Transcript State laws
ILLINOIS MEDICAL CANNABIS PROGRAM Bob Morgan 11/ 12 / 16 1 Illinois Medical Cannabis Pilot Program Act • Four year pilot program beginning January 1, 2014 entitled the “Illinois Compassionate Use of Medical Cannabis Pilot Program Act(MCPP).” - Implemented through agency rules: o IDPH, IDFPR, Agriculture, Revenue • Recently extended through July 1, 2020. • Patients can receive up to 2.5 ounces per 14 days of: - • Usable cannabis: seeds, leaves, buds, flowers o Definition of cannabis in rules includes all cannabinol derivatives, naturally or synthetically produced o Edibles: brownies, bars, cookies, cakes, breads, pastries o Other non-refrigerated, non hot-holding items (such as tinctures); essentially shelf-stable items Minors can only use cannabis-infused products (non-smokable) It is possible to get a waiver for more: - Qualified patients can receive more than 2.5 ounces—no maximum specified 2 National trends – recreational and medical 3 Today’s Cannabis industry State laws 4 Recreational, 20 Medical, 13 CBD (low-THC) oil only. Pennsylvania, Michigan and Ohio Changes in California Recreational Ballot Initiatives – CA, NV, AZ, MA, FL, MI(?) Sales Legal cannabis sales were $5.4 billion in 2015 (up 100% from 2014); Compared to approximately $40 billion in black market sales Predict $6.7 billion in 2016 Over 1.5 million people purchased cannabis legally across the country 130 metric tons of pot sold annually – just in Colorado Jobs At least 175,000 jobs nationally, increasing at a fast pace 4 The Illinois Cannabis Industry Cultivators 19 cultivators now growing product, several are struggling and have poor product, others are already on their way to breaking even on their investments. Dispensaries 40 dispensaries opened, soon to have another round of applications for leftovers Patients 11,000 patients, recently added PTSD and terminal illnesses. Should reach 15,000 soon. Sales Now selling $4 million/month, compared to Colorado at over $122 million/month Legislation Governor signed SB10 – extends program to mid-2020, adds PTSD & terminal illnesses. Litigation Adding new medical conditions – PTSD (now moot), Migraines and IBS, others pending. 5 Change in the Industry Federal Law Possible change to marijuana scheduling under the U.S. Controlled Substances Act (potentially moving to Schedule II) with a new President Banking laws seem poised to change – not likely to fix fundamental hesitation from banks and credit card companies when considering the risks Interstate commerce? State Law Changes California becoming recreational will dramatically change the industry Other potential recreational – Arizona, Nevada, Massachusetts, Maine Reaching a tipping point, but also end of the curve, for new robust medical cannabis laws (maybe Missouri, Texas to follow, but that’s about it) Medical Research Federal changes will allow more medical research – DEA accepting new cannabis grow applicants Increasing research across the country – many more epilepsy-focused research studies Institutional investors and businesses Microsoft, Google, Scott’s Miracle-Gro, $100 million funds, what’s next? 6 Thank You Bob Morgan [email protected] www.potczarblog.com