Cannabis Sector Report: Colorado's $700 Million Year and Constitutionality of Schedule I Classification
The Daily Bell
High Alert Investment Management is pleased to bring you this brief summary of some of the week's top stories from the burgeoning worldwide cannabis legalization and decriminalization trend. Savvy investors and cannabis industry insiders already know this sector is one to be keeping a close eye on, and at High Alert, we've been watching keenly and covering it at The Daily Bell since late 2013. Many casual observers will also be interested in following a trend that is already strongly affecting the state of liberty, economics and health care around the world.
The Daily Bell now features Trend Trackers and Special Reports in the main menu. We especially encourage readers interested in the cannabis trend to view two special video reports we've prepared on the cannabis industry and one company we think investors may wish to look at more closely. Watch those here: The Trillion Dollar Race for Cannabis and Marijuana Stocks Are Losers.
Now, this week's highlights ...
Colorado Department of Revenue: $700 Million in Annual Cannabis Sales
Assessing Colorado's first full year of legalized cannabis sales, the Colorado Department of Revenue released figures that show, according to Marijuana Business Daily, "Dispensaries and retail cannabis stores in Colorado generated nearly $700 million in marijuana revenues last year, when the state became the first market in the nation to launch recreational MJ sales. The total includes just under $386 million in MMJ sales and more than $313 million in recreational revenues, according to the latest data released by the state. ... Marijuana revenues also pumped roughly $76 million in taxes into state coffers, including about $44 million from rec sales alone."
US Feds Report Cannabis Use Does Not Cause More Auto Accidents
The National Highway Transportation Safety Administration has issued a report on the findings of "Two New Studies on Impaired Driving on U.S. Roads." First, drunk driving has declined "by nearly one-third since 2007, and by more than three-quarters since ... 1973." But in 2014, "nearly one in four drivers tested positive for at least one drug that could affect safety," including 50% more drivers in 2014 than 2007 with marijuana in their system.
UPI reported on the second study, which looked at 9,000 drivers over a 20-month period and found drivers who regularly use marijuana are 25% more likely to be involved in an accident. However, "[a]nalyses incorporating adjustments for age, gender, ethnicity, and alcohol concentration level did not show a significant increase in levels of crash risk associated with the presence of drugs. This finding indicates that these other variables (age, gender ethnicity and alcohol use) were highly correlated with drug use and account for much of the increased risk associated with the use of illegal drugs and with THC."
Federal Judge: Decision on Constitutionality of Cannabis Schedule I Classification Within 30 Days
Regular readers will recall our reporting on the federal Judge Kimberly Mueller in Sacramento, CA, who agreed to hear arguments on the constitutionality of cannabis classification as a Schedule I drug, as part of a case regarding nine men accused of growing cannabis in California illegally. Reuters informs us that this week Judge Mueller said "she was taking very seriously arguments by their attorneys that the federal government has improperly classified the drug as among the most dangerous, and should throw the charges out. Judge Kimberly J. Mueller said she would rule within 30 days on the request."
"If I were persuaded by the defense's argument, if I bought their argument, what would you lose here?" she asked prosecutors during closing arguments on the motion to dismiss the cases against the men.
The men were charged in 2011 with growing marijuana [and] if convicted, they face up to life imprisonment and a $10 million fine, plus forfeiture of property and weapons.
In their case before Mueller in U.S. District Court in Sacramento, defense lawyers have argued that U.S. law classifying pot as a Schedule One drug, which means it has no medical use and is among the most dangerous, is unconstitutional, given that 23 states have legalized the drug for medical use. ...
"It's impossible to say that there is no accepted medical use," said [defense attorney Zenia] Gilg, who has argued that her client was growing pot for medical use.
Connecticut Governor: End Drug War to Get Tough on Crime
Connecticut's Governor Malloy proposed measures to create a "second chance society," essentially proposing decriminalization of all drugs "and recognizing the drug problem as a medical rather than a criminal one. Possession of currently illegal drugs would remain illegal but such charges would be reduced from felonies to misdemeanors if there was no proof of selling or intent to sell."
