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Law Nevada


Well-Known Member
The sin that's not welcome in Sin City

You can gamble and drink all you want on the Las Vegas Strip. But you can't buy weed there -- even though it's legal in Nevada.
The state voted last fall to legalize recreational marijuana, which means it will eventually be sold in stores like alcohol. But it's not for sale among the blinding marquees and glittering casinos of the Strip. Not now, and maybe not ever.

"I don't think in the foreseeable future you are going to see the retail sales of any cannabis product on the Las Vegas Strip," said Chairman Steve Sisolak of the Clark County Commission.

Many things are legal in Nevada that are not legal elsewhere: gambling and strip clubs, relatively loose restrictions for alcohol and guns, even prostitution. But the pleasures of Sin City are governed by specific rules.

On what most people think of as the Strip, which is in Clark County but technically not the city of Las Vegas, it's legal to stroll by Caesars Palace or the Bellagio with an open beer or a cocktail. But strip clubs are not allowed on the Strip, even though they are advertised aggressively. Brothels are out in the desert, far from the city.

Related video: You won't find this vice on the Vegas Strip

Marijuana, the newest legal vice in this capital of vice, will also be kept separate, even when the state gets its system of recreational dispensaries set up.

The zoning rules for Clark County don't allow dispensaries anywhere near a casino. Clark County has at least a dozen dispensaries parallel to the Strip, but they're at least several blocks away and nowhere in sight.

In addition, the Nevada Gaming Control Board does not allow investors in the casino industry to invest in dispensaries, and vice versa.

"You can't have both," Sisolak said. "If you have gaming, you can't have marijuana. If you have marijuana, you can't have gaming."

The major Las Vegas casinos declined comment or did not return messages from CNNMoney. But Sisolak said he has spoken to casinos that "have questions as it relates to employees," and generally want to wait to see how legalization shakes out.

"Right now they've made it clear to me they don't like it on Las Vegas Boulevard," he said.

A.G. Burnett, chairman of the gaming board, said that after legalization his board informed the casino industry that marijuana "is still a federal crime, and gaming licensees should not be involved."

In Las Vegas proper, off the Strip, zoning rules are less restrictive.

The less traveled stretch to the north is home to the Stratosphere, a towering casino that looks like the Seattle Space Needle. Within its shadow are three medical dispensaries, including Las Vegas ReLeaf.

"Right now, the zoning regulations are very conservative as to where you are and are not able to have a dispensary," said Jacob Silverstein, the marketing manager there.

ReLeaf sells medical marijuana in many forms: sealed jars of buds, edibles, tinctures, oils, butters and bath salts, with plans to sell cannabis-infused coffee.

He doesn't foresee marijuana ever being sold in a casino unless the federal government decides to rescind its ban. That's unlikely under President Trump's newly appointed attorney general, Jeff Sessions.

The Obama administration mostly stayed out of the way of states that legalized pot, but Sessions is outspoken against it.

Meanwhile, Silverstein and ReLeaf co-founder Ed Bernstein hope to start selling recreational cannabis by the summer, depending on how long it takes for state regulators to establish a framework.

That's ambitious. Establishing a system for recreational sales could easily take more than a year from the time of the referendum in November 2016 to the day when adults without medical prescriptions will be able to buy marijuana legally in stores.

That's the estimate from John Kagia, an analyst for New Frontier, a finance company that analyzes legalization. New Frontier projects that the U.S. market for legal pot could surpass $20 billion by 2020 and total more than 280,000 jobs.

Nevada is one of eight states that have legalized recreational marijuana. It already had legal medical pot. Medical dispensaries started opening in 2015. The state now has 55, mostly in Las Vegas or surrounding Clark County.

Kagia believes the recreational pot industry in Nevada will track Colorado, which also had an established dispensary infrastructure for medical marijuana before recreational pot was legalized in 2012. It still took 14 months for the first recreational dispensaries to open.

Silverstein plans to expand his dispensary, and its cultivation facility on the other side of town, from 45 workers to 160. He said he expects the "wide-spread popularity" of legalization will triple or even quadruple his revenue.

But Sisolak doesn't see it spreading to the casinos on his side of the Strip, in Clark County.

"Right now, the attractions that are in Las Vegas are gaming and shopping and dining and a good time," he said.
Nevada’s legal marijuana industry faces banking problem

By Colton Lochhead and Nicole Raz
Las Vegas Review-Journal
Following in the footsteps of Colorado, Washington and other states which have legalized recreational marijuana, Nevada is bracing for an influx of cash — cash that will have no bank to call home.

