Connect with us

Business

Bad Cannabis Headlines Dangerously Misinform Readers

Published

on

Marijuana laws are changing rapidly these days, so much so that even specialized news organizations solely dedicated to tracking cannabis policy sometimes have a hard time making sense of reforms.

Coverage this week by The Cannabist and Marijuana Business Daily provides a perfect example.

After California Gov. Jerry Brown (D) vetoed legislation that would have enacted new crimes prohibiting smoking or vaping tobacco and other substances on state coastal beaches and in state parks, the two news organizations reported the news with inaccurate headlines that could influence some readers to unknowingly break the law.

“California governor OKs marijuana use at beaches, state parks,” Marijuana Business Daily reported.

“Californians can smoke and vape weed in parks, on beaches, decides gov,” read The Cannabist’s headline of an Associated Press story.

While the reach of the legislation Brown vetoed did extend to cannabis as well as tobacco (“lighted or heated tobacco or plant product intended for inhalation, whether natural or synthetic, in any manner or in any form”), the fact is that public marijuana consumption is not currently permitted in California.

Brown’s veto of the proposed bills does not change that.

California marijuana policy experts say that the false headlines in Marijuana Business Daily and in The Cannabist, which is owned by The Denver Post, could have dangerous consequences.

“The harm is that people will smoke or ingest cannabis in state beaches and parks, thinking that the governor gave the go-ahead to such public ingestions by vetoing those proposed bills,” Omar Figueroa, an attorney who handles cannabis cases, told Marijuana Moment in an interview. “Mistake of law is no defense.”

Brown, who vetoed similar legislation last year, said in a statement that the proposals were too broad. “If people can’t smoke on a deserted beach, where can they? There must be some limit to the coercive power of government.”

As it stands, with his veto, people can still smoke or vaporize tobacco on those shorefronts, subject to individual beach policies and local codes. But as was the case before, and despite the inaccurate headlines in some outlets, they still can’t consume cannabis there.

That said, marijuana reform advocates were nonetheless relieved that Brown vetoed the bills.

“If smoking were banned on beaches statewide, we would likely see increased enforcement, which would result in more cannabis consumers, including medical patients, cited for public consumption,” Ellen Komp of California NORML told Marijuana Moment.

Dale Gieringer, also of California NORML, agreed that the legislation would’ve put marijuana consumers at greater risk. “By flagging all smoking (and vaporization) as illegal, it would have increased the likelihood of citation for [cannabis] users, who can otherwise avoid detection by discreetly acting like tobacco smokers,” he said, adding that the fines they could face would also have increased.

Alex Pasquariello, editor of The Cannabist, declined to comment for this story, citing the fact that the organization’s post consisted of an Associated Press story. He did not reply to a follow-up question specifically about the headline his organization chose for the story or its image caption reading, “Californians will be allowed to smoke weed on beaches, due to a veto by Governor Jerry Brown of a bill that would have banned the behavior.”

Chris Walsh, the vice president for editorial & strategic development at Marijuana Business Daily, also said that his organization’s story was largely comprised of Associated Press content. But he did acknowledge that his team erred in framing the story.

“Our editorial team has taken another look at it and we agree that the headline and brief need to be reframed and clarified,” he said. “The piece itself was mostly from the Associated Press, but we are looking into it now to get some additional information so we can clarify as needed. We realize now that the headline could be interpreted differently than intended and we will modify accordingly.

This story was updated to include reaction from Marijuana Business Daily and California NORML.

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.

Tom Angell is the editor of Marijuana Moment. A 20-year veteran in the cannabis law reform movement, he covers the policy and politics of marijuana. Separately, he founded the nonprofit Marijuana Majority. Previously he reported for Marijuana.com and MassRoots, and handled media relations and campaigns for Law Enforcement Against Prohibition and Students for Sensible Drug Policy. (Organization citations are for identification only and do not constitute an endorsement or partnership.)

Business

Marijuana Legalization Increases Home Property Values, New Study Finds

Published

on

There are plenty of marijuana NIMBYs out there, but a new study found that cannabis legalization and the presence of dispensaries actually increases home property values.

