sales at OLCC licensed dispensaries which are far from being open. Even then, only a 3% local tax will be allowed, not a 5% tax as La Pine imposed. The city has collected over $5,400 dollars in taxes from the two dispensaries in the town, which has a population of about 1,700 residents. They have not spent the money, understanding full well it is not going to hold up. Allen told The Oregonian, "Not knowing where this all will shake out, we will not spend it on anything, It's just sitting there." Matt Toepfer, owner of High Desert Botanicals, pays over $700 dollars to the city, on average, every month. He told The Oregonian's Noelle Crombie, "We pay way more in taxes a month to the city than we do for our own rent and some of our other big bills. We are not passing that tax onto the customer; we are eating it every month.” They may be reconsidering the tax in December. Check with the OCC Cannabis Newsgroup on Facebook for updates. One can only hope they pull their heads out of their… well, I will let your imagination run with that. © 2015 Oregon Cannabis Connection. All rights reserved.

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Oregon Cannabis Connection

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

Ohio took a shot at legalizing marijuana last month, and fell far short. They were so far short that they not only failed to pass a voter initiative, the electorate voted to ban monopolistic control over markets that deal in controlled substances—most specifically, Cannabis. So, not only did Ohio fail with a yes vote of only 36%, they managed to put a major roadblock in the way of future legalization efforts for medical or recreational marijuana by passing the opposing measure, Issue 2. Let's break this down into the major parts that were at play in the failure of Issue 3 on November 3, 2015. First, the measure was too broad for a state like Ohio. Issue 3, created by Responsible Ohio, legalized both medical and recreational simultaneously, a bold move for sure. But, was that the right move in a Midwestern, rust-belt state like Ohio? With the poor results seen Tuesday, it appears it may not have been. In every state, even in liberal states like California and Oregon, initiatives that are controversial tend to struggle at the ballot box in non-presidential election years. Recent examples just concerning marijuana include: Oregon's Measure 74 in 2010 for medical dispensaries (only 44% yes), California Prop 19 in 2010 for full legalization (only 34% yes), Florida's Amendment 2 for medical use in 2014 (only 58% and needed 60%). Second, the measure sharply divided the pro-marijuana crowd across Ohio. With the oligopoly set up by the measure, Issue 3 would have created only 10 properties allowed to grow marijuana in the state. Though over 1000 independent dispensaries were called for, and edible manufacturers, concentrate makers, and many other businesses would not have had restrictions like the growers, the outcries from small farm marijuana

In fact, the monopolistic flavor of the bill and broad legalization spurred the opposition to create a competing bill, Issue 2, that restricts monopolies from operating in the state and would have made Issue 3 a moot point, if it had passed. Issue 2 was successful and the stiff rules regarding monopolies are now in place, making future legalization efforts in Ohio more difficult. Last, and most important, Ohio has an abysmal voter turnout in odd year elections. Five times in the past 20 years Ohio had a voter turnout rate of less than 37% and every time it was an off year, and odd year election. In 2007, turnout was so bad it was below 27% of registered voters. The turnout number is important. It shows the number of people who are already registered to vote who actually show up to cast a ballot in that election. How important is voter turnout? Huge! Oregon passed Measure 91 in 2014, an off year election (non-presidential), but we were also electing our Governor, a U.S. Senator, and every Oregon Representative in Congress. Even many local elections were held for city councils, sheriffs, and mayors, which is typical in even numbered non-presidential election years. But the biggest advantage Oregon has over all the other states is their citizen empowering vote-by-mail system. Oregon has no polling places and everyone either mails in their ballot or they drop it off at one of hundreds of locations. Everyone votes by mail, not just those with absentee ballots. It's simple and effective. After looking at the biggest factors behind the Ohio marijuana initiative, it becomes apparent that Issue 3 was doomed from the beginning. If you start with the broadness and magnitude of the measure, sprinkle on some discontent within the marijuana community, and smother it in voter apathy, you get a large portion of humble pie served up to the marijuana movement. © 2015 Oregon Cannabis Connection. All rights reserved

I read several articles recently that made it sound like California is a total slam dunk to legalize marijuana in 2016. The word ‘inevitable’ was found throughout the articles. Does California have a good chance of legalizing in 2016? Absolutely. Is it inevitable? Not by a long shot. There is still a ton of work to be done in California if any of the current initiative efforts are to even make the 2016 ballot. Hundreds of thousands of signatures are required to get a marijuana legalization initiative on the ballot, and those signatures aren’t going to gather themselves. It will take a small army of people to do it, and they will have to gather significantly more than the required amount to calculate for ones that will be deemed invalid for various reasons.

Image: marijuana.com

Then, only after ballot access is achieved, does the next phase of the campaign begin, which involves promoting the initiative and convincing voters to vote for it. California will be one of the hardest states to do that in two ways. The first is that in a lot of people’s minds, marijuana is largely legal already via the state’s medical marijuana program. I am not one of those people, but I recognize that there are a lot of swing voters that feel that way, and believe that marijuana opponents will try to use that to their advantage.

The second is that California is the most expensive state to run a campaign in due to the size of the state, the huge population spread out into several different media markets, and the price to run ads in those media markets. When political analysts take into account how much a successful marijuana legalization campaign media effort would cost in California, they are always quick to say that a victory is far from certain, and that doesn’t even take into account all the other hurdles that a campaign will face. Just because a campaign has a lot of money, doesn’t guarantee victory. Ohio 2015 was an example of that. Obviously, there aren’t any efforts in California that are as poorly written as the 2015 Ohio effort, but the point about money remains the same – money alone does not ensure an automatic victory. In order for California to legalize in 2016, people need to put visions of inevitability and guaranteed victory out of their heads. People need to instead put their heads down, and get to grinding. California needs to unite behind one solid effort, gather as many signatures as possible towards that effort, and if it results in ballot access, then push quality information and awareness to the very end. Anything short of that, and California will continue to be left on the outside looking in when it comes to recreational marijuana legalization. © 2015 The Weed Blog. All rights reserved. Reprinted by permission.

Read every issue of OCC. Oregon's most trusted cannabis news and information source!


Dec/Jan 2015­16

National News that are required to be included in the cost of inventory cannot be deducted until the inventory is sold. As a result, when section 263A, for example, forces a business to capitalize into its inventory cost a portion of what would normally be immediately deductible expenses, such as depreciation, insurance or officers compensation, those expenses are deferred until the underlying inventory sold. This means that any cost allocable to the taxpayers ending inventory will get deducted in a later year then they normally would have.

280E – What You Don’t Know Can Hurt You Other than the obvious ill fated comparisons that are being made between Al Capone (mobster), Aldrich Ames (spy) and the medical or recreational marijuana retailer, a taxpayer must declare income, regardless of whether that income was acquired legally or illegally; regardless of whether that income was acquired legally at the State level but illegally at the Federal level. According to the United States government, if you sell marijuana, you are no different than Capone or Ames. In 1974, a man named Jeffrey Edmondson was arrested for moving 100 pounds of marijuana, 13 ounces of cocaine and 1.1 million amphetamine tablets. When the IRS came calling to collect from the revenue on his ill-gotten gains, he applied for a substantial amount of business deductions arising from the logistical expenses 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 to first understand what it is, so let’s begin with an examination of what Section 280E is and how it’s applied. 26 U.S.C. §280E provides: “No deduction or credit shall be allowed for any amount paid or incurred during the taxable year in carrying on any trade or business if such trade or business (or the activities which comprise such trade or business) consists of trafficking in controlled substances (within the meaning of schedule I and II of the Controlled Substances Act) which is prohibited by Federal law or the law of any State in which such trade or business is conducted.” The result is that instead of paying a tax rate of 30 to 40 percent those operating in the legal marijuana industry are potentially paying rates of 80 to 90 percent, and some, shockingly are paying even more than a 100 percent effective tax rate. This is contrary to the popular belief that those operating marijuana businesses are simply printing money, but this is not the case, at least not unless the marijuana business has significant knowledge of 280E and its interaction with the remaining relevant tax code. Cannabis is currently a Schedule I controlled substance. As a result the IRS has the ability to deny deductions of any facility that sells marijuana. And it does, all the time. In late January 2015, the IRS released an Internal Memorandum 201504011, which provides some new insight on what expenses a marijuana business may or may not deduct, but understanding this memo, requires an understanding of Sections 61, 471 and 263A and a further understanding of how those sections relate to Section 280E. Section 61 does not distinguish between legal and illegal revenue, but rather explicitly requires that taxable income include revenue from all sources, illegal of other. Consequently, even businesses that are illegal at the federal level are required to report their revenue to the IRS and pay the relevant tax liability. Before 1982, an illegal business was able to reduce its revenue by the cost of any goods sold, also referred to as COGS, as well as other ordinary and necessary general and

