[Canniseur: Bad players exist. Kushy Punch products will be a thing of the past as it seems certain their license will be rescinded. A bad business gamble would be one thing. But illegal products were made of impure cannabis that didn’t pass inspection for their legal product production. This put real lives in danger by selling contaminated products. It’s purely capitalist greed. This is exactly what we do not want in the marketplace.]
California state officials confiscated these Kushy Punch vape cartridges in their investigation of the company’s unlicensed Canoga Park facility. (Courtesy of CA Dept. of Consumer Affairs)
California has a troubling new wrinkle in the vaping story rocking the nation.
Prompted by a tip, investigators at the California Department of Consumer Affairs served a search warrant on Thursday, Oct. 3, at a light industrial space north of Los Angeles in the San Fernando Valley city of Canoga Park.
There they found an illegal cannabis product manufacturing operation apparently operated by Kushy Punch, a legal state-licensed company. Authorities seized a number of finished products, including gummies in Kushy Punch packaging and disposable vaporizers in Kushy Vape packaging.
In photos obtained by Leafly, the facility appeared to be performing petro-solvent extractions, where a technician concentrates the active ingredient in cannabis, THC. Petro-solvent extraction is legal with a permit in California. The extraction method can sometimes have the effect of concentrating pesticides along with the THC.
California officials documented slabs of raw THC oil fresh from the extractor. (Courtesy of CA Dept. of Consumer Affairs)
Edibles and vape cartridges seized
The facility appeared to be in the business of putting those extracts into professional-looking THC foods as well as disposable vape pen cartridges. Tall file cabinets held thousands of boxes of Kushy Vapes pens and Kushy Punch edibles packaged and ready for sale and consumption.
Read the rest of the story at Leafly:
Original Post: Leafly: California vape maker Kushy Punch caught making illegal products
[Canniseur: It’s harvest 2019. It’ll be several months before the metaphoric smoke clears and then we’ll see a clearer picture of the quality of the harvest. Just like in wine country, the growers are saying it’s an off the charts season. Every vintage is the best ever…until the critics smoke and offer their reviews. Until then, we’ll sample and enjoy this 2019 cannabis harvest ourselves.]
SACRAMENTO—This time of year, leading cannabis cultivator Ted Lidie, founder and CEO of Alien Labs, lies awake at midnight, obsessing.
Nearly three acres of exotic cannabis—pungent and green Melonade contrasting with purple rows of Sherbacio and Area #41—sit ripening in 100-gallon pots in Yolo County, CA. As a farmer, Lidie’s livelihood is subject to the whims of fate.
By dawn, Lidie is up, one of thousands of licensed California operators bringing in millions of pounds of full-season, outdoor cannabis from the fields.
California is the world’s largest legal cannabis market, and the US’ biggest source of illicit herb. Licensed farmers report a bountiful, beautiful 2019 harvest, with off-the-charts flavors and powerful effects. Legalization is allowing compliant brands to produce at large scale.
Here are Leafly’s Harvest Strains of 2019: combining field reporting with sales and search data, with a focus on commercial cultivars found in licensed stores in California and other legalization states.
Let’s crack this jar and peak inside…
MAC stands for Miracle Alien Cookies, and 2019 is officially The Year of the MAC.
“I said it last year: ‘It’s the year of the MAC,’” laughs Humboldt County, CA, grower Dan “Mr. D” Eagan, part of the Humboldt Sun Growers Guild. He’s standing on the sales floor of the world’s largest wholesale event, Hall of Flowers, on Sept. 17, in Santa Rosa, CA. “But now it’s officially the year of the MAC.”
Consumers have a bottomless desire for high-THC, sedative Cookies strains. So farms across California are harvesting thick, dense, pungent, frosty colas of the MAC cultivar this year.
MAC’s breeder Capulator took Alien Cookies and added more fuel and sour aromas from the strain Starfighter, and then some citrusy landrace Columbian.
MAC searches are surging on Leafly as the first cuts of the 2019 harvest come in, and we expect MAC to elevate seshes into the new year. Available in California from Lit House, Saucey, and many others.
For the entire article go to Leafly.
