Jacob Redmond
Well-Known Member
Marijuana growers producing for the recreational market would be required to pay $3,750 or $5,750 a year to maintain a state license under draft rules issued Friday.
Others, such as marijuana wholesalers, processors and retailers, would pay $4,750 annually for a state license.
The fees, which marijuana industry representatives say are excessive, are spelled out in the latest draft of temporary rules issued Friday by the Oregon Liquor Control Commission.
Revenue generated from annual fees will, in turn, fund Oregon's oversight of the recreational marijuana industry.
The proposed rules, which head to the commission for approval, will shape everything from detailed application requirements to the security growers must install at their indoor and outdoor facilities.
Some of the rules are controversial, such as the prohibition on medical marijuana dispensaries sharing locations with recreational stores. Liquor commission officials do not have authority over medical marijuana so mingling the two establishments makes enforcement a challenge, officials said.
A proposed ban on on-site consumption at licensed marijuana facilities also generated pushback from some members of the rules advisory committee, who argued that people need a legal place to consume cannabis.
"These are things that adults in Oregon want to do," said Anthony Johnson, chief petitioner of Measure 91. "They voted to be able to utilize it. The state is better off if it's done in a regulated manner."
Fees were another hot topic at Friday's meeting, where several committee members said expensive licensing costs would discourage some from joining the regulated market. Under Oregon's recreational marijuana program, the state will issue licenses for producers, processors, wholesalers, retailers, laboratories, and researchers.
The proposed fees are much higher what was included under Measure 91. The Oregon Legislature this year required that the licensing fees generate enough revenue to cover the state's marijuana regulation and enforcement responsibilities.
Steven Marks, executive director of the liquor commission, said the proposed fees are based on estimates of what it will cost to administer the marijuana program. He said the agency could revisit the issue once the program is off the ground.
Johnson and other rules advisory committee members said marijuana entrepreneurs face fees imposed by local governments on top of the state licensing fees. Higher fees mean higher retail prices, which supports Oregon's already robust black market, industry representatives said.
"I am afraid these fees, on top of fees that localities are imposing, are putting prices too high and pricing out mom and pop and hurting the ability of the regulated market to compete with the unregulated market," Johnson said.
Under the proposed rules, the state would issue two tiers of licenses for growers depending on size.
Tier I growers would be required to pay $3,750 annually for a license and Tier II would pay $5,750.
A Tier I license for indoor growers allows producers to cultivate up to 5,000 square feet of space. Tier II covers between 5,001 and 10,000 square feet of production.
For outdoor growers, a Tier I license allows cultivation of up to 20,000 square feet, a little less than a half-acre. Growers who hold a Tier II license could cultivate between 20,000 and 40,000 square feet or a little less than an acre.
News Moderator: Jacob Redmond 420 MAGAZINE ®
Full Article: Proposed Marijuana Rules For Oregon Set Licensing Fees, Grower Limits
Author: Noelle Crombie
Contact: Contact Page
Photo Credit: Alex Leary
Website: The Oregonian
Others, such as marijuana wholesalers, processors and retailers, would pay $4,750 annually for a state license.
The fees, which marijuana industry representatives say are excessive, are spelled out in the latest draft of temporary rules issued Friday by the Oregon Liquor Control Commission.
Revenue generated from annual fees will, in turn, fund Oregon's oversight of the recreational marijuana industry.
The proposed rules, which head to the commission for approval, will shape everything from detailed application requirements to the security growers must install at their indoor and outdoor facilities.
Some of the rules are controversial, such as the prohibition on medical marijuana dispensaries sharing locations with recreational stores. Liquor commission officials do not have authority over medical marijuana so mingling the two establishments makes enforcement a challenge, officials said.
A proposed ban on on-site consumption at licensed marijuana facilities also generated pushback from some members of the rules advisory committee, who argued that people need a legal place to consume cannabis.
"These are things that adults in Oregon want to do," said Anthony Johnson, chief petitioner of Measure 91. "They voted to be able to utilize it. The state is better off if it's done in a regulated manner."
Fees were another hot topic at Friday's meeting, where several committee members said expensive licensing costs would discourage some from joining the regulated market. Under Oregon's recreational marijuana program, the state will issue licenses for producers, processors, wholesalers, retailers, laboratories, and researchers.
The proposed fees are much higher what was included under Measure 91. The Oregon Legislature this year required that the licensing fees generate enough revenue to cover the state's marijuana regulation and enforcement responsibilities.
Steven Marks, executive director of the liquor commission, said the proposed fees are based on estimates of what it will cost to administer the marijuana program. He said the agency could revisit the issue once the program is off the ground.
Johnson and other rules advisory committee members said marijuana entrepreneurs face fees imposed by local governments on top of the state licensing fees. Higher fees mean higher retail prices, which supports Oregon's already robust black market, industry representatives said.
"I am afraid these fees, on top of fees that localities are imposing, are putting prices too high and pricing out mom and pop and hurting the ability of the regulated market to compete with the unregulated market," Johnson said.
Under the proposed rules, the state would issue two tiers of licenses for growers depending on size.
Tier I growers would be required to pay $3,750 annually for a license and Tier II would pay $5,750.
A Tier I license for indoor growers allows producers to cultivate up to 5,000 square feet of space. Tier II covers between 5,001 and 10,000 square feet of production.
For outdoor growers, a Tier I license allows cultivation of up to 20,000 square feet, a little less than a half-acre. Growers who hold a Tier II license could cultivate between 20,000 and 40,000 square feet or a little less than an acre.
News Moderator: Jacob Redmond 420 MAGAZINE ®
Full Article: Proposed Marijuana Rules For Oregon Set Licensing Fees, Grower Limits
Author: Noelle Crombie
Contact: Contact Page
Photo Credit: Alex Leary
Website: The Oregonian