Managing editor of the Journal Inquirer Chris Powell opined:
... Connecticut then could pretend that drugs were still illegal but as a practical matter its "war on drugs" would be over — and it would be about time. For the "war on drugs," like the war about which Orwell wrote in his novel "1984," is not meant to be won but rather to be waged, to be continuous, as economic stimulus for the government class — to be a war by that class against its own subjects to preserve the hierarchical structure of society.
With this war Connecticut has given criminal records to tens of thousands of underclass people — records that, as the governor noted this week, forever disqualify most of them from more than menial employment and thus induce them to pursue a career of crime. The governor would mitigate this catastrophe by expediting paroles and pardons for nonviolent offenders ...
While the drug warriors have nothing but ruined lives and fantastic expense to show for themselves, they may be able to scare most state legislators out of auditing the failure of drug criminalization.... But if there is ever an audit of drug criminalization, the governor will win the argument. This week he cited evidence that an experimental rehabilitation program of medical treatment, supportive housing, and counseling for released offenders is far less expensive than the overwhelming recidivism of criminal justice as now practiced in Connecticut.
Cannabis Oil Study Approved in Oklahoma
NewsOn6 reports: "The Oklahoma House has overwhelmingly approved legislation authorizing a statewide study into clinical trials on certain patients with severe forms of epilepsy using an oil derived from the marijuana plant. House members voted 98-2 for the measure, also referred to as 'Katie's Law,' Wednesday and sent it to the Oklahoma Senate for consideration." Gov. Mary Fallin has said she "remained opposed to legalizing all medical marijuana" but supports legalization of cannabidiol.
On a related note, Medical Press wrote in "Cannabis: World-renowned researchers discuss a new frontier in therapeutics":
While debate about recreational marijuana use continues, researchers are investigating the effectiveness of cannabis for treating pain, spasticity, and a host of other medical problems. In a symposium organized by the McGill University Health Centre (MUHC) as part of the 2015 American Association for the Advancement of Science Annual Meeting held this week in San Jose, California, world-renowned experts from North America and the U.K. share their perspectives on the therapeutic potential of medical cannabis and explore the emerging science behind it.
"We need to advance our understanding of the role of cannabinoids in health and disease through research and education for patients, physicians and policy-makers," says Dr. Mark Ware, director of clinical research at the Alan Edwards Pain Management Unit at the MUHC, in Canada.
As a pain specialist Dr. Ware regularly sees patients with severe chronic pain at his clinic in Montreal, and for some of them, marijuana appears to be a credible option. "I don't think that every physician should prescribe medical cannabis, or that every patient can benefit but it's time to enhance our scientific knowledge base and have informed discussions with patients."
Increasing numbers of jurisdictions worldwide are allowing access to herbal cannabis, and a range of policy initiatives are emerging to regulate its production, distribution, and authorization.
Washington, DC Council Members Face Jail Time for Pushing Referendum Forward?
In spite of DC residents' vote to legalize marijuana in their district, Congress and the DC Council continue to fight over whether the will of the people will actually be implemented.
The Washington Post reported on the latest wrangling between these two bodies:
The D.C. Council abandoned plans to hold a hearing on how to tax and regulate marijuana Monday after the District's new attorney general warned that it could subject city lawmakers and their staff members to fines and even jail time.
The move amounted to a setback for advocates of marijuana legalization and highlighted the difficulties the District is likely to face as it tries to implement Initiative 71, the ballot measure approved overwhelmingly by voters in November. ...
The city's new attorney general, Karl A. Racine, warned the D.C. Council not to hold the planned hearing Monday. Doing so, Racine said in a letter to the council, would violate a spending prohibition placed on the city by Congress barring it from setting up a regulatory scheme for sales of the plant.
Racine said holding a hearing could expose lawmakers and their staffs who help conduct the hearing to potential federal fines up to $5,000 each and jail terms of two years.