Original Post: Leafly: The Top 9 Cannabis Strains of the Fall 2019 Harvest Season
[Editor’s Note: When legislators attempt to run a restrictive market, people just go back to the illicit market. It’s human nature. Politicians need to get their act together on this. All they have to do is study how alcohol was re-legalized starting in 1933. Cannabis legalization is making all the same mistakes.]
The supply of legal cannabis in California promises to start drying up by spring, unless a quick fix becomes law. On Tuesday, Feb. 19, the California legislature published Senate Bill 67, to keep cannabis farms open as they await permanent licensing. Right now, thousands of farms operate under temporary licenses from the California Department of Food and Agriculture (CDFA). Those 6,924 temp licenses are expiring faster than the CDFA can issue permanent annual licenses. Those temp licenses also can’t be extended, unless existing law is tweaked.
It’s been 834 days since California voters approved cannabis legalization in November 2016. So far, the CDFA has issued just nine annual cannabis farm licenses. Another 39 annual farm licenses are pending payment of fees as high as $44,000 per license. Industry expert and cannabis attorney Omar Figueroa said that without legal farm licenses there is no legal industry. Meanwhile, the state’s illicit market continues to thrive. “If California runs out of regulated cannabis, consumers will turn to the unregulated market, making it even more difficult for the few remaining licensed cannabis businesses to eke out a living,” Figueroa said.
“The world’s largest legal cannabis industry is on the verge of collapse,” said Lauren Mendelsohn, an associate at Figueroa’s law offices. The author of SB 67 is Sen. Mike McGuire, who represents many cannabis farmers north of San Francisco.
Why A Fix Is Needed
There’s no shortage of unlicensed cannabis inside California, of course. It’s the legal cannabis system that may run dry. California’s legalization Proposition 64 mandates state licensing for the entire commercial cannabis supply chain. But bureaucratic red tape has proved thickest around farm licensing. Farms need local city and county approval, plus sign-offs from the Dept. of Fish & Wildlife and the California State Water Resources Control Board. The annual farm license application is 44 pages long, and application reviews can stretch for more than four months. The number one thing slowing down farm licensing is environmental review, said Richard Parrott, CDFA director, on Jan. 29. For example, cannabis is the only type of crop subject to the state’s toughest-in-class environmental law, the California Environmental Quality Act, or CEQA.
SB 67 buys state officials time to try to get more farms past CEQA review to earn “provisional” or “annual” licensing status. Leafly asked the CDFA to provide a statement on the pace of licensing, and asked if the CDFA is meeting internal goals. The CDFA stated they are working as fast as they can, and pointed to incomplete applications as an issue.
“The top priority of CDFA’s CalCannabis Cultivation Licensing Division is to process as quickly as possible the annual cannabis cultivation licensing applications,” stated Rebecca Foree, CDFA communications manager. “We are here to help applicants understand how to submit accurate and complete applications, which in turn will help speed up the application-review process.” Many thousands of submitted annual applications are incomplete, said consultant Jenn Price, director of state compliance at Golden State Government Relations. “The current state of affairs is worrisome to say the least,” she said. “It isn’t just an issue of whether or not CDFA can power through that many applications in the time allotted, it’s whether the applications are even eligible for approval.” A Feb. 20 memo from cannabis industry lobbyists at K Street Consulting states that the cannabis farm industry has failed to to do their homework and turn in completed applications on time. “The industry is not holding up their end of the bargain in submitting annual applications for their temporary licenses,” K Street stated. The CDFA may be open to a legal fix that buys both sides time, said Price. “In speaking to a lead scientist from CDFA last week about this looming issue he assured me that Governor Newsom is highly motivated to see the cannabis regulatory program to succeed. He also alluded to potential legislative fixes in the works,” she said.
License Expiration Rate Is Accelerating
If the cannabis industry is an airplane, a critical warning light is now flashing, and a switch needs to be flipped fast (SB 67), or the plane will run out of fuel (raw cannabis) and crash by summer, said Hezekiah Allen, former executive director of the California Grower’s Association. “SB 67 isn’t the solution to all of this but it is critical if the fledgling market is going to survive the next year.”