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administrative, G&A, business expenses. This could constitute expenses like rent, utilities, registers and fixtures, packaging, etc. In 1982, the IRS enacted §280E, which had the effect of prohibiting businesses that trafficked in a controlled substance from taking these deductions. Since 1996, 23 States have legalized medical marijuana and 4 States and the District of Columbia have fully legalized marijuana, but because marijuana continues to be listed as a Schedule I controlled substance, the IRS has used Section 280E for the last 20 years to attack the legal marijuana industry. The IRS regularly denies all G&A deductions for medical marijuana facilities, however, in the pivotal case Californians Helping to Alleviate Medical Problems, 128 T.C. 173 (2002), the industry won a victory, of sorts. The court was convinced that only a portion of the business involved the trafficking of marijuana, while the remainder focused on counseling services. As a result the expenses incurred by the counseling part of the business were not barred by 280E. But it’s not this simple, as other tax courts have found contrary to the Californians court. The Californians case allowed marijuana businesses to deduct the COGS, which lead to an industry attempt to maximize their COGS while minimizing their G&A, which would normally be denied pursuant to 280E. These are significant distinctions because the COGS can amount to 75% of a medical marijuana businesses’ gross revenue. So how does a marijuana business maximize the COGS under the tax code? The answer, thankfully, is in the language of the statute. When a business carries an inventory, they are required to report their income on an accrual method pursuant to Section 471. Under the accrual method the business will capitalize the costs to acquire or produce its inventory and then deduct these amounts after items of inventory are sold as COGS. The formula for the Cost of Goods Sold is: Beginning inventory + Production costs (if a grower) or Purchases (if a reseller) – Ending inventory. In 1986 as part of the Tax Reform Act, Congress added Section 263A. Under Section 263A(a), both producers and sellers are required to capitalize into inventory all of the costs required under Section 471, and also a portion of their G&A costs, such as costs associated with their payroll, legal, and personnel functions. In addition, a reseller also is required to capitalize purchasing, handling, and storage expenses. Now this is all very technical but generally speaking, Sections 471 and 263A are unfavorable to taxpayers, because costs

Despite its unfavorable impact, those in the marijuana industry are eager to apply the provisions of Section 263A, because while Section 280E does not allow them to deduct G&A expenses, their COGS are allowed to be deducted and reduce their gross income. However, there is a problem. Section 263A was never intended to change an expense from nondeductable to deductible and for the taxpayer to be permitted to capitalize a G&A expense under Section 263A, it must not run afoul of the section which states: Any cost which could not be taken into account in computing taxable income for any taxable year shall not be treated as a cost described in this paragraph. In other words, the taxpayer can’t capitalize a portion of a nondeductible expense into its inventory cost under Section 263A because it would change it from a nondeductible expense into a deductible one when the inventory is sold. Because Section 280E makes all a marijuana seller’s G&A nondeductible, it creates a serious problem for those in the industry trying to maximize their COGS under Section 263A.

Alaska’s Marijuana Control Board voted to permit consumption of marijuana at retail stores, which could make it the first state to allow consumption outside of a person’s home. While the board voted 3-2 in favor of the amendment, Lt. Governor Byron Mallott must sign off on the new rules in order for them to be written into law after its reviewed by the Department of Law to ensure that it meets all of the requirements for an amendment. The amendment will serve as a placeholder for the time being until the board decides exactly what these establishments will look like in practice, but after explicitly banning cannabis social clubs, users will be eagerly awaiting the specifics of the amendment. In many cases, users are hoping that cigar lounges present a precedent for the activity given the similarities in the way that the operate and contain the pungent odors. In addition to being able to enjoy marijuana with friends outside of their homes, many cannabis users may not want to smoke near their children, making external establishments the only other option. The problem for lawmakers is that public consumption may expose the general public to cannabis at a time when tobacco smoking has even been banned in many places.

For example, a medical marijuana dispensary might have $1,000,000 of gross revenue, $600,000 of COGS before application of Section 263A, and $400,000 of other G&A expenses such as rent, depreciation, and compensation. Applying Section 263A, the taxpayer may wish to capitalize $125,000 of its G&A expenses into its inventory cost. Assuming only $10,000 of those costs are allocable to the taxpayer’s ending inventory balance, the taxpayer would be able to deduct $115,000 of its G&A expenses as COGS during the year, reducing its taxable income from $400,000 ($1,000,000 – $600,000) to $285,000 ($1,000,000 – $600,000 – $115,000).

Finally, Amsterdam-like cannabis cafes could also help create jobs and tax revenue for the state by creating additional monetization opportunities.

However, the marijuana business is not permitted to do this because barring application of Section 263A, the $400,000 of

© 2015 TDM Financial LLC. All Rights Reserved. Reprinted by permission from www.Cannabisfn.com

Cont. on Page 17

When it comes to existing laws, Washington State has banned public consumption and explicitly outlawed cannabis social clubs for the time being, while Colorado is at least considering the legalization of social clubs. Oregon’s laws neither permit to ban cannabis social clubs, but they have explicitly banned the consumption of cannabis in public spaces. Alaska’s new amendment, if passed, could set an important precedent for the industry moving forward.


Page 14

National News

facilities, which will be overseen by a commission similar to the Alcohol Beverage Control Commission (ABCC);

Under an unusual requirement in State run medical marijuana programs, patients in Illinois must designate a “dispensary of choice” where they will purchase their cannabis. Unfortunately, some patients did not appear in the database used by the Illinois Department of Public Health, so they were denied medicine even though they were prequalified. Wright indicated they were trying to solve those problems.

Illinois finished its first week of legal sales, which resulted in over $210,000 dollars of medical cannabis being transferred, according to Joseph Wright, Director of Illinois Medical Cannabis Program. The total amounted to an average of more than $26,000 for each of the eight dispensaries that were operating. More than 800 patients had purchased 13,000 grams (or 28 pounds) of medical marijuana from November 9th through November 13th—just five days. According to the statewide tracking system, customers spent an average of more than $260 each for their medicine, and paid about $16 dollars per gram. That works out to around $450 an ounce, retail price. That is $100 dollars per ounce more than the black market street value in Illinois, according to www.thepriceofweed.com, which indicates the current price at $350 an ounce for high quality cannabis. Even at those prices, and with only 3,300 registered patients, a total of 25 dispensaries are expected to open before the end of 2015, with 60 dispensaries authorized in the State overall. The Chicago Tribune reported that The Clinic Mundelein had 96 patients waiting to sign up when their doors opened. Green Thumb Industries CEO Ben Kovler told the Associated Press, the sales were “a very strong start.”