The research from Clever Real Estate draws on data from Zillow, the U.S. Census and other sources. A main takeaway is that from 2017 to 2019, “home values increased $6,338 more in states where marijuana is legal in some form, compared to states that haven’t legalized marijuana.”

Part of the reason for the increased value is that legalizing and regulating cannabis means tax revenue for states. And that revenue translates into “new investment in things such as public services and infrastructure,” the company found, driving up property value.

For every $1 million in additional tax revenue from marijuana sales, home values increase by $470, according to the study.

Take Illinois as a case in point. Last year, the state sold about $670 million in cannabis and took in $205.4 million in tax revenue. And that revenue has gone towards a wide range of causes such as supporting organizations that work to decrease street violence. If successful, reducing violence in a given community would be one simple way to increase property value.

The Clever Real Estate study also found that states that legalize for adult use see the greatest gains in home value.

“Between April 2017 and April 2021, property values rose $17,113 more in states where recreational marijuana is legal, compared to states where marijuana is illegal or limited to medicinal use,” it said. And for the states that have enacted legalization but where sales have yet to start, “home values are predicted to increase by an average of $61,343.”

The presence of cannabis dispensaries nearby also seems to be correlated with an increase in home value.

“Home values increased $22,090 more in cities with recreational dispensaries, compared to home values in cities where recreational marijuana is legal but dispensaries are not available,” the study says. “With each new dispensary a city adds, property values increase by $519.”

“When we controlled for other factors, we found that home values in areas that have legalized recreational marijuana leapt by $17,113 more than places where marijuana is illegal or only allowed for medicinal use. Even when we limited the comparison to recreational versus medicinal legalization, this disparity persisted. Places that legalize recreational marijuana saw home values increase by $15,129 more than those that only legalized medicinal use.”

Last year, a separate analysis from economists at the University of Oklahoma similarly found that states that legalize marijuana actually see a boost in housing prices, with the effect most pronounced once nearby retail outlets open for business.

“This demonstrates that [it is] not simply the benefits of increased tax revenue, but also the existence of the dispensaries themselves, that is driving the price increases,” the researchers found. “The dispensaries act as commercial amenities that the public puts a premium on being nearby.”

Missouri Marijuana Activists File Legalization Initiatives For 2022 As Other Groups Prepare Separate Measures

Photo courtesy of WeedPornDaily.

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.
Continue Reading

Business

Missouri Governor Vetoes Medical Marijuana Tax Deduction Bill

Published

on

The measure, if enacted, would not have changed the federal 280E provision that remains in effect against cannabis businesses.

By Jason Hancock, Missouri Independent

Missouri Gov. Mike Parson (R) vetoed legislation Friday that would have lifted a prohibition on licensed medical marijuana companies deducting business expenses on their taxes.

In his letter vetoing the measure, Parson didn’t mention the medical marijuana provisions. He said his decision to reject the bill came down to a section lawmakers included that would have provided tax relief for businesses impacted by city-wide or county-wide public health restrictions.

Parson said those provisions would have created “significant unintended consequences that could greatly harm localities.”

In vetoing the bill, however, the medical marijuana provision was also struck down.

Missourians voted to legalize medical marijuana in 2018. But under federal law, growing, transporting or selling marijuana remains a crime.

Because of this dynamic, marijuana companies differ from every other legal business in the state because they can’t deduct ordinary and necessary business expenses on their tax returns.

While federal law remains unchanged, the legislation approved nearly unanimously in both the House and Senate would have changed that for state taxes.

David Smith, a certified public accountant from St. Louis County who works with numerous medical marijuana companies, said during a Senate hearing earlier this year that Missouri’s existing law could mean an effective tax rate for those businesses of 70 percent or higher.

“Some companies may even be subject to income taxes while operating at a loss,” Smith said.

Andrew Mullins, executive director of MoCannTrade, said it was “both common sense and smart public policy to put medical cannabis businesses on a level playing field with all others that pay state business taxes.”

“While disappointed in the veto, we remain encouraged by the overwhelming bipartisan support for a measure of basic tax fairness that received near-unanimous votes in both the state House and Senate,” Mullins said in a statement to The Independent. “As our state’s newest industry continues to create thousands of new jobs and generate tens of millions in new spending each month, we look forward to again passing this policy change and seeing it signed into law.”

