The Oregon Weed Thread -Grows, News and Laws and Whatever

[Aota1]

What the Cannabis Industry Needs to Know

Collecting Local Marijuana Taxes: What the Cannabis Industry Needs to Know
The message below is from our partners at the Oregon Department of Revenue.

In November 2016, voters in many municipalities approved local marijuana taxes of 3 percent. Many of those municipalities decided to have the Department of Revenue collect those taxes on their behalf. A list of those municipalities is available on our website at www.oregon.gov/dor/marijuana.

Starting in with February’s payment for taxes collected in January: If your business is located in a municipality where the Department of Revenue is responsible for the collection of the tax, you’ll include both your state and local taxes in your monthly payment to the department. Using the marijuana tax payment voucher will help you determine your state and local taxes due. You can also print a voucher from your Revenue Online account (the same account you use to file your quarterly returns). When you put your monthly sales information into the quarterly return form, Revenue Online will automatically generate payment vouchers. The payments will be applied appropriately to your state and local taxes due after you file your quarterly return. This allows for the information provided on your monthly payment vouchers to be validated against your return information.

If your business is located in a municipality that’s collecting its own taxes, contact the municipality to find out how to file and pay your local taxes. You’re still required submit monthly payments and quarterly returns for your state taxes to the Department of Revenue, regardless of how the local tax is being administered. If you're not sure if your local government has a marijuana tax, contact them as soon as possible to ensure you’re collecting the appropriate taxes from customers at the time of purchase.

We’ll continue to update our list as more municipalities determine how they’ll administer their local tax. Municipalities can change whether they have us collect on their behalf, but that change can only be made at the beginning or end of a calendar quarter. The local tax collection list on our website should be finalized by January 20 and will be in effect for first quarter 2017 payments (February, March, April) and return filing (April).

 

[Sluicebox]

Even though a County voted to tax mj, if that County is still a Banned County they don't get a cut is that correct? I understand it to be a pool for the Counties that allow it. In addition there are taxes raised on sales within the County? I should put a big ass sign in my lower pasture by the hwy, you voted no so no tax money. I was hoping to see it go back on the May ballot to repeal the ban.

 

[Big Sur]

Smaller farm sizes may help save the small guy. 1200-2400 ft/sq indoor flowering should have been the limit for all tiers. Then you'd have a much more diverse population of grows competing with each other, much like Micro Breweries or Wineries. The current model is terrible for the small guy. The market would likely remain flooded either way.

Curious how the Tax turns out when the price crashes? If there is only a set demand for product, at low prices would that not mean lower Tax collection for the State?

Well, 'they' had a primary intent to destroy the black market by legalizing weed in Oregon. That means a price crash was baked into the cake here with commercial rec growing along with being able to grow your own.

As for smaller grow limits, if that were the case I would be getting a license here as a micro grower. But that is not the case. The Tier II grow limit is just under an acre outdoor, and 1/4 acre indoor, per license. There seems to be no limit on licenses though. So while averting massive scale single license growing like California will have in 5 years, we have an oversupply of growers here already. Last year's outs were a dud with early fall rains. Ins and GH were unaffected, but the testing laws and lab limits created a temporary bottleneck. A good hot summer and warm dry fall like in 2015 and labs to test weed will change the supply situation in a hurry. Its only a matter of time.

In my discussions with the OLCC they say that they are going to limit the number of grow licenses issued in any one area to prevent an oversupply and collapse in prices. However, there was a very steep decline in price in both CO and WA last year, and that can easily happen here. Also as more states, particularly California and Nevada, come online with legal rec weed, I believe that will greatly impact the current tourist weed sales in Oregon. So the main tax base will have to come from what, the 15% in Oregon that buy and smoke legal pot and do not grow their own? My brother thinks that weed will be so cheap here that it will not be worth the trouble to grow your own any more. He may be right, but I will always grow my own. Being able to grow my own legal weed is an unbelievable dream come true for me. Well, legal in terms of state and local laws. Who knows what the Feds will do over time.

