How Cannabis Business Operates in D.C. Today?

In the District of Columbia, you can legally consume marijuana but not buy it. You can buy medicinal marijuana, but you won't be able to buy recreational marijuana. This peculiar predicament stems from D.C.'s unusual legal status as a creation of the United States Constitution.

It's been almost four years since voters in Washington, D.C. approved Initiative 71, which allows anyone over the age of 21 to possess up to two ounces of marijuana. Residents of the district are allowed to consume and cultivate marijuana on their own land, as well as exchange cannabis as long as no money, commodities, or services are transferred.

The nation's capital now boasts a thriving market of cannabis entrepreneurs who negotiate a distinct ecology, unlike any other legal marijuana industry. Tourists, merchants, companies, and government personnel, on the other hand, may find that same market challenging. In this post, you'll discover how cannabis companies function in Washington, D.C. today.

Cannabis Businesses in D.C.

You can open a medicinal marijuana dispensary even if you can't build a retail store. You can, however, give or donate cannabis to someone if you don't get anything in return, such as money, products, or services. Shirts and other things have been sold in the District, with a "gift" of marijuana included in the transaction.

There are no shops in the area. Sales are held at certain locations. While giving marijuana to someone is lawful, selling other goods to fulfill that present might rapidly run afoul of the law.

Medical Cannabis Dispensaries in D.C.

The mayor requires most medicinal marijuana retailers to be registered. Furthermore, the DC health office oversees the authorization and licensing of medicinal marijuana, and only five shops are authorized inside the District.

If you're a cannabis business owner in the state, you must fulfill the state's basic qualifying criteria, which include having good character, being over 21, not having any felony convictions, and not being a physician, as outlined in 22 DCMR C section 5400.1.

Furthermore, there is a fee to apply for a legitimate medicinal cannabis company in DC. Application and permission costs are necessary, but there are extra payments for workers, managers, and business contacts. The yearly price for medicinal cannabis shops is $10,000, which includes a $5,000 application fee, a $200 annual fee for corporate partners, a $75 annual fee for workers, and a $150 annual fee for a manager's license.

As a cannabis company owner, you must additionally pay a stated transportation charge of roughly $25 for moving medicinal marijuana from the production facility to the distribution facilities. If you believe the difficulties facing cannabis companies in D.C. end there, you're mistaken.

The entire application procedure for a medical marijuana store may be difficult. The District of Columbia employs a point system to choose which licenses to grant. In their applications, applicants must address specific criteria, and points are awarded for each area covered.

How to Get Cannabis in D.C.

#1. Delivery

Your "gift" will be delivered to a place of your preference by delivery companies. The usual delivery time, in my experience, is between 1 and 2 hours, so be sure you'll be in one location for at least two hours if you choose delivery, or arrange an appointment the day before. They also can't deliver on government property.

#2. Pick Up

You can pick up your "gift" and meet the brand in a private interior place, such as a hotel room or flat, and it usually necessitates an appointment. Otherwise, it'll be similar to shopping in a store because you'll have the opportunity to ask questions and go over their variety of cannabis presents before deciding what you want.

It should be possible to obtain an appointment 1-2 hours ahead of time, but scheduling a schedule the day before is a smart idea, especially if you're short on time. During the continuing epidemic, most of them have been switched to Curbside Pick-Up.

#3. Meet Up

Meet-ups are similar to deliveries, except that the brand specifies the place, which is generally in front of a coffee shop. This is ideal for tourists who are inexperienced with the city, but you could also just ask a frequent Delivery brand to recommend a meeting location.

Most people will comply with such a request. Many entrepreneurs have lumped them in with Delivery since they provide the same functions. Facebook and other social media platforms are popular with companies.

Other Interesting Facts About Cannabis Dispensaries in D.C.

#1. Pop-Up Shops

According to data from the DC Police Department, the number of possession arrests has decreased significantly, from almost 1,500 in 2014 to only 16 in 2016. However, from a low of 99 in 2014, the number of public consumption arrests has risen to an average of 274 each year over the previous two years.

Marijuana users may be put in considerably more danger if they use it on federal territory, which accounts for 29 percent of DC's total landmass. Because the community has regularly voiced dissatisfaction with the quantity of public consumption, police feel they are compelled to intervene.

Meanwhile, authorities have raided pop-up gatherings, including one in June that resulted in the arrest of 30 persons and the seizure of almost $10,000 in marijuana. The raids are directed at users and sellers who are attempting to avoid the gray area of giving.