The eight medical marijuana dispensaries that were opened by November are in the cities of Addison, Canton, Marion, Mundelein, North Aurora, Ottawa, Quincy and Schaumburg. Medical marijuana is taxed in Illinois. The program assesses a seven percent tax on

Oregon Cannabis Connection

Provide local governments with the authority to regulate and limit the number of marijuana establishments in their city or town; and

A proposed initiative to regulate marijuana like alcohol in Massachusetts is poised for the November 2016 ballot after proponents submitted their final petition signatures to the Secretary of the Commonwealth on Tuesday.

Create a 3.75% state excise tax on retail marijuana sales (in addition to the standard state sales tax) and allow local governments to establish an additional local sales tax of up to 2%. [Medical marijuana will NOT be subject to these additional taxes.]

Th e 2 0 1 2 M ed i cal M ari j u an a I n i ti ati ve pas s ed wi th over 63 % of voters i n favor.

The Campaign to Regulate Marijuana Like Alcohol submitted more than 103,000 total signatures, and 64,750 valid signatures of registered state voters are required to qualify for the November 2016 ballot. The Secretary of the Commonwealth is expected to validate the signatures by mid-December, at which time the petition will be transmitted to the Massachusetts Legislature. If the legislature does not adopt the measure, initiative backers must collect 10,792 additional signatures in June 2016 to place the initiative on the November 2016 ballot. the wholesale product. The tax figures were not yet available, said Wright. If typical markups are occurring, as in other legal states, the wholesale price of the cannabis should be around $1,800 to $2,400 a pound, which would translate into only about $4,000 dollars in tax revenue for the State, so far. But, with as many as 60 dispensaries opening around the state within a couple of years, and an increase in medical marijuana patients to come, those tax numbers will likely increase… rapidly. Click here for a list dispensaries currently registered with the State of Illinois. © 2015 Oregon Cannabis Connection. All rights reserved.

“This is direct democracy in action,” said campaign manager Will Luzier. “People can see that our current prohibition policy isn’t working, and they’re taking action to replace it with a more sensible system. Based on the level of support and enthusiasm we saw during the petition drive, voters are ready to end prohibition and start treating marijuana more like how our state treats alcohol.” The proposed initiative would: Allow adults 21 and older to possess up to one ounce of marijuana and grow a limited number of marijuana plants in their homes, similar to home-brewing; Create a tightly regulated system of licensed marijuana retail outlets, cultivation facilities, product manufacturing facilities, and testing

graphic: en.wikipedia.org

“Most of the voters who signed the petition cited a desire to replace the underground marijuana market with a more controlled system in which marijuana is taxed and regulated,” Luzier said. “There’s a general consensus that we’d be better off if marijuana were produced and sold by licensed businesses instead of cartels and gangs. Also, most people agree that adults should not be punished simply for consuming a product that is less harmful than alcohol.” The Campaign to Regulate Marijuana Like Alcohol is supporting a 2016 statewide ballot initiative to end marijuana prohibition in Massachusetts. For more information, visit http://www.RegulateMassachusetts.org. © 2015 The Weed Blog. All rights reserved. Reprinted by permission.


Dec/Jan 2015­16

Beginning in 2012, four states and the District of Columbia have voted to legalize marijuana. By this time next year, that number could well double, and then some. National polls now consistently show majorities in favor legalization, with a recent Gallup poll having 58% support—tied for the highest level in the poll’s history. That doesn’t mean legalization is inevitable in any given state, as the case of Ohio earlier this month demonstrated. There, an initiative led by non-movement investors who sought monopolistic control of commercial pot cultivation got trounced despite spending millions of dollars. But the Ohio result was probably a fluke, a convergence of a number of factors, including tone-deaf initiative organizers, a flawed initiative, a widely criticized mascot, and the fact that it was an off-off-year election with low voter turnout. There is no reason to believe that legalization initiatives likely next year in other states will be defeated just because the Ohio effort went down in flames. At this point, it looks like there are six states likely to legalize weed through the initiative process next year, with those efforts at varying stages, and a couple more that could do it through the legislative process. Here they are:

INITIATIVE STATES ALREADY ON THE BALLOT Nevada. The legalization initiative from the Marijuana Policy Projectbacked Campaign to Regulate Marijuana Like Alcohol qualified

National News for the ballot last December. That means that by the time Election Day 2016 arrives, organizers will have had nearly two years to make their case to voters. Under state law, the legislature could have acted on the petitions and legalized weed, but it declined to do so, so now it goes direct to the voters. There are no recent state polls on legalization, but it had 54% support in 2013, and there is no reason to think it has declined since then.

PETITION DRIVES WELL ADVANCED Arizona. The Marijuana Policy Projectbacked Campaign to Legalize Marijuana Like Alcohol in Arizona announced last week that it had already collected 100,000 signatures for its legalization initiative. It needs to collect 150,000 valid signatures by next July to qualify for the ballot, appears well on the way to doing so, and says it is aiming for 230,000 raw signatures to have a healthy cushion. A June poll had support at 53%.

Maine. Once there were two competing initiative campaigns in the state, but now there is only one. The Marijuana Policy Project-backed Campaign to Regulate Marijuana Like Alcohol has quit signature gathering for its legalization initiative and joined forces with Legalize Maine in support of its slightly looser legalization initiative. Both campaigns had gathered about 40,000 raw signatures each before coalescing. The Legalize Maine campaign will need 61,000 valid voter signatures to qualify, and it has until February 1 to get them. That seems eminently doable, and if it makes the ballot, it should win: A poll in April had support for legalization at a whopping 65%.

Massachusetts. Unlike Maine, the Marijuana Policy Project has so far been unable to form a united front with local

activists, so there are two ongoing legalization campaigns. The MPP-backed Campaign to Regulate Marijuana Like Alcohol and its legalization initiative is vying with the homegrown Bay State Repeal and its legalization initiative. As in Maine, the local initiative is slightly looser. Earlier this month, the Campaign said it has already collected 100,000 signatures. It only needs 64,750 valid signatures to qualify, so it already has a nice cushion and the rest of this month to gather more. It’s not known how advanced the Bay State Repeal signature drive is, but it already looks like at least one legalization initiative will be on the ballot next year. Under state law, if an initiative has enough signatures, the legislature can then move to enact it. If the legislature doesn’t act, the campaign must then gather an additional 10,800 signatures to put it before the voters. One recent poll had support for legalization at only 41%, but it had a small sample size and large margin of error. Polls from 2014 had legalization winning by anywhere from six to 13 points, and the voters previously supported medical marijuana and decriminalization initiatives with a 63% vote.

Michigan. Another state with two competing campaigns, and the one that looks the iffiest in terms of qualifying for the ballot. Some 252,000 valid voter signatures are needed to qualify, and neither campaign is there yet. Backed by Republican business interests, the Michigan Cannabis Coalition said it had collected 200,000 signatures for itslegalization initiative by the end of October before making a “strategic decision” to temporarily suspend petitioning. It has until the end of January to come up with more. Meanwhile, state activists have created the Michigan Comprehensive Cannabis Law Reform Committee (MI Legalize) and are signature gathering around their ownlegalization initiative. Last week, they said they were 90,000 signatures short—although it that is just raw numbers, they will need substantially more to have a comfortable cushion—and they have until the end of December to get them. Both campaigns have money in the bank and are paying signature-gatherers.

STILL IN A CONFUSED MUDDLE California. California should have been an almost sure there next year, and probably still is, but it is getting late in the

Page 15 game, and the evident divisions among legalization proponents are starting to make for some worried wondering. There are no fewer than 18 legalization initiatives in play (some various versions of the same initiative), most of which have little to no chance of coming up with the 365,000 signatures needed to qualify. State activists organized as the California Coalition for Cannabis Policy Reform (ReformCA) thought they had the support of national reform organizations and associated pots of money fortheir initiative, but that hasn’t turned out to be the case. Instead, groups such as the Marijuana Policy Project and the Drug Policy Alliance seem to be throwing their support to an initiative sponsored by tech billionaire Sean Parker. Neither the latest version of the ReformCA initiative nor the Sean Parker initiative has been cleared for signature gathering. Both initiatives now face a ticking clock. Campaigns have six months to get those necessary signatures, but the real hard deadline is June 30. Initiatives must have been cleared for the ballot by then in order to make the November ballot.