 

[Big Sur]

Even though a County voted to tax mj, if that County is still a Banned County they don't get a cut is that correct? I understand it to be a pool for the Counties that allow it. In addition there are taxes raised on sales within the County? I should put a big ass sign in my lower pasture by the hwy, you voted no so no tax money. I was hoping to see it go back on the May ballot to repeal the ban.

Many counties and cities had 2 options on the ballot. One was to tax revenue on weed if the second measure failed, that being to ban pot. So in counties that the opt-out passed and pot was banned (like Douglas County), the 3% county tax does not take effect, as there will be no rec growing or sales there. As for revenue from the 17& state rec weed sales tax, I have heard two versions: one was that counties and cities that opt out will not share in the state 17% weed sales tax revenue. The other version is that in a later compromises in the state legislature, all counties and cities will get a share of the 17% state taxes on rec weed sales in state. I listed the payout of the state rec sales tax revenue in an earlier post here and how that will be divided up.

Also any Oregon muni ballot measures regarding rec weed will have to be voted on in a general state election. According to the OLCC gal that I talked to, it is easier for any muni to opt back in now if they opted out, rather than to opt out once you opt in. Oregon rec weed sales tax revenue in 2016 is estimated to be just over $50 million. Up to 2% of taxes collected can be kept by retailers for administrative costs. The cost to administer the marijuana tax will then come out of the tax revenue, and what is left will be split up accordingly:

[FONT=Arial, Helvetica, sans-serif]40% Oregon Common School Fund, 20% Oregon mental health, alcoholism and drug services, 15% Oregon State Police, 10% city law enforcement, 10% county law enforcement, 5% Oregon Health Authority. [/FONT]

 

[Big Sur]

According to the Eugene Register Guard, as of Nov 9, 2016:

Cities and counties with bans on marijuana businesses do not receive local or state tax revenue from recreational pot sales.

So munis will rake in the entire 3% of weed sales if they passed the local rec sales tax, and all munis that did not ban weed will share in the 17% state rec sales tax, less the marijuana tax administration costs. That is spread pretty thin, but its revenue that the opt-out munis will not get. But 80% of the left over money is to be spent on state programs, in all counties and cities.

Now the question is: as the weed sales tax revenue is spent, will other funds that would normally go to those places be cut and shoveled into things like PERS? Oregon is going to be in big debt this coming year and next, and they will likely switch and raid the tax revenue, rather than cut back on spending.

 

[Sluicebox]

In the beginning OMMP had a surplus of funds. It was the only program in the State that was self funded and retained surplus revenue. Then the State sniffed it out and raided it for the General Fund. I'm certain they will do the same with the OLCC.

You raise an interesting point about PERS, I forgot all about that cesspool. Maybe they should start charging outsiders more to play here, much like Hunting or Fishing. Or at least charge admission to those seeking to hide here. How do they intend to fund a Sanctuary State?

 

[Big Sur]

In the beginning OMMP had a surplus of funds. It was the only program in the State that was self funded and retained surplus revenue. Then the State sniffed it out and raided it for the General Fund. I'm certain they will do the same with the OLCC.

You raise an interesting point about PERS, I forgot all about that cesspool. Maybe they should start charging outsiders more to play here, much like Hunting or Fishing. Or at least charge admission to those seeking to hide here. How do they intend to fund a Sanctuary State?

With more tax money, of course! Its the spend (and get elected) and then tax plan, as usual. Also on the last general election ballot was the big company sales tax that the unions wanted to fund PERS and other gov't waste plans with. It was to pump up the general fund. It failed.

But yes, its the same with the roads and schools and other tax schemes. When the lottery was originally on the ballot, the money was only going to go to schools and job training. Now? They keep changing the lottery funds by ballot measure to add things for it to pay for. A large chunk now goes to state parks/natural resources and vague "economic development" which can be just about anything. Is it ballot time? Don't pave the roads, and get more gas taxes for roads. They raided the school funds, so the schools have all been bonded out now with local ballot measures to add property tax bonds. And local fire and police bonds. Mass transit bonds. That is a HUGE loss to transport the poor. And all the homeless, Medicaid, elderly, Oregon Trails food stamps, child care assistance, yadda yadda. I was reading the other day that over 1,000,000 in Oregon are on Medicare now. That is over 1/4 of the state's population. Financially feasible? No. My evil step-mother is retired and moved to Nevada where she collects Oregon PERS and pays no income taxes to Oregon. She is draining it dry for what it is worth.