Another casualty of the veto was a provision providing sales tax exemptions for certain cancer treatment devices. Parson wrote in his veto letter that he supports this tax deduction and hopes lawmakers will pass it again next year.

This story was first published by Missouri Independent.

Congressional Lawmakers Request Marijuana Policy Change Following Sha’Carri Richardson Suspension

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.
Continue Reading

Business

First Full-Service Marijuana Delivery App Launches On Apple Store Following Policy Change

Published

on

Apple has long restricted marijuana companies from conducting business on its app store. But following a recent policy change, the cannabis delivery service Eaze on Thursday announced that consumers can now shop and pay for marijuana products on its iPhone app for the first time.

This marks a “major milestone for the legal cannabis market and consumers,” Eaze said in a press release. “The Eaze app allows customers to complete all aspects of delivery seamlessly: registration, ID verification, product selection, payment, and receipt to the doorstep.”

Via Eaze.

Previously, people buying marijuana through the nation’s largest cannabis delivery service had to leave the prior version of the app and submit orders through a less-convenient mobile version of the company’s web page. The Apple policy change means the service is streamlined, and it represents a significant development in the evolving relationship between Big Tech and the marijuana industry.

“Eaze has always been about using the latest developments in technology to make shopping for legal cannabis more accessible,” CEO Rogelio Choy said. “It’s hard to overstate how important this is to our company and the industry. It’s deeply gratifying to launch the Apple Store’s first fully-functional cannabis delivery app, making it even easier for our two million registered customers to legally consume.”

Via Apple/Eaze.

In contrast to Apple, Google’s Android app hub updated its policy in 2019 to explicitly prohibit programs that connect users with cannabis, no matter whether it is legal in the jurisdiction where the user lives.

“We don’t allow apps that facilitate the sale of marijuana or marijuana products, regardless of legality,” it says, adding that some examples of violations would be “allowing users to order marijuana through an in-app shopping cart feature” or “assisting users in arranging delivery or pick up of marijuana.”

It also says that “facilitating the sale of products containing THC (Tetrahydrocannabinol), including products such as CBD oils containing THC” is against its policies.

Eaze Distinguished Engineer CJ Silverio said that the “flexibility and depth of our technical team allowed us to respond immediately to the changes in Apple’s policy, and create an app that offers our customers the ideal experience for cannabis delivery.”

Chris Vaughn, CEO of the California delivery service Emjay, previously told WeedWeek that he believes Apple’s decision was informed by the continuing legalization movement in states like New York, as well as Amazon’s recent announcement that it will no longer be drug testing workers for cannabis in addition to lobbying for a federal legalization bill. He added that he thinks Google will “follow quickly” to update its own policies.

The tech industry has had a strained relationship with the marijuana industry, even as a growing number of states have decided to legalize and regulate the sale of cannabis.

Facebook, which in 2019 showed off its artificial intelligence technology that’s capable of identifying images of marijuana, continues to prohibit the commercial advertising of cannabis products, regardless of the legality of the business under state law.

Noncommercial cannabis news sites such as Marijuana Moment and state regulatory bodies like the Massachusetts Cannabis Control Commission have also been caught up in the anti-marijuana policy despite the fact that they do not promote or sell cannabis products. In some cases, it appears these organizations have been hidden from appearing in search results—a practice known as “shadowbanning.”

Despite marijuana firms being banned from Google’s app market, some of the company’s top officials seem pretty bullish about loosening cannabis laws. Google co-founder Sergey Brin joked about supplying employees with joints at a post-election meeting in 2016.

“I was asking if we could serve joints outside on the patio, but apparently these things take a little while to take effect,” Brin said, referring to the implementation of California’s cannabis legalization measure. “It was a huge, huge disappointment. I’ve been bemoaning that all week, I’ll be honest with you.”

Congressional Black Caucus Members Ask Biden To Reverse Marijuana Deportation Cases

Photo courtesy of Martin Alonso.

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.
Continue Reading
Advertisement

Marijuana News In Your Inbox

Support Marijuana Moment

Marijuana News In Your Inbox

Marijuana Moment