Tax and Regulate

Michigan Legalization Initiative Qualifies for Ballot

The Coalition to Regulate Marijuana Like Alcohol has cleared a major hurdle towards making marijuana legal in Michigan. This morning, the Board of State Canvassers approved the petition signatures, and the initiative to regulate marijuana will be on the ballot in November. If approved by voters, Michigan would become the first state in the Midwest with an adult-use cannabis law.

In addition to allowing adults age 21 and older to possess and cultivate limited amounts of marijuana, the initiative would: regulate marijuana businesses that cultivate, process, test, transport, and sell marijuana; legalize the cultivation of industrial hemp (used to make textiles, biodegradable plastics, food, construction materials, and fuel); protect consumers with proper testing and safety regulations for retail marijuana; impose a 10 percent excise tax on marijuana sold at the retail level on top of the state’s six percent sales tax; and give local governments the option of whether they want to allow marijuana businesses in their communities.

Organizations supporting the coalition include the Marijuana Policy Project, the National Cannabis Industry Association, the ACLU of Michigan, the Drug Policy Alliance, the National Patients Rights Association, Michigan NORML, and MILegalize.

The initiative is being certified at a time when national attention is focused on marijuana policy reform. Earlier this month, President Trump reiterated his position in favor of not interfering with state marijuana policies in a conversation with Sen. Cory Gardner and assured him that the Department of Justice would not target individuals and businesses that are in compliance with state marijuana laws.

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Prohibition

Colorado GOP Senate Leader Downplays Federal Interference Fears

[caption id="attachment_10341" align="alignright" width="180"] Colorado Sen. Jerry Sonnenberg[/caption]

In response to statements made by White House Press Secretary Sean Spicer last week, Colorado Senate President Pro Tem Jerry Sonnenberg said that he does not think the federal government will crack down the legal marijuana market in states where it is legal for adult consumption.

Denver Post reports:

“I’m not sure I’d put too much thought or too much credit into what he was saying,” Sonnenberg told reporters Monday morning. “This president has been all about federalism and giving the states more authority, this just flies in the face of that. So I would anticipate not much coming from that.”

Gov. John Hickenlooper downplayed the suggestion a day earlier in a “Meet the Press” interview, affirming that he didn’t believe the federal government would target states like Colorado that legalized weed.

Colorado U.S. Sen. Cory Gardner has suggested a change in federal policy toward states on marijuana is unlikely, but Sonnenberg’s comments are the most forceful Republican pushback against the White House on the issue since the announcement Thursday.

“Colorado has been the leader when it comes to marijuana and the regulation,” he said. “People look to us for leadership, and I don’t think our new president will turn his back on allowing states to do what they need to do, whether (marijuana) or anything else.”

MPP will continue to monitor the Dept. of Justice for more info on their intended policy going forward.

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Prohibition

Federal Marijuana Banking Bill Introduced In Senate

Earlier today, a bipartisan group of lawmakers introduced a bill in the Senate that would banks to do business with the marijuana industry in states where it is legal for medical purposes or adult use.

Politico reports:

 

Introduced by the Senate delegations from Oregon and Colorado, two of the first states to legalize recreational marijuana, the bill would prohibit the federal government from penalizing banks that work with marijuana businesses.

[caption id="attachment_8967" align="alignright" width="200"]Cory_Gardner,_Official_Portrait,_112th_Congress Sen. Cory Gardner[/caption]

Though four states and the District of Columbia have legalized marijuana, the drug is still illegal under federal law. That makes it difficult for businesses operating in those legalized states to access financial services through the banking industry. Instead, those companies have to run all-cash operations that the senators say invite crime.

The entire legal landscape that legal marijuana currently faces is “insane,” said GOP Sen. Cory Gardner of Colorado in an interview.

According to a press release from Drug Policy Alliance, "Reps. Ed Perlmutter (D-CO) and Denny Heck (D-WA) introduced the House version of this Senate bill earlier in the year, having also introduced a banking bill the previous session."

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