Most states are in similar situations, and the system will simply crash and burn, like it is in Europe. No avoiding it. The government has bonded out the future and owes so much money it is insane. BUT SPEND MORE! Pay for it later...

 

[Sluicebox]

Google Earth updated, check your spot.

I answered a nearby Craig's list ad for free horse manure delivered. Once I gave them my address I got crickets. Now I know why.

 

[Robrites]

Oregon teenager arrested for selling marijuana over Snapchat

Oregon teenager arrested for selling marijuana over Snapchat

Just because cannabis is legal for adults in Oregon, that doesn't mean kids aren't still getting arrested for trying to sell it to each other. Now, though, things are different. Now, kids have Snapchat.

Take Brayden Garza, 18, a high school student in Scappoose, who was arrested on Jan. 6 after police served a search warrant at 31000 block of Siercks Road while Garza was in school. While there, they seized items including "3.5 ounces of marijuana, scales, multiple prescription pills and other controlled substance."

A release from the Scappoose Police Department says that the warrant was the result of information they gathered proving Garza was selling marijuana over Snapchat and then posting pictures of himself with large amounts of cash on Instagram.

This would be a good time to remind all teens that your social media profiles aren't invisible to adults.

Adrian Barrera-Mesinas, 35, was also arrested on drug charges. It is not clear how the two are related, though online records suggest they both live at the same location on Siercks Road.

Both men were were taken to the Columbia County Jail.

For his part, Garza is out and posting on Instagram and Snapchat again, though the incriminating posts are gone.

http://www.oregonlive.com/pacific-northwest-news/index.ssf/2017/01/oregon_teenager_arrested_for_s.html

 

[Robrites]

Marijuana Producers: Regulators Seek Advice on Pesticide Use

Marijuana Producers: Regulators Seek Advice on Pesticide Use

The Oregon Department of Agriculture, the Oregon Health Authority, and the Oregon Liquor Control Commission are seeking information from marijuana producers regarding the application of pesticide products containing pyrethins and piperonyl butoxide.

A copy of the joint announcement, which can be found on the OLCC Recreational Marijuana Program website, provides details on how producers can make available specific information on product usage.

Although some producers appear to be using pyrethrins and piperonyl butoxide successfully some samples of cannabis submitted by other producers have exceeded the OHA action levels. We want to figure out why.

Both of these pesticide active ingredients are in products listed on the ODA's Guideliest for Pesticides and Cannabis.

 

[Sluicebox]

Guessing they throw a fogger in an empty room the residual sticks to the walls?

Good to see you back Robrites.

 

[megayields]

Be careful to not shoot the messenger when there is confusion about the message.

There are limitations in the generalizability of findings due to the small sample size, but they are less important than other "small n" studies because I used a network chain referral sampling procedure, which allows for small n representative studies of targeted hidden population (Respondent Driven Sampling). BOTEC's much larger non-random survey in WA produced similar results. Total consumption data coming out of WA, CO, and now Oregon are in line with my data. The large standard deviation on price paid per ounce in my study is because a sizable minority paid nothing (remember, this was 2012 and before dispensaries were legal). The structure of production was (in my opinion) the most important contribution, as it shows that Oregon's pre-legalization cannabis economy had characteristics of a robust network. I mention this in the abstract:





Rather than focusing on specific numbers, most policy makers are interested in the broader implications, such as: (1) taxes must be low to compete with preexisting informal markets, (2) barriers to entry for producers must be minimal, (3) formalization will lead to economic inequality (regardless of entry barriers) via larger scale production and consolidation, and (4) prohibition made most simple users into felons just by the informal nature of cannabis distribution. Don't miss the forest (larger social implications) for an insignificant tree (standard deviation of price) on this one. None of those price estimates are important anymore anyway, as they are nearly 5 years old now.




