“Accela” (FULL EPISODE) – Social Equity: Up in Smoke (Episode 2)

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EPISODE 2 SYNOPSIS

Social Equity: Up in Smoke – Accela is the second installment of WebJoint’s documentary series highlighting Los Angeles’s Social Equity Program. 

The fallout stemming from the DCR’s Phase 3, Round 1 retail licensing process left many applicants confused; their application status was left at an indefinite standstill. With over 800 applicants waiting for answers, the Department of Cannabis Regulations (DCR) has faced scrutiny, a third-party audit, and an applicant-led lawsuit in the last 6 months. To ameliorate its relationship with the community, the DCR proposes several policy reforms to ensure a more equitable retail licensing process moving forward.

But how did we get here?

This documentary delves deep into the fallout of Phase 3, Round 1 of LA’s Social Equity Program through the journeys of Jumane Redway (the first application to be submitted), Evelyn Scott (who would’ve received a license had it not been for the normalization process), and Kika Keith and Madison Shockley (applicants and community leaders who took the fight directly to the city). This episode also features expert witness, Jason Frankovitz, who analyzed the technical faults of the licensing process. 

Their stories, collectively, shine a light on what is often left in the dark: the policy shortcomings of LA’s Social Equity Program, the severity of Accela’s technological mishap, and the DCR’s Normalization Process to ensure fairness.

 

BACKGROUND

We knew that as WebJoint, one of just a few minority-owned, minority-ran cannabis tech companies in LA, we had an obligation to the community to help them fight for equitable opportunities and participate in California’s cannabis industry. We thought we would be most valuable to the community if we created the forum for Social Equity Applicants to share their experiences with the rollout of LA’s Phase 3, Round 1 Social Equity Program. Ultimately, our goal with this project is to be a collection of stories that (1) mobilizes the community to continue the fight for equity, (2) humanizes the applicant experience, and (3) local governments to think critically about what true, equitable policy means for communities of color. 

 

We’ve been working towards a collective vision of equity alongside community organizations/community leaders across LA for the last 10 months. To this day, we’re building coalitions. We look forward to showcasing these stories with Social Equity: Up in Smoke

 

MEDIA INFO

 

About WebJoint:

WebJoint is a METRC-certified eCommerce and inventory management software provider for over ⅓ of California’s cannabis delivery services, providing automated driver dispatching, geofencing, real-time delivery tracking, compliance features and much more.

To learn more about WebJoint, please visit https://www.webjoint.com/

About SEOWA:

Social Equity Owners & Workers Association (“SEOWA”)  is a collective of Social Equity Applicants that share a passion and commitment to making sure the cannabis industry provides a chance to repair the destruction caused by the War on Drugs to minority communities through inclusion and ownership within the industry. 

To learn more about SEOWA, please visit https://www.seowa.org/

Media Contact: 

Antonio Javiniar

antonio@webjoint.com

“Accela” (TRAILER) – Social Equity: Up in Smoke (Episode 2)

The second episode in our series follows the story of various social equity applicants and their troubles with the Accela platform while applying for cannabis licensing. A tech expert weighs in and we dive deeper into the normalization process.

 

Full episode premieres September 1st, 2020!

Connecting Cannabis: Aaron Riley (Cannasafe Testing Lab) (Full Interview)

Aaron Riley, Founder of Cannasafe, joins Hilart “Art” Abrahamian (COO, WebJoint) for a conversation on testing products in California. Cannasafe is one of the largest labs in the state have established themselves as one of the most trusted testing facilities carrying an ISO certification. Aaron answers questions regarding failed products that reach the market (and who’s liable), how your neighbors can be responsible for failed testing, and of course, compliance. You can view the entire interview here!
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Cannabis Lawyer, founder of Frontera Law Group, and partner at Vicente Sedersberg, Jeff Welsh, joins WebJoint COO, Hilart “Art” Abrahamian, for an in-depth conversation on cannabis law.  The show’s topics include social equity, phase 3 applications, compliance violations, and even starting a cannabis brand without a license. There’s a lot of useful information in this one and Jeff even answers questions sent over Instagram. View the full episode here:

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Connecting Cannabis: Sonia Luna (Cannabis CPA) (Full Interview)

Cannabis CPA and founder of Aviva Spectrum, Sonia Luna, joins Hilart “Art” Abrahamian (COO, WebJoint) for a deep dive discussion about the complex financing policies that both cannabis deliveries and brands face. Luna covers topics like compliance costs (BCC), structuring a proper loyalty system, and the ever-changing cannabis tax(es).  View the full episode here:

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As of June 30th, brands’ cannabis products will most likely be non-compliant

Yes, you read that right. As of June 30, 2019 many brands’ products will be non-compliant due to the updated package regulations by California’s BCC. The California Department of Public Health has mandated that “any inhalable cannabis product” should be marked with the universal symbol. This means that hardware, like vapes and vape cartridges, will now need to be labeled with the universal symbol if they want to remain compliant and continue to be sold in retailers. Previously, only the packaging itself needed to be labeled.

