OLCC Recreational Marijuana Implementation Amanda Borup, Policy Analyst, OLCC Oregon Pesticide Symposium March, 2016

State Agency Coordination  OLCC – Oregon Liquor Control Commission Responsible for licensing producers, processors, wholesalers, retailers, labs, research certificates, marijuana handler permits Adopts rules for packaging, advertising Not responsible for personal possession, personal use, home grow, or medical marijuana Fee supported program  ODA – Oregon Department of Agriculture Responsible for licensing food establishments Weights and measures Pesticide use Agricultural Water Quality Management OHA – Oregon Health Authority Develops testing requirements Certifies labs (ORELAP) Adopts rules for labeling, serving size, and dosage  DOR – Oregon Department of Revenue Tax collection

Regulatory environment  Compliance Philosophy  Provide tools and knowledge to operate responsibly  Non-punitive in nature but provides enforcement mechanisms  Public Safety  Cole Memo (Federal Guidance)  Keep Cannabis out of hands of criminals & kids  Cannabis Tracking System (CTS) keeps marijuana out of illegal market

Licensing Process

Applications to Date  Producers: 446  Processors: 48  Wholesale: 38  Retail: 133  Research Certificate: 0  Labs: 4

Land Use Compatibility  HB 3400 allows local jurisdictions the ability to opt-out of licensed marijuana activities  A Land Use Compatibility Statement (LUCS) and instructions for completion will be available on the OLCC website  Local jurisdictions have 21 days to process the LUCS  In order for an applicant to be considered for a license the land use compatibility statements must show the proposed premise is located in a properly zoned area, as determined by the local jurisdiction

Producer License  OLCC established canopy limits for mature, flowering plants based on a 4:1 indoor to outdoor ratio: Indoor: Tier I: up to 5,000 square feet Tier II: 5,001 – 10,000 square feet Outdoor: Tier I: up to 20,000 square feet Tier II: 20,001 – 40,000 square feet  Upcoming: Micro Tier

Mixed Cultivation and Greenhouses  A producer may grow indoor, outdoor or a combination of both. If a licensee decides to engage in mixed cultivation it will not allow for a larger canopy.  Greenhouse A greenhouse that uses artificial light on mature flowering plants is considered an indoor grow A greenhouse that does not use artificial light on mature flowering plants is considered an outdoor grow

Cannabis Tracking System (CTS)  CTS = Cannabis Tracking System (Seed to Sale)  Prevents diversion to the illegal market, and inversion from illegal market  Required of every licensee and its employees  Additional benefit consumer protection  Allows for product recall  Colorado MED has already issued product recalls for pesticide tainted products

Legislative Changes  HB 4014 (signed)  Removes Residency Requirement  Adds Micro Tier  Allows OLCC to license only production areas for outdoor grows  SB 1511 (awaiting Governor’s signature)  Expanded Access – Ability for OLCC licensee to continue grower patient relationship through an agreement. Allows OLCC licensees to process medical grade marijuana. Allows OMMP patients to purchase tax free products from OLCC licensed retail establishments.  SB 1598 (signed)  Land Use Exemption – Small Growers  Marijuana Handlers Permits for all employees  Minor fixes to HB 4014 and SB 1511  SB 1601(awaiting Governor’s signature)  Department of Revenue taxation

Timeline  Training: Cannabis Tracking System – Started  Oregon Legislative Session – February 2016  Grower, Processor, Lab Licenses issued – 2 nd Quarter 2016  Public hearings on final rules – 2 nd Quarter 2016  Commission adopts final rules - June 28, 2016  Retail store licensing – 3rd Quarter 2016  Licensed retail stores begin operating – 4th Quarter 2016