It's not necessarily about the number of growers, it is about the structure and composition of production today. The question was about trying to recruit medical patients so the poster could start producing more cannabis than regular people are allowed (4 plants); unless he is fully employed in another occupation, it means he's moving here to make money growing pot. The scale-up in average farm size and tighter vertical integration brought about by OLCC makes it very difficult for small farmers to compete in retail shops, which leaves the disappearing medical dispensaries, informal sales to friends and family (the old structure), or exporting out of state (with each of those options listed in order of legality). If the poster comes here and sets up a small medical grow and sells to dispensaries (while they still exist) and other Oregon residents, he will be contributing to oversupply and competing against a lot of the growers in this thread. Oregon has a finite cannabis demand and it’s pretty small compared to what we produce. Do you have skin in the game? Family to support? Care about small craft farms who have been doing their thing for 40 years, but are getting squeezed out? All of those change affect point of view and advice to others.



I was wrong; it was Honest Tea, not Snapple. I live in the Willamette Valley dude, pretty sure it will be a mud pit before a dust bowl. I wish everybody in Oregon grew their own; that's been my life work.

oh snap.....

 

[LowFalutin]

'bout damned time...

Oregon bill would make it illegal to fire someone for off-duty marijuana use

A bill introduced in the Oregon senate would mean no more tests for cannabis use as a condition for employment and no more fear that casual use of the now-legal-in-Oregon substance could cost you your job.

Senate Bill 301, first read on Jan. 7, "provides that conditioning employment on refraining from using any substance that is lawful to use in this state is unlawful employment practice."

While the bill doesn't explicitly state it refers to cannabis products, it was put forth by the Joint Interim Marijuana Legalization Committee, which seeks to address the fact that in a state where cannabis consumption is legal, it is also still legal to fire an employee who fails a test for cannabis.

Since the legalization of cannabis in Oregon, some people say they have been fired for off-duty use. In May of 2015, Cyd Maurer, 25, a morning weekend anchor at Eugene's ABC affiliate, said she was fired for failing a drug test after getting into a minor fender-bender while on assignment for KEZI.

This bill would make marijuana use legally similar to tobacco use, meaning as long as consumption doesn't happen during work hours or interfere with work duties, it would be illegal to fire someone or not hire someone based on casual use.

Since Oregon is an "at-will" employment state, anyone can be fired for anything not specifically protected under law. Alcohol use is not protected, but tobacco use is.

The bill allows exemption "if an applicable collective bargaining agreement prohibits off-duty use," so, if it passes, you'll want to check with your union before you light up.

http://www.oregonlive.com/pacific-n...ll_would_make_it_ille.html#incart_river_index

 

[Big Sur]

So, even using the products as specified by the OLCC/OHA, you can still fail lab testing? Amusing.

Amusing that Neem oil is on the Ag worker protection list for some products, but not for others. Seems like the list is rather inconsistent.

The Oregon Department of Agriculture, the Oregon Health Authority, and the Oregon Liquor Control Commission are seeking information from marijuana producers regarding the application of pesticide products containing pyrethins and piperonyl butoxide.

A copy of the joint announcement, which can be found on the OLCC Recreational Marijuana Program website, provides details on how producers can make available specific information on product usage.

Although some producers appear to be using pyrethrins and piperonyl butoxide successfully some samples of cannabis submitted by other producers have exceeded the OHA action levels. We want to figure out why.

Both of these pesticide active ingredients are in products listed on the ODA's Guideliest for Pesticides and Cannabis.

