D.C. sets firm Mar. 31 deadline for unlicensed shops to stop gifting weed
New ABCA published guidance announces that D.C. unlicensed cannabis businesses that applied for medical licenses must be fully operational by Mar. 31, 2025, including having licenses issued, selling to patients and sourcing products from licensed D.C. producers. Failure to meet the deadline will result in license denial and enforcement actions, including potential closures and product seizure. Even licensed businesses must adhere to sourcing regulations or risk losing their license.
D.C. 2024 total medical cannabis sales below last two years despite expansion of program
D.C.’s medical cannabis sales declined in 2024, totaling $51.8 million compared to $60 million in 2023 and $56.8 million in 2022. The opening of Maryland’s adult-use market significantly impacted D.C. sales, along with challenges in attracting new patients and competition from the unlicensed gifting market. Despite the number of dispensaries doubling in 2024, sales remained stagnant or lower than previous years. While new patient registrations grew slowly, they didn’t offset the overall decline. The latter half of 2024 saw average monthly sales of $4.3 million, suggesting a challenging market for D.C. dispensaries in 2025.
- No new stores opened according to the ABCA website. However, there have been four new pending dispensaries added to our members only map which tracks the latest license developments. One shop application was withdrawn
- Catch up on Wednesday’s ABC Board hearing and D.C.’s city council medical cannabis program hearing.
- ABC Board meeting Feb. 5 at 10:30 A.M., agenda, watch.
Maryland Cannabis Dispensary Workers Ratify Union Contract
Workers at two Health for Life cannabis dispensaries in Maryland have unanimously ratified their first union contract with UFCW Local 27. The contract includes guaranteed raises, better benefits, improved safety measures, and clearer job descriptions. UFCW Local 27, which represents nearly 17,000 workers in various industries, has been actively organizing cannabis workers in Maryland, winning six elections in 2024 alone, and is considered a leading force in the state’s cannabis unionization efforts.
- Maryland’s social equity cannabis office is hiring a program analyst.
Effort to establish THC impairment levels for Virginia worksites unsuccessful
Virginia Democrats blocked a Republican-backed effort, supported by Governor Youngkin, to create a THC impairment standard for manufacturing and utility workers. Republicans argued this would improve workplace safety and offer alternatives to zero-tolerance policies, citing studies linking THC use to increased accidents. Democrats countered that there’s no scientifically valid THC impairment standard and questioned why the administration didn’t pursue this through existing regulatory processes.
ICYMI: Pink Fox from Ziplocks and I-71 to D.C.’s licensed market, one new D.C. store opens
East Coast Roundup
Despite the growth of New York‘s cannabis industry, banking options remain scarce. The state’s Office of Cannabis Management launched a directory of financial institutions serving the industry, but the initial list includes only 10 banks and credit unions—less than 1.5% of those operating in the state.
Governor Shapiro is pushing Pennsylvania to legalize recreational marijuana, citing a $1.3 billion revenue opportunity. While the House is supportive, the Senate remains skeptical due to safety and testing concerns. Legalization’s future is uncertain.
Two Massachusetts cannabis businesses are scaling back operations, a sign of increasing pressure on the state’s still-developing industry. Industry experts warn that these cutbacks are likely just the beginning, with more closures expected in 2025.
Culture & More
Cannabis companies like Schwazze face a debt crisis due to maturing loans taken on for expansion. Unlike other industries, they can’t easily declare bankruptcy due to federal marijuana prohibition, making debt renegotiation harder.
A large study found that hospital and ER patients with cannabis use disorder had a nearly three times higher death rate over five years compared to those without it, including a 10 times higher suicide risk.
A large study using brain imaging found that both recent and lifetime heavy cannabis use are associated with reduced brain activity during working memory tasks in young adults.
Around the Country
Michigan’s governor proposed a 32% cannabis tax to fund infrastructure, but the industry fears it will hurt businesses and boost the black market.
Oregon’s recreational cannabis market saw a record harvest in 2024, but oversupply persists, driving prices down. Demand remains significantly lower than supply, a problem exacerbated by federal restrictions on interstate commerce.
Illinois cannabis sales surpassed $2 billion last year, according to the state’s Department of Revenue.
From the swamp
After more than three years in a Russian prison for possessing a small amount of medical cannabis, Pennsylvanian Marc Fogel was released Tuesday. His case drew comparisons to Brittney Griner’s, as Fogel was not included in earlier prisoner exchanges despite a similar offense.
FEATURED: President Trump’s pick to run the DEA, Terrance Cole has been a hard edge against cannabis. Some industry leaders are convinced he’ll follow Trump’s directive and others are worried that he may be yet another barrier to cannabis reform.
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