California is on pace to have maybe 144 fully licensed farms by July, when all temp licenses will have expired. By contrast, Californians consume an estimated 640 metric tons of cannabis per year. That’s about 1.4 million pounds. The rate of temporary license expiration is accelerating, and if it continues, the industry will collapse. Virtually all current legal farms won’t be able to grow it. Distributors won’t have anything to ship. Labs will have nothing to test. Store shelves will go bare, and customers will retreat to the illicit market. There are 6,924 temporary farm licensees on file with the CDFA. About 3,127 of them have submitted applications for annual licensing. Thirty-nine of those annual licenses are approved pending payment of fees. Nine farms have annual licenses.
Temporary licenses have started expiring. There are 198 temporary licenses expiring in the month of February. Among those temp licensees, four have submitted annuals. So 194 temp farm licenses will expire in February, no matter what.
- In March, 1,496 temporary farm licenses will expire, with no possibility of renewal or extension.
- In April, 4,001 temp licenses will expire.
- From May through July, all remaining temp licenses will expire.
At the CDFA’s current pace of 48 annuals approved since Jan. 1, regulators are on track to license maybe double that number (144 total) by July. An industry with more than 6,000 temp farm licenses will have contracted to one with maybe 144 permanent farm licenses.
Original Post: Leafly: Uh Oh, California Could Run Out of Legal Cannabis by Summer
[Editor’s Note: Your help is needed. Contact your Senator and let them know you support the STATES Act. Let’s make 2019 the cannabis breakthrough year.]
Legalization has hit a historic tipping point in Congress this year, says Neal Levine, a longtime political operative and head of the Cannabis Trade Federation, which is deploying a record number of lobbyists on Capitol Hill for the issue in 2019.
Levine’s been in the legalization game since 2002, and he said voter support can end prohibition this year through the STATES Act, which exempts legalization states from the 1972 Controlled Substances Act. While it’s cliché to say legalization is “always 10 years away,” Levine says it’s here. In the below Q&A with Leafly, Levine points to some key factors:
- 10 adult-use legalization states, plus Washington, DC
- 33 medical legalization states
- hundreds of thousands of American jobs on the line
- billions and billions of dollars in domestic economic impact
- polling at 61% for legalization, 75% for federal noninterference, 90% for medical
“We got an issue here that people are starting to care passionately about that can swing elections,” he tells Leafly.
Strap in. You’re riding with veteran activist and policy wonk turned industry lobbying powerhouse Levine, before his Friday appearance at the International Cannabis Business Conference in San Francisco. The ICBC is sponsored in part by Leafly.
Leafly: I’ll play devil’s advocate. It took 33 states to enact marijuana prohibition before the federal government followed in the ’30s. What makes you think we he have enough states to stop prohibition this year? There’s only nine legalization states.
Neal Levine: First off, prohibition ended in 10 states, plus the District as of today. But fortuitously it’s 33 states plus the District that have opted out in some form. And so prohibition has become untenable.
We have Canada up and roaring. We have Mexico about to set up legal markets. We got countries in South America, Europe, the Middle East, and now Asia all starting to opt out of prohibition. We are ceding what should be an American industry to international competition, and there’s no reason for it, outside of bad policy.
The states are now moving at lighting speed to opt out on their own. We have now reached that point and Congress must act. That’s why we’re focused on the federal level, and that’s why we’re so optimistic we can get this done.
And the reason we’re so optimistic, and we have bipartisan support, and the president said he’d sign [the STATES Act] into law—is because the polling is so over the top in favor. [Federal noninterference] is polling 10 points higher than legalization, and that’s the STATES Act — it’s polling in the mid ’70s, and that’s why I think we can get this done.
It is no coincidence that every single Democrat in the US Senate who is running for president or talking about running for president is putting their name on a cannabis bill.
Yes, but there are like a half-dozen bills in Congress, why is the STATES Act the one to back?
So Rep. Earl Bluemenaur (D-OR) has a whole suite of bills. … But the STATES Act is a bipartisan bill that the president said he would sign into law if it hits his desk. Based on that, that’s why we’re focused on the STATES Act.
Our intel is that the STATES Act is the one game-changing piece of legislation that we can pass into law in the next Congress.
