More Dispensary Incentives From OLCC

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Oregon Liquor Control Commission Will Allow Dispensaries to Sell Current OMMP Products Until March 1st, 2017

By Keith Mansur
Oregon Cannabis Connection

Sept 17, 2016 – The Oregon Medical Marijuana Program (OMMP), and its growers and dispensaries, are governed by the Oregon Health Authority (OHA) under a separate agency jurisdiction than the coming recreational system, which is covered by the Oregon Liquor Control Commission (OLCC). Their will be many dispensaries that will switch to the OLCC system, which allows for medical marijuana and recreational marijuana products to be sold, where the OMMP dispensary system is limited to only Oregon’s medical marijuana registered patients.

The problem which loomed on the horizon was the transition from the old medical grower system that provided no tracking to the licensed recreational producers. There was a concern of a lapse in supply since few license producers have product for the market, or a set hard switch-over date, which would have rendered pounds of product unsalable due to the producer being unlicensed by the OLCC or the products not being tested at the new standards.

Luckily, the OLCC announced Friday that they have amended the rules to allow for  OLCC licensed dispensaries to continue selling their OMMP products until March 1, 2017.

“This change will speed an orderly transition of the market as we move to safer testing, seed-to-sale product tracking, and revenue stability,” explained OLCC Chairman Rob Patridge in a statement.

Although the products will be allowed to be sold in a licensed OLCC dispensary without any further testing, they will have to meet a few standards set by the agency.

All the OMMP products the dispensary has on hand will have to be entered into Oregon’s CTS, or Cannabis Tracking System and be labeled  “Does Not Meet New Testing Requirements”. All products must be packaged in a child resistant product package, or placed in a child resistant “exit” bag.

The main reason this is being done is to encourage dispensaries to switch over to the new OLCC recreational system. They have received fewer applications than expected, and know dispensaries were wanting to wait to register mainly to sell their current medical supply that was being disallowed under the previous rules.

OLCC News Release:

OLCC Expands Options for Medical Dispensaries Transitioning to Retail Allows for Sale of Existing Inventory of Marijuana Products

Portland, Oregon – Today the Oregon Liquor Control Commission provided additional opportunities for medical dispensaries to become OLCC recreational marijuana retail licensees by allowing them to transfer their existing inventory and sell through that inventory until March 1, 2017.

The OLCC will allow existing Oregon Medical Marijuana Program (OMMP) dispensaries to transfer their inventory acquired before October 1, 2016, if they become an OLCC licensee.

“This change will speed an orderly transition of the market as we move to safer testing, seed-to-sale product tracking, and revenue stability,” said Rob Patridge, Chair of the OLCC.

Under the new rule OLCC retailers will have until March 1, 2017 to sell their transferred OMMP inventory, while at the same time obtaining product tested and packaged according to the state’s new regulations.

Product transferred from the OMMP will be required to be recorded in the state’s Cannabis Tracking System (CTS).  The products must carry a label that complies with OHA rules that reads “Does Not Meet New Testing Requirements”; products must also be packaged in a child resistant product package or child resistant “exit” bag.

“We hope this provides assurance and incentive to dispensaries to move over now,” said Patridge.  “We want to meet the intent of the legislature to develop this industry, while at the same time ensuring public safety.  This approach allows us to do that.”

Also under today’s OLCC action OMMP processors may transfer their existing product if they become an OLCC licensee.  The processor’s products will have to be tested, packaged, and labeled under the OLCC’s new requirements.

The OLCC’s licensing staff is working with dispensary owners and processors to help them with the licensing transition, and is already conducting on-site dispensary and processor inspections.  Licensing staff is being proactive to assist licensees through its process.

“Our licensing staff is being thorough in investigating licensees and creative in finding solutions,” said Steven Marks, OLCC Executive Director.

“We recognize that OMMP retailers are poised to make the transition into the retail market and we took steps today to make it easier for them to do so.”

The OLCC staff will be providing retail licensees with the steps necessary to transfer their product.

 

© 2016 Oregon Cannabis Connection. All rights reserved.

Keith Mansur

Keith Mansur is the founder, publisher, and editor of Oregon Cannabis Connection newspaper. The print publication has been serving Oregon since 2010. He has been a Oregon medical marijuana patient, grower, and caregiver since 2006. Find him on Facebook or email him at occnewspaper420@gmail.com

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