3 Last-Minute Changes to Oregon’s Recreational Marijuana Rules

   
| November 10, 2015 8:30 am | 24 comments

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 state-licensed 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.

As I have blogged before, a great place to get a head start on the burgeoning Oregon cannabis industry is at the upcoming Oregon Marijuana Business Conference in Ashland, Oregon on November 21st. The OMBC will provide a great foundation of knowledge, presenting necessary information, but also giving attendees that chance to ask Oregon lawyers and industry experts whatever burning questions they may have. 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 OMBC always provides insight into how advocates can impact our government as well.

We will be covering more at Marijuana Politics and at the OMBC 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 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.

Anthony, a longtime cannabis law reform advocate, was Chief Petitioner and co-author of Measure 91, Oregon's cannabis legalization effort. He served as director of both the New Approach Oregon and Vote Yes on 91 PACs, the political action committees responsible for the state's legalization campaign. As director of New Approach Oregon, Anthony continues to work towards effectively implementing the cannabis legalization system while protecting small business owners and the rights of patients. He sits on the Oregon Marijuana Rules Advisory Committee and fights for sensible rules at the legislature as well as city councils and county commissions across the state. Anthony helps cannabis business comply with Oregon's laws and advises advocates across the country. He also serves as content director of both the International Cannabis Business Conference and the Oregon Marijuana Business Conference, helping share the vision of moving the cannabis industry forward in a way that maintains the focus on keeping people out of prison and protecting patients. He was a member of the Oregon Health Authority Rules Advisory Committee, assisting the drafting of the administrative rules governing Oregon’s state-licensed medical marijuana facilities. He first co-authored and helped pass successful marijuana law reform measures while a law student at the University of Missouri-Columbia School of Law. He passed the Oregon Bar in 2005 and practiced criminal defense for two years before transitioning to working full-time in the political advocacy realm. His blogs on Marijuana Politics are personal in nature and don't speak for or reflect the opinions of any group or organization.