Katelyn Baker
Well-Known Member
The Pennsylvania Department of Health issued medical marijuana business applications Tuesday, triggering the start of what is expected to be a fierce competition to obtain one of just a few permits to grow, process and sell medical marijuana in the state.
The department has taken a go-slow approach, deciding to release only about half the permits authorized under the 2016 law that legalized medical marijuana: 27 for dispensaries and 12 for grower/processors in what it is calling "phase one."
The permits are divided up by region, with the Lehigh Valley limited to two dispensary licensees and two grower/processors. But with each dispensary permit allowing up to two additional sites, the Lehigh Valley could be home to as many as eight medical marijuana storefronts.
State officials have said 900 entities have contacted the department to express interest in getting into the medical marijuana business in Pennsylvania. Application fees are hefty: $5,000 plus a $30,000 refundable deposit for dispensaries, and $10,000 plus a $200,000 deposit for grower processors.
But with the state's sizable population and broad range of qualifying conditions, there should still be plenty of interest, say industry experts.
"We have always thought Pennsylvania would be one of the most competitive states for medical marijuana businesses," said Becky Dansky, legislative counsel of the pro-legalization Marijuana Policy Project. "We are anticipating a very large number of applications."
The submission deadline is March 20, and permits are not expected to be issued until at least June.
At least one potential applicant has targeted the borough of Emmaus.
PA Cannabis LLC, an Allentown-based group, inquired last fall about opening a medical marijuana dispensary at 217 Main St., according to borough officials. Half of the building is currently used as a painting party business. The other half is vacant.
Emmaus is in the process of enacting an ordinance that sets rules for dispensaries and growing operations, prompted partly by PA Cannabis' interest, said borough Manager Shane Pepe.
"We were approached by an individual way back a month or two after [medical marijuana] was adopted," Pepe said. "We had to sign off on something that said we had no regulations preventing them from putting it in any district. We said we need something that regulates where they can put these things."
Businesses applying for permits are expected to demonstrate that they have dibs on a property where they can operate a dispensary or growing operation, and that there are no municipal laws standing in their way.
There's no guarantee PA Cannabis LLC will win or even apply for a permit to operate a dispensary in Emmaus. The company's incorporation papers list an address of 893 N. Godfrey St. in Allentown and the owner of the business as Timothy W. Charles. He could not be reached for comment Tuesday.
The owner of 217 Main St., Daniel Hendricks, also could not be reached.
Allentown has also been approached by entities seeking to operate grower processor operations or dispensaries, said spokesman Michael Moore, but none has filed formal zoning or planning applications. It's likely applicants have been scouting other municipalities as well.
While the Lehigh Valley can have no more than two marijuana grower/processors, it could have as many as eight dispensaries. That's because dispensary licensees can open up to two additional branches in other counties within their region of the state.
Here's how that could work: Lehigh and Northampton counties are each allocated one primary dispensary permit, meaning two entities, one in each county, will get permits to open a dispensary in their home county. If that's all they do, that's two dispensaries.
The Lehigh permit holder could open a second location in Northampton County, which would make three locations. The Northampton permit holder could also open a location in Lehigh, bringing the number of Lehigh Valley medical marijuana dispensaries to four.
On top of that, within the 10-county Northeast region, Lackawanna and Luzerne counties are each awarded one primary dispensary permit. Each permit holder could open secondary locations in Lehigh and Northampton counties, for a maximum of eight.
Pennsylvania's applications go live at an uncertain time for the marijuana industry. The number of states that have legalized medical and recreational cannabis is growing, but there is uncertainty about how the new Trump Administration, and Jeff Sessions, the nominee for attorney general, will approach the industry.
Marijuana remains illegal on a federal level, but the Justice Department under President Obama essentially chose to look the other way for the most part in states that have legalized it for medical or recreational use.
John Collins, director of the state's office of medical marijuana, said in a conference call Tuesday that there's nothing the Department of Health can do about federal policy. He wouldn't speculate about whether the uncertainty would hurt interest in Pennsylvania's program.
"I can't speak to that, except to say that the charge of my department is to implement the regulations," he said. "Until that changes, or doesn't change, we will continue to implement Act 16 [the medical marijuana law] as written."
Applicants will be judged on plans for diversity, marijuana diversion safeguards, community impact and employee qualifications, among others. Principals, investors and employees will be fingerprinted and will have to submit to background checks.
Some patient advocates say the state's go-slow approach favors big business, giving larger producers the inside track and limiting the number of dispensaries.
"The biggest question for patients is, when can they register?" said Eric Goldstein, a marijuana legalization advocate based in Philadelphia. "What is the process? Are there any doctors signed up for the program? What is the time line?"
Hefty application fees and limited permits threaten to raise costs for patients, said Mike Whiter, 40, of Philadelphia, an 11-year veteran of the Marines who said he has used marijuana successfully to treat chronic pain and post-traumatic stress syndrome.
"I do think they should be having patients sign up now," Whiter said. "You are getting all the growers and processors signed up and you don't even know what your patient base is. That tells me it's about making money."
Collins said there is no announced time line for registering patients, but that it will happen well before medical marijuana becomes available in Pennsylvania in 2018.
The Department of Health used other methods to decide how to allocate permits around the state, he said, including patient data and responses to requests for comment.
There is no guarantee that the state will award the second half of its permits, Collins said.
"I will know that when we are ready to implement Phase Two," he said.