Look the STATES Act is not the entire loaf—but it’s 60% to 70%. It fundamentally ends the conflict between federal and state law and it opens the door to have the conversation move from “Should we do this?” to “How should we do this?” The “How should we do this?” piece is full social equity.
There’s been a lot of talk about equity lately. That’s not in the STATES Act.
If you look at what’s going on in New York, New Jersey, Massachusetts, California—all the social equity pieces are happening locally. Denver is doing expungement. The state of Colorado is talking about stuff. So a lot of that stuff is happening at the state level, because that’s where the laws are. The STATES Act will speed up the pace of legalization in the states exponentially.
Can the STATES Act help with banking, or tax reform? The current banking situation redlines out anyone who can’t raise a million dollars from an angel investor, friend, or relative.
It immediately fixes [IRS tax penalty] 280E for every licensed legal state business. It doesn’t open up all banking, but it’s going to open up a lot commercial banking services from FDIC-insured banks.
Will Wells Fargo and B of A jump in? Probably not. But will community banks start offering real commercial banking services? Yes.
And it ends the threat of the DOJ coming in and kicking in our doors and seizing our assets for the crime of running a state-legal business.
That being said, what we’re trying to do here is end federal prohibition. The end goal is expungement for everybody with old crimes that would not have violated new law.
But it’s much harder to pass that initial, fundamental, game-changing piece of legislation than it is to amend the law later.
An example is the first law I quarterbacked while I was at Marijuana Policy Project was medical marijuana in Vermont in 2004. Vermont became the ninth MMJ state in 2004. That initial law was three plants, one mature, no industry, grow your own, three qualifying conditions: cancer, AIDS and MS. Vermont then became the first state legislature to end adult-use prohibition, and it was also, ironically, the ninth state to [end prohibition].
So you don’t always get the whole loaf at first.
How do Leafly readers make the most impact with their time and energy here? A lot of people feel powerless, or that this might be above their head.
They should call their members of Congress, call their senators, and they should tell them they support this. They should contact their local officials, their mayor, their county commissioners, their governors, and the state’s attorney general, and tell them, “I support this legislation. You should support this.”
And then folks can jump on our website, cannabistradefederation.com, and sign up for our list. We’ll be sending updates on ways they can help and be involved, and not just us. Sign up with our partners, the MPP, Drug Policy Alliance, any number of these groups we work in coalition with. They will get a steady stream of things that [they] can do to help us pass this.
What exactly is the six-month-old Cannabis Trade Federation? Your 20-member board includes Pax, Cannacraft, Dixie, Reef Dispensaries, and Tilt?
The Cannabis Trade Federation has the largest-staffed lobbying team the industry has ever seen. If you would have looked at all the other resources that are brought to the table up to this point combined—it’s not as large as what we’re bringing. This is a huge boulder we’re pushing up a steep hill in a short amount of time. We think it’s doable, but we have no illusions about how difficult this is going to be.
Right now we have about 50 companies, and every company has made a minimum financial commitment of a five-figure amount, and board members have made six-figure commitments.
What makes you the guy to lead this macro-group of lobbying groups?
I got into this from a social justice and social equity point of view 15, 16 years ago. So I’ve been here a minute.
When I started working on this issue, there was no real industry. You had California and what was going on there, but all the early medical marijuana laws were grown-your-own laws. The first one we did at the ballot was Arizona that was actually creating industry.
On top of the seven laws I helped to quarterback for MPP, there’s another half-dozen that I played assist role on.
And I led the team that did the decrim initiative in Massachusetts in 2008, and we got 65% of vote for that. At the same time, we did medical marijuana in Michigan and we got 62% of the vote for that. We did both of those at the same time, and that decrim initiative in 2008 is probably to date the purest social equity initiative that we’ve run as a movement, ever.
You went into the industry in 2009 in Colorado and ran communications, government affairs and philanthropy for LiveWell. What brought you back into the fray?
How this all started was the prohibitionists went and tried to put a constitutional amendment on the ballot here in Colorado that would have capped THC in products at 16%, which would have made 86% of everything on the shelf illegal overnight.
We formed a coalition to beat that back. Up until that point, the industry just slit each other’s throats, as opposed to work together. And there was a lot of skepticism … whether or not we could work together.
