FL: Medical Marijuana Market Taking Shape

Ron Strider

Well-Known Member
Since medical marijuana officially became legal in Florida on Jan. 3, more than 650 patients have visited the Compassionate Cannabis Clinic in Venice to see if the treatment is right for them.

Many of the patients are extremely sick, with conditions such as cancer, Parkinson's disease and HIV. Roughly 20 percent are disabled veterans. Their average age is 54. And they've been getting relief.

As Florida lawmakers contemplate revisiting the medical marijuana issue in a special legislative session and revive a failed effort to establish regulatory guidelines for the voter-approved industry, a system for accessing the treatment already is taking shape.

A number of growers – licensed under an earlier program that authorized low-potency marijuana for seizure patients – already are harvesting and distributing full-strength batches of the drug, dispensaries are popping up across the state, home delivery is in full swing and patients are receiving treatments.

"We do have a functioning program," said Compassionate Cannabis Clinic Executive Director Patrick DeLuca, adding: "Every day we're hearing from patients who are getting their medicine and the response we're hearing from patients is incredible."

But there are concerns about how the system is working, from the limited number of companies licensed to participate to the fact that patients can't buy smokeable forms of marijuana. Any consensus bill adopted by the Legislature almost certainly won't allow smoking and likely won't significantly overhaul the licensing system.

If the Legislature fails to act, the Florida Department of Health will establish rules for the industry later this summer. The department is likely to adopt many of the same restrictions that are opposed by marijuana activists and industry insiders.

That has DeLuca and others predicting legal challenges, which means the final framework for Florida's medical marijuana system ultimately could be shaped by a series of court decisions, not necessarily what happens in Tallahassee.

"The only hope we've got" is the courts, said Bob Jordan, a marijuana activist from Parrish who has been lobbying the Legislature for years. "It's going to be good for the lawyers."

Meanwhile, one of the largest medical marijuana markets in the world is slowing taking root.

Busy clinic

The vanguard of Florida's medical marijuana industry is being led by two Ohio transplants.

DeLuca is a former radio broadcaster from Akron who often used his time on the airwaves to advocate for medical marijuana. He partnered with Dr. Barry Gordon, an Ohio State University graduate and former emergency room physician, and opened the Compassionate Cannabis Clinic earlier this year.

Last week, the clinic saw 76 patients over four days.

"We're booked pretty solid and we have been," DeLuca said. "There's definitely a demand. There's definitely a need."

DeLuca believes the clinic is the largest "brick and mortar" operation in Florida focused exclusively on medical marijuana. After five months of operation, DeLuca and Gordon have a good understanding of how the medical marijuana system is unfolding in Florida. It's been ramping up quickly.

When Florida's medical marijuana constitutional amendment – approved last year by 71.3 percent of voters – went into effect on Jan. 3, there were roughly 9,000 people registered to receive treatments under earlier marijuana programs approved for seizure victims and the terminally ill.

The state now has more than 22,000 patients in its medical marijuana registry.

Florida currently requires that patients have a 90-day relationship with their doctor before receiving medical marijuana. That means patients that the Compassionate Cannabis Clinic first saw on Jan. 3 began receiving the drug in April.

The Department of Health has been issuing medical marijuana ID cards to these patients, who must send a $75 check and 2-by-2-inch passport photo.

DeLuca recently saw one of the ID cards for the first time.

The entire system is "a little backwards and the kinks haven't been ironed out yet," DeLuca said, but so far patients are just happy to be accessing the treatment.

Home delivery of the drug has been important because few dispensaries have opened. Sarasota and Manatee counties do not have any dispensaries yet. Some local communities have enacted temporary moratoriums on opening dispensaries in order to establish zoning regulations.

Right now, access to the drug is limited because the industry is in its infancy. But even when the industry starts to grow, many believe the current system – which awards a limited number of business licenses – will make the treatment harder to access and less affordable.

Golden tickets

Todd Beckwith has been closely watching the legislative debate over medical marijuana in Florida.

Beckwith is the marketing director for AltMed, a Sarasota-based medical marijuana company that operates mostly in Arizona.

Florida currently restricts marijuana business licenses to seven companies.

"They've turned in the golden tickets; they're in it to make money, not serve patients," Beckwith said. "Our belief is if you serve patients the money will follow."