News Moderator: Katelyn Baker 420 MAGAZINE ®
Full Article: Medical Marijuana Dispensary Wants To Set Up Shop In Emmaus
Author: Scott Kraus
Contact: 610-820-6566
Photo Credit: April Bartholomew
Website: The Morning Call
The department has taken a go-slow approach, deciding to release only about half the permits authorized under the 2016 law that legalized medical marijuana: 27 for dispensaries and 12 for grower/processors in what it is calling "phase one."
The permits are divided up by region, with the Lehigh Valley limited to two dispensary licensees and two grower/processors. But with each dispensary permit allowing up to two additional sites, the Lehigh Valley could be home to as many as eight medical marijuana storefronts.
State officials have said 900 entities have contacted the department to express interest in getting into the medical marijuana business in Pennsylvania. Application fees are hefty: $5,000 plus a $30,000 refundable deposit for dispensaries, and $10,000 plus a $200,000 deposit for grower processors.
But with the state's sizable population and broad range of qualifying conditions, there should still be plenty of interest, say industry experts.
"We have always thought Pennsylvania would be one of the most competitive states for medical marijuana businesses," said Becky Dansky, legislative counsel of the pro-legalization Marijuana Policy Project. "We are anticipating a very large number of applications."
The submission deadline is March 20, and permits are not expected to be issued until at least June.
At least one potential applicant has targeted the borough of Emmaus.
PA Cannabis LLC, an Allentown-based group, inquired last fall about opening a medical marijuana dispensary at 217 Main St., according to borough officials. Half of the building is currently used as a painting party business. The other half is vacant.
Emmaus is in the process of enacting an ordinance that sets rules for dispensaries and growing operations, prompted partly by PA Cannabis' interest, said borough Manager Shane Pepe.
"We were approached by an individual way back a month or two after [medical marijuana] was adopted," Pepe said. "We had to sign off on something that said we had no regulations preventing them from putting it in any district. We said we need something that regulates where they can put these things."
Businesses applying for permits are expected to demonstrate that they have dibs on a property where they can operate a dispensary or growing operation, and that there are no municipal laws standing in their way.
There's no guarantee PA Cannabis LLC will win or even apply for a permit to operate a dispensary in Emmaus. The company's incorporation papers list an address of 893 N. Godfrey St. in Allentown and the owner of the business as Timothy W. Charles. He could not be reached for comment Tuesday.
The owner of 217 Main St., Daniel Hendricks, also could not be reached.
Allentown has also been approached by entities seeking to operate grower processor operations or dispensaries, said spokesman Michael Moore, but none has filed formal zoning or planning applications. It's likely applicants have been scouting other municipalities as well.
While the Lehigh Valley can have no more than two marijuana grower/processors, it could have as many as eight dispensaries. That's because dispensary licensees can open up to two additional branches in other counties within their region of the state.
Here's how that could work: Lehigh and Northampton counties are each allocated one primary dispensary permit, meaning two entities, one in each county, will get permits to open a dispensary in their home county. If that's all they do, that's two dispensaries.
The Lehigh permit holder could open a second location in Northampton County, which would make three locations. The Northampton permit holder could also open a location in Lehigh, bringing the number of Lehigh Valley medical marijuana dispensaries to four.
On top of that, within the 10-county Northeast region, Lackawanna and Luzerne counties are each awarded one primary dispensary permit. Each permit holder could open secondary locations in Lehigh and Northampton counties, for a maximum of eight.
Pennsylvania's applications go live at an uncertain time for the marijuana industry. The number of states that have legalized medical and recreational cannabis is growing, but there is uncertainty about how the new Trump Administration, and Jeff Sessions, the nominee for attorney general, will approach the industry.
Marijuana remains illegal on a federal level, but the Justice Department under President Obama essentially chose to look the other way for the most part in states that have legalized it for medical or recreational use.
John Collins, director of the state's office of medical marijuana, said in a conference call Tuesday that there's nothing the Department of Health can do about federal policy. He wouldn't speculate about whether the uncertainty would hurt interest in Pennsylvania's program.
"I can't speak to that, except to say that the charge of my department is to implement the regulations," he said. "Until that changes, or doesn't change, we will continue to implement Act 16 [the medical marijuana law] as written."
Applicants will be judged on plans for diversity, marijuana diversion safeguards, community impact and employee qualifications, among others. Principals, investors and employees will be fingerprinted and will have to submit to background checks.
Some patient advocates say the state's go-slow approach favors big business, giving larger producers the inside track and limiting the number of dispensaries.
"The biggest question for patients is, when can they register?" said Eric Goldstein, a marijuana legalization advocate based in Philadelphia. "What is the process? Are there any doctors signed up for the program? What is the time line?"
Hefty application fees and limited permits threaten to raise costs for patients, said Mike Whiter, 40, of Philadelphia, an 11-year veteran of the Marines who said he has used marijuana successfully to treat chronic pain and post-traumatic stress syndrome.
"I do think they should be having patients sign up now," Whiter said. "You are getting all the growers and processors signed up and you don't even know what your patient base is. That tells me it's about making money."
Collins said there is no announced time line for registering patients, but that it will happen well before medical marijuana becomes available in Pennsylvania in 2018.
The Department of Health used other methods to decide how to allocate permits around the state, he said, including patient data and responses to requests for comment.
There is no guarantee that the state will award the second half of its permits, Collins said.
"I will know that when we are ready to implement Phase Two," he said.
News Moderator: Katelyn Baker 420 MAGAZINE ®
Full Article: Medical Marijuana Dispensary Wants To Set Up Shop In Emmaus
Author: Scott Kraus
Contact: 610-820-6566
Photo Credit: April Bartholomew
Website: The Morning Call