LEGISLATIVE STATES Rhode Island. This year, the legislature took up a legalization bill only to see it held for further study by the Judiciary Committees in both chambers. Next year, it could actually move, and it would if the legislature listens to the voters. In an April poll, 57% said they would support a bill to tax and regulate marijuana. Vermont. This is probably the best bet for the first state to legalize pot through the legislative process. The groundwork has been being laid for years, it has the support of key state political figures, including Gov. Peter Shumlin (D) and House Speaker Shap Smith (D), and legislative hearings on how—not whether—to legalize next year are already underway. The legislature failed to move legalization bills this year, but the stage is set for 2016. © 2015 StopTheDrugWar.org. Article first appeared on Alternet.org. Reprinted under modified creative commons license.


National News

Page 16

National News Nugs San Francisco Hyatt Regency Hosting ICBC in February Oregon Cannabis Connection

The next International Cannabis Business Conference (ICBC) will be held in San Francisco at the downtown Hyatt Regency, February 13–14, 2015. Once again, the ICBC will feature top marijuana business owners and political leaders from around the world, as well as an exhibit hall for cannabis-related industries.

Goldsberry, a longtime cannabis activist who is currently executive director of Magnolia Wellness after previously cofounding Berkeley Patients Group; and Dale Sky Jones, chancellor of Oaksterdam University and chair of the Coalition for Cannabis Policy Reform. Cannabis activist and comic Ngaio Bealum will emcee, keeping attendees engaged and entertained throughout the event. The first 500 ticket purchasers will also have special access to an exclusive VIP event with Tommy Chong, Andrew Sullivan and Bay Area hip-hop legend Del the Funky Homosapien.

Although he didn’t win, Uruguay’s thenPresident José Mujica, who was the primary advocate of the measure that legalized cannabis, was nominated for a Nobel Peace Prize in 2014, shortly after the measure was passed into law.

For tickets or more info, check out www.internationalcbc.com or call 888-920-6076.

Minnesota Commissioner of Health Dr. Ed Ehlinger announced Wednesday that intractable pain, as defined in Minnesota law, will be added to the list of qualifying conditions for which patients can legally access medical marijuana.

© 2015 Oregon Cannabis Connection. All rights

reserved. Image Wikimedia

In Uruguay, The Only Country With Legal Cannabis, Price Is Less Than $1 a Gram From The Joint Blog

“The ICBC will provide the latest information on legalization efforts in California and across the United States as well as business tips from successful entrepreneurs that will help any marijuana business succeed,” said conference producer Alex Rogers, who is also CEO of Ashland Alternative Health and Northwest Alternative Health medical cannabis clinics. "One of the major differences between the ICBC and other marijuana business conferences is the strong focus on political activism,” stated Anthony Johnson, who develops content for the ICBC and successfully helped lead Oregon’s legalization campaign as director of the New Approach Oregon Vote Yes on 91 campaign. “The ICBC works to bridge that gap to ensure that legalization measures work for the industry, but doesn’t forget the focus of keeping people out of prison and ensuring safe access to patients.” Speakers currently include: Andrew Sullivan, a blogging pioneer and one of today's most astute political commentators; cannabis icon Tommy Chong; Debby

With Canada currently examining ways to legally regulate the distribution of recreational cannabis, we thought it was a good idea to take an updated look at the only country in the world that has legalized the sale of cannabis: Uruguay (other countries may turn a blind eye to cannabis sales, but Uruguay is the only one where it has been statutorily legalized). In Uruguay, it’s entirely legal for those 18 and older to cultivate up to six cannabis plants at any given time, with an allowed annual harvest of roughly 500 grams. Adults can also join cannabis clubs, where cannabis can be shared and consumed, and can purchase cannabis from designated cannabis pharmacies. Although the United Nations has warned Uruguay about moving forward with this new law, they’ve done so anyway. Within the country, cannabis is being sold entirely tax-free to help undercut the black market. This brings the average price per gram down to just 22 Uruguayan pesos, or roughly $1. Although this results in less revenue earned by the country, it prevents situations where the black market simply lowers their prices to compete with the typically higher price of legal cannabis.

© 2015 The Joint Blog. Reprinted by permission.

Minnesota Adds Intractable Pain As Qualifying Condition For MMJ From Marijuana Policy Project

The commissioner must notify the chairs and ranking minority members of the legislative health and public safety policy committees. Intractable pain will become a qualifying condition for medical marijuana effective August 1, 2016, unless the legislature passes a law stating otherwise. The vast majority of the 23 states with workable medical marijuana programs allow the use of medical marijuana to treat intractable pain.

Oregon Cannabis Connection condition in Minnesota will improve not only the health of individual patients, but also the community as a whole.” © 2015 MPP. All rights reserved. Reprinted by permission.

THIS! Is Why We Fight MJ Prohibition Oregon Cnnabis Connection

Just four years ago, Washington, D.C., law enforcement arrested over 2,300 people for marijuana. The ACLU pointed out the average marijuana arrest in America costs $750.00, before court costs and other “fees” that can add up. That's $1.7 million the city may have wasted trying to enforce marijuana laws in 2011. This year—the year following legalization for adult use in the nation’s capitol—there have only been seven arrests… SEVEN! The week of November 4, 2015, which marked one year

Statement from Robert Capecchi of the Marijuana Policy Project: “This is a sensible and compassionate decision that will help a lot of Minnesotans who suffer every day from intractable pain. The commissioner heard from countless medical professionals, patients, and families from across the state about the benefits of medical marijuana for people suffering from this debilitating condition. We commend Commissioner Ehlinger and everyone else involved in taking this important step toward improving the lives of countless Minnesotans. “Medical marijuana has been found to be an effective treatment option for people suffering from severe and chronic pain. It is oftentimes more effective than prescription painkillers, and it is undeniably far less addictive and less toxic. Recent research shows that states that allow medical marijuana for severe and chronic pain have lower rates of fatal prescription drug overdoses. The decision to add intractable pain as a qualifying

after the 2014 vote to legalize, the Washington City Paper reported, “MPD has only issued seven arrests for possession of marijuana this year, as of Nov. 6.” So, the costs incurred by the city chasing and prosecuting marijuana arrests in 2015 is around $5,200, using the same figure as above. That's also a whole lot of people who were saved from a police arrest record. Almost 890 suffered the humiliation just this past year. Just so everyone who may be confused understands why so many Americans want to end cannabis prohibition… THIS IS WHY! It has been the biggest waste of money and resources law enforcement and the courts have ever been involved in, and they are still clinging on for dear life! It is time for new priorities, and Washington, D.C., can be the shining example of how well just simple legalization can work! © 2015 Oregon Cannabis Connection. All rights reserved.


