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The Current State of Recreational Cannabis
Kanza Kaleem Laboratory Operations Ieso, LLC
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How does Medical and Recreational Differ?
In Medical States: The number of people who can visit dispensaries is limited to certain illnesses Require a medical card/certification authorized by a doctor and approved by the state. In Recreational States: More adults have access to cannabis through dispensaries. Can be used for relaxation, medication, or purely recreational use. Medical and recreational laws differs from state to state.
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Cannabis Across The Country
There are 29 medical cannabis states and DC There are 9 recreational cannabis states and DC Many states that are recreational also provide special assistance and products for medical cardholders
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Medical Card in a Recreational State
In California, Under Prop 64, recreational cannabis retailers and consumers pay a greater sales tax where as medical patients are exempt. Recreational users may have up to 1 ounce of cannabis or 8 grams of cannabis extract. Medical patients have no possession limit within reason to their condition. Colorado provides higher CBD strains and greater variety of edibles to medical patients than recreational users. Put into “states” slides
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Illinois Illinois Compassionate Use of Medical Cannabis Pilot Program Act (PA ) Governor Quinn signed in August of 2013 20th state to authorize a cultivation and dispensing of cannabis program 31,500 registered patients 54 registered dispensaries 1 cultivation center per police district; meaning up to 22 cultivation centers within the state
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Illinois Sales Sales since November 2015: Medical Sales:
Licensed medical cannabis dispensaries $74,028,383.78 Cultivation centers $43,725,202.92 Medical Sales: In 2016: $36,200,000 Projected Medical Sales in 2021: $375,900,000
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Debilitating Conditions
Qualifying patients must be diagnosed with a debilitating condition, as defined in the Compassionate Use of Medical Cannabis Pilot Program Act, to be eligible for a medical cannabis registry identification card in Illinois. There are 40 qualifying debilitating conditions.
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Top 5 Debilitating Condition:
Severe fibromyalgia: 2,407 patients Cancer: 2,139 patients Post-traumatic stress disorder: 1,889 patients Spinal cord disease: 1,166 patients Rheumatoid arthritis: 786 patients
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Federal Law Cannabis remains classified as a Schedule I substance under the Controlled Substances Act, making distribution of cannabis a federal offense. Doctors may not "prescribe" cannabis for medical use, though they can "recommend" its use under the First Amendment. Some states have decriminalized the possession of small amounts of cannabis by charging fines instead of imposing jail time.
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Alaska Legalization: Sales: Allotment: Became medical in 1998
Became recreational in 2014 Sales: Medical Sales in 2016: $4,000,300 Projected Medical Sales in 2021: $11,300,000 Allotment: There is no purchasing limit however possession is 1 ounce (28 grams) for users 21 years and older
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Alaska’s Opioid Statistics
In 2013, Alaska wrote 63.5 opioid prescriptions per 100 people In the same year, the U.S. rate was 79.3 per 100 people From , opioid prescriptions declined 11.3% In 2015, there were only 57.0 prescriptions per 100 people
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California Legalization: Sales: Allotment:
First state to medically legalize cannabis in 1996 Recreationally legalized in 2016 Sales: Medical Sales in 2016: $1,837,700,000 Projected Medical Sales in 2021 : $1,480,300,000 Projected Adult Use Sales in 2021: $4,320,600,000 Allotment: Adults 21 years of age or older are able to purchase up to 28.5 grams of cannabis flower and 8 grams of cannabis concentrate
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California’s Opioid Statistics
In 2013, California providers wrote 54.9 opioid prescriptions for every 100 people In the same year, the U.S. rate was 79.3 per 100 people From , opioid prescriptions declined 12.8% In 2015, there were only 47.9 opioid prescriptions per 100 people
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Colorado Legalization: Sales: Allotment: Medically legalized in 2001
First state to recreationally legalize cannabis in 2012 Sales: Medical Sales in 2016: $453,300,000 Adult Use Sales in 2016: $8,657,000,000 Predicted Medical Sales in 2021: $500,700,000 Predicted Adult Use Sales in 2021: $1,391,700,000 Allotment: Residents and tourists may purchase up to 28 grams in a “single transaction” This law has some grey areas, such as what is a ‘single transaction’, so most recreational stores will only serve a consumer once a day
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Colorado’s Opioids Statistics
In 2013, Colorado providers wrote 69.8 opioid prescriptions for every 100 people In the same year, the U.S. rate was 79.3 per 100 people From , opioid prescriptions declined 6.0% In 2015, there were only 63.7 opioid prescriptions per 100 people
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Maine Legalization: Sales: Allotment: Medically legalized in 1999
Recreationally legalized in 2016 Sales: 2016 Medical Sales : $52,200,000 2021 Projected Medical Sales : $35,500,000 2021 Projected Adult Use Sales : $126,200,000 Allotment: Adults are allowed to possess up to 2.5 ounces of cannabis flower
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Maine’s Opioids Statistics
Maine is among the top 10 states with the highest rates of opioid-related overdose deaths In 2016, there were 25.2 deaths per 100,000 people while the national rate was 13.3 deaths per 100,000 people In 2015, there were 70 opioid prescriptions per 100 people
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Massachusetts Legalization: Sales: Allotment:
Medically legalized in 2013 Recreationally legalized in 2016 Sales: 2016 Medical Sales : $100,000,000 2021 Projected Medical Sales : $238,400,000 2021 Projected Adult Use Sales : $929,300,000 Allotment: Dispensaries will open in July In the meantime, patients can purchase up to 10 ounces for a 60 day period
