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Arizona Begins Recreational Marijuana Sales, Just Weeks After Voters Approve Legalization

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Arizona marijuana sales for the adult-use market officially began on Friday after state officials began notifying retail business license applicants that they’d been approved.

The launch comes just weeks after voters in the state overwhelmingly passed a cannabis legalization initiative during November’s election. This marks the fastest transition from voter-approval to sales implementation of any state that has legalized marijuana to date.

Under the measure, regulators were required to quickly develop rules for the market. Industry stakeholders say they’ve had productive conversations with the Department of Health Services to create those guidelines over the past few weeks.

The department released two draft versions of its proposed regulations and then, earlier this month, began accepting applications for recreational business licenses. This first round of approvals is for existing medical cannabis dispensaries that have already gone through the state’s prior licensing process.

“ADHS has received 79 applications since the application period began early Wednesday,” the department said in a press release on Friday. “Six of those applications remain under review,” meaning that 73 facilities can now begin adult-use cannabis sales. The full list of those stores is at the bottom of this story.

Those who aren’t currently operating a medical marijuana shops can still apply for an adult-use license during this first round if they plan to operate in a county with two or fewer existing dispensaries. Applications for those who aren’t eligible in this phase will be open soon and are expected to be approved starting in the spring.

Samuel Richard, executive director of the Arizona Dispensaries Association, told Marijuana Moment that the “dedicated focus and professionalism of our regulators have really played out here in an incredible way.”

“We had overwhelming support in November—a three to two margin, 60-40 percent. We got over the finish line,” he said. “It’s great to see that our regulators responded to that overwhelming support by working as fast as they can to get the infrastructure in place to allow the two million Arizonans that voted ‘yes’ for Prop 207 to start to enjoy the benefits of legal, adult-use cannabis.”

Legalization advocates are cheering the state for its expediency in getting the recreational marijuana market off the ground.

Matthew Schweich, deputy director at the Marijuana Policy Project, told Marijuana Moment that it is “encouraging to see Arizona move forward with implementation of the legalization policy approved by voters in November.”

“By avoiding unnecessary delays, Arizona will accelerate the timeline for job creation, business investment, and new tax revenue,” he said.

“I commend state officials for prioritizing the implementation of Prop. 207 and ensuring that Arizona adults have safe and convenient access to affordable marijuana in a timely manner,” NORML State Policies Coordinator Carly Wolf, told Marijuana Moment. “Voters were crystal clear on their mandate at the ballot box: end the failed policy of criminalization and replace it with a legal pragmatic regulatory framework as soon as possible.”

“It’s time to stop ceding control and revenue of the marijuana market to unregulated and untaxed enterprises in order to eliminate the risks associated with an illicit market,” she said.

The rules for the adult-use market took effect on January 15. They cover licensing fees, the timeline for approvals, the structure of the regulatory body, product labeling, public safety protocols and more. Many of the changes from prior draft regulations were technical, but there was one notable change concerning credentialing for cannabis workers.

Rather than being credentialed for one specific facility, the worker registration was expanded so that they could be certified to be employed at any cannabis operation in the industry.

While these rules are in place for the newly approved retailers, Richard said regulators have made clear their intent to continue to work with stakeholders and continue to build upon their rules to ensure the market’s success.

Under the state’s new legalization law, adults will be able to possess up to an ounce of marijuana at a time and cultivate up to six plants for personal use.

The measure also contains several provisions aimed at addressing the harms of prohibition such as allowing individuals with prior marijuana convictions to petition the courts for expungements and establishing a social equity ownership program.

Cannabis sales will be taxed at 16 percent. Tax revenue will cover implementation costs and then be divided among funds for community colleges, infrastructure, a justice reinvestment and public services such as police and firefighters.

That revenue could also help the Arizona’s economic recovery amid the coronavirus pandemic, Richard said.

