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On January 15, 2021, the U.S. Department of Agriculture (the “USDA”) issued its final rule regulating the production of industrial hemp under the Agriculture Improvement Act of 2018. The final rule will become effective March 22, 2021. Here are some highlights: Harvest window. Producers now have 30 days, up from 15, after collecting samples to […]

Friends, The City and County of Denver has released draft legislation expected to be enacted in the second or third quarter of 2021 concerning delivery, hospitality, social equity, and a permanent moratorium on most new licenses. The legislation proposes a permanent moratorium on new medical stores and cultivation facilities and on all retail licenses until […]

The California cannabis industry had a big day at the voting booth in 2020. Over thirty municipalities within the State of California approved cannabis measures during this year’s elections. While a number of the ballots that passed are tax or advisory measures, regulatory regimes and licensing ordinances will commonly follow soon thereafter. Encouragingly, many local […]

Friends,  On election day, Oregon made history by passing Measure 109 – legalizing therapeutic use of psilocybin (magic mushrooms) and creating a regulatory system to allow private businesses to provide these services. See this article. We are honored that Sam Chapman, the campaign manager for Measure 109, will join us for a webinar on November 9, 2020 […]

Friends, Cannabis legalization and the continuing winddown of the war on drugs was perhaps the biggest winner, both in Colorado and nationally. National Results: Arizona approves adult use Mississippi approves medical use Montana approves adult use New Jersey approves adult use Oregon decriminalized certain hard drugs and legalized psilocybin therapy* South Dakota approves adult use […]

Friends, As you may know, along with our work in cannabis, McAllister Garfield has been pioneering legal strategies related to the decriminalization and recent efforts to promote state legalization of psychedelics, including psilocybin (magic mushrooms). See Sean’s recent article on this topic here. On election day, Oregon will vote on Measure 109, a ballot initiative that […]

Friends, The COVID-19 pandemic has led to serious government cutbacks at the state and local level due to a reduction in economic activity. Since states began instituting legalization regimes, this has led to a high tax burden on the industry. Given the recent rise of marijuana sales since March, businesses should assume that governments will […]

As part of the continuing resolution to temporarily fund the federal government, Congress extended the 2014 Farm Bill’s industrial hemp pilot program until September 30, 2021, which was set to expire at the end of this month. Several states continue to operate under the 2014 Farm Bill after opting out of the 2018 Farm Bill. […]

Friends, On October 9, 2020, the Colorado Marijuana Enforcement Division (the “MED”) adopted amended permanent rules that go into effect on January 1, 2021. The MED’s 2020 rulemaking was not an overhaul as it had been in 2019, but here are some highlights: Rule 1-105.B—All licensees must comply with all public health orders from any […]

Friends,Sean McAllister is well known as an accomplished business litigator in the cannabis and hempspace. Based on his expertise, the Colorado Bar Association has asked him to speak at theupcoming Litigation Summit. Sean’s accomplishments in litigation are many, but include thefollowing: Represented a cannabis company sued by a customer of who claimed the company should haveprotected […]

The Internal Revenue Service (“IRS”) last Thursday released updated guidance on a stand-alone web page for the state-legal marijuana industry. The new guidance covers the rules for IRC Section 280E, income reporting, reporting case transactions over $10,000, cash payment options, estimating tax payments, and keeping financial records. “A key component in promoting the highest degree […]

Even in good times, operating a business can feel like drinking from a fire hose. The hose gets even bigger when a business becomes distressed. There are no quick fixes, but here are the top five concerns for distressed businesses: Assess Your Financial Position and Focus on Cash Review your cash flow, cash reserves, and […]