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Massachusetts’ Opioids Statistics
Massachusetts is among the top 10 states with the highest rates of opioid-related overdose deaths In 2016, there were 29.7 deaths per 100,000 people while the national rate was 13.3 deaths per 100,000 people In 2015, there were 59.9 opioid prescriptions per 100 people
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Nevada Legalization: Sales: Allotment: Medically legalized in 2001
Recreationally legalized in 2016 Sales: 2016 Medical Sales : $75,600,000 2021 Projected Medical Sales : $150,400,000 2021 Projected Adult Use Sales : $282,200,000 Allotment: Consumers may purchase up to 1 ounce of cannabis flower or 3.5 grams of concentrate at a time
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Nevada’s Opioids Statistics
In 2016, there were 13.3 deaths per 100,000 people while the national rate was also 13.3 deaths per 100,000 people In 2015, there were 83.0 opioid prescriptions per 100 people while the national average was 70.0 opioid prescriptions per 100 people
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Oregon Legalization: Sales: Allotment: - Medically legalized in 1998
Recreationally legalized in 2014 Sales: 2016 Medical Sales : $101,600,000 2016 Adult Use Sales : $292,100,000 2021 Projected Medical Sales : $37,800,000 2021 Projected Adult Use Sales : $868,400,000 Allotment: Consumers may have 1 ounce of cannabis flower (4 ounces if registered Oregon Medical Marijuana Program cardholder) 5 grams of concentrate 16 ounces of edibles 72 ounces of liquid form cannabis -
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Oregon’s Opioids Statistics
In 2016, Oregon providers wrote 78.1 opioid prescriptions for every 100 people In the same year, the U.S. rate was 70.0 per 100 people In 2016, there were 7.6 deaths per 100,000 people while the national average as 13.3 deaths per 100,000
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Vermont Legalization: Sales: Allotment: Medically legalized in 2004
Recreationally legalized in 2018 Sales: 2016 Medical Sales : $7,600,000 2021 Projected Medical Sales : $13,500,000 2021 Projected Adult Use Sales : $51,500,000 Allotment: Consumers will be allowed to have up to 1 ounce of cannabis
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Vermont’s Opioids Statistics
In 2016, there were 18.4 deaths per 100,000 people while the national rate was also 13.3 deaths per 100,000 people In 2015, there were 62.0 opioid prescriptions per 100 people while the national average was 70.0 opioid prescriptions per 100 people
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Washington Legalization: Sales: Allotment: Medically legalized in 1998
Washington was the 2nd state to legalize recreational cannabis in 2012 Sales: 2016 Medical Sales : $45,600,000 2016 Adult Use Sales : $677,300,000 2021 Projected Adult Use Sales : $1,295,300,000 Allotment: 1 ounce of cannabis flower 7 grams of concentrates 16 ounces of edibles 72 ounces of liquids
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Washington’s Opioids Statistics
In 2015, there were 9.7 deaths per 100,000 people while the national rate was also 10.3 deaths per 100,000 people In 2015, Washington providers wrote 68.2 opioid prescriptions for every 100 people The same year, the U.S. rate was 70.0 per 100 people
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Illinois’ Opioids Statistics
In 2015, Illinois providers wrote 60.0 opioid prescriptions for every 100 people In the same year, the U.S. rate was 70.0 per 100 people From , opioid prescriptions declined 10.0%
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Pros and Cons of Home Cultivation
Custom products Consumers can make their own products with their cannabis (concentrates, topicals, edibles etc.) Variety Consumers can grow their preferred strains and try new strains Quality Control Lighting, irrigation, pests, fertilizers, and growing cycles Cons Finding a suitable environment Cannabis plants thrive in their natural environment (temperature, humidity, sunlight) Endless variables to control Sunlight, nutrients, ventilation etc. Long term investment Watering, lights, ventilation, tools and electric bill
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Home Cultivation State by State
Alaska: 6 plants with no more than 3 mature plants California: 6 plants per residence Colorado: 6 plants per person and 12 plants per household. No more than 3 mature plants Maine: 6 mature plants 12 immature plants Unlimited seedlings Massachusetts: 6 plants
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Home Cultivation State by State
Nevada: If residing less than 25 miles from a cannabis retailer, 6 plants If residing more than 25 miles from a cannabis retailer, 12 plants Oregon: Non-patients may have 4 plants Medical patients may have 6 plants. Vermont: 2 mature plants and 7 immature plants Washington: 6 plants May only possess up to 8 ounces of usable cannabis from plants
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Marijuana Tax Cash Fund- Colorado
Taxes on Cannabis Medical and recreational cannabis are subject to 2.9% state sales tax Recreational cannabis is also taxed 10% sales tax and 15% excise tax All 3 taxes were approved by voters of Proposition AA in 2013 Building Excellent School Today (BEST) Fund. When voters approved retail marijuana legalization, they dedicated the first $40 million in excise tax revenue to school construction in the state constitution. To facilitate this, the General Assembly referred a 15 percent excise tax to voters, with the first $40 million deposited in the BEST fund. The BEST fund is used to renew or replace deteriorating public schools. The program prioritizes funding based on issues such as asbestos removal, building code violations, overcrowding, and poor indoor air quality. BEST grants are awarded on a competitive basis and awarded annually. Table 1 shows the state taxes that apply to medical and retail cannabis.
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What does this mean for Illinois?
The Illinois Pilot Program has been extended to July 2020 Currently patients can have 2.5 ounces every two weeks People who didn’t have access or couldn’t afford a medical card will be able to visit cannabis retailers 2017 statistics show that 954 cannabis related jobs were created. This number will only increase As seen with other states, cannabis sales in Illinois will soar
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Questions?
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