Pubdate: Tue, 11 Aug 2015
Source: Alaska Dispatch News (AK)
Copyright: 2015 Alaska Dispatch Publishing
Contact:  http://www.adn.com/
Details: http://www.mapinc.org/media/18
Note: Anchorage Daily News until July '14
Author: Laurel Andrews

BAN ON ALASKA POT CLUBS AMONG PROPOSED MARIJUANA CONTROL BOARD REGULATIONS

The Marijuana Control Board on Monday laid out its most comprehensive 
set of draft regulations yet for Alaska's fledgling cannabis 
industry, including a proposal that would ban marijuana social clubs, 
even as owners of existing clubs spoke out against any actions by the 
state that would shutter their doors.

The newly created board is holding a two-day meeting at the Atwood 
Building in downtown Anchorage, and heard Monday morning from 
business owners who had been sent cease-and-desist letters by the state.

"We're not criminal actors," Green Rush Events co-owner Corey Rorem 
told the board.

Five of the six businesses that were sent letters testified to a 
packed room that held about 70 audience members. Only representatives 
from the Alaska Cannabis Club did not attend.

The owners of two marijuana delivery businesses spoke at Monday's 
meeting; Discreet Deliveries owner Rocky Burns and Absolutely Chronic 
Delivery Co. owner Michael Crites each gave public testimony. In past 
weeks, both Crites' business and the Alaska Cannabis Club had been 
served search warrants by the Anchorage Police Department.

At the meeting, Burns told the board that his business had also been 
the target of police raids.

"We are under attack," Burns said.

The three marijuana social clubs that received letters -- Wasilla's 
Northern Heights, Pot Luck Events in Anchorage, and Kenai's Green 
Rush Events -- told the board that they shouldn't be lumped together 
with businesses selling pot. Northern Heights manager Sarah Backlin 
told the board that there "truly is a need" for social clubs in the 
community, and Green Rush Events' Rorem said that "cannabis-friendly 
clubs ... are a much needed asset."

Rorem said the state's argument comparing social clubs to bottle 
clubs, which are illegal under Alaska law, was not valid. He said he 
couldn't take the letter seriously.

The state has argued that social clubs are illegal for several 
reasons: The clubs lack marijuana business licenses, they fall under 
the definition of a public place in Alaska statute, and public 
consumption of marijuana is illegal. The state argues that the bottle 
club comparison is valid.

Board member Brandon Emmett asked Rorem what his understanding of a 
public place was, to which Rorem replied that the "intent" of 
Alaska's initiative was for marijuana to be "sheltered" from those 
who do not want to be exposed to it.

The definition of public, which includes businesses, has existed for 
years, Alcoholic Beverage Control Board director Cynthia Franklin said.

Later in the day, the board read through the next set of proposed 
regulations, including one that would specifically ban marijuana 
social clubs "unless authorized" under state statute.

But since there is no explicit wording for the social club licenses 
in the ballot initiative, the Legislature would need to add a license 
type to statute in order for such businesses to be authorized, as the 
board discussed in July.

During a mid-morning break, roughly a dozen people participated in a 
brief demonstration outside the Atwood Building, holding up signs 
that read "we need social clubs" and election signs from November 
that read "Vote Yes on 2," the ballot measure that legalized 
recreational marijuana in the state.

Pot Luck Events owner Theresa Collins said the demonstration was 
"about making sure the Marijuana Control Board is paying attention."

As the day wore on, the number of attendees dwindled. The board 
reviewed the first set of regulations, slowly working through the 
wording of local option law, before diving into a comprehensive 
overview of different types of marijuana businesses.

The 71-page document unveiled Monday covers a wide range of 
regulations, outlining proposed rules for cultivation and testing 
facilities, as well as possible fines for illegal sales.

Among the notable aspects of the proposed regulations:

Three types of cultivation licenses: standard, for a business 
operating with 500 or more square feet of marijuana plants; limited, 
for a business with less than 500 square feet of plants; and a broker 
license, which provides the "essential business functions" of a 
limited marijuana cultivation facility.

Each facility would need an inventory tracking system, and each plant 
that is 8 inches tall would need a tracking number.

Packaging would be required to be childproof, without any sort of 
images, including cartoon characters, that "target individuals under 
the age of 21." All packaging would be opaque, so the product would 
not be visible.

THC limits on edibles would be 50 milligrams per package and 5 
milligrams per serving.

Marijuana testing facilities would each need to employ a "scientific 
director" who has both academic and post-degree laboratory experience 
in chemical and biological sciences.

Marijuana social clubs would be prohibited.

The public can comment on the proposed regulations from Tuesday to 
Sept. 10. Instructions on submitting public comment are available on 
the Alcoholic Beverage Control Board's website.

Reactions to the regulations, and the meeting, were mixed.

"From my standpoint, there probably is a little overreach ... but 
less overreach than I expected," said Leif Abel, executive director 
of the Coalition for Responsible Cannabis Legislation. "Overall, I 
think it's really positive."

Abel said much of the conflict between businesses and state was due 
to the "societal transition" in Alaska in regard to the new industry.

"There's a lot of different approaches and strategies to approaching 
this new business," he said.

Abel, who also co-owns Greatland Ganja, said that "you will not see 
our business selling marijuana or opening a club until there's 
licensing by the state. That's the safe decision and that's (the 
coalition's) advice. Beyond that, I definitely see why the situation 
is the way that it is."

Attorney Ben Adams said the regulations appeared "designed to stifle" 
industry. Adams said banning social clubs would be "absolutely 
foolish" given Alaska's relatively small population and the potential 
impacts on tourists who may want someplace to smoke legally.

Adams noted that the formation of regulations is "an ongoing process, 
and I think a lot of the frustration of people, you know, who held 
protests and stuff, none of that's really called for. Put your energy 
into helping the board understand your point of view."

The board will meet again on Tuesday to discuss the set of 
regulations that it introduced in July.
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MAP posted-by: Jay Bergstrom