The Pennsylvania House of Representatives approved a bill passed by the Senate that allows all licensed medical marijuana producers and processors to sell directly to their patients.
The legislation–which has been amended to further grant grower permits to independent dispensaries–cleared the chamber in a 114-89 vote on Wednesday. It must be sent back to the Senate to get their approval because it has been revised.
The measure, sponsored Sen. Chris Gebhard’s (R), would allow the state Department of Health to create a procedure that allows the 10 independent marijuana processors and growers in the state to apply for a dispensary license to engage directly with patients. As amended by the House, four independent dispensaries in the state could obtain grower permits in order to cultivate their own products.
Pennsylvania’s current medical marijuana law states that only 25 companies can be licensed to grow and process marijuana, and only 5 of these licensees are allowed to sell directly direct patients via vertically integrated dispensaries.
This has created a quasi-monopoly, giving select operators from out of state dominance in the industry. Supporters say that allowing independent growers in the state to vertically combine is a partial solution.
Last month, the House Health Committee adopted a new amendment that added restrictions to the ability of business owners to sell their permits.
Pennsylvania is yet to legalize adult-use marijuana, but there are growing expectations that it will follow other states in the region by allowing recreational sales. As the anticipation for the policy change grows, some businesses are feeling the strain. This is especially true as wholesale marijuana prices continue to drop and as multi-state operators continue acquiring smaller businesses.
In order to achieve this, some legislators have discussed the Bill being used as a vehicle to implement additional reforms. This could include legalizing cannabis for adults or allowing medical marijuana patients the right grow plants for their own use. The Senate has not yet ratified the bill, but some of the substantive changes have been made. It may be a few weeks before the chamber meets again.
According to a fiscal note posted Wednesday, the reform will generate nearly $2 million from fees for applications and permits. In the following fiscal years, it is expected that the state will generate approximately $90,000 per year. The administrative costs incurred by the Health Department to process and supervise the permits would offset some of the revenue.
In the meantime, a Pennsylvania House Committee convened earlier in the month for a meeting to listen to experts discuss adult-use marijuana. As legislators map out a reform path, the panel’s chairperson says that it may include consideration of a model for state-run cannabis sale.
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The new, narrow Democratic majority this session in the House and Gov. Josh Shapiro, The prospects for legalization in Pennsylvania improved. But there is still a question as to how the GOP controlled Senate would approach reform if they received a bill from the other chamber.
However, it is worth noting that more Republican Senators are now on board. Sens. Dan Laughlin and Sharif Street, for example.
The Senate Law and Justice Committee conducted a series hearings last year on marijuana legalization. These hearings were intended to inform the legislation being drafted by the Republican Chairman of the committee, Sen. Mike Regan.
House members have filed separate bills that would legalize the sale of marijuana through state-run shops, and provide permits to farmers and small agricultural businesses to grow cannabis after adult-use sales become legal.
The House also approved earlier this month a tax reform bill that contains language that provides state-level relief for medical marijuana businesses, as they continue struggling under federal financial barriers. Republicans, who normally support tax cuts, were outraged by the reform. They viewed it as a Democratic giveaway of money to the cannabis industry.
The Senate passed a measure in September that would allow licensed medical marijuana grower/processors to directly sell cannabis products to patients. On Monday , the House Health Committee advanced the bill.
Former Gov. Former Gov.
At a conference held last month, black lawmakers discussed separately the need to make equity considerations the core of any marijuana legalization plans.
Shapiro supports cannabis reform, and has proposed legalizing and taxing adult-use marijuana in his budget request for 2023-2024.
A recent staffer for Governor stated that the neighboring Ohio’s decision to legalize marijuana on the ballot last Thursday serves as “another remind” why the state must leverage the “momentum behind reform” and end prohibition in its own borders.
Laughlin also wrote a letter in February to the state’s law enforcement, urging them to take action to protect the gun rights of cannabis users and medical marijuana patients in light of a recent federal court ruling.
Ohio GOP Senate leader says ‘All hands on deck’ to change voter-approved marijuana law before it takes effect next month
Photo by Chris Wallis // Side Pocket Images.
The article Pennsylvania House approves Senate-passed bill to allow medical marijuana growers to sell directly to patients first appeared on Marijuana Moment.