Dec/Jan 2015­16

Cont from Pg 13 G&A expenses would be nondeductible under Section 280E as a result of the fact that they were involved in the sale of a controlled substance. Now, while the IRS memo may not be cited by taxpayers it does provide insight into how IRS officials are analyzing Section 280E and how they are determining COGS. So as a result of the IRS internal memo, a taxpayer in the marijuana industry (either medical or recreational) “may not use the provisions of Section 263A, because the types of G&A expenses the taxpayer would be capitalizing are not deductible under Section 280E.” Rather, the taxpayer may only calculate its COGS by using those costs required by Section 471 as of the date Section 280E was enacted in 1982. For example, for retailers this is the invoice price of the marijuana, less trade or other discount, plus transportation and other “necessary charges” incurred

National News in its acquisition; for producers this includes direct material costs, such as seeds and direct labor costs such as planting, harvesting, and cultivating. Indirect costs are allowed provided they are “incidental and necessary for production,” such as, repair, maintenance, utilities, indirect labor, indirect material and supplies and quality control. Additionally, certain other indirect costs may be included such as depreciation, excise taxes, factory administration expenses and insurance. However, the memo states that the IRS will not allow marijuana businesses to allocate purchasing, handling, storage and administrative costs to their COGS. While several members of Congress have asked the IRS to repeal 280E, the IRS has said that it has had no choice but to tax marijuana businesses more than others. They have said that “the result you seek would require the Congress to amend either the Internal Revenue Code or the Controlled Substances Act,” neither of which has been done. Consequently, I encourage you to contact your U.S. Congressmen and Senators and encourage them to enact legislation repealing Section 280E or amending the Controlled Substances Act to remove marijuana as a Schedule I or II controlled substance and in the meantime do what you can to best protect yourself and reduce your tax liability. 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 troe@tmroe.com and 877-636-6275 x1.

Colombian President Juan Manuel Santos will soon sign a law that will legalize medicinal marijuana within the country. The new policy will allow the cultivation, processing and sale of marijuana for medical and scientific purposes. Justice Minister Yesid Reyes announced the new policy on Thursday, November 12, 2015, in an interview with a Colombian radio station. The new law will allow and regulate everything from licensing of growers to the eventual export of products made from marijuana. Colombia is already the largest exporter of cocaine to the United States, and home to a number of potent strains of marijuana. Health Minister Alejandro Gaviria stated in an interview with Blu Radio that he hopes to see Colombia become a major exporter of marijuana products, with investors and businesses already showing interest in the country’s marijuana sector. Colombia is the latest in a wave of over 10 South American countries now legalizing marijuana. Colombia, however, has been a long-time American ally in the “war on drugs,” a federal government military and prohibition campaign that has been underway since the early 1970s.

Page 17

Image Hempbeach.com

Sen. Juan Manuel Galan introduced legislation for legalizing medical marijuana earlier this year, arguing that up to 400,000 Colombians with ailments, such as epilepsy and cancer, will benefit from the new law. While the policy had earlier been met with resistance among conservatives in the executive and legislative branches, the new developments have been seen as a weakening of the conservative faction of the Colombian government. For two decades Colombians have been allowed to possess narcotics in small amounts for the “free development of one’s personality,” but the use of marijuana will be legal solely for medical and scientific purposes, and Reyes made it clear that “nobody is talking about legalizing except for those two purposes.” © 2015 Oregon Cannabis Connection. All rights reserved.

© 2015 Oregon Cannabis Connection and Ted Roe. All rights reserved.

Oregon's Original Cannabis News Souce! Ad rates starting as low as $136.00 per issue! (1/16th page ad with 3 issue agreement)

Rates are going up! We have held our rates for five years without an increase, but they will permanently increase on February 1st! Make sure you reserve your ad space and lock in your rates to avoid higher charges. All agreements made before February will be charged at the 2015 rate card!

AdvertiseintheONLYOregonBasedCannabisPublication All ads FULL COLOR, design available Over 300 distribution locations Over 21,000 copies statewide


Page 18

Medical News

Oregon Cannabis Connection that anecdotal success stories can be misleading. Cutler cited multiple cases where parents reported that medical marijuana helped their child, but doctors and electroencephalograms – considered the gold standard in measuring seizure activity – still showed significant seizure activity.

Cannabis use is associated with improved outcomes in opioid-dependent subjects undergoing outpatient treatment, according to data published online ahead of print in the journal Drug and Alcohol Dependence. Researchers at Columbia University assessed the use of cannabinoids versus placebo in opioid-dependent subjects undergoing in-patient detoxification and outpatient treatment with naltrexone, an opiate receptor antagonist. Investigators reported that the administration of oral THC (dronabinol) during the detoxification process lowered the severity of subjects’ withdrawal symptoms compared to placebo, but that these effects did not persist over the entire course of treatment. By contrast, patients who consumed herbal cannabis during the outpatient treatment phase were more readily able to sleep, were less anxious, and were more likely to complete their treatment as compared to those subjects who did not.

PHOENIX – Parent advocates nationwide are clamoring for access to medical marijuana for children who suffer from severe and intractable disorders. whether they were taking dronabinol or placebo.” The findings replicate those of two prior studies, one from 2001 and another from 2009, reporting greater treatment adherence among subjects who consumed cannabis intermittently during outpatient therapy. Population data from states where medicinal cannabis is permitted report lower rates of opioid-abuse and mortality as compared to those states where the plant is prohibited. Clinical data and case reports also indicate that the adjunctive use of cannabis may wean patients from opiates while successfully managing their pain. Survey data of state qualified medical cannabis patients demonstrates that subjects with access to the plant often substitute it for opioids because they perceive it to possess fewer adverse side effects. Overdose deaths involving opioids have increased dramatically in recent years. While fewer than 4,100 opiate-induced fatalities were reported for the year 1999, by 2010 this figure rose to over 16,600 according to an analysis by the US Centers for Disease Control.

“One of the interesting study findings was the observed beneficial effect of marijuana smoking on treatment retention,” authors concluded. “Participants who smoked marijuana had less difficulty with sleep and anxiety and were more likely to remain in treatment as compared to those who were not using marijuana, regardless of

An abstract of the study, “The effects of dronabinol during detoxification and the initiation of treatment with extended release naltrexone,” appears online here. (http://www.ncbi.nlm.nih.gov/pubmed/2618 7456) © 2015 NORML. All rights reserved. Reprinted by permission.

In response, the Food and Drug Administration authorized 450 children to participate in clinical trials involving Epidiolex, a marijuana-derived oil treatment that is high in cannabidiol, the non-psychoactive component of marijuana. Early results from the ongoing clinical trials are mixed – some children appear to benefit from using Epidiolex while others do not – and some members of the medical community remain concerned about whether or not marijuana is a safe treatment for children. Twenty-five children with Dravet or Lennox-Gastaut syndromes recently participated in a clinical trial of Epidiolex at the Children’s Hospital of Philadelphia.

“One of the most heartbreaking experiences for a doctor is to see a sick child,” Cutler said. “When I walk through the hospital floors and see children who are hospitalized, hooked up to an IV, receiving oxygen with prongs in their nose, my feelings are the same, I think, as every doctor. We want children to be healthy, but we simply can’t use medication that isn’t proven.” Another complication is how little is known about epilepsy itself. “Epilepsy is like a roller coaster,” Marsh said. “There are good months and bad months. Some of these kids would get better over time naturally, so (of those) who’ve responded, did they respond because of the drug or because they were going to get a little better anyway?” Dr. John Knight, a pediatrician at Boston Hospital, encouraged parents to wait until doctors conduct more research and clinical trials.

“We had lots of families who were interested, and we actually had to do a lottery to select the 25 patients,” said Dr. Eric Marsh, assistant professor of neurology and pediatrics and attending physician at the hospital. A similar clinical trial took place at the Primary Children’s Hospital in Utah. Chief Medical Officer and Chair of Pediatrics Dr. Ed Clark said finding the 25 participants took three to four months. Both clinical trials had similar results: More than half of the children who received the oil showed an average 50 percent reduction in seizures. A few children experienced minor side effects like drowsiness or diarrhea. Marsh and Clark, however, said researchers need to conduct further studies before they would consider Epidiolex a valid treatment option. “One of the tensions is we want the best scientific evidence we can have versus what we can do for a child and family at the time,” Clark said. “We’re trying to balance risk with compassion. Balancing all the issues, our goal is to help children and their families. The child is first, always.”