“At the time where folks are still struggling to recover across the country in terms of state budgets, we look forward to being a critical piece” of that recovery, he said.

Arizona’s quick response to voter approval of the reform initiative stands in stark contrast to New Jersey, where voters also approved a legalization referendum in November.

While regulations have been developed and retail sales are launching in Arizona, enabling legislation has faced numerous delays in New Jersey as lawmakers and the governor continue to hash out differences in their preferred regulatory approach.

That said, New Jersey Gov. Phil Murphy (D) said during his State of the State address last week that “we are on the verge of passing an innovative and groundbreaking set of laws to reform our historically unjust approach to marijuana and cannabis.” But the exact timeline to pass an implementation bill is yet to be determined.

See the full list of medical cannabis dispensaries authorized to sell recreational marijuana below:

Facility Legal Name County City
Natural Relief Clinic Inc Cochise Bisbee
Desertview Wellness & Healing Solutions, LLC Coconino Flagstaff
Arizona Natures Wellness Coconino Sedona
Desert Medical Campus Gila Payson
High Desert Healing Llc Maricopa Avondale
Non Profit Patient Center Inc Maricopa Cave Creek
Azgm 3, Inc Maricopa Chandler
Border Health, Inc Maricopa Chandler
Total Health & Wellness Inc Maricopa Chandler
Total Health & Wellness Inc Maricopa Chandler
Arizona Cannabis Society Inc. Maricopa El Mirage
Fort Mountain Consulting, Llc Maricopa El Mirage
Absolute Health Care Inc Maricopa Gilbert
Ocotillo Vista, Inc. Maricopa Glendale
Pahana, Inc. Maricopa Glendale
Pp Wellness Center Maricopa Glendale
Whoa Qc Inc Maricopa Glendale
G.T.L. Llc Maricopa Guadalupe
Nature Med Inc Maricopa Guadalupe
4245 Investments Llc Maricopa Mesa
Arizona Wellness Collective 3, Inc Maricopa Mesa
Buds & Roses, Inc Maricopa Mesa
Jamestown Center Maricopa Mesa
Sea Of Green Llc Maricopa Mesa
The Giving Tree Wellness Center Of Mesa Inc Maricopa Mesa
The Healing Center Farmacy Llc Maricopa Mesa
Valley Healing Group Inc Maricopa Mesa
Vending Logistics Llc Maricopa Mesa
Pinal County Wellness Center Maricopa Peoria
Ad, Llc Maricopa Phoenix
Az Compassionate Care Inc Maricopa Phoenix
Catalina Hills Botanical Care Inc Maricopa Phoenix
Devine Desert Healing Inc Maricopa Phoenix
Fort Consulting, Llc Maricopa Phoenix
Greens Goddess Products, Inc Maricopa Phoenix
Healing Healthcare 3 Inc Maricopa Phoenix
Herbal Wellness Center Inc Maricopa Phoenix
Kwerles Inc Maricopa Phoenix
Mohave Valley Consulting, Llc Maricopa Phoenix
Natural Herbal Remedies Inc Maricopa Phoenix
Natural Relief Clinic Inc Maricopa Phoenix
Nature’s Healing Center Inc Maricopa Phoenix
Nature’s Healing Center Inc Maricopa Phoenix
Organica Patient Group Inc Maricopa Phoenix
Phytotherapeutics Of Tucson Maricopa Phoenix
Rjk Ventures, Inc. Maricopa Phoenix
The Giving Tree Wellness Center Of North Phoenix Inc Maricopa Phoenix
Zonacare Maricopa Phoenix
The Kind Relief Inc Maricopa Queen Creek
Byers Dispensary Maricopa Scottsdale
Csi Solutions Llc Maricopa Scottsdale
Eba Holdings Inc. Maricopa Scottsdale
All Greens Inc Maricopa Sun City
East Valley Patient Wellness Group Inc Maricopa Sun City
Holistic Patient Wellness Group Maricopa Tempe
Salubrious Wellness Clinic Inc Maricopa Tempe
Svaccha, Llc Maricopa Tempe
Kannaboost Technology Inc Maricopa Tempe
K Group Partners Llc Maricopa Youngtown
Sweet 5, Llc Maricopa Youngtown
Verde Dispensary Inc Mohave Kingman
Abedon Saiz Llc Mohave Lake Havasu City
Fwa Inc Mohave Lake Havasu City
Arizona Golden Leaf Wellness, Llc Pima Marana
Medmar Tanque Verde Llc Pima Tucson
Patient Care Center 301, Inc. Pima Tucson
Rainbow Collective Inc Pima Tucson
Nature’s Wonder Inc Pinal Apache Junction
Svaccha, Llc Pinal Apache Junction
Medical Pain Relief Inc Pinal Casa Grande
Sherri Dunn, Llc Yavapai Cottonwood
203 Organix, Llc Yavapai Prescott
Jamestown Center Yuma Yuma