As a result, the Council chairman announced the Council would hold an "informal round-table discussion on the topic" rather than a "hearing," though the D.C. Council's chief attorney had "disagreed with the attorney general's interpretation and said council members should move forward if they wish."
The decision was criticized as setting a bad precedent for the Council's acquiescence to Congress, adding fuel to the fire for DC residents who desire statehood. Co-founder of Neighbors United for DC Statehood Josh Burch stated: "Congress has imposed its will on the District for too long. We the citizens and elected leaders have capitulated. The time for capitulation must end and the time for confrontation is upon us."
Guam Moves Legal Medicinal Cannabis Regulations Forward
On November 4th, 19,000 people in Guam voted in favor of a referendum for medicinal cannabis. Ninety days after election results were certified, the Department of Public Health is well underway with its mandate of developing rules and regulations, required to be completed within nine months. According to KUAM.com:
An advisory board in the meantime has already been identified and will be tasked with helping Public Health, reviewing requests for medical conditions eligible to use medicinal marijuana and to determine the adequate dose to distribute. "Two and a half ounces every two weeks is what we're looking at right now, but we'll have public hearings on the drafts and we'll also allow the legislature to have a second look at this through the administration and adjudication act," [Director of Public Health James Gillan] explained.
But while he foresees the promulgation of rules to move quickly, he doesn't necessary know just yet when distribution will actually begin. He has however researched just how many people may be eligible for medicinal marijuana. "I asked our Medicaid folks and MIP and three private insurance companies to give me an unduplicated count, so just the number of people who showed up to get seen or treated for these conditions and it's over 3,000," he said.
He notes it doesn't mean all of them will come in for medicinal marijuana, but have medical conditions that may be eligible. More than a handful of proposed medical conditions are listed including cancer, glaucoma, multiple sclerosis and epilepsy.
Jamaica's Senate Decriminalizes Use and Possession of Cannabis, Legalizes Medicinal and Religious Use
Jamaica's Dangerous Drugs Act was passed on February 7, which decriminalizes possession of two ounces or less of "ganja," to now result in a penalty ticket rather than a criminal charge. The bill also puts in place a regulated, lawful market for medicinal cannabis is also being put in place to allow for "medical, therapeutic and scientific research purposes." Coincidentally, the bill was passed on Bob Marley's birthday. The bill moves to the House to be debated in the new parliamentary year, expected to start soon. Read more in the Jamaica Gleaner.
Medical Journal of AustraliaPublishes Medicinal Cannabis Editorial
"Australia is behind the times on the medical use of cannabis." So begins an editorial by David G. Penington of the University of Melbourne, published in The Medical Journal of Australia. Thoroughly footnoted, Dr. Penington begins with a summary of the status of medicinal cannabis in Australia:
The debate about the medical use of cannabis in Australia has become confused with the proposal for a formal clinical trial instead of proceeding to legislation in New South Wales, the Australian Capital Territory and Victoria. Debates about prohibition of cannabis have a long history, as has the proposal for medical cannabis in Australia. Politicians are nervous about being "soft on drugs", especially before an election. The clinical trial proposed, if successful, presumes that cannabis would then be approved and regulated as a pharmaceutical substance.
We need to be across the facts and options. Cannabis can never be a pharmaceutical agent in the usual sense for medical prescription, as it contains a variety of components of variable potency and actions, depending on its origin, preparation and route of administration. Consequently, cannabis has variable effects in individuals. It will not be possible to determine universally safe dosage of cannabis for individuals based on a clinical trial.
Dr. Penington reviews what a clinical trial would entail and asks why the country should not move forward with legislative approval now. He concludes: "In summary, use of cannabis should be decided by the patient, following medical advice about the condition from which they seek relief, with patients being registered under state legislation. If there is to be a nationally approved trial, it should be one of documenting clinical experience from cannabis use under state legislation of the kind foreshadowed by recently elected Victorian Premier Daniel Andrews."
