Pubdate: Thu, 19 Nov 2015
Source: Winnipeg Free Press (CN MB)
Copyright: 2015 Winnipeg Free Press
Contact: http://www.winnipegfreepress.com/opinion/send_a_letter
Website: http://www.winnipegfreepress.com/
Details: http://www.mapinc.org/media/502
Author: Bartley Kives
Page: A3

PLANNING FOR POT SALES UNDERWAY

Provincial Liquor and Gaming Authorities Look to Experience of States 
Where It's Legal

THE impending legalization of cannabis has sparked a formal effort in 
Manitoba to determine how marijuana ought to be regulated and sold.

In Monday's throne speech, the Selinger government said Manitoba's 
Liquor & Gaming Authority and Manitoba Liquor & Lotteries "will be 
well-positioned to regulate the sale and distribution of marijuana in 
a safe and socially responsible manner" once Justin Trudeau's 
Liberals make it legal to light up.

On Dec. 3, when the Trudeau government issues its own throne speech, 
Canada's provinces and territories expect to receive direction to 
help them plan for the not-so-distant future when consumers can buy a 
bag of weed on the up and up.

That planning effort is already underway in Manitoba, where the 
Liquor & Gaming Authority expects to serve as a marijuana regulator.

"We're waiting for Ottawa to make some decisions on what our 
foundation will be," said chief administrative officer Elizabeth Stephenson.

She said agencies such as her own can use lessons learned from the 
legalization of liquor and gambling to handle the transition of 
cannabis from an illicit substance to a controlled product.

"With both liquor and gambling, society evolved to a certain extent," 
she said. "This is going to be an interesting challenge."

Even before Ottawa changes legislation governing cannabis, Liquor & 
Gaming is looking at Colorado and Washington, the first two states to 
legalize cannabis, to see what regulatory practices it might want to 
adopt or avoid.

Manitoba Liquor & Lotteries is also looking at the U.S. experience - 
as well as that in Vancouver, where so-called medical dispensaries 
have proliferated - even though it's unclear how it will proceed. 
Liquor & Lotteries could serve as a cannabis distributor or a 
retailer, or perform both roles - either on its own or alongside 
private marijuana dispensaries.

"I don't know what the model will be, but intuitively, based on the 
fact we currently retail a controlled substance used only by adults, 
I think we're in a good position to be a lead on the discussion," 
Liquor & Lotteries CEO John Stinson said.

"Would it fit into our existing retail model? I'm not sure it would. 
I'm not sure my mom, who's 92, when she goes to the liquor store to 
purchase her bottle of Blue Nun, wants to be next to the guy buying 
Jamaican gold."

Stinson is only partly joking. While cannabis consumption is 
widespread, it's not as deeply woven into society as alcohol is. 
Hence the questions about the best retail model for cannabis, which 
is sold entirely through private-sector retailers in Colorado, 
Washington and Oregon.

"We haven't seen much of a government-run retail model anywhere in 
the U.S.," said Taylor West, deputy director of the Denver-based 
National Cannabis Industry Association.

"The thing to consider is whether a government-run store is going to 
be able to respond to market demands. If there isn't a wide variety 
of products, you could drive demand underground."

One of the chief aims of cannabis legalization is to eliminate a 
revenue stream for organized criminal gangs. Legalization is also 
expected to free up some police resources and provide governments 
with new tax revenue.

The profit motive alone, however, should not dictate Manitoba 
decisions about cannabis retailing, said Stinson, who points to U.S. 
research that suggests marijuana legalization has had some negative 
mental-health consequences for younger men.

"I think we need to approach this, at least initially, quite 
cautiously," he said, adding Liquor & Lotteries could also be tasked 
with handling marijuana-infused booze, cannabis vape cartridges or 
other products containing THC and cannabidiol, two of the active 
ingredients in marijuana.

The Canadian Taxpayers Federation, meanwhile, believes Manitoba 
should leave the sale of cannabis to the private sector.

"Governments aren't very good at selling liquor, so I'd be cautious 
about doubling down with another substance," said Prairie director 
Todd MacKay in Regina, where the Saskatchewan government plans to 
introduce liquor sales.

"Is it better to have a government employee selling it rather than a 
well-regulated private-sector retailer? I'd argue no."

While legislation making cannabis legal in Canada is coming, actual 
sales are not expected for another two years, said Stinson, adding 
this will give Ottawa and the provinces time to come up with 
regulations and sales practices.

"We're entering new territory," said Ron Lemieux, the Manitoba 
minister responsible for Liquor & Lotteries. "I won't give you any 
puns on how high I am on our throne speech."

In the western hemisphere, Uruguay appears to be the only 
jurisdiction where a government sells cannabis.
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MAP posted-by: Jay Bergstrom