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Indian Tribe issues first medical marijuana cards in North Carolina as statewide legalization bill stalls

October 16, 2023 by Ben Adlin

Last week, the Eastern Band of Cherokee Indians began issuing medical marijuana cards to its members. Members of EBCI voted last month to legalize adult use cannabis. The program was approved by the Tribal Council back in 2021, but it hasn’t seen a single sale due to numerous delays.

It’s still not clear when registered patients will actually be able to shop in the tribe’s dispensary on the 57,000-acre Qualla Boundary–technically the only place within North Carolina where cannabis is legal in any form as a medical marijuana bill continues to stall in the state legislature. Last Thursday, Cherokee One Feather reported that the first medical marijuana card was issued by the tribe.

Neil Denman said, at a Cherokee Police Commission Meeting on Thursday, that the EBCI Cannabis Control Board had received 1,005 registration card applications. The board had approved 817 of them. Another 129 applications were marked incomplete because they lacked required information such as a picture ID. 59 others were rejected for not meeting the qualifying conditions.

The tribe’s biggest challenge has been how to transport cannabis legally to its dispensary. Swain County officials had previously said that EBCI would have a difficult time transporting medical marijuana on a state-owned road, as cannabis is still illegal in North Carolina. In an interview with Marijuana Moment in the past, the former chief of the tribe blamed on a “lack foresight” for the program by the tribe’s non-native supplier.

Denman, at the last meeting, told the commission that CCB was coordinating with Swain County in order to develop and implement a transport plan. However, it appears he didn’t give a time frame for this.

He noted that the cards would have daily and weekly limits. If these limits are not met, cards could be suspended or revoked.

When asked by the commission if there were plans to build a second cultivation area, CCB Inspector Brian Parker replied that construction was still ongoing on the first. He reported that the facility has 42 hoophouses, and a goal of 80.

The Cherokee One Feather Report did not mention whether officials discussed other obstacles to the program at Thursday’s meetings, such as banking or a lack laboratory testing.

Denman, meanwhile told the Charlotte Observer that CCB also issued agent cards for regulators and cannabis workers. The paper reported that only tribal members could receive cards initially, then North Carolina residents.

The tribe had reported earlier this year that it had grown nearly $30,000,000 worth of product, despite not knowing how to transport the product to a sales point. Officials said at the time that they expected sales to start later this year.

According to The Observer, Mike Parker, the chairman of the EBCI Tribal Council told his fellow council members that transportation issues were causing financial difficulties for Qualla Enterprises. According to reports, the council is considering lending $19million to Qualla Enterprises to cover operating costs and wages.

He said: “I understand that we haven’t had the ability to transport the product into the dispensary.” “We don’t have any revenue because we can’t transport the product.”

The exact date of the sale of marijuana for adult use is not known. Tribal members approved the ballot measure in a September vote, allowing sales to anyone 21 years old and older regardless of tribe membership. The margin was 70 percent to 30%. The referendum didn’t automatically legalize cannabis, but tribal leaders said they would follow the voters’ lead if they decide to take the issue up.

The tribe was asserting its autonomy by passing the measure, but it also represented a calculated risk. U.S. Rep. Chuck Edwards, R-NC, was among those Republicans who warned the tribe about legalization. Edwards wrote an op ed Cherokee One Feather before the event in which he stated that legalizing on tribal land would be ” irresponsible and I intend stop it.”

Edwards presented the Stop Pot Act in Congress before the vote. This would reduce federal funding for transportation by 10 percent from all tribal governments and U.S. States that have legalized recreational marijuana.

Sneed, then the Principal Chief of the EBCI, called it a “big misstep”. He told Marijuana Moment he thought the pushback from Edwards and others might have encouraged tribal members to support the measure .

Qualla Enterprises, which campaigned for the legalization referendum and said that the majority of the jobs would be filled by tribal members, claimed in its campaign to expand marijuana sales. At that time, 84 percent were tribal members. This was the highest percentage of any business owned or operated by the tribe.

Third-party analyses projected that adult-use sales would generate thousands of dollars of payouts for tribal members who are a part of the tribe’s businesses. After five years, payouts for the first year could reach as much as $12,000, according to a third-party analysis.

According to a survey conducted earlier this year, North Carolina residents supported legal medical marijuana by 73 percent. The majority of people supported the legalization of medical marijuana, regardless of their political affiliation. This included 91 percent among Democrats, 64 percent among Republicans, and 77 percent for those who were unaffiliated.

A medical marijuana bill passed by the Senate this session was stalled at the House due to an informal rule requiring that bills have the support of a majority of the Republican caucus to be brought to the floor. The legislation may still be considered next year.

John Bell, the House Majority leader (R), said that there was passion on both sides. “We have some members in our caucus who are 100 percent for it, and others that are 100% against it,” said House Majority Leader John Bell (R) in July.

Sneed noted in an interview with Marijuana Moment that many state legislators have shown interest in EBCI’s marijuana operation, and even toured the location, including North Carolina House majority leaders and Senate representatives, as well as House members of both political parties. He noted that North Carolina had toyed with the idea for a medical marijuana bill during the past two sessions. “We thought it would pass.”

As more states legalize marijuana, tribal governments have entered the business. Notably, in Minnesota, where state lawmakers passed an adult-use marijuana program earlier this year, tribes are leading the way.

White Earth Nation, which began sales in August, also announced plans to launch a mobile marijuana retailer. And the Red Lake Nation, which also began sales in August, also announced plans to launch a mobile marijuana retailer–effectively a cannabis “food truck” that can travel and do business on tribal land throughout the state. The Leech Lake Band of Ojibwe is another tribe in the state that has also moved towards legalization.

Minnesota’s marijuana law allows the governor to enter into agreements with tribal governments that allow them to operate in non-tribal areas of the state. This option has been seen as a means to sell legal cannabis before the state license, which is not expected until 2025. In August, cannabis regulators reported that so far “several tribes” had expressed interest.

In 2020, it’s thought that the Oglala Sioux Tribe in South Dakota will be the 1st tribe in the U.S. to vote for the legalization of marijuana in a state where the plant was still illegal.


The Virginia election next month could set the stage for legal marijuana sales–or a rollback of reform–depending on which party wins

The article Indian Tribe Issues First Medical Marijuana Card in North Carolina as Statewide Legalization Bill Stalls first appeared on Marijuana Moment.

Ben Adlin
Author: Ben Adlin

About Ben Adlin

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