High Alert Investment Management is pleased to bring you this brief summary of some of the week's top stories from the burgeoning worldwide cannabis legalization and decriminalization trend. Savvy investors and cannabis industry insiders already know this sector is one to be keeping a close eye on, and at High Alert, we've been watching keenly and covering it at The Daily Bell since late 2013. Many casual observers will also be interested in following a trend that is already strongly affecting the state of liberty, economics and health care around the world.
The Daily Bell now features Trend Trackers and Special Reports in the main menu. We especially encourage readers interested in the cannabis trend to view two special video reports we've prepared on the cannabis industry and one company we think investors may wish to look at more closely. Watch those here: The Trillion Dollar Race for Cannabis and Marijuana Stocks Are Losers.
Now, this week's highlights ...
Colorado Department of Revenue: $700 Million in Annual Cannabis Sales
Assessing Colorado's first full year of legalized cannabis sales, the Colorado Department of Revenue released figures that show, according to Marijuana Business Daily, "Dispensaries and retail cannabis stores in Colorado generated nearly $700 million in marijuana revenues last year, when the state became the first market in the nation to launch recreational MJ sales. The total includes just under $386 million in MMJ sales and more than $313 million in recreational revenues, according to the latest data released by the state. ... Marijuana revenues also pumped roughly $76 million in taxes into state coffers, including about $44 million from rec sales alone."
US Feds Report Cannabis Use Does Not Cause More Auto Accidents
The National Highway Transportation Safety Administration has issued a report on the findings of "Two New Studies on Impaired Driving on U.S. Roads." First, drunk driving has declined "by nearly one-third since 2007, and by more than three-quarters since ... 1973." But in 2014, "nearly one in four drivers tested positive for at least one drug that could affect safety," including 50% more drivers in 2014 than 2007 with marijuana in their system.
UPI reported on the second study, which looked at 9,000 drivers over a 20-month period and found drivers who regularly use marijuana are 25% more likely to be involved in an accident. However, "[a]nalyses incorporating adjustments for age, gender, ethnicity, and alcohol concentration level did not show a significant increase in levels of crash risk associated with the presence of drugs. This finding indicates that these other variables (age, gender ethnicity and alcohol use) were highly correlated with drug use and account for much of the increased risk associated with the use of illegal drugs and with THC."
Federal Judge: Decision on Constitutionality of Cannabis Schedule I Classification Within 30 Days
Regular readers will recall our reporting on the federal Judge Kimberly Mueller in Sacramento, CA, who agreed to hear arguments on the constitutionality of cannabis classification as a Schedule I drug, as part of a case regarding nine men accused of growing cannabis in California illegally. Reuters informs us that this week Judge Mueller said "she was taking very seriously arguments by their attorneys that the federal government has improperly classified the drug as among the most dangerous, and should throw the charges out. Judge Kimberly J. Mueller said she would rule within 30 days on the request."
"If I were persuaded by the defense's argument, if I bought their argument, what would you lose here?" she asked prosecutors during closing arguments on the motion to dismiss the cases against the men.
The men were charged in 2011 with growing marijuana [and] if convicted, they face up to life imprisonment and a $10 million fine, plus forfeiture of property and weapons.
In their case before Mueller in U.S. District Court in Sacramento, defense lawyers have argued that U.S. law classifying pot as a Schedule One drug, which means it has no medical use and is among the most dangerous, is unconstitutional, given that 23 states have legalized the drug for medical use. ...
"It's impossible to say that there is no accepted medical use," said [defense attorney Zenia] Gilg, who has argued that her client was growing pot for medical use.
Connecticut Governor: End Drug War to Get Tough on Crime
Connecticut's Governor Malloy proposed measures to create a "second chance society," essentially proposing decriminalization of all drugs "and recognizing the drug problem as a medical rather than a criminal one. Possession of currently illegal drugs would remain illegal but such charges would be reduced from felonies to misdemeanors if there was no proof of selling or intent to sell."