Because federal law prohibits banks and credit unions from depositing marijuana money, the state’s legal marijuana industry has a banking problem.

Marijuana companies can’t get loans or have a company bank account. No banking means businesses can’t take debit or credit cards, forcing customers to pay in cash. And when it comes time to pay taxes and licensing fees, some businesses do so with bags of dollar bills in tow.


“The window is still shut to the industry,” Larry Doyle, co-owner of Euphoria Wellness, said. “There is no banking.”

For Euphoria Wellness, that window was open for a brief period of time, Doyle said.

The company had an account with Kirkwood Bank of Nevada and had been approved to process debit card transactions. But just weeks before their opening, Kirkwood closed their accounts, Doyle said.

Banks that choose to handle marijuana accounts face significantly higher fees from the Federal Reserve, could run into compliance issues and face the threat of having their assets frozen or seized for handling money from a product still considered illegal on a federal level.

“It runs the whole gamut,” Doyle said. “Banks don’t like risk, and I can understand where they’re coming from.”

Brian Maddox, director of Nevada operations with Clearinghouse Community Development Financial Institution, said the institution is staying away from pot. The institution receives federal funds and has many regulated lenders as investors, he said.

“We have not the ability to participate in any of this type of financing, nor any interest at this time,” Maddox said.

Terry Shirey, CEO of Nevada State Bank, said medical marijuana was already a sore spot for banking.

“Now that it will be more recreational use, we’ll see more of those businesses (that will need loans), and that’s definitely going to be more of a challenge,” Shirey said. “We stay away from it because it’s illegal at the federal level, even though it’s not enforced at this time. We have to abide by federal law." (cont)
But Sisolak doesn't see it spreading to the casinos on his side of the Strip, in Clark County.

"Right now, the attractions that are in Las Vegas are gaming and shopping and dining and a good time," he said.

Right, because weed is in direct conflict with having a good time. This guy. What a tool. :BangHead:

A little weed would class up most of the Vegas clientele, frankly. :twocents:
If you have a medical card they do honor medical cards from other states. I was happy when I heard that. I might want to go there on vacation.
Nevada Lawmaker Pushes to Ban Edibles
Legal marijuana’s eternal existential struggle will be with kids. The laudable goal of protecting our nation’s youth from drugs—including cannabis, which, even the most staunch advocate of legalization must admit, isn’t something adolescents should be using recreationally—is one of the chief arguments against ending cannabis prohibition, and is also frequently deployed whenever restrictions on legal marijuana products and marketing are suggested.

But how strict is too strict? This issue is playing out in Nevada now, where a ban on all candy-like edibles—gummies, chocolates, and any other recognizable treat with added sugar as well as cannabis—appears to have support in the state Legislature.

Senate Bill 344 would ban edible marijuana products with added sugar, with an exception for baked goods like cookies, brownies, and (presumably) baked alaska. It would ban outright the use of “cartoon characters, mascots, action figures, balloons, fruit or toys” on labeling, and it also outlaws cannabis products “modeled after a brand of products primarily consumed by children, such as gummy bears or Teddy Grahams,” according to the Reno-Gazette Journal.

Bill sponsor Sen. Patricia Farley of Las Vegas told the paper that these prohibitions are “only the start.” Her goal is to outlaw all cannabis products that include sugar—including all edibles—and she also wants to ban cannabis products that use “primary colors that might appeal to youth.”

Which, since both youth and adults tend to be drawn towards sweet-tasting products in bright packaging, would lead to a near-total revamp of the edibles industry in Nevada. (Bland, Soylent-like cannabis sludge, anyone?)

Nevada state lawmakers are scheduled to discuss and possibly amend the bill in an April 12 work session. Other possible future regulations include opaque packaging for all cannabis edibles, and a limit on the amount of THC allowed in each edible.

I'm not sure I would follow her to the extreme she wants, but I rather agree that edible medication should not look in any manner or form like candy, a sweet, or a treat. Its not necessary for medical effect and they are indeed attractive to children (some of whom also are eating the colorful laundry detergent packets so certainly they will pick up and eat anything that looks like candy if given a chance). I don't think the entire nation is every parents nursery, but I do think some restrictions in this area are reasonable.
Reno considers recreational marijuana shop moratorium

Reno may not see recreational pot on its shelves for a while.

