2016-03-18

On March 1st, 2016 the Oregon Health Authority (OHA) rolled out the newest version of permanent rules for Division 8 Medical Marijuana. These rules pertain to medical cannabis dispensaries, growers, and processors. Simultaneous to the rules being released, an Effective Dates memo containing a chart called the Medical Marijuana Changes Grid was also published on the OHA’s website, that was to change the effective dates within the newly published permanent rules. The memo also changes the effective dates for the temporary rules of Division 7 Medical Marijuana, which pertains to the labeling of cannabis and cannabis products, the THC concentration limits for those items, and the testing requirements. The combination of the permanent rules being released at the same time as the effective dates memo caused wide spread confusion in the Oregon cannabis industry.

On March 15 2016, the Oregon Cannabis Association (OCA) hosted an event with an OHA Q&A session, attended by over 500 cannabis industry attendees. The goal being to help resolve the confusion in regard to growing and processing, enforcement timelines, and testing rules. The event began with a legislative update from Representative Ann Lininger, Co-Chair of Oregon Legislature’s Joint Committee on Marijuana Legalization.

The hostess of the event, Amy Margolis, asked a series of questions to Andre Ourso, the Director of the Oregon Medical Marijuana Program (OMMP). Jeremy Sackett from Cascadia Labs followed to further discuss testing rules.

The new rules state that medical processing of cannabis into an extract may only be done with an OHA issued license. However, the licensing body isn’t accepting applications until April 1st, 2016. The timeline on the issuance of a cannabis extraction licenses is still unclear. Most in the cannabis industry are aware that a new license takes a significant amount of time to issue, and in this case, there is only speculation on how long until licenses are in-hand.

According to the Division 8 Medical Marijuana permanent rules, “cannabinoid extracts” are “a substance obtained by separating cannabinoids from marijuana by: (a) A chemical extraction process using a hydrocarbon-based solvent, such as butane, hexane or propane; (b) A chemical extraction process using the hydrocarbon-based solvent carbon dioxide, if the process uses high heat or pressure.” Therefore, these new rules regulate the process and consumption of BHO, PHO, HHO, and CO2 extracts.

Extracts should not be confused with “cannabinoid concentrates” which according to the OHA website, are “a substance obtained by separating cannabinoids from marijuana by: (a) A mechanical extraction process; (b) A chemical extraction process using a nonhydrocarbon-based solvent, such as vegetable glycerin, vegetable oils, animal fats, isopropyl alcohol or ethanol; (c) A chemical extraction process using the hydrocarbon-based solvent carbon dioxide, provided that the process does not involve the use of high heat or pressure; or (d) Any other process authorized in these rules.” Concentrates are items such as ice-water hash, tinctures, Rick Simpson Oil (RSO), Full Extract Cannabis Oil (FECO), and other items that do not include “-tane” solvents combined with high heat and pressure. These products are not affected by the new rules.

Making homemade extracts is a Class B felony in Oregon. However, the definition of “medical use of marijuana” from the OHA includes medical cannabis extract processing. The definition of “process” also includes cannabis extraction under the OHA’s own rule.

The new rules also state that medical dispensaries may no longer sell cannabis items that are not processed by someone who holds an OHA license to process extracts. This is a key take-away from the memo on enforcement timelines, which allows a stay of enforcement for edibles and concentrates until October 2016, but does not allow the same stay of enforcement for extracts.

According to the OCA’s recent event summary, the “Oregon Department of Justice and OHA are interpreting a new law intended to curb home production of extracts to mean that all unlicensed extraction is a Class B Felony, and that growers and dispensaries doing business with unlicensed extractors are potentially aiding and abetting this criminal activity and may be subject to criminal or civil penalties, including loss of license. As a result of this news, we already have reports from many Oregon businesses that are ceasing production and laying off employees. Hundreds of jobs and the viability of dozens of businesses are at stake. OMMP patients may soon face shortages of the products they depend upon.”

The blog also has links to the full video of the event featuring Mr. Ourso where grower concerns are discussed and Mr. Sackett’s explains the testing rules, provided by The Daily Leaf.

Many dispensaries, if not all, have stopped selling cannabis extracts to patients since Mr. Ourso stated they were doing so “at their own risk”. This situation has therefore created a lack of safe access to medical grade cannabis. Should a dispensary continue to sell these products, they face potential fines and license revocation.

Cannabis industry organizations and associations like the OCA are poised to share updated information about the new rules. There are multiple efforts taking place right now within the community to challenge these rule changes.

The post Fire Friday: Oregon Health Authority Declares New Rules for Cannabis Extracts appeared first on Dope Magazine.

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