“My heart goes out to parents,” Knight said. “The problem is that they may be trading away an immediate relief for their child’s future. (Marijuana) is untested and the scientific evidence is that it can be devastating to the developing brain.” Steve Schultz, vice president of investor relations at GW Pharmaceuticals, the manufacturers of Epidiolex, said parents will have a consistent pharmaceutical medicine they can trust once Epidiolex gains FDA approval. But until that happens, many medical experts urge parents to wait. © 2015 Carnegie-Knight News21.com. Reprinted under Creative Commons License.

The doctors said they were concerned about the small number of children in the trials and the parent-reported results. “There was so much excitement about this, you have to be concerned about a large placebo effect,” Marsh said. “All the media hype and the social media hype and the individual hype really could skew results. Without the randomized, double-blind, controlled trials, it’s virtually impossible to know whether or not any medicine is working.” Dr. Charles Cutler, vice president of the Pennsylvania Medical Society, agreed

Business Classifieds on Page 23!


Oregon Cannabis Connection

PITTSBURGH — In room 716 of the Children’s Hospital of Pittsburgh, 12year-old Hannah Pallas is motionless, but for an occasional turn of her head and the blink of her eyes, following a series of life-threatening seizures. On the same day, five-year-old Sydney Michaels is down the hall in room 749, waiting to be discharged after 15 grand mal seizures within 36 hours.

Medical News treat intractable epilepsy and, in some cases, other conditions. Florida, Georgia and Louisiana, for example, allow limited medical marijuana use for cancer treatment.

their children’s seizures. However, Marsh encourages families to wait until marijuana-derived medications earn Food and Drug Administration (FDA) approval.

CBD is the non-psychoactive component of the marijuana plant. It has yet to be proven scientifically as a successful treatment, though anecdotal evidence suggests it helps some children.

“There’s so much interest and excitement over this that it really could skew results,” Marsh said. “It does seem that CBD interacts with some of the other medications. Clearly it’s not a miracle drug. It has interactions with other drugs, and it does have side effects.”

Tetrahydrocannabinol (THC) is the part of the plant that produces a high, but it is also known – if not proven – to treat pain, nausea and insomnia, among other symptoms. The 17 states that recently passed CBD legislation all placed limits on the THC concentration of medical marijuana extracts to minimize the psychoactive effects of the medication. They range from 0.3 percent in Oklahoma to 5 percent in Georgia.

For many parents, the 2013 airing of the CNN documentary "Weed" was the watershed moment that ignited a movement to make cannabis oil available to children. The report featured Charlotte Figi, a then-five-year-old girl from Colorado Springs, Colorado, who

Shuker said her daughter Hannah, diagnosed with severe intractable epilepsy and Lennox-Gastaut syndrome, has about 250 seizures a month. They have tried more than 18 different seizure medications and special diets.

(Image | News 21)

Their mothers have known each other for years, though it’s a hapless coincidence caused by their daughters’ epilepsy that brings them to the pediatric unit on the same day. The two women are part of a tenacious group of parents and national marijuana advocates demanding that politicians and state legislators legalize medical marijuana treatment for their children, whose medications have had limited success treating seizures and other severe conditions.

Pharmaceuticals made her daughter’s seizures worse, Shuker said. Hannah now has a surgical feeding tube because she can no longer swallow on her own. Doctors have told Shuker that Hannah’s only remaining option to try to reduce the seizures is a brain surgery procedure with risks of infection, increased seizures or stroke. Meanwhile, visits to the emergency room and pediatric ward have become routine, Shuker and Michaels say their lives revolve around doctor appointments and unexpected stays in the hospital. While other mothers track their children’s height on walls with markers, these mothers track dates and times and numbers of seizures on homemade charts.

“I’m watching my daughter die every day,” said Heather Shuker, Hannah’s mother. “Hannah has so many seizures, and every seizure could take her from me. I firmly believe that medical cannabis will help her.”

(Photo by Calah Kelley | News 21)

Sydney is one of 25 children in the clinical trial at Children’s Hospital of Philadelphia who are receiving doses of Epidiolex, a purified CBD created by London-based GW Pharmaceuticals. Part of the drug’s attraction is that it is low in THC.

“There’s so much that I want for her right now that she just can’t do,” Michaels said about Sydney. “Just being able to go out and experience life, to be able to go out and play in the yard without fear of seizures starting.”

“Prior to this study, she couldn’t do a puzzle. After about two weeks, she was whipping through puzzles on an iPad and we’re like, ‘Who is this kid?’” Michaels said. “We’re talking about a kid who was seizing easily from 1,000 to 3,000 times in a week. It was incredible.”

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

Dr. Eric Marsh, assistant professor of neurology and pediatrics at the Children’s Hospital of Philadelphia and attending physician for the Philadelphia clinical trial, was cautiously optimistic about the overall results, with parents reporting a 50 to 60 percent reduction in

Image: OCC newspaper

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

While there is significant progress being made in the effort to legalize medical cannabis in United States, and internationally, recent treatment results have made us consider the following question – are we focusing on the wrong aspect of cannabis? Dr. Allan Frankel has found the non-psychoactive version of THC, known as THC-Acid, is proving effective for some patients as an adjunct therapy to CBD as well as a therapy for people on which CBD is not as effective as expected. This is another positive advance for treating various conditions, except for those needing treatment in locations that have only legalized CBD. What we should be focusing on is the relative psychoactivity of the medicine rather than just the THC or CBD content. “Evidence shows THC-A, THC that has not been processed to activate its psychoactive properties, is actually less psychoactive than CBD,” stated Dr. Frankel. “With recent evidence of the effective treatment of seizures, Dystonia or Torticollis it appears THC-A has effects in both the central and peripheral nervous system. I have seen a good response with a Parkinson’s patient and am hoping there will be positive responses with other neuro-muscular disorders.”

The oil she uses, Charlotte’s Web, is named after her and produced by Colorado-based Stanley Brothers Social Enterprises. "We tried this on her, and it stopped her seizures,” said Paige Figi, Charlotte’s mother. “Now, three and a half years later, she has two seizures a month – down from 1,200.” “They’ve responded very well, obviously it's not a silver bullet for everyone,” said Jesse Stanley, who grows and produces the oils with his brothers. Their nonprofit, the Realm of Caring, offers oils to patients at reduced prices.

“This is something that needs to happen across the country so that every child who might need this would have access," said Julie Michaels, Sydney's mother and a member of Campaign for Compassion, which is pushing for comprehensive medical marijuana laws in Pennsylvania. "Why should the state lines be the factor as to whether my child can get help or not?” Sydney is one of only a few hundred children around the country enrolled in a clinical trial to test the use of marijuanabased treatments for epilepsy. But Hannah is not.

(Photo by Nick Swyter | News 21)

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Many other parents, inspired by Charlotte Figi’s story and frustrated with unsupportive politicians, have since moved from their home states to Colorado, where marijuana treatments are legal. According to the Colorado Department of Public Health and Environment, there are 434 children on the state’s medical marijuana registry. In August 2013, there were 60. To watch the videos of these interviews, go to: http://weedrush.news21.com/resoluteparents-demand-marijuana-treatmentfor-children/ © 2015 Carnegie-Knight News21.com. Reprinted under Creative Commons License.

Great Recipes NEXT PAGE!