Since it is still prohibited, pubs and restaurants might face hefty fines or even closure if I-71 infractions occur on their premises, many companies are hesitant to organize parties or allow marijuana usage in their establishments.

Most companies, credit unions, and financial organizations will not accept "marijuana money" for fear of federal penalties or money laundering claims. As a result, merchants are forced to deal exclusively in cash, placing them at a higher risk of theft.

#2. Thriving Green Market

With over 300 marijuana-related companies, DC is the most robust pot market on the East Coast. Many larger firms, though, are keeping away due to marijuana's quasi-legal position in the area.

According to a 2014 assessment by District authorities, the city's cannabis market may be valued at up to $130 million per year, generating up to $20 million in income for the city. This is a small portion of the anticipated expansion of the total national sector, which, according to some projections, may reach $20 billion by 2022.

#3. The Problem of Synthetic Cannabis

While this synthetic marijuana drug known as "K2" is not a new issue in the region, its use and overdose instances have skyrocketed. The effects of K2 are similar to those of marijuana, although they are significantly greater. K2 is widely purchased at dealerships and corner stores, adding to the problem, and it has become a public health risk in places such as New York.

Thousands of medical calls for alleged K2 poisoning have been received in DC as a result of this situation. Officials, merchants, and citizens are uncertain how the K2 pandemic will influence the city's legal marijuana future, but the outbreak is hampering attempts to completely legalize marijuana usage.

#4. Women in the Cannabis Industry

Many of the merchants at these events in D.C. are owned by people of color, women, and veterans. This provides opportunities for some of Washington's most overlooked groups to work in high-paying occupations ranging from farmers to merchants, consultants, and delivery network operators.

The DC Council approved a bill in 2017 that gave minorities preferential treatment when it came to working at dispensaries and growers in the city. Despite efforts to provide minority cannabis businesses preferential treatment, many still suffer stigma: 86% jailed for cannabis are black.

Well-Known Cannabis Businesses in D.C.

Since we've already discussed the state of the cannabis business in D.C. and how entrepreneurs can apply for the legal marijuana business, let's talk about some of the most successful and influential cannabis entrepreneurs in D.C. and how they overcome all the challenges of the industry.

#.1 The Couple Behind “The Retailers”

The owners of this well-known company are Jeffrey Kahn and Stephanie Reifkind Kahn. The pair launched their dispensary in 2013, putting it one of the longest-running in DC, after years of service in healthcare and utilizing the rabbinate to assist families to deal with illness.

With $7.6 million in sales, it was also the city's highest-grossing in 2019. Josh works alongside his parents in the marijuana industry, and his brother, James, has served for other neighborhood pot businesses.

#2. The Tastemaker

Jamila Hogan is the owner of The Tastemaker. " Mills is to pot what a master some is to wine," a cannabis judge who anoints prize-winning "strain hunters" in international contests.

She may be DC's most eloquent kush critic, reviewing dispensary goods and locally produced buds on her site, Pass the Jay, based on her experience as a previous farmer. Mills also advises and instructs, teaching producers and consumers about the olfactory characteristics that distinguish marijuana strains and their benefits. She's known for her pitch: Better bud = more education + more discriminating customers.

Final Thoughts

Operating a cannabis business in D.C. is indeed challenging and may really take your time, effort, and resources. However, you’ll reap the benefits of the green rush in the state once you legally completed all the requirements for a cannabis dispensary.

Additionally, understanding how the cannabis industry works and what the law says about it will help you lessen the chances of getting involved in legal issues in D.C.

The Role of the Cannabis Industry in the New Normal

The world has been dealing with the pandemic for over a year now, causing serious health, social, and economic impacts. Even the United States experienced such negative effects. The good news is that we are now moving toward a more normal state.

Regardless, it is important to note that the “normal” that we are entering is not the normal that we used to know but a so-called new normal, referring to a post-pandemic world. In the new normal, everyone would need to observe the things that we have adapted to during the pandemic including following public health protocols.

For the cannabis community, one positive thing that can be observed during the pandemic is the series of legalizations across the US. A few states recently instated the full legalization of marijuana, while some legalized medical marijuana. Many states also listed cannabis as an essential service, leading to some adjusting their laws in light of the pandemic.

As the future of the cannabis industry is looking bright, it is important to note that lawmakers are looking at the marijuana market as a way to address some issues that we encountered during the pandemic.

