Legislative & OLCC Update:
April 4th was the first major legislative deadline for bills and we are very happy to report that all of our primary bills have survived.
HB 2515 (Red Tape Reduction Act), HB 2516 (Market Growth Bill), HB 2517 (Enterprise Zones), & SB 353 (Cannabis Omnibus Bill) have all been passed out of their legislative committees or referred to a committee that is not subject to regular deadlines.
Please Note: SB 353 is not “our” bill but does contain several of our legislative concepts that are very important.
We still have a lot of work to do to get them to the Governor’s desk and they are likely to be subject to more amendments but we are cautiously optimistic that we are on track to pass the majority of our legislative priorities.
HB 2505 Update (Sales Tax Increase): We are happy to report that at the moment every indication we have is that the bills to increase cannabis sales taxes are dead and not moving forward. Thank you to the over 6,250+ people who signed the petition against this harmful bill. We have to be stay vigilant as this language/concept could be added to other bills but as of yet we seen no sign that these bills are going to get resuscitated!
On April 4th the CIAO team participated in the OLCC Rules Advisory Committee meeting to discuss their proposed rules relating to CBN in the OLCC market. Specifically, the new rules would allow OLCC licensees to continue to make and sell cannabis products with CBN until January 2, 2025 (instead of July 1, 2023) so long as the CBN comes from a manufacturer that meets their new criteria (See Rules for details).
The purpose of the this extension is to allow CBN manufacturers the time to complete their GRAS self determinations. Like before the new rules allow the processing and sale of CBN products in perpetuity so long as the CBN is provided by someone with a GRAS self determination.
The hearing was fairly positive and we believe that the Commission will support the proposed changes. We support these changes and are grateful that the OLCC listened to the concerns of our members and the industry.