A huge step was recently made in the treatment of a patient with Lou Gehrig’s disease (ALS) using a combination of THC-A and CBD. This patient had virtually no use of any of his extremities. He had not used his right hand for several years. On modest doses, after two days he noted a significant improvement. Now a couple of months into treatment, one of his legs and his right arm are now beginning to function. With results this life changing it only makes sense to delve further into the possibilities of THC-A. If the focus would shift to psychoactivity of the medicine rather than just the CBD or THC content, there is huge progress to be made. ©2015 Greenbridge Medical Services. All Rights Reserved. Reprinted by Permission


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5 Great Ways to Eat Hemp Seeds By The Joint Blog

Food & Recipes Hemp Seed Tabouli

CannaCrack Snacks

By OCC Staff

The Weed Scene

Non-medicated heart-healthy recipe

Hemp seeds are one of the most nutritious foods on the planet. In addition to providing a massive amount of protein and other nutrients such as omega-3 fatty acids, studies have shown that they provide medical benefits such as treating and preventing high blood pressure. Given these benefits, and the simple fact that hemp seeds taste good, it’s always a good idea to include them in meals; they’re really incredibly versatile and can be added to almost anything.

UFO Cookies (Unusually Fruity Oat Cookies) By Habit 420

With all of this in mind, here is a list of five of the best ways to consume hemp seeds (other than baking them into items or drinking hemp milk). Here they are:

Put them in a salad (see tabouli recipe) Hemp seeds are perfect in salads. The slight nutty flavor of the seeds shines through particularly well when using a light Italian or vinaigrette dressing, and the subtle crunch added to each bite really brings the salad together.

Put them on a pizza Adding hemp seeds to pizza doesn’t add a lot of flavor, as the sauce, cheese and any additional topping tends to drown it out, but it does add an additional layer of appreciated texture to the pizza, and a huge boost of nutrients.

Put them on ice cream The joy of eating hemp seeds certainly expands into sweet foods as well, and how well they pair with ice cream is the perfect example. Enjoyed on some vanilla ice cream (if you have vegan hemp ice cream; even better!) by itself, or with a dollop of fudge, hemp seeds add a burst of both flavor and texture to a bowl of ice cream.

Put them in oatmeal This is an obvious one, but the combinations works far too well to not include on this list. The hemp seeds blend in perfectly with the oatmeal, giving a massive boost of nutrients. The flavor is subtle to the point of being unnoticeable, but if you put in a lot, you’ll add a nice nut-like flavor profile to the oatmeal.

Put them on a sandwich Adding hemp seeds to a sandwich is a great way to add a nice crunch and extra flavor depth. This works particularly well on sandwiches that have lettuce and tomato. Do you have any favorite ways of eating hemp seeds that we didn’t mention, or any hemp seeds recipes you’d like to share? Visit us online and let us know! www.TheJointBlog.com © 2015 Thejointblog.com. All rights reserved. Reprinted by permission.

WARNING: Medical cannabis consumption can be unpredictable. Always start with a quarter serving and give it time. Effects can take up to an hour and sometimes longer. If you have doubts, you should contact a cannabis clinician about dosage.

Medicated Munchie Balls By Krist Anderson


Cultivation

Dec/Jan 2015­16

Page 21

A Foundation of Healthy Intentions

It seems as though everyone wants the secret formula for growing the best Cannabis. We get a lot of curious growers asking for tips and methods that will increase their garden’s potential and productivity. For years we have been challenged with answering such questions because there is so much more than formulas and tricks of the trade that factor into generating vitality and abundance with your grow.

There's a new cannabis seed company providing unique strains to the Southern Oregon region, which are uniquely suited for the climate. Moonflower Gardens is now providing strains such as Royal Blue Durban to the market, especially aimed at the commercial outdoor growers. Image: Green Source Gardens

in our self that we find and form our intention upon the Earth. The Earth and all life and elements can absorb intention. Unfortunately, too often, Cannabis is tainted with negative intentions due to prohibition and greed. Cannabis is a receptor and manifestation of its environment. Paranoia, fear of failure, financial expectations and stress are common energies that plague cannabis production. Cannabis carries power in its ability to transfer energy from the garden to the consumer. This is why knowing the story of where our cannabis came from is important for ensuring a positive experience.

Image: GS Gardens

Spirit and connection to Earth are essential to success in the garden. Yet these crucial aspects of the human experience are often overlooked. Your state of mind absolutely affects your garden. We must begin the journey into ourselves if we want to develop a good relationship with our surroundings. It is

We encourage anyone who is growing anything to look deeper into their growing experience. Spend more time receiving rather than projecting. Instead of thinking about what the plant needs, based on a grow recipe or instructions, try observing the plant and intuitively receive the information. All life—human, plant, animal and microbe alike—is connected on this journey through the cosmos. Focusing on that interconnection and the things that we have in common with all the life that surrounds us helps tap our consciousness into the deeper framework of existence. That foundation of awareness helps steer your intentions in the garden away from fear and stress and toward respect, appreciation and awe. One love. © 2015 OCC. All rights reserved.

Richard Reames, the company's founder, is a resident of Oregon and lives in the Applegate Valley, where he has spent many years as a tree sculptor. He is a certified arborist and can create living sculptures with trees. He has clients across the country who have employed him to design pieces of living art for their gardens. Image: OCC Newspaper His property is covered in arboricultural masterpieces, too. They are a tribute to his prowess with plants. His love of nature, and growing, conveniently extended to his fondness of cannabis. Reames grew cannabis for years, and eventually got busted in 1987 for growing, spending 120 days in jail in Grants Pass, where the Judge advised him to try to change the law and not to break it. “After that, I became more politically active and took the Judge’s advice, and tried to change the law,” Reames explained. “And, things unfolded from there with OMMA and with our ability to grow uninhibited.” Under the OMMA, he was free to experiment legally, which made things easier. He was able to talk to others freely and trade genetics to develop better strains. He was able to develop an expertise in cannabis horticulture during that period. Image: Moonflower Gardens

“I got started by just maintaining my own strains when I first started growing back in the 80's,” Reames told OCC. “I started with a strain called “Frosty” that a lot of locals loved, and from there I just started maintaining my own seed lines and collected the best I could find amongst my friends and neighbors.” A classic tale of Oregon cannabis horticulture practices, Reames has been able to develop strains that are acclimatized for the typical outdoor grower in Oregon's southwestern growing region. They finish early enough and are mold- and mildew-resistant to deal with the often wet, autumn conditions. At the moment they Moonflower Gardens have four main strains: Royal Blue Diesel, Royal Blue Durban (a mostly leafless variety), Mana Gooey (his largest yielding variety), and Royal Blue Mana Durban (a cross between RB Durban and Manna Gooey).

Image: Moonflower Gardens

His “leafless” strains have a super high calyx to leaf ratio, so the buds have few leaves protruding from the stem past the buds. They are a trimmer’s dream, according to Reames. The other main aspect of his breeding is the terpenes. Terpenes are a large class of organic hydrocarbons produced by a wide variety of plants, and are called terpenoids when denatured by oxidation (drying and curing, in the case of cannabis). They are a main component of any plant resin and contribute to the scent, flavor, and colors in “essential oils.” “Using chromatographic analysis from good labs like Sunrise Analytical in Wilsonville gives you the terpene profile,” he said. “It's where the plant exhibits the various characteristics of the 'high,' whether it's going to be a stimulant or a sedative, and the properties of the terpenes are well-known.” Armed with this knowledge, Reames has developed plants he says are Cont. on Page 22


Cultivation

Page 22

Moonflower Seed Strain

Cont from Pg 21 easy to grow and harvest and highly desirable in effect and terpene profile. In addition to leafless varieties and terpenes, he picks for harvest date and larger buds. The larger “fat” bud varieties he has come in earlier to help avoid mold, and the later harvesting plants tend towards thinnertype buds that resist mold. Image: Moonflower Gardens

Information:

Mana Gooey Seed Large plant, high yielding. Harvest date outdoor southern Oregon- early variants are ready to harvest in the last week of September later variants mature in the middle of October. Variations of pink or white pistils on large thick buds. - Fruity aroma.