The Reno City Council on Wednesday will be hearing a proposal for a temporary recreational marijuana establishments moratorium. The moratorium would afford the city time to familiarize itself with state regulations and time to formulate local zoning and licensing requirements, according to city Code Enforcement Manager Alex Woodley.

"From the city's perspective, we have a shared responsibility to err on the side of caution," Woodley said.

Woodley is recommending a six-month moratorium, though the council could revoke or extend the moratorium at any time. The city council is set to hear Woodley's proposal but will not take any action on the matter unless the council decides to do so on a later date.

Carson City, Douglas County and the city of Henderson already have passed similar moratoriums earlier this year. The moratoriums do not affect state law, which as of Jan. 1 allows any person 21 and over to purchase, cultivate, possess, or consume up to an ounce of recreational marijuana or an eighth-ounce of marijuana concentrate.

The Nevada Department of Taxation is aiming to have recreational marijuana on the shelves as part of an early start program beginning July 1, a program that would run under a set of temporary regulations established by the taxation department. By law, permanent regulations must be in place by Jan. 1, 2018.

Regardless if the city council decides to pursue a moratorium, the city will have to figure out details such as the minimum distance that they want recreational marijuana establishments to be from schools, whether they will establish a cap on the number of establishments in certain areas and additional what fees the city will charge them.

"Cities have the authority to oversee time, place and manner, unless the state law comes out and says that these places have to be in this exact zoning. We can be more strict, but we can't be in contradiction," Woodley said. (cont)
City of Reno backs off recreational marijuana moratorium

The Reno City Council shut down a proposal for a six-month moratorium on recreational marijuana establishments on Wednesday.

Several industry leaders representing local medical marijuana establishments appeared at the council meeting to talk council members down from pursuing a moratorium as the state approaches its own summer deadline to begin an early start recreational marijuana program.

"Neither the city of Sparks nor Washoe County have passed moratoriums, which means folks may head over to Sparks and (other dispensaries in) Washoe County for marijuana," said Joey Gilbert, a co-owner of Mynt Dispensary in downtown Reno.

The moratorium would have temporarily stayed any applications from existing medical marijuana dispensaries, the only ones that will be allowed to operate under the state's early start program, meaning no Reno dispensaries would be able to take part in the program.

The early start program, overseen by the Nevada Department of Taxation, is going to allow already licensed dispensaries to begin selling retail marijuana product to anyone aged 21 and over on July 1. (cont)
Nevada looks to be first state in nation to legalize cannabis social clubs, including on Vegas Strip

Tourists will soon be able to purchase up to an ounce of marijuana, but will have no place to use it

Published: Apr 27, 2017, 9:49 am • Updated: about 3 hours ago Add a Comment

By The Associated Press

LAS VEGAS — A bill allowing local governments to issue permits for marijuana social clubs has passed in the Nevada Senate.

The bill passed 12-9 Tuesday and next will be reviewed by the Assembly, the Las Vegas Review-Journal reported.

The bill was mainly drafted for the tourism industry in Las Vegas. Tourists do not have a safe place to use recreational marijuana, which is legal in Nevada, lawmakers said.

Tourists will soon be able to purchase up to an ounce of marijuana, but will have no place to use it. The law that took effect Jan. 1 makes it so people can only consume pot at a private residence.

Not having lounges would cause tourists to bring the drug into casino properties and “dump the responsibility onto the resort corridor,” said Andy Abboud, Las Vegas Sands Corp. senior vice president.

Pot lounges in Clark County would be located on the Las Vegas Strip, Abboud said.

Lawmakers in favor of the bill say the lounges will play an important part in Gov. Brian Sandoval’s two-year budget, which calls for about $70 million from a special marijuana sales tax.

“We’re trying to get $70 million in tax revenue from them, so let’s give them some place to use it,” State Sen. and bill sponsor Tick Segerblom said.

State Sen. Don Gustavson voted against the bill because he thinks those who voted for the marijuana ballot measure in November did so thinking that people would only be able to consume marijuana in their homes, he said.

Another worry for lawmakers is that President Donald Trump’s administration will bring federal drug enforcers into states that enact social clubs.

Lawmakers stopped a bill in Colorado earlier this month because of that concern. Denver voters did, however, approve a measure in November similar to the bill.