Congressman Files First Federal Marijuana Reform Bill Of 2021

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Kyle Jaeger is Marijuana Moment's Los Angeles-based associate editor. His work has also appeared in High Times, VICE and attn.

Politics

Another Poll Shows Majority Of Americans Support Marijuana Legalization And Expungements

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Another poll has found that a majority of Americans support legalizing marijuana and clearing the records of those with prior cannabis convictions.

This one—commissioned by CBS News and released on the unofficial marijuana holiday 4/20—shows that 55 percent of respondents said recreational cannabis should be legal in their own state, compared to 42 percent who said it should be illegal.

While still a sizable majority, that’s notably lower than several other recent surveys, including those released by Quinnipiac University and the Pew Research Center this month. Those polls found that 69 percent and 60 percent of Americans back broad legalization, respectively.

Unique to this poll, however, is that participants were also asked about related cannabis issues. For example, 59 percent of adults said that people with non-violent marijuana convictions in states that have legalized should have their records cleared, versus 37 percent who said the conviction shouldn’t be expunged.

Among those who were surveyed and live in a legal marijuana state, 60 percent said they favor the policy. And 53 percent of those living in states where prohibition is still on the books said cannabis should be legalized.

Via CBS News.

Twenty-three percent of respondents said legalizing cannabis would increase crime and 19 percent said it would decrease crime—but the majority (54 percent) said it would have “no effect.”

Via CBS News.

CBS also asked respondents whether they felt legalizing marijuana would lead people to use other drugs. Most people (45 percent) said the reform would have “not much effect” to that end, while 33 percent said they felt more people would seek out other substances and 17 percent said it would make people less likely to try other drugs.

Via CBS News.

Nearly half of Americans (48 percent) said legalization would boost local economies, while 14 percent said it would have a negative economic impact and 35 percent said it wouldn’t have much of an effect at all.

Via CBS News.

Interestingly, while most people backed legalization in the poll, 53 percent said that openly using marijuana socially is “unacceptable,” compared to 43 percent who said it was “acceptable”—perhaps more a reflection of respondents’ perception of other people’s views than their own.

The poll involved interviews with 1,004 adults from March 9-14 and has a margin of error of plus or minus 3.7 percentage points.

Despite this latest example of polling showing that Americans favor ending prohibition, President Joe Biden is still not on board with extending that policy to the federal level, as confirmed again by the White House press secretary on Tuesday.

While the president says he supports allowing states to set their own policies, he feels it should only be decriminalized and rescheduled federally and wants more research to be done if he’s to change his position on broader reform.

This poll comes at a time when there’s a concerted push in both chambers of Congress to seize the opportunity they have with Democratic control to pass legalization legislation.

Senate Majority Leader Chuck Schumer (D-NY), Senate Finance Committee Chairman Ron Wyden (D-OR) and Sen. Cory Booker (D-NJ) have been working on a bill on their side. The majority leader told Marijuana Moment on Monday that he’s working to push the president in a pro-legalization direction as they draft the measure.