Cannabis Industry Landscape

Before we talk about the potential of the cannabis industry in the new normal, let us first take a look at the current landscape. Currently, 38 out of 50 states have medical marijuana programs, 17 of which allow its recreational use. Many of the rest allow the use of CBD products within the legal threshold. Given this, there is no doubt that the industry will continue to expand. If in the year 2017, there were around 20,000 to 28,000 cannabis businesses in the US, it is reasonable to expect that this number has increased.

It is also important to note recent numbers, which show that the industry has a market value of $20.5 billion in 2020. Numbers have improved during the pandemic. According to studies, Americans spent a whopping $18.3 billion on legal marijuana when comparing April 2020 and April 2021 figures. This is a great improvement compared to past year-on-year figures at $10.7 billion, showing a $7.6 billion increase.

This can be an indication of consumers’ increased need to get the benefits that marijuana can offer including stress relief and relaxation, especially as stay-at-home orders have largely impacted the mental health of many individuals.

With such information, it is reasonable to expect that the cannabis industry will continue to go strong over the next years. In fact, projections values expect the sector to Studies expect this number to go up to $90.4 billion by 2026, showing a compound annual growth rate (CAGR) of 28%.

More states are also expected to legalize cannabis, what with the bills currently being reviewed in some. Connecticut, Delaware, and Rhode Island are looking over some House Bills that would legalize adult-use marijuana, while Alabama and North Carolina have respective Senate Bills aiming for medical marijuana legalization.

New Normal and the Cannabis Industry

The changes in the marijuana market during the public health crisis can have effects on the new normal. So, how can the cannabis industry contribute to the public and states during the new normal? Here are some of the most likely impacts:

·         State Income Generation

The pandemic has ground the economies of many states to a halt. Many non-essential establishments closed, resulting in the temporary unemployment of some but the more long-term lack of work for many.

While personal finances of individuals and the cash flow of businesses are affected, states also saw a decrease in revenues due to reduced and limited economic activity. In addition, state funds are also bleeding as their governments work to address the physical, economic, and mental effects of the pandemic.

The opening of various marijuana companies in states where it is legal is expected to generate income. The most important economic aspect of legalization is that it regulates the production, retail, and consumption of marijuana products. Taxation is a huge part of these reforms.

Lawmakers across the United States see the industry as a great way to generate revenues. Bills proposing the legalization of marijuana highlight the industry’s potential to raise millions of dollars in tax revenues. This is supported by projections.

In the District of Columbia, the potential recreational marijuana excise tax revenue for a minimum of three years is $26,605,996, $135,837,117 in Maryland, and $139,977,848 in Virginia. Outside of the DMV, some states have earned much more than the projected amount. Some states even surpassed the projections. For example, Colorado was projected to earn $230,239,177 but it earned $307,278,327 in the fiscal year of 2020.

Some states also have projected earnings of billions. It is notable that many of the states are yet to reach the potential amount within.

·         Repayment of State Debt

Aside from state funds bleeding dry because of the pandemic and its effects, the crisis also prompted many states to accumulate debt. In fact, one of the reasons that Illinois legalized the plant is to help pay off some of its debt. Given the tax revenues that can be generated by states with marijuana law reforms in place, legalization is a great move.

Colorado is one of the states that conducted a long-term study of the impact of legalization on the economy and tax revenues. The state began selling cannabis in 2014 and by 2021, the cumulative tax revenues it earned is a whopping $1.7 billion. Particularly, the state earned 4388 million in direct taxes which shows a 28% increase compared to last year.

The tremendous earnings states could potentially earn means that states can get additional money to pay for state debt they accumulated from different sources, particularly the pandemic.  

·         Job Creation in Legal States

Aside from the income, the industry can generate, a more impactful contribution it can offer is job creation. It is important to note that people lost jobs during the pandemic, which led to the decrease in people’s weaker purchasing power. This can affect states that rely on taxes generated by purchases.

While stimulus funds can help invigorate the economy, a more sustainable solution is to open up employment opportunities. The marijuana sector is one of the best job generators. In Colorado, the industry has created 18,000 direct jobs. These are openings in cannabis facilities such as cultivation sites, factories, dispensaries, and other similar establishments.

Aside from direct jobs, the state also saw a 23% increase in indirect employment. These are jobs that will enable the operation of cannabis businesses such as construction, legal services, and security.

Cannabis Activities That Could Continue in the New Normal

In light of the changes in the industry during the pandemic, some of them are bound to stick. The following are activities and policies that might continue after the pandemic.