The Denver law allows for businesses to apply for marijuana consumption licenses.

Dan Rowland, spokesman for the Denver Department of Excise and Licenses, said the department is still crafting those regulations and hopes to start taking applications by the end of summer, with the first clubs opening possibly by the end of the year.

In Alaska, lawmakers delayed a law allowing consumption in dispensaries. Maine is considering a similar move.

No other states allowing recreational marijuana have approved public social clubs yet.

Now this is a state that recognizes the value of tax dollars and the need to see to their citizens AND tourists needs. They know how their bread is buttered.
Medical pot operations well-positioned for July 1 recreational weed launch

Licensed Nevada medical marijuana facilities in good standing with state agencies will be allowed to start selling recreational marijuana on July 1 if the industry’s new state regulating body has its way.

The proposal for temporary “early start” recreational licenses was presented Wednesday evening in front of a joint meeting of the Nevada Assembly and Senate committees on judiciary. The licenses, good for six months, will expire on Jan. 1, said Deonne Contine, director of the Nevada Department of Taxation — allowing the department to identify and solve problems with recreational weed before issuing more state certifications for the industry in 2018.

“Our goal is to get the people that are ready and in good standing going, regulate them and make sure we’re doing the right thing,” Contine said during the hearing in Carson City, which lasted about 100 minutes. “We plan to prudently go forward and figure out where we are once we get through the first wave of applications.”

Nevada medical marijuana facilities — including dispensaries and cultivation and production facilities — earn good standing by going more than six months without a suspension of their state-issued licenses under the Nevada Division of Public and Behavioral Health, medical weed’s current regulating body, Contine said. Nearly all of Nevada’s 190 current marijuana license holders meet that requirement.

Contine said she expects the Department of Taxation to finalize the proposed regulations by next Monday, and applications for the early start recreational program are due from medical weed license holders by May 31.

The regulations also allow for recreational marijuana facilities to transport their own products, similar to how the current medical marijuana industry is operated, despite language in the voter-approved Ballot Question 2 requiring wholesale liquor distributors to handle delivery of the plant. Contine cited a stipulation in the ballot question text allowing third parties to handle transporting weed only if there were not enough liquor distributors to make the industry functional. (cont)
Recreational marijuana sales approved to begin ahead of schedule

RENO, Nev. (KOLO) Recreational marijuana sales are less than two months away thanks to the Nevada Tax Commission. The commission voted Monday to adopt temporary regulations proposed by the Department of Taxation, clearing the way for medical marijuana establishments (MME) to apply for their recreational licences and begin selling to the general public July 1, 2017.

Nevadans voted to approve recreational marijuana in November. But currently it is only legal for anyone over 21 to possess an ounce or less of the drug. You can only buy it if you have a medical marijuana card.

"We turn away a ton of people every day," Joey Gilbert, director of governmental affairs for Mynt Cannabis Dispensary, said. "It's legal to possess it, but you can't buy it anywhere. There's an appetite in the city for it."

Monday's vote was the final state hurdle blocking recreational sales. The temporary regulations, known as "early start", allow currently-operating medical marijuana establishments in good standing to apply for recreational sale licenses. The licenses will be denied or revoked if the businesses have any violations or fail to pay taxes. But the early start will close the gap, which allows people to possess and smoke marijuana, but not purchase. It will also allow the state and local governments to see which regulations work and which don't, ahead of the January 1, 2018 deadline, when permanent regulations must be established.

"You have until the permanent [regulations] to make any adjustments," Gilbert said. "These are privilege licenses, so if we screw up the city can take them right away from us." (cont)

Wow, NV goes from vote to rules in 5-6 months and Maryland has been struggling with just setting up a med system for four years. These guys in NV certainly seem to understand money and tax revenue. LOL
Nevada Senate Dems want to tax weed at higher rate than governor does
Gov. Brian Sandoval proposed that the state impose a 10 percent sales tax. The Senate Democrats' measure would impose a 12 percent tax

By The Associated Press

CARSON CITY, Nev. — Democratic lawmakers on Tuesday advanced a marijuana sales tax measure that goes farther than the Republican governor’s plan.

Gov. Brian Sandoval proposed in January that the state impose a 10 percent sales tax on recreational pot and send the revenue, expected to total $70 million over two years, to public schools.

The Senate Democrats’ measure would impose a 12 percent sales tax on all marijuana, with 10 percent going toward public schools and 2 percent funding substance abuse programs.