Schumer said last week that the legislation will be introduced and placed on the floor “soon.”

On the House side, Judiciary Chairman Jerrold Nadler (D-NY) said recently that he plans to reintroduced his legalization bill, the Marijuana Opportunity, Reinvestment and Expungement (MORE) Act, which cleared the chamber last year but did not advance in the Senate under GOP control.

Biden Won’t Commit To Sign Marijuana Bill If Passed By Congress, Press Secretary Says

Photo courtesy of Mike Latimer.

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New House Bills Would Make Cannabis Businesses Eligible For Federal Small-Business Aid

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Lawmakers in the U.S. House of Representatives have introduced three new bills to make state-legal marijuana businesses eligible for federal small business services, including loans, disaster relief and grant programs.

The package of legislation is aimed at establishing parity for cannabis businesses, which are currently prohibited from receiving federal aid due to marijuana still being classified as a Schedule I controlled substance. The country’s legal cannabis industry nevertheless now supports nearly 320,000 full-time jobs in the U.S., according to industry estimates.

The measures are largely similar to legislation introduced by the lawmakers in 2019, with some small changes.

One bill, sponsored by House Small Business Committee Chairwoman Nydia Velázquez (D-NY), would allow marijuana businesses to access resources from the federal Small Business Administration (SBA). The Ensuring Safe Capital Access for All Small Businesses Act of 2021, which had not been assigned a bill number as of Tuesday afternoon, would expand access to services such as microloans, disaster assistance and the agency’s loan guaranty program.

“With more and more states pursuing legalization, including my home state of New York, there are a growing number of legitimate small businesses that are excluded from critical SBA programs,” Velázquez said in a statement, noting that much of the cannabis industry consists of small businesses.

Compared to Velázquez’s 2019 bill, the new version adds clauses meant to expand the availability of services. While the 2019 bill applied to SBA itself, provisions in the new legislation also prevent SBA intermediaries, private lenders and state and local development companies from declining to work with businesses simply because of their marijuana-related work.

Another new section deals with debentures—certain unsecured loan certificates—and clarifies that SBA may not decline to purchase or guarantee a debenture just because of a business’s involvement in cannabis. Nor can other small business investment companies decline to provide assistance to the cannabis sector.

“This legislation will spark growth by extending affordable capital to small firms in the cannabis space,” she continued. “Simultaneously, the bill acknowledges the structural disadvantages facing entrepreneurs of color and seeks to level the playing field.”

Another newly refiled measure, H.R. 2649, sponsored by Rep. Dwight Evans (D-PA), would establish a U.S. Small Business Administration (SBA) grant program to provide funding to state and local governments to help them navigate the licensing process for cannabis businesses. The bill, which also removes marijuana from the Controlled Substances Act, specifies that the grant money should be used to benefit communities disproportionately impacted by the drug war.

“My bill would act as a poverty-buster and help homegrown small businesses, which are the backbone of our economy and our neighborhoods. We need to make sure that the booming legal cannabis industry does not become consolidated in the hands of a few big companies,” Evans said.


Marijuana Moment is already tracking more than 1,000 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments.

Learn more about our marijuana bill tracker and become a supporter on Patreon to get access.

A third bill, H.R. 2649, from Rep. Jared Golden (D-ME), would prohibit SBA partners that provide guidance and training services from denying help to businesses solely because of involvement in cannabis. The changes would affect providers such as SBA’s Small Business Development Centers, Women’s Business Centers and the Veterans Business Outreach Centers, among others.

“Our continued economic recovery depends on the health of American small businesses of all kinds. Especially in this environment, no Maine small business owner should be turned away from crucial SBA programs that could help them create jobs and lift up the economy,” said Rep. Golden. “My bill would help address this problem by providing small business owners directly or indirectly associated with the cannabis industry with access to the services and resources they need to get their small businesses off the ground and grow.”