It worked really well. We were able to do a public education campaign and prevent them from gathering enough signatures to get it on the ballot. Sometimes the best way to win a fight is to avoid it. So that worked. We quickly raised a half-million dollars, we knocked it off the ballot, and we refunded half the money, and everyone was like, “That worked splendidly.”
But then at that point, the prohibitionists had qualified a local ballot initiative down in Pueblo County which would have banned the industry, including 1,200 jobs, and scholarship money, and a bunch of stuff. So the coalition expanded and helped defeat that on Election Day down in Pueblo.
But you didn’t stop there?
Now it’s Election Day 2016 and the Republicans have taken over the entire federal government. I went to DC, and what became very apparent to us is we needed some sort of entity from the industry or movement to be able to talk to the right in their language. Because they were talking about tax reform and we saw an opportunity for 280E.
And then obviously we had Sessions as the AG and we saw a great threat. We knew we needed to engage, and we needed to engage in a way where we were talking to the folks who were in power. So that was the formation of the New Federalism Fund, and this Colorado coalition expanded and became more of a national coalition.
We didn’t get a 280E fix into tax reform, then Sessions pulled the Cole memo, Sen. Gardner put a hold on all DOJ appointments, and that turned in to the STATES Act for the release of these DOJ appointments.
And here we are saying, “We need something that’s both sides of the aisle.” And a lot of our folks didn’t feel well served by their options and were talking about pulling together an actual association, and so that led to the natural evolution of what the Cannabis Trade Federation is.
And instead of forming an association, we’re forming a [tax-exempt] federation so we can share some of these resources that we are bringing and spread it around to all of the other entities, so all boats can hopefully rise.
So the Cannabis Trade Federation is much larger than any individual entity. It’s right in our logo what our DNA is about: professionalize, unify, diversify.
Catch Neal Levine at the International Cannabis Business Conference Friday, Feb. 8 — sponsored by Leafly
(Featured Image: AP Photo/ Evan Vucci)
Original Post: Leafly: Legalization Hits a Tipping Point in Congress This Year
[Editor’s Note: California’s tolerance for lead in vape carts is the lowest of all states, plus Canada. Zero tolerance for us all, please.]
Looks like it’s time to get the heavy metal out of vape carts.
Yes, the toxic, heavy metal “lead” (chemical symbol Pb) is showing up in lab tests of recreational cannabis products in California. Specifically, those disposable, pen-sized e-cigarette devices dubbed “vaporizer cartridges” or “vape carts.”
Vape carts are a surging, highly profitable new sector of legal cannabis. They let you inhale a cool, potent cannabis mist anywhere at any time without anyone noticing. Since January 1 in California, all legal cannabis vape carts are subject to stringent new testing for heavy metals, including lead. Labs are reporting that some percentage of vape carts are showing a concerning amount of lead.
That’s a problem, because the Centers for Disease Control has found that there is no safe level of exposure to lead. It’s a neurotoxin that can decrease IQ, as well as sicken and kill you. The US and other countries have spent decades throttling lead exposures—banning lead paint, leaded gasoline, and other sources.
“California’s high standards promise to help get the lead out of e-cigarettes, too, not just in California but worldwide.”
“Lead is a boogeyman metal,” says Peter Hackett, a vape hardware expert with the company AiR Vapor, which imports vaporizer cartridges to the US. “Baby boomers and their children are very aware of its dangers.”
At SC Labs, founder Josh Wurzer reports that about 0.5% of the vape cart batches he’s tested have failed for lead. “We’ve seen some issue,” he said. “Out of the thousands we’ve tested, we’ve had a very small portion over the limit.”
Other labs might have higher fail rates, Wurzer said. “I have heard anecdotally some people have had issues with weird, wonky metal results and a ton of failures.”
David Hua runs Meadow, a cannabis software company, and sits on the board of the California Cannabis Industry Association. He, too, is hearing reports about lead in carts.
“We’ve had a number of people that I’ve run into who are saying that there’s issues with cartridges passing — primarily in heavy metals,” Hua said.
Peter Hackett, with AiR Vapor, says there’s definitely a lead problem in vape carts. It’s a global problem, he says, and it starts at the metal foundries in China.