Without more companies involved, Beckwith and others believe prices will be exorbitant and the product selection will be limited. Florida's current licensing system also does not seek out "the most qualified" companies, Beckwith noted, instead rewarding Florida-based nurseries who have been in business for decades.

If lawmakers can reach a deal on marijuana legislation, it likely will expand the number of companies that receive licenses. That was the main sticking point between the House and the Senate, but they appeared to be close to a deal when time ran out on the 60-day legislative session.

The Senate has been pushing for more licenses, using a proposed cap on the number of dispensaries each license-holder can operate as leverage. As the House has increased the cap on licenses, the Senate increased the cap on dispensaries.

The last offer from the House was 10 new licenses initially and more over time as the patient population grows. At that number, the Senate proposed each license holder be allowed to operate five dispensaries. The House balked.

Legislative leaders have been working behind the scenes to flesh out the framework of a deal. If they can reach a compromise, medical marijuana is likely to be added to a list of topics that will be considered in a special session that was called by Gov. Rick Scott last week to hash out budget differences. Lawmakers are reconvening in Tallahassee from Wednesday through Friday.

But some lawmakers worry that any deal they reach still won't go far enough on the licensing issue.

State Rep. Joe Gruters, R-Sarasota, voted against the House marijuana bill because he thought it was too restrictive. He expects to vote no again unless lawmakers open the market significantly. He would like to see separate licenses for growers, dispensaries and other marijuana businesses, a horizontally integrated market instead of a vertically integrated one.

Gruters said the House bill did not follow the "will of the voters."

"I think the voters were clear and we need to provide a safe, affordable product," he said. "I hope they do the right thing and expand the number of licenses and get rid of the vertical integration model and have market forces take over, which I think will drive the cost down."

But that's unlikely.

Many conservative lawmakers worry that medical marijuana will be abused by healthy individuals who simply want to get high. They believe limiting the number of companies will make it easier to police the industry.

State Rep. Julio Gonzalez, R-Venice, also voted against the House marijuana bill, but for a completely different reason than Gruters. Gonzalez, an orthopedic surgeon, believes there is no such thing as medical marijuana, arguing that the drug is not medicine.

Gonzalez and others want to see a more restrictive system, in certain areas, than what has been proposed. He is less concerned about the number of licenses than some conservative lawmakers but mentioned other provisions of the bills, such as allowing those with chronic pain to access medical marijuana. Gonzalez feels the definition of chronic pain is too loose.

"It gives them too much of an opportunity to turn this into a ruse of a health care treatment and they can use it for broader purposes," Gonzalez said.

DeLuca said he stands ready to challenge medical marijuana regulations that place "any sort of unnecessary restriction on the doctor-patient relationship."

"We will sue and we will likely win," he said.

The licensing system could be a source of lawsuits. Companies who fail to get licenses are likely to sue, which happened after the first round of licenses were awarded. Whether the entire system could be subject to a court challenge is unclear.

"I'm cautiously optimistic at the end of the day the legal and legislative process will run its course and the right thing will be done to make Amendment 2 what it was intended to be," Beckwith said.

One issue that seems certain to wind up in court is the question of whether medical marijuana can be smoked in Florida.

No lighting up

Bob Jordan has a small greenhouse in his backyard in Parrish where he cultivates marijuana plants for his wife.

Cathy Jordan has amyotrophic lateral sclerosis, a debilitating condition that typically results in death within a few years. Jordan was diagnosed with ALS more than two decades ago. She believes marijuana has helped her stay alive, and that smoking the drug has benefits that outweigh any health risks for the 67-year-old.

Many GOP lawmakers insist that anything advertised as medicine should not be smoked.

If the state prohibits the sale of smokeable marijuana, as expected, Bob Jordan said he'll continue to cultivate his own plants so his wife can smoke marijuana cigarettes. And he would love to be part of a lawsuit challenging the decision.

"The bottom line is I'm not too hopeful about a special session," Jordan said. "The most you'll get out of it is a few more licenses and no smoking. I hope I'm wrong but that's my guess."

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News Moderator: Ron Strider 420 MAGAZINE ®
Full Article: Medical marijuana market taking shape - News - Sarasota Herald-Tribune - Sarasota, FL
Author: Zac Anderson
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