Pubdate: Wed, 14 Sep 2016
Source: Intelligencer, The (CN ON)
Copyright: 2016, The Belleville Intelligencer
Contact: http://www.intelligencer.ca/letters
Website: http://www.intelligencer.ca/
Details: http://www.mapinc.org/media/2332
Author: Emily Mountney-Lessard
Page: A1

LOCAL CHAMBERS WANT PIECE OF POT ACTION

Local chambers are urging the provincial government to begin a
consultative process aimed at developing a regulatory framework for
the distribution of medical marijuana.

Both the Belleville and District and the Quinte West chambers of
commerce are standing behind a letter, authored by Ontario Chamber of
Commerce (OCC) President and CEO Allan O'Dette and directed to Premier
Kathleen Wynne. on the issue of recreational marijuana.

In light of recent commitments from the federal government to legalize
marijuana, the OCC is calling on the province to immediately begin a
robust consultative process aimed at developing a regulatory framework
for the distribution of recreation marijuana.

The letter outlines key messages (see fact box on Page A4 for more
details) that the collective business community thinks the province
should consider.

According to the OCC, the government needs to ensure - if recreational
marijuana becomes available - that the underground economy is
eliminated, access points are limited and that communities have
decision-making power. Addiction prevention and treatment programs
need to be invested in and the government needs to ensure marijuana
products are subject to best-practice health regulation.

The chambers believe there is opportunity for the private sector to
benefit from the distribution of recreational marijuana.

Bill Saunders, CEO of the Belleville and District Chamber of Commerce,
said chamber does not support the premier's suggestion that
recreational marijuana retailing should be restricted to the
government's 650 LCBO outlets.

"The chamber network is not supporting the use of marijuana. This is a
governmental issue. We're just saying if you're going to move in that
direction, make sure there's an opportunity for the private sector to
participate," he said. To have the private sector ignored from the
potentially $1 billion industry, "just doesn't seem right," he said.

"I don't want to generalize too much but I could see where there might
be generational issues where people going into the LCBO, to buy wine
or whatever, might be offended by the fact that there's now marijuana
being dispensed, which has certain social stigmas associated with it"
he said.

"More importantly, we know the private sector can handles these types
of situations typically better than government agencies," he said.

Quinte West Chamber of Commerce manager Suzanne Andrews said, from her
perspective, the most important point in the letter is eliminating the
underground economy. An overly-regulated regime will only help to
sustain illegal channels for production and distribution.

She said she already hears about underground economies operating in
other trades - for example, construction.

"I'll hear from construction related businesses about how they're
doing everything legal so they have to comply with the workers'
compensation, the taxation and the workplace health and safety and all
the red tape and the regulation they have to go through to run their
business," she said. "Then they talk about other people who operate in
the underground economy who don't have safe worksites, don't charge
taxes. So I know that bothers a lot of legitimate businesses around
the fact the government has never really been able to get rid of that."

"If the government is going to do this and move forward with the
legalization, I think it's going to upset a lot of business people if
all that happens is they create this underground economy where they're
not getting the taxes, its not controlled, where the where the access
points are not safe."

Both Saunders and Andrews agree careful consideration needs to be
given to municipalities' ability to set bylaws or put procedures in
place about where these facilities will be able to operate in the
community - if they even want them there.

"It is the municipalities that pay the police costs and other services
that are going to be dealing with some of the outcomes of this
decision," said Andrews. "So we really feel that there's a
responsibility from the government to allow local municipalities to
have some say in what happens."

Neither Saunders or Andrews has received much feedback on recreational
marijuana from local businesses simply because the business community
is really waiting to see what happens next.

Andrews did say that the medical marijuana business Marijuana for
Trauma, specifically aimed at veterans, was supported by many
businesses when it opened in Trenton.

"There seems to be a consensus out there that if things are done
properly and in a controlled manor that this doesn't have to be a
negative impact on our community," she said.

The consultation process needs to include a broad group of
stakeholders including healthcare professionals and police agencies,
municipal representatives and business community representation.

"There's a lot of questions to be answered and I think the best
answers would come from a very broad and diverse group of people,"
said Saunders.

- ---------------------------------

[sidebar]

Five key messages

Below are summaries of five key messages that local chambers of
commerce are urging the province to consider when it comes to the
process of policy design for the distribution of recreational marijuana:

Eliminate the underground economy - Not all market-models are equally
effective in eliminating the underground economy and special attention
should be given to the unintended consequences of an overly regulated
regime. While not endorsing an entirely free-market model, we caution
Government against creating a system that is so onerous that it
effectively duplicates the existing ineffective regime thus sustaining
illegal channels for production and distribution.

Limit points of access - The objective of social responsibility is a
commitment to limited points of access for recreational marijuana that
is not synonymous with a government operated distribution system, A
licensing system, whereby a fixed number of access points are
auctioned out to both the public and private sectors-including unions-
may be a more efficient model of regulated delivery. Creating service
delivery competition, structured by best-practice social
responsibility standards, may create a virtuous 'race-to-the-top'
whereby potential delivery agents are incentivized to be innovative in
their application of social responsibility principles. Government may
want to consider piloting multiple procurement models.

Communities must be empowered - In addition to social responsibility,
transparent and representative decision-making should be a key
priority for government. With respect to both sites of production and
sites of distribution, municipalities should have a voice in the
approval process. In the case of a licensing model, for example,
licenses should not be issued for communities which have voted against
production or distribution facilities. As the province develops its
marijuana policy, local government should be engaged so as to design
an approvals process that is democratic.

Invest in addiction prevention and treatment - As the province
generates net revenues from the legalization of marijuana, the
entirety of these revenues should be invested in addiction prevention
and treatment, with a portion given to the municipal level of
government so as to ensure programming is tailored to local need. A
process should be established whereby the Government reports annually
to Ontario's Patient Ombudsman on use of marijuana revenue and the
impact of investment on addiction prevention and treatment.

Ensure products are subject to best-practice health regulation - The
province must work with the federal government to study the health
implications of recreational marijuana and develop evidence-based
health and safety regulations. Consumer safety, as part of a broader
concern for social responsibility, is paramount, especially in the
case of Canadian youth.
- ---
MAP posted-by: Matt