 

[Robrites]

Burn victim in Astoria explosion sues butane hash oil makers



A construction worker who spent a month in a Portland burn unit after being injured in a butane-fueled explosion in Astoria last fall has filed a lawsuit against the company that made the cannabis extract, the property owner and the company that sold the flammable gas used to make the product.
Jacob Magley, 34, of Portland is suing 11 businesses and three people for violations of workplace safety laws. He filed the suit in Multnomah County and is seeking $8.9 million in damages.
Magley was working as a contractor in the building when it exploded. The suit claims the company making the extract failed to keep butane from filling the room. He says the facility lacked adequate ventilation and exit routes, automatic sprinklers and gas detectors among other safety features.
According to the suit, he was not given fire retardant clothing or other protective equipment and was not warned about the dangers posed by butane.
Magley claims that Jason Oei, one of those named in the suit, consumed cannabis oil in a technique called "dabbing" while William "Chris" West handled butane. Magley alleges Oei's dabbing caused the explosion, which rocked the building on Oct. 19. West, too, was injured in the blast.
Amy Margolis, a lawyer for the pair, declined to comment Monday.
Making hash oil using butane can be dangerous. For years, the activity was unregulated and underground, carried out by home producers who often misunderstand the risks. The gas, a cheap and flammable solvent, is used to extract tetrahydrocannabinol, or THC, from marijuana flowers and leaves.
It can quickly fill an enclosed space, where something as ordinary as a pilot light can ignite a fireball.
The dangers led to a new state law that makes unlicensed production of marijuana extracts a felony. The provision is intended to target homemade butane hash oil operations and not commercial operations, which are regulated by the state.
Clatsop County authorities launched a criminal investigation into the explosion. That inquiry is pending. An official with Oregon OSHA, an agency whose mission is worker safety and health, said Monday that its investigation also is ongoing.
Meanwhile, Oei and West are have applied for licenses to produce and process marijuana for the recreational market, said Mark Pettinger, a spokesman of the Oregon Liquor Control Commission.
Pettinger said the agency is not processing the application until outside agencies complete their investigations. The outcome of those investigations could factor into whether the state issues a license, he said.
Magley's lawyer, Jonah Flynn, of Atlanta, Georgia, said Monday that his client suffered burns on his upper torso and that emergency workers arrived to find his skin "falling off."
The episode has caused Magley lasting trauma, his lawyer said.
"He's having a hard time," he said.
Flynn said Astoria Trading Co. is the parent company of Higher Level Concentrates, which at the time of the blast was on the Oregon Health Authority's list of state-authorized marijuana processors.
Flynn, a personal injury lawyer, also represented a Gresham man severely burned in a 2013 butane hash oil blast that killed his friend. That suit has been "resolved" and dismissed, Flynn said, adding that the terms of the resolution are confidential.

http://www.oregonlive.com/marijuana/...a_explosi.html

 

[Smoking Lamp]

Cannabis Shop Owners Sue Portland City Hall alleging favoritism in city licensing.

Cannabis Shop Owners Sue Portland City Hall alleging favoritism in city licensing.

http://www.wweek.com/news/city/2017/02/02/cannabis-shop-owners-sue-portland-city-hall-alleging-favoritism-in-city-licensing/

 

[Sluicebox]

Oregon just became a Sanctuary State. Going to get lots of new neighbors.

 

[Big Sur]

Oregon just became a Sanctuary State. Going to get lots of new neighbors.

What a joke. This state is going down the sewer so fast it is pathetic. It become a Latino, LGBTQ, and homeless Wonderland. The Oregon I grew up in is long gone now.

 

[Phenome]

What a joke. This state is going down the sewer so fast it is pathetic. It become a Latino, LGBTQ, and homeless Wonderland. The Oregon I grew up in is long gone now.

Yeah the homeless are flooding in no question, it's getting out of control

 

[Aota1]

Coming from humboldt, where there's a sizable homeless,/tweeker/dopehead population, I didn't realize how much bigger that was up here. I'd always heard of folks hanging around eugene and Portland but didn't know it was so prevalent. I was at the Eugene city council meeting where they discussed becoming a sanctuary city. My shop's ordinance was up for vote at the same meeting. A full hour and a half was taken up by citizens speaking in support of the sanctuary status. Very few, if any, spoke against it