·         Weed Delivery

Before the pandemic, many states have restricted laws on cannabis product deliveries, while others prohibit it entirely. The stay-at-home orders and other public health protocols have prompted some states to relax their policies.

An example of this is the District of Columbia, which expanded its delivery rules in light of the pandemic. Before, dispensaries were only allowed to deliver within the window of 11AM to 7PM. New rules were released to widen the window to 9AM to 9PM, giving consumers and patients more time to get their products. Dispensaries were also allowed to deploy three delivery vehicles instead of only one.

Hopefully, the more relaxed rules imposed by the district will remain even in the new normal.

·         Virtual Weed Events

Another important development during the crisis is the use of virtual platforms to hold cannabis events. In the past, on-site conferences and exhibitions were the most popular forms of holding events, especially as these are the most interactive mode. The pandemic has prompted organizers to go virtual to minimize the risks of exposure.

In the new normal, states will still need to imposed health and safety protocols, virtual events are here to stay. Even without protocols, organizers can still use such platforms to enable community members, industry leaders, and other participants all over the US and the globe to join these events even at the comfort of their own homes.

·         Recreational Use of Cannabis

One of the most interesting impacts of the pandemic is that more people found cannabis more appealing. It is known to dispel stress and anxiety, which prompted many to try infused products, contributing to the increase in sales that the market saw over the past months.

People who picked up the consumption of cannabis products could continue to use them for recreational purposes, joining the millions of Americans who are regular consumers of these products. This is most likely to happen to individuals living in states where weed is legal.

Conclusion

The cannabis industry has to offer the economy, health, and society as we enter the new normal. Currently, we can observe its effects in its contributions as early as now. The potential contributions of the sector can greatly increase tax revenues, job creation, and even spur a few positive changes in the cannabis community.

MMJ Dispensaries Open Up Shop in Virginia

As the state of Virginia is looking to legalize marijuana, more and more medical marijuana dispensaries are opening their doors in the region. In the past few weeks and months alone, three medical dispensaries have opened its doors to MMJ patients in Virginia in attempts to cater to the increased demands and needs of the people.

Among the first three companies to do so are Dharma Pharmaceuticals in Bristol, Green Leaf Medical in Richmond, and BEYOND/HELLO located in Manassas. Dharma Pharmaceuticals first opened its dispensary in October 2020, followed by Green Leaf Medical in the last week of November 2020.

The opening of all three dispensaries comes as Virginia changed its laws to decriminalize those who have access to CBD-dominant extract products. Under the reformed legislation which first occurred in 2015, patients whose physicians have recommended cannabis as a primary form of treatment or management tool may possess up to 90 days’ worth of products under their name.

Low-THC medical cannabis was allowed to be used for the treatment of those suffering from intractable epilepsy, provided these contained no more than five percent of THC. It was only in 2018 when marijuana products gained legality in the state, expanding the bill to include not just epilepsy patients, but all patients who could benefit from the drug.

This 2020, five years since the amended legislation have been put into place, the state of Virginia is proud to offer patients what they need. In a statement to NORML in October of this year, Jenn Michelle Padini, Development Director of NORML said, “Five long years after beginning the legislative process to bring medical cannabis to Virginians, we are thrilled to celebrate the grand opening of the Commonwealth’s first dispensary.”

“This day could not come soon enough for the thousands of Virginians who have been waiting patiently for in-state access to safe, regulated products. Virginia NORML has been on the front lines of this effort every step of the way, and I’m so proud of our members’ tireless work to make this a reality,” continued Padini.

As part of the medical cannabis dispensaries’ commitment to making their products more available and accessible to customers, these companies are providing their own home delivery operations. This allows MMJ patients to easily obtain medication designed to address their specific conditions.

Existing Weed Delivery Rules in Virginia

Medical marijuana dispensaries are only accessible to licensed patients recognized by the Virginia State Board of Pharmacy. For those living in the Commonwealth, the state law maintains that any individual diagnosed with any condition can obtain and qualify for medical cannabis treatment. However, this will only hold true provided the medical practitioner or the physician in question issues a certification that allows the patient to be treated using medical marijuana.

Given that the state has already decriminalized the drug to some degree, the new laws in place ensure that individuals in possession of small amounts of cannabis designed for personal consumption would not be subjected to having a criminal record nor prison time.