The bill would also raise taxes on medical marijuana growing facilities to the same 15 percent rate planned for recreational pot growers.
I have a question or two about the Nevada medical program. I was wondering if they actually have a working program in place? Dispensaries ?

I may be relocating to Los Vegas in the next year or so and have heard little about Nevada MMJ and wanted to learn a bit about how it works there.

I know I would qualify for their program but don't know the state of their program or what hoops you need to jump through to get a card.

I have a question or two about the Nevada medical program. I was wondering if they actually have a working program in place? Dispensaries ?

I may be relocating to Los Vegas in the next year or so and have heard little about Nevada MMJ and wanted to learn a bit about how it works there.

I know I would qualify for their program but don't know the state of their program or what hoops you need to jump through to get a card.


NV local here

There are lots of great dispensaries in the Las Vegas area. You can use your mmj rec from any state here. HOWEVER, if you have a Nevada id and a out of state rec, most clubs will want to see a federal identification (passport) along with your rec. Let me know if you have any questions about the NV mmj proccess.
Nevada Retail Marijuana Sales Will Begin in July
Unlike some other recent legalization states, Nevada is moving to expedite--not obstruct--the move toward legal marijuana.

Nevada regulators have approved rules to allow for the expedited sales of cannabis to adults.

Members of the Nevada Tax Commission voted 6 to 1 on Monday to license select medical dispensaries to engage in retail sales of non-medical cannabis. Dispensaries in good standing with the state will be able to apply for “early start” licenses on May 15. Those facilities who are approved by state regulators will be able to engage in adult use marijuana sales on July 1.

A majority of voters decided last November in favor of The Regulation and Taxation of Marijuana Act, a voter-initiated measure regulating the commercial marijuana market. Provisions in the law eliminating criminal penalties regarding the personal possession of personal use quantities of cannabis took effect on January 1, 2017. Separate provisions in the measure regulating the commercial production and sales of cannabis were initially slated to take effect on January 1, 2018.

Regulators decision to expedite marijuana sales is in sharp contrast to the actions of lawmakers in several other states, including Maine and Massachusetts — both of which have taken steps to delay adult use marijuana sales by several months.
New court order could stall recreational marijuana sales in Nevada

Nevada may not get recreational marijuana sales in July as promised.

A group of alcohol distributors are demanding that they have exclusive rights to transport marijuana for the first 18 months of the industry. A district court judge in Carson City validated their concerns Tuesday evening, issuing an order that prevents the state from issuing any recreational marijuana distribution licenses before the matter is resolved.

Distribution licenses cost $15,000 under temporary regulations that go into effect with the state's early start program, expected to debut on July 1.

When Nevada voters legalized recreational marijuana in November, the ballot question said that only licensed wholesale alcohol distributors could be licensed to transport retail pot for the first year and a half.

The Department of Taxation, however, did a turnabout in March when it decided to open the application process up to medical marijuana businesses. The Department of Taxation said it had reached out to alcohol distributors in November and it cited "insufficient interest."

"While some were 'interested,' none followed up to indicate that they had a plan going forward to be ready to serve the market or that they had sorted out issues with respect to their federal liquor license," department officials wrote in a March letter.

About 13 of the interested alcohol distributors banded together, unsuccessfully trying to persuade the department to boot medical marijuana businesses from the running for the licenses.

"The process — it was squeezing them off to the side," said Sam McMullen, an attorney who has been advising the alcohol distributors.

McMullen alleged that state officials lied about the lack of interest. According to the order, nearly three dozen of nearly 70 alcohol distributors in the state wanted in. Some of them serve more than 200 clients daily.

The order also stated that three alcohol distributors had pending license applications, but a Department of Taxation official had the applications withdrawn from the initial process since their federal alcohol licenses could be compromised since marijuana still is federally illegal.

"We found a way that people could have the same license fees and a separate company," McMullen said. "If (the feds come after them), they're not going to just shoot at alcohol, they're going to shoot at the whole system."

Distributors also complained that the department never provided any notice that it was determining the number of distributors needed, nor did it hold any kind of public hearing on the matter.

The court order was the first sign of encouragement, McMullen said.

"The judge won't issue these unless the judge thinks there's a problem that has merit," McMullen said. "It's nice to have a judge tell you that you matter."