Royal Blue Durban Seed (leafless) Know Pedigree: Blue Berry X Shoe Polish X Durban Poison Harvest date- Sept 22 to Oct 1 st Southern Oregon acclimatized Yields- 4 to 5 lbs One stabilized phenotype has very little leaf.

Royal Blue Diesel Seed

His seeds are dioecious, and not feminized, so his seedlings will include males. With a price point low enough to make his dioecious seeds competitive, Reames thinks it’s not a big deal. His seeds will be available in dispensaries at a very competitive price, but he hopes to go further and work with commercial grows. “I hope to work with people who get permits,” Reames stated. “We want to sell many seeds to those with recreational permits and then be able to select a few amongst their progeny for our own future use.” “I want to work with permit holders to advance the genetics of the plant under higher numbers than any one person is allowed,” he expounded further. “We can also provide the grows with four different strains so their harvest is spread out and they are not inundated all at once.” He intends to work with the commercial grows to produce seed for Moonflower and cross-breeding as well as the permitted grow’s use the following year. With a mutually beneficial relationship, he can continue to work on his own genetic lines and the growers get the strains they need at a discount.

Know Pedigree: Blue Berry X Shoe Polish X Sour Diesel Harvest date- Sept 25 to Oct 1 0th Southern Oregon acclimatized. Yields- to 7 lb's Sativa dominate- Shows bud mold resistance. Temporarily sold out.

Kush Wreck Known Pedigree: Purple Kush X Russan X Kush X Train Wreck Harvest outdoors southern Oregon 2nd week in October. Large high yielding . Sativa dominate - High potency and resin content.

Royal Blue Mana Durban Known Pedigree: Manitoba wrecker x bubba-goo tooth x Royal Blue Durban Large plant, high yield. Harvest early October - Hardy F1 hybrid Terpene test pending For more information on Moonflower seeds, visit their website at www.moonflowergardens.com. Email Richard Reames at richard@moonflowergardens.com, or you can reach them at 541-787-7054. Look for their seeds at your local dispensaries, and contact him if you are planning a commercial grow!

© 2015 OCC. All rights reserved.

Growing with Good Earth Recently, water rights have become an especially hot topic among growers and marijuana entrepreneurs alike when the Oregon Liquor Control Commission (OLCC) approved temporary rules for Oregon’s recreational marijuana program in which “producers” will be required to have them. Did you know, legally, all water in Oregon is publicly owned? Yes, this refers to all water, both public and private, including rivers and creeks, ponds, lakes, springs, and even water from the well on your own property. The Oregon Water Resources department states, “With some exceptions, a water right, permit, or license is required to use the waters of Oregon.” In recent conversations I’ve noticed that, unless someone has and uses water rights, it is a pretty foreign topic for most people. Considering this, here’s the gist on water rights and how they may or may not impact your marijuana growing. So you’re a grower, but do you really need water rights? Not necessarily. In many scenarios, general residential water use from a well or municipal source does not require a permit. Oregon’s residential water use is generous, with a limit of no more than 15,000 gallons per day per household. This water allowance applies to domestic applications and includes an outdoor area restriction of watering no more than one half acre of lawns and gardens. Generally speaking, it is unlikely for hobby gardens or medical marijuana grows to exceed this limit. Of course, water needs for each garden will vary depending on a multitude of factors, including but not limited to: the overall size of the garden, number of plants, size of plants, strain of plants, type of growing media or soil, method of watering, and temperature. If you use a stock tank for storing water, mixing nutrient feed, or brewing compost tea, you may have a pretty clear idea of how much water you use daily for your garden. On the other hand, if you just turn on the faucet and let it run, it may be a little harder to quantify your water use. Using a flow meter can be a helpful tool to estimate your water use, or simply use a stopwatch to time how long it takes to fill a five gallon bucket with your watering wand, emitter hose or drippers, and do the math. Consider your water consumption, household and garden combined, and talk to your local watermaster if you think you use or need more than the standard residential allowance. When it comes to water, recreational marijuana growing is a different story. While Oregon water law allows commercial water use under 5,000 gallons a day without a water use permit, this water cannot be used for “watering to promote plant growth.” This condition is no

Oregon Cannabis Connection exception in regard to recreational cannabis, and is outlined in the OLCC’s approved temporary rules application packet for “producers”: “A water right permit or certificate number; a statement that water is supplied from a public or private water provider, along with the name and contact information of the water provider; or proof from the Oregon Water Resources Department that the water to be used for production is from a source that does not require a water right.” This is a very important factor if you are considering applying for a recreational producer permit, especially because not every property has what it takes to get water rights. Unfortunately, there is no easy answer as to whether or not your property can be granted water rights, but your local watermaster can tell you if it meets the criteria. If you are unable to get water rights on your land, water supplied by a water provider will also satisfy the requirement. Ultimately, garden size and location will help determine which water source makes the most sense for your needs. If you are planning a smaller indoor grow, city water may suffice (likely with a

permit for commercial use). If you are planning a 40,000 square foot Tier 1 outdoor grow, rural land that is eligible for water 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 feeling wary about increased regulation in the marijuana industry but, when it comes to water, let me offer the encouraging reminder that marijuana is a weed and really doesn't need that much water! In fact, overwatering is a common mistake among new and experienced growers alike, a mistake that can be detrimental to plant growth. While research is somewhat slim, recent studies in California estimate that marijuana takes only approximately one gallon per day for each pound of flower produced. As a crop, marijuana uses far less water than corn, potatoes or tree fruits and half as much water as alfalfa. As we see more rules and regulations on growing cannabis, and anticipate more stringent enforcement and oversight, it would be a good idea to contact your local county watermaster to be sure you are compliant. Just like any other law, when it comes to water, know your rights! For more information please visit Oregon Water Resources Department at www.oregon.gov/OWRD or contact your local county watermaster.


Dec/Jan 2015­16

GRATEFUL MEDS OF OREGON www.gratefulmedsoregon.com 2 Locations: PORTLAND, OR 7050 NE MLK Jr. Blvd. (503) 774-3699 SPRINGFIELD, OR 1 401 Market St. (541 ) 636-3489 HIGH TIDE WELLNESS CENTER 1 5957 S. Hwy. 1 01 Ste. #4 Brookings, OR 9741 5 (541 ) 81 3-1 976 facebook.com/hightidewellnesscenterllc HWY 30 CANNABIS 1 709 Adams Ave. La Grande, OR 97850 (541 ) 605-01 04 Facebook.com/greenapothecary97850 HWY 420 1 803 S. Roosevelt Ave. (Hwy 1 01 ) Seaside, OR 971 38 (503) 71 7-5045 www.highway420.net RIVER CITY 11 5 Galice Rd. Merlin, OR (541 ) 450-1 585 facebook.com/RiverCityMerlin SACRED FLOWER MEDICINALS™ LLC. 1 8248 Redwood Hwy. Selma, OR 97538 (541 ) 291 -2639 www.sacredflowermedicinals.com SKUNK RX 8979 Rogue River Hwy. (541 ) 299-0599 www.skunkrx.com SO. COAST COMPASSION COALITION 93705 Newport Ave Coos Bay, Or 97420 (541 ) 267-0707 www.southcoastcompassionllc.com SOUTHCOAST DISPENSARIES LLC 1 025 Chetco Ave. Brookings, OR 9741 5 (541 ) 81 3-21 33 THE GREENER SIDE 1 553 Oak St. Eugene, OR 97401 (541 ) 345-8904 e-mail: info@keepeugenegreen.org

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OREGON ANALYTICAL SERVICES Quality Cannabis Analysis Put us to the test! (541 ) 505-91 93 www.oregonanalyticalservices.com

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