On January 1, California opened its legal marijuana market. Although the day itself was a milestone almost everybody celebrated, many questions still abound, particularly regarding what happens next, especially in the weeks and months ahead. Currently, it is all very unclear for most, which is why Lori Ajax, the state’s most prominent weed regulator, gave us her thoughts on what enforcement to expect:
-
Can You Buy Legal Weed on January 1?
Perhaps. According to Ajax, “You will, in certain areas of the state.” Unfortunately, however, companies must have both a local permit and a state license to sell recreational pot lawfully, and that process remains incomplete. For example, Kern County forbids all commercial weed activity, but San Diego, Shasta Lake, Santa Cruz, and Oakland are allowing it, with licensed outlets ready to open on January 1.
San Francisco, on the other hand, is running behind schedule approving licenses. Legal sales will not begin there until later in the week. Los Angeles only began accepting applications for recreational sales on January 3, so it could still take many more weeks before any of those retail outlets will be able to open their doors for legal sales.
-
If Pot Is Now Legal, Where Can You Use It?
To stay on the safe side of the law when consuming recreational weed, Ajax recommends remembering two rules: Firstly, do not smoke in public, and secondly, avoid smoking anywhere that prohibits the use of tobacco. The state has specific guidelines in place for where not to light up. These include smoking pot while driving, and using it within 1,000 feet of schools, daycare centers, and playgrounds.
-
How Will The Transition from a Lightly Regulated Medical Market Into a Legal Economy Go?
According to Ajax, “That transition period is going to be an adjustment for a lot of folks.” It is wise to expect many fluctuations. The industry, both the black and medical markets, has survived largely unregulated for decades. Now, however, growers and sellers must comply with various new local and state rules, including hefty taxation.
Ajax says that the state will work with all involved to ensure as smooth a transition as possible. Consumers wanting to buy pot will need to check their local ordinances, which will vary between cities and counties. The state itself will visit businesses, likely often, to help them comply with regulations. Ajax explained that, as the state, “We have to really work with them.”
-
Are There Any Regulatory Worries?
Ajax is concerned about the extent and pace of licensing. In order for the supply chain to work unhindered, there must be many players all working together, from cultivators to manufacturers, distributors, testing companies, retailers, and more. However, the state only started its licensing process in December, which is very late.
She worries whether California has “licensed enough people throughout the supply chain, and geographically across the state, so that people can do business.” This includes both medical and recreational marijuana in California, and according to her, “is something I think about all the time.” Take transport, for example, “If you do not have enough distributors, if they are the only ones that can transport the cannabis, then that would be an issue on Day One already.”
-
Will Enforcement Entice Businesses into the Market, Or Chase Them Away?
Enforcement will be more bark than bite, for now at least. “We cannot just hit them over the head,” Ajax explains. “You work toward educating them and, I think, you go from there. If we have somebody that is causing a public nuisance or a public safety problem, then I do think strong enforcement is necessary.”
However, Ajax also said, “But if you just got somebody trying to comply, and they are completely overwhelmed because they just do not know what to do, then I think that is our job to then break it down for people.” There is no denying the sheer intimidation of the state’s dense regulations, which nobody knows if anyone can actually fulfill, other than large companies and corporations with money.
The state is trying to make it as easy as possible for anyone interested in the industry to find a place within it. As Ajax explained, “A lot of them have never dealt with the state before. We want to encourage people that this is the best way for California, to come out of the shadows and be licensed.” For this reason, enforcement will be extremely flexible, at least initially.
-
How Will The State Entice Black Market Operators To Join The Legal Market?
Experts believe that the black market can seriously threaten the new legal economy, and because it is simply thriving, it may be difficult to encourage those operating illegally to come out of the shadows. Ajax believes that education can eventually resolve the issue, and that businesses must know how to get a license. The state should do all it can to encourage them, such as its new online application site.
There must be some flexibility, as well, especially with enforcement and compliance. Ajax says the state is aware of this importance, and is willing to overlook some compliance violations initially, until business becomes accustomed to the new regulatory system. In answer to this question, Ajax concluded with, “We, as a state, have to show them that this is where you need to be.”