Meanwhile, federal lawmakers have been making headway on other cannabis-related proposals. The House passed a cannabis banking bill on Monday, and broader legislation to legalize cannabis at the federal level is expected to be introduced soon.

The banking legislation would ensure that financial institutions can take on cannabis business clients without facing federal penalties. Fear of sanctions has kept many banks and credit unions from working with the industry, forcing marijuana firms to operate on a cash basis that makes them targets of crime and creates complications for financial regulators. The full House passed the bill on a 321–101 vote.

“Even if you are opposed to the legalization of cannabis, you should support this bill,” sponsor Rep. Ed Perlmutter (D-CO) said on the House floor. “The fact is that people in states and localities across the country are voting to approve some level of cannabis use, and we need these cannabis businesses and employees to have access to checking accounts, payroll accounts, lines of credit, credit cards and more.

Other Democrats, including Senate Majority Leader Chuck Schumer (D-NY), Senate Finance Committee Chairman Ron Wyden (D-OR) and Sen. Cory Booker (D-NJ) are working on legislation that would end federal cannabis prohibition completely.

Schumer said last week that the long-awaited proposal would be introduced “shortly” and placed on the floor “soon.” Schumer has so far declined to discuss the bill’s specifics, though he’s stressed that it will prioritize small businesses and people most historically impacted by the drug war.

In an interview with Marijuana Moment this week, Schumer worried that passage of the House banking bill could actually undermine broader congressional cannabis reform this year.

On the House side, Judiciary Chairman Jerrold Nadler (D-NY) said recently that he plans to reintroduced his own legalization bill, the Marijuana Opportunity, Reinvestment and Expungement (MORE) Act, which cleared the House in a landmark vote last year but did not advance in GOP-controlled the Senate.

Meanwhile, support for legalization among U.S. voters continues to grow. More than 9 in 10 Americans (91 percent) now support legalizing cannabis for either medical or adult use, according to a Pew Research Center poll released on Friday. Sixty percent of respondents said that cannabis should be legal for both medical and adult use. Thirty-one percent said it should be legalized for therapeutic purposes only, while just eight percent said it should continue to be criminalized across the board.

A majority of those in every age, race and political demographic included in the poll said they feel marijuana should be legal in some form, although many Republicans remain wary of adult-use legalization. Seventy-two percent of Democrats favored both medical and adult-use legalization compared to only 47 percent of Republicans.

Among the minority in opposition to federal legalization: President Joe Biden (D). White House Press Secretary Jen Psaki said last month that the president’s position on the issue “has not changed,” meaning he still opposes the reform. on Tuesday, Psaki refused to say whether Biden would sign or veto a cannabis legalization bill if passed by Congress.

The president instead backs modestly rescheduling the plant, decriminalizing possession, legalizing medical cannabis, expunging prior marijuana records and letting states set their own policies.

Read the full text of the new legislation below:

Ensuring Safe Capital Access for All Small Businesses Act of 2021 by Marijuana Moment on Scribd

Ensuring Access to Counseli… by Marijuana Moment

Homegrown Act by Marijuana Moment on Scribd

Schumer Worries Senate Marijuana Banking Vote Could Undermine Broader Legalization Push

 

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Biden Won’t Commit To Sign Marijuana Bill If Passed By Congress, Press Secretary Says

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White House Press Secretary Jen Psaki on Tuesday declined to say whether President Joe Biden would sign or veto a bill to federally legalize marijuana if it arrives on his desk, noting that his cannabis policy position is at odds with broader proposals that congressional Democratic leaders are working on.

She was also asked about his stance on marijuana banking reform, the disconnect between public opinion favoring legalization and the president’s opposition and whether Biden plans to revisit clemency applications for those facing federal sentences over cannabis.