Managing editor of the Journal Inquirer Chris Powell opined:
... Connecticut then could pretend that drugs were still illegal but as a practical matter its "war on drugs" would be over — and it would be about time. For the "war on drugs," like the war about which Orwell wrote in his novel "1984," is not meant to be won but rather to be waged, to be continuous, as economic stimulus for the government class — to be a war by that class against its own subjects to preserve the hierarchical structure of society.
With this war Connecticut has given criminal records to tens of thousands of underclass people — records that, as the governor noted this week, forever disqualify most of them from more than menial employment and thus induce them to pursue a career of crime. The governor would mitigate this catastrophe by expediting paroles and pardons for nonviolent offenders ...
While the drug warriors have nothing but ruined lives and fantastic expense to show for themselves, they may be able to scare most state legislators out of auditing the failure of drug criminalization.... But if there is ever an audit of drug criminalization, the governor will win the argument. This week he cited evidence that an experimental rehabilitation program of medical treatment, supportive housing, and counseling for released offenders is far less expensive than the overwhelming recidivism of criminal justice as now practiced in Connecticut.
Cannabis Oil Study Approved in Oklahoma
NewsOn6 reports: "The Oklahoma House has overwhelmingly approved legislation authorizing a statewide study into clinical trials on certain patients with severe forms of epilepsy using an oil derived from the marijuana plant. House members voted 98-2 for the measure, also referred to as 'Katie's Law,' Wednesday and sent it to the Oklahoma Senate for consideration." Gov. Mary Fallin has said she "remained opposed to legalizing all medical marijuana" but supports legalization of cannabidiol.
On a related note, Medical Press wrote in "Cannabis: World-renowned researchers discuss a new frontier in therapeutics":
While debate about recreational marijuana use continues, researchers are investigating the effectiveness of cannabis for treating pain, spasticity, and a host of other medical problems. In a symposium organized by the McGill University Health Centre (MUHC) as part of the 2015 American Association for the Advancement of Science Annual Meeting held this week in San Jose, California, world-renowned experts from North America and the U.K. share their perspectives on the therapeutic potential of medical cannabis and explore the emerging science behind it.
"We need to advance our understanding of the role of cannabinoids in health and disease through research and education for patients, physicians and policy-makers," says Dr. Mark Ware, director of clinical research at the Alan Edwards Pain Management Unit at the MUHC, in Canada.
As a pain specialist Dr. Ware regularly sees patients with severe chronic pain at his clinic in Montreal, and for some of them, marijuana appears to be a credible option. "I don't think that every physician should prescribe medical cannabis, or that every patient can benefit but it's time to enhance our scientific knowledge base and have informed discussions with patients."
Increasing numbers of jurisdictions worldwide are allowing access to herbal cannabis, and a range of policy initiatives are emerging to regulate its production, distribution, and authorization.
Washington, DC Council Members Face Jail Time for Pushing Referendum Forward?
In spite of DC residents' vote to legalize marijuana in their district, Congress and the DC Council continue to fight over whether the will of the people will actually be implemented.
The Washington Post reported on the latest wrangling between these two bodies:
The D.C. Council abandoned plans to hold a hearing on how to tax and regulate marijuana Monday after the District's new attorney general warned that it could subject city lawmakers and their staff members to fines and even jail time.
The move amounted to a setback for advocates of marijuana legalization and highlighted the difficulties the District is likely to face as it tries to implement Initiative 71, the ballot measure approved overwhelmingly by voters in November. ...
The city's new attorney general, Karl A. Racine, warned the D.C. Council not to hold the planned hearing Monday. Doing so, Racine said in a letter to the council, would violate a spending prohibition placed on the city by Congress barring it from setting up a regulatory scheme for sales of the plant.
Racine said holding a hearing could expose lawmakers and their staffs who help conduct the hearing to potential federal fines up to $5,000 each and jail terms of two years.
As a result, the Council chairman announced the Council would hold an "informal round-table discussion on the topic" rather than a "hearing," though the D.C. Council's chief attorney had "disagreed with the attorney general's interpretation and said council members should move forward if they wish."