Marijuana industry leaders are not thrilled about the alcohol industry's move.

"I don’t believe they have a valid point. They’re still allowed to apply," said Tim Conder, CEO of Blackbird, earlier this month. "What they were hoping for was that the state was going to create a monopoly for them."

Conder's company, the only company that transports medical marijuana statewide currently, will be one of the alcohol distributors' main competitors.

It is unclear how the court order will affect other recreational marijuana license applications.

Department of Taxation officials were not immediately available for comment.
Down to the wire: July 1 launch of Nevada’s recreational pot sales hangs in the balance
“We have a ‘war room’ in Vegas where our staff are working long hours to move the applications through the review process,” said Department of Taxation spokeswoman Stephanie Klapstein

By Scott Sonner, The Associated Press

CARSON CITY, Nev. — Nevada’s marijuana regulators are working furiously to launch recreational sales on July 1, a fast-approaching deadline that could hinge on a court deciding whether the powerful liquor industry should be guaranteed a piece of the pot pie before tourists and residents can light up.

Lawyers for the liquor industry, marijuana retailers and the state are facing a judge Monday to argue whether Nevada has the authority to issue marijuana distribution licenses to anyone besides alcohol distributors.

The state says it has the power to temporarily license some existing medical marijuana cultivators and retailers to serve as their own middlemen. It wants to get a head-start on collecting millions of dollars in tax revenue devoted to education before permanent rules are required by Jan. 1, 2018.

The liquor lobby sued, saying the state didn’t give it the first shot at distribution licenses as called for in the ballot measure approved by voters in November, the only legal pot state with that arrangement.

Carson City District Judge James Wilson blocked all licensing until the matter is resolved. He refused the state’s request last week to dismiss the lawsuit.

Related stories
It’s not clear if Wilson will rule immediately after Monday’s hearing. But he told lawyers last week that it’s “an important issue that needs to be resolved quickly.”

In the meantime, state tax officials are doing everything they can to have the licenses ready to go as soon as they get the green light.

“We expect to issue licenses by July 1,” Department of Taxation spokeswoman Stephanie Klapstein told The Associated Press.

“We have a ‘war room’ in Vegas where our staff are working long hours to move the applications through the review process,” she said. “We, of course, won’t be issuing any distributor licenses to applicants that aren’t liquor wholesalers while the restraining order is in place.”

The law says alcohol distributors have exclusive rights to pot distribution licenses, unless the state determines there isn’t enough interest to meet anticipated demand.

The tax department said there was “insufficient interest” among the liquor lobby when it published the proposed regulations. It later said that determination would be made after all applications were processed.

Of the 93 applications for distribution licenses, five are from liquor wholesalers and 88 are from existing medical marijuana establishments, Klapstein said.

Kevin Benson, a lawyer representing the alcohol distributors, said the tax officials may be under the false impression that they need dozens of distributors for the maximum 132 recreational retail stores allowed in Nevada.

“The five (alcohol distributors) who applied could probably serve the whole state,” he said, estimating each serves an average of 200 alcohol retailers. “We don’t want this delayed. We just want it to be fair. Our feeling is we’d like to see this get started as soon as possible.”

Even if they miss the date by a little bit, NV has set up a rec MJ program in an order of magnitude less time than other states. Its not a matter of it being so hard, its a matter of $$ and will. In many states, the "take as many years as you want" in their government beurocracies should ashamed when they look at what NV has done. Hell, MD has had a MMJ bill in place for four years and still doesn't have one fucking dispensary open. All their excuses are just that, excuses. Just look what NV was able to do.
Recreational sales of marijuana in Nevada in limbo
By Scott Sonner | AP June 20 at 9:52 PM
CARSON CITY, Nev. — Recreational sales of marijuana in Nevada may not begin next month after all.

A judge added to the uncertainty Tuesday when he extended a temporary order barring the state from issuing pot distribution licenses to existing medical marijuana dispensaries so they can begin recreational sales July 1.

Carson City District Judge James Wilson said in a 11-page ruling that the ballot measure voters approved in November dictates that licensed alcohol wholesalers have the exclusive rights to pot distribution licenses for 18 months.

State regulators — who earlier indicated they would need at least some legal dispensaries to serve the dual role of retailer and distributor to meet the anticipated demand — said late Tuesday they remain determined to launch the first sales next month. But they admitted they aren’t sure how, or if, that will happen.