The noncommittal response to the legalization question comes on the unofficial cannabis holiday 4/20—a day that has seen a wide range of politicians, including Senate Majority Leader Chuck Schumer (D-NY), voice support for comprehensive marijuana reform.

Psaki was pressed on the Senate leader’s remarks and asked whether Biden would support legislation to end federal cannabis prohibition if Congress approved it.

“The president supports leaving decisions regarding legalization for recreational use up to the states, rescheduling cannabis as a Schedule II drug so researchers can study its positive and negative impacts and, at the federal level, he supports decriminalizing marijuana use and automatically expunging any prior criminal records,” she said. “He also supports legalizing medicinal marijuana so that’s his point of view on the issue.”

Biden’s positions to that end are well known, but an outstanding question has been whether his opposition to adult-use legalization is so strong that he would reject a reform proposal such as those currently being drafted in the House and Senate.

Asked directly what action the president would take if a federal legalization bill was sent to his desk, Psaki signaled that he wouldn’t be inclined to sign it, stating “I just have outlined what his position is, which isn’t the same as what the House and Senate have proposed, but they have not yet passed a bill.”

The reporter followed up to ask about a separate cannabis pledge Biden made as a presidential candidate, when he said people incarcerated in federal prisons over non-violent marijuana offenses should be released.

Psaki said that would be addressed if cannabis was rescheduled to Schedule II—a dubious claim given that there are still serious penalties for offenses involving substances in that category as well. She also didn’t provide any insight into whether the president is proactively pushing for the modest scheduling change.

Later in the briefing, the press secretary was asked where Biden stands on legislation to protect banks that service state-legal marijuana businesses from being penalized by federal regulators. The House approved the Secure and Fair Enforcement (SAFE) Banking Act along bipartisan lines on Monday.

She said it was a “good question,” but she wasn’t sure and told the reporter she would follow up with a response later.

When pushed on Biden’s opposition to the legalization in the face of mounting, majority support among Americans, Psaki said that while he’s in favor of decriminalization and legalizing medical marijuana, he wants more research on the “positive and negative effects” of adult-use legalization.

“He’ll look at the research once that’s concluded,” she said. “Of course we understand the movement that’s happening toward it. I’m speaking for what his position is and what long, consistently has been his position. He wants to decriminalize, but again, he’ll look at the research of the positive and negative impacts.”

The press conference ended with a final question about cannabis policy—specifically whether the Biden administration plans to revisit requests for clemency for federal cannabis convictions. The reporter cited the case of Luke Scarmazzo, who was sentenced to 22 years in federal prison for operating a state-legal medical cannabis business in California, as an example.

“Given, as you’ve noted in the briefing, the president’s support for decriminalization, support for expunging exactly these types of offenses, are there any plans to revisit some of those bids for clemency?” the reporter asked.

“Well, I would just take it as an opportunity to reiterate that the president supports legalizing medicinal marijuana,” Psaki said. “It sounds like this would have been applicable in this case, and of course decriminalizing marijuana use and automatically expunging any prior criminal records. In terms of individual cases, I can’t get ahead of those obviously.”

These question come, of course, on 4/20. But they also come at a time when there’s a concerted push in both chambers of Congress to seize the opportunity they have with Democratic control to pass legalization legislation.

Schumer, Senate Finance Committee Chairman Ron Wyden (D-OR) and Sen. Cory Booker (D-NJ) have been working on a bill on their side. The majority leader told Marijuana Moment on Monday that he’s working to push the president in a pro-legalization direction as they draft the measure.

Schumer said last week that the legislation will be introduced and placed on the floor “soon.”

On the House side, Judiciary Chairman Jerrold Nadler (D-NY) said recently that he plans to reintroduced his legalization bill, the Marijuana Opportunity, Reinvestment and Expungement (MORE) Act, which cleared the chamber last year but did not advance in the Senate under GOP control.

Schumer Worries Senate Marijuana Banking Vote Could Undermine Broader Legalization Push

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