The decision was criticized as setting a bad precedent for the Council's acquiescence to Congress, adding fuel to the fire for DC residents who desire statehood. Co-founder of Neighbors United for DC Statehood Josh Burch stated: "Congress has imposed its will on the District for too long. We the citizens and elected leaders have capitulated. The time for capitulation must end and the time for confrontation is upon us."
Guam Moves Legal Medicinal Cannabis Regulations Forward
On November 4th, 19,000 people in Guam voted in favor of a referendum for medicinal cannabis. Ninety days after election results were certified, the Department of Public Health is well underway with its mandate of developing rules and regulations, required to be completed within nine months. According to KUAM.com:
An advisory board in the meantime has already been identified and will be tasked with helping Public Health, reviewing requests for medical conditions eligible to use medicinal marijuana and to determine the adequate dose to distribute. "Two and a half ounces every two weeks is what we're looking at right now, but we'll have public hearings on the drafts and we'll also allow the legislature to have a second look at this through the administration and adjudication act," [Director of Public Health James Gillan] explained.
But while he foresees the promulgation of rules to move quickly, he doesn't necessary know just yet when distribution will actually begin. He has however researched just how many people may be eligible for medicinal marijuana. "I asked our Medicaid folks and MIP and three private insurance companies to give me an unduplicated count, so just the number of people who showed up to get seen or treated for these conditions and it's over 3,000," he said.
He notes it doesn't mean all of them will come in for medicinal marijuana, but have medical conditions that may be eligible. More than a handful of proposed medical conditions are listed including cancer, glaucoma, multiple sclerosis and epilepsy.
Jamaica's Senate Decriminalizes Use and Possession of Cannabis, Legalizes Medicinal and Religious Use
Jamaica's Dangerous Drugs Act was passed on February 7, which decriminalizes possession of two ounces or less of "ganja," to now result in a penalty ticket rather than a criminal charge. The bill also puts in place a regulated, lawful market for medicinal cannabis is also being put in place to allow for "medical, therapeutic and scientific research purposes." Coincidentally, the bill was passed on Bob Marley's birthday. The bill moves to the House to be debated in the new parliamentary year, expected to start soon. Read more in the Jamaica Gleaner.
Medical Journal of Australia Publishes Medicinal Cannabis Editorial
"Australia is behind the times on the medical use of cannabis." So begins an editorial by David G. Penington of the University of Melbourne, published in The Medical Journal of Australia. Thoroughly footnoted, Dr. Penington begins with a summary of the status of medicinal cannabis in Australia:
The debate about the medical use of cannabis in Australia has become confused with the proposal for a formal clinical trial instead of proceeding to legislation in New South Wales, the Australian Capital Territory and Victoria. Debates about prohibition of cannabis have a long history, as has the proposal for medical cannabis in Australia. Politicians are nervous about being "soft on drugs", especially before an election. The clinical trial proposed, if successful, presumes that cannabis would then be approved and regulated as a pharmaceutical substance.
We need to be across the facts and options. Cannabis can never be a pharmaceutical agent in the usual sense for medical prescription, as it contains a variety of components of variable potency and actions, depending on its origin, preparation and route of administration. Consequently, cannabis has variable effects in individuals. It will not be possible to determine universally safe dosage of cannabis for individuals based on a clinical trial.
Dr. Penington reviews what a clinical trial would entail and asks why the country should not move forward with legislative approval now. He concludes: "In summary, use of cannabis should be decided by the patient, following medical advice about the condition from which they seek relief, with patients being registered under state legislation. If there is to be a nationally approved trial, it should be one of documenting clinical experience from cannabis use under state legislation of the kind foreshadowed by recently elected Victorian Premier Daniel Andrews."
- See more at: http://www.dailybell.com/trends-and-sector-reports/36085/Cannabis-Sector-Report-Colorados-700-Million-Year-and-Constitutionality-of-Schedule-I-Classification/#sthash.uc6ukxWX.dpuf