Wilson ruled the regulation the Nevada Tax Commission adopted in May that could have opened distribution up to others was invalid, and he granted a preliminary injunction scrapping the license application deadline that passed May 31.

He said the members of the Independent Alcohol Distributors of Nevada demonstrated they will suffer irreparable harm if he doesn’t block the state from licensing existing marijuana businesses as distributors.

Wilson said the Tax Commission engaged in “ad-hoc rulemaking” outside the legal process when it made a preliminary determination earlier this year that the liquor industry didn’t have enough interest in entering the pot business to ensure enough distributors would seek applications to meet the anticipated high demand. The commission cited alcohol industry concerns that their federal liquor licenses could be jeopardized given pot possession is still illegal under federal law.

“The department has not determined whether exclusively licensing liquor wholesalers as temporary marijuana distributors will result in an insufficient number of licenses,” Wilson wrote. He said there’s no evidence the department has determined what the likely demand for retail marijuana will be or how much demand any particular alcohol distributor licensee can handle.

It has been legal for adults to possess up to an ounce of marijuana in Nevada and consume it in private residences since the beginning of this year. But currently only medical dispensaries can sell it and only to people with medical cards.

Under the direction of Gov. Brian Sandoval, state tax officials have had a goal of launching an “early start” recreational program July 1 to get a jump on millions of dollars in tax revenue before a permanent regulatory system is required to be in place Jan. 1, 2018.

The judge’s order limiting licenses strictly to liquor wholesalers is the biggest roadblock they have faced yet because only five liquor wholesalers have applied for pot distribution licenses — compared with more than 80 applications from existing marijuana businesses — and none has met the legal requirements.

The Nevada Department of Taxation is reviewing the court’s decision with the attorney general’s office and “will explore all legal avenues to proceed with the program as provided in the regulations,” department spokeswoman Stephanie Klapstein said in a statement.

“We do not have any qualified liquor wholesale dealers to license as marijuana distributors at this time,” Klapstein said. She said the agency is notifying applicants about “what they need to do to make their applications complete so we can further process them.”

“We hope for a quick response from those who are seeking exclusivity in marijuana distribution,” she said. “We are committed to ensuring that the vote of the people to provide for the legal purchase of marijuana from a strictly regulated market will proceed on July 1.”

As many as 60 medical dispensaries certified as of May could be eligible for recreational sales beginning next month, but only if they can be served by licensed distributors.

“There’s no recreational marijuana program if there’s no distributors,” Nevada Department of Taxation Director Deonne Contine testified during a hearing Monday before Wilson. “We cannot have sales on July 1 — or anytime.”

Can you hear the pigs fighting at the feeding trough...oink, oink, oink.
Nevada emergency regulations to allow July 1 retail marijuana sales
News 3 has obtained a copy of Nevada’s Statement of Emergency and draft regulations to allow certain medical marijuana establishments to begin selling recreationally to adults 21 and older beginning on July 1.

The regulations detail limitations on the amount of THC that is allowed in edible products and sets requirements for child-proof packaging and labeling. The regulations also prohibit certain products that are “normally consumed by or found appealing to children, such as lollipops and gummy bears.”

“These emergency regulations are necessary to protect the public health and safety of our residents, children, and visitors as we transition into an adult-use marijuana market,” said the statement of emergency drafted by the Nevada Department of Taxation. “It is necessary to implement them on an emergency basis as the department will issue marijuana establishment licenses for those establishments to begin selling marijuana to adults as of July 1, 2017.”

The regulations are expected to be formally approved at the Tax Commission’s meeting on Monday, June 26.
By Scott Sonner | AP June 23 at 12:02 PM
RENO, Nev. — Nevada’s marijuana regulators may have found a way around a judge’s order that threatens to block the state’s first recreational pot sales scheduled to begin next month.

Gov. Brian Sandoval has signed onto an emergency regulation intended to allow recreational sales to begin July 1 at some existing medical dispensaries.

Nevada Department of Taxation spokeswoman Stephanie Klapstein says the agency plans to issue recreational retail licenses next week even if it doesn’t approve any distribution licenses caught up in a Carson City judge’s court order.

She told The Associated Press that under the emergency regulation, any legally licensed retailer that has inventory left over from the medical program would be allowed to sell the pot products for recreational use effective July 1.

That could include as many as 25 medical dispensaries in the Las Vegas-area and four in Reno.
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