Deliveries have become a mainstay in the new norm, alongside curbside pickups and even telemedicine services. Most dispensaries in the state are now allowing product deliveries either on the same day or have it shipped, the latter of which takes a few days prior to receiving your package.

How Weed Delivery Changed the Game

The virus pandemic has greatly changed the way the cannabis industry conducted its business. From its in-person interactions with patients and users in the community to the services being afforded, it cannot be denied that the worldwide incident has impacted not only the business but the lives of many people around the globe.

Thankfully, alongside the digitization of services came decriminalization and the movement towards legalization. This entails that dispensaries are offering products and services in a more confident light. May it be displaying products clearly and properly, labeling items, and becoming more open to conversation, the changing tide is paving the way for a brighter future.

Technology has also adapted to the times, especially now that people are staying more indoors. Many established companies and startups alike have allowed their medical marijuana dispensaries to venture into cannabis delivery.

One of the ways that weed delivery changed the marijuana industry for the better is that it furthered the accessibility and convenience of cannabis products in the industry. Where once these were only accessible through physical stores, purchases can now be delivered at home with just the click of a button. At the very core, it preserves safe patient access across various levels, overcoming hurdles such as lack of transportation.

Besides offering hassle-free services, it also shows the dedication of those involved in the cannabis industry just how dedicated they are in extending and catering to the needs of their clients with delivery services and even curbside pick-up.

More than this, it provides an added element of safety and security, particularly to the more vulnerable patients and sectors in society such as the elderly, people with disabilities, and individuals who suffer from mobility restrictions. Leaving the products on your doorstep without the need for physical contact, it reduces the chances of getting the virus or from having to exert much effort. It also offers superior privacy, allowing clients to enjoy their cannabis products without the hullaballoo.

Getting Cannabis Products in Virginia

• Get Weed Delivery Services

There are many concerns about weed delivery, especially for those who have yet to experience the service themselves. Thankfully, what is great about these types of services is that cannabis products are thoroughly checked at every point, ensuring that strict controls are in place to maintain the quality of products and services.

With numerous weed delivery services popping up in Virginia alone, you can rest assured that you get safer and high-quality products, rather than being restricted solely to what the black market has to offer.

By utilizing weed delivery services for your needs, you are not only making the whole buying process much easier, but you are also streamlining the overall process. However, in choosing services providers and medical marijuana dispensaries to deliver your products, make sure to find one that does door-to-door delivery or those that same-day deliveries, especially for emergency situations. This ensures you that all of your needs are taken care of without having to leave the comforts of your own home.

• Consider Curbside Pick-Ups

If you are still iffy about totally switching to deliveries, we get you. To get on the middle ground, why not try a curbside pick-up service? This allows you to get the items you have ordered on the curbside rather than entering the store.

This option is a great compromise to see how well the dispensary works and if they stay on top of the numerous orders they receive from different types of customers. Plus, this also serves as a great way to minimize contact while still ensuring that you have received all of the necessary items under your list.

To do this, make sure to check if your preferred store offers curbside or scheduled pick-ups. Let them know about your orders beforehand so you can minimize your waiting time as well, particularly during a time when public health safety and security is at stake.

• Do Private Meet-Ups

Unfortunately, despite having delivery services available, there simply are just some products that are not eligible for delivery. Whatever these products might be, private meet-ups might be your best bet. This allows you to purchase your cannabis goods at a much closer location while having space and time mostly to yourself.

Not all dispensaries offer this kind of service, so make sure to see if your medical marijuana dispensary provides this type of service for their clients. Besides getting the order yourself and at a much faster pace, you will also have the opportunity to discuss more marijuana products with personnel who are knowledgeable about what they are selling.

• Visit In-Store

Many individuals are still scared to go outside and for good reason. There is, after all, still a pandemic happening. With the marijuana industry touted as one of the essential businesses that can operate, it can be surprising to see them operating.

Although it is not business as usual for these companies, they have certainly adapted to the needs and the call of the times. In-store visits are now more secure than ever, what with sanitation practices observed every so often in an hour.

What’s more, there are also enhanced safety protocols in place. From placing plastic or acrylic shields, encouraging the use of credit or debit cards for payments, to getting temperatures and observing contact tracing practices, in-store visits have now dramatically changed for the better.

Final Thoughts

The opening of new medical marijuana dispensaries in various parts of Virginia is only the start of fulfilling the needs of many MMJ patients in the Commonwealth. With dispensaries offering a more varied range of products and making these more accessible through weed delivery, patients in the state can now easily access their orders through a safer and more secure manner.