A spokesman for California’s regulators — the Bureau of Cannabis Control — reviewed Leafly’s findings and affirmed they are correct.
Cannabis samples await testing in a California lab in 2018. Statewide lab-testing for heavy metals commenced Jan. 1. (David Downs | Leafly)
Why Is There Lead In Carts?
The Chinese add lead to brass and copper to make the metals more moldable when shaping all types of electronics, Hackett explains.
Chinese foundries had been following the toughest rules in the world, which until now had been European laws capping lead in metal electronics at 4% lead, or 40,000 parts per million. That standard is now outdated.
California’s standard, as of Jan. 1, 2019, is 0.5 parts per million (ppm) lead in a cannabis product. That’s more than twice as strict as Washington’s limit of 1.2 ppm. Oregon does not ban heavy metals in cannabis products.
What’s In A Cartridge?
A vaporizer cartridge is a tiny tank that holds cannabis oil. Little holes inside the bottom of the tank allow cannabis oil to flow to a metal gap, where an electrical current from a battery flash-boils the oil, creating an inhaled aerosol.
Vape carts can be made of all plastic, or a mix of plastic, metal, and glass. Just because a cart contains 4% lead in its metal does not automatically mean the oil inside the tank is contaminated.
Wurzer suspects that cannabis oil—which is acidic—is leaching lead from some carts, causing the oil to fail tests. “Maybe some oil is picking up some of the lead and failing there,” Wurzer says. “We have tested actual empty cartridges and confirmed a number of ‘over the limit’ hits for lead.”
Variance in lab results is also a major challenge, Wurzer adds.
Hackett agrees. The best vape carts—so-called “CCELLs”—may pass or fail California testing requirements depending on which lab is doing the testing, and the methods the lab uses.
“The lab has to be very careful to make sure they’re not actually contaminating the concentrate with lead,” says Wurzer.
CCELL carts that are failing test at 0.6 or 0.7 ppm lead, Hackett said. That’s legal in Washington state, but not in California. The ones that are passing often do so barely—at 0.3 or 0.4 ppm lead. Hackett said even if a CCELL tests at 0.6 ppm, it doesn’t necessarily mean the carts have 0.6 ppm lead, due to the issue of variable test results from differing lab testing procedures.
CCELLs are the best carts China makes, Hackett says. Cheaper cartridges might have more lead, because more lead makes metal more moldable, thus shaving pennies off a cart’s production price per unit. At scale, that adds up to millions of dollars.
“Seventy percent-plus of the visible brands are using CCELL. This is something that’s widely affecting the industry,” says Hackett. “But it’s only getting popped in California,” because of the state’s strict testing requirements, which are the toughest in the nation.
The best way to ensure lead can’t leach is to prevent any lead from being in the cart in the first place.
“I don’t want any lead in anything,” Hackett says. “I don’t want 4%, not 0.5 ppm. I don’t want any in there.”
“If it’s two or three parts per million lead, I don’t want people smoking that,” says Wurzer. “I’m glad we’re catching it.”
Removing lead from the equation requires changes way up the production chain—which means revising the metal recipe at the Chinese foundries. But Chinese foundries are offline right now for Chinese New Year. Hackett has ordered lead-free carts, but they won’t hit the California market until the end of February. The increased per-unit cost of lead-free carts will not be felt by consumers, he says.
California’s high standards promise to help get the lead out of e-cigarettes, too, not just in California but worldwide. Canada is considering using California’s standards, according to Wurzer.
“As California goes, so goes the world,” Hackett says.
The Bottom Line For Consumers
- All vape carts made before Jan. 1, 2019 in California may or may not contain some lead in the oil—no one was testing for heavy metals. Retailers are allowed to sell all inventory manufactured in 2018 to consumers. All vape carts made for the licensed, adult-use market in California after Jan. 1, 2019 should be lab-tested and contain less than 0.5 ppm lead. Look for “manufactured on” dates on the label.
- If you want to inhale 100% lead-free vapor, you should abstain from using cartridges until carts with lead-free metal start hitting California shores later this winter.
- There is no heavy metals testing on the illicit market, which often sources cheaper carts from China.
Original Post: Leafly: California Cannabis Labs Are Finding Toxic Metal in Vape Carts