This is the timeline of execution for the new product requirements:

  • •Cannabis and cannabis product packaging that was compliant under the emergency regulations but is no longer compliant under the permanent regulations can be transferred to a licensed distributor until June 30, 2019.
  • •Licensed retailers may sell these cannabis products through December 31, 2019.

If you’re a retailer, you still have a little more time to get rid of the products, but are expected to destroy the items after December 31, 2019.

 

 

Now the question is why? The BCC hasn’t justified this new regulation ultimately leaving brands in the air. The Bureau is now expecting brands and manufacturers  to re-invest significant amounts into re-labeling products that were compliant a few weeks ago. Ultimately, this hurts the players who are trying to operate correctly and props up those who don’t abide by (or have the resources to abide by) the constantly-evolving arbitrary regulations.

We at WebJoint feel your pain, this is reminiscent of last year’s switch from whole weight to pre-packaged items – it put brands and retailers in a difficult position, costing them time and money to stay compliant with regulations. So, we compiled all the assets from the BCC that outline the expectations for compliant product packaging and labeling. 

We also did some graphic design work for the universal symbol, as the BCC only provides a JPEG of the logo. *sigh*

 

 

Although, this guide is in respect to branding your cannabis delivery, we can still apply those concepts to the packaging.

Disclaimer

The materials made available in this blog are for informational purposes only and not for the purpose of providing legal advice. You should contact your cannabis attorney to obtain advice with respect to any particular issue or problem.

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METRC and Your License: When should you be reporting?

When should you be reporting to METRC?

The licensing structure for the California cannabis industry is complex and confusing. Mix in the tech infrastructure of METRC and you’re thrown deeper into confusion. 

If you’re a cannabis delivery service and have struggled with the ambiguity of the BCC, you’re not alone. Many cannabis deliveries are fighting to stay licensed—and operating in confusion is anything but helpful. There is a large grey area and due to a lack of information being available to non-applicants, we can only help with the resources made available to us.

METRC can be very confusing if you've never used it before.

 

 

 

 

 

NOTE: All credentialed CCTT–METRC system users have access to the “California Transition Period Guide,” which outlines how annual and provisional licensees will process and report transfers to and from temporary licensees. (CDFA x BCC FAQ)

However, we wanted to share what we do know in order to better service our delivery clients in this time of transition to compliance.

Temporary Licenses and METRC

Most cannabis deliveries are currently operating under this license type. The State stopped granting these licenses as of December 31, 2018. Many businesses are now in a state of limbo awaiting their annual license while unable to operate because the temporary license has expired.

Retailers operating under temporary licenses are not required to report data to METRC, but are expected to do so after transitioning to a provisional or annual license.

 

Provisional Licenses and METRC

The provisional license was granted to those operators who had submitted annual applications to the BCC, but due to administrative delays on the State’s end, were not able to get processed before the expiration of the temporary license.

Under the provisional license, retailers are expected to report to the state’s track-and-trace system, METRC. If you have a provisional license, it also means you have applied for the annual license, hence you are eligible to receive training on METRC.

five common compliance violations for cannabis deliveries

Annual Licenses and METRC

METRC is transitioning to full scale in California. The cutoff to apply for temporary licenses was December 31, 2018 according to the BCC Order of Adoption. Any applicants post-date will have to apply directly for this type of license. The annual license is the ultimate goal for all cannabis deliveries. If you are a new applicant, meaning you have not received a temporary license, you are required to receive the “Account Manager System Training” program for METRC. This is mandatory. The training will allow for the individual to order tags, record inventory, and train other staff members on using the compliance system. Keep in mind you need an application number to register for this training.

You will have 30 days after receiving your annual license to complete the training and source a METRC-validated software (i.e. WebJoint) to run your business on. Because staying compliant is a crucial component of your delivery’s success, we recommend having a dedicated compliance officer or inventory manager who has extensive knowledge on compliance. The application process is expensive and tedious enough—risking your license due to an administrative hiccup is the last thing you need.

How WebJoint Helps

WebJoint is a METRC-validated softwareWe have made our software around all the compliance points METRC looks for. Data on driver location, inventory management, sales, etc. are relayed to METRC in real-time. Our software eliminates the need for cannabis deliveries to “double input” data into their management software and METRC. Operate your cannabis delivery efficiently and compliantly with WebJoint.

Author’s Note

Though cannabis retailers are expected to report to METRC during their provisional license period, there has been a grey are in terms of enforcement, hence the “30 day rule” mentioned above is put in place to make the annual license reception the hard cut-off point for not reporting to METRC. Please keep in mind that the BCC does have the power to audit any retailer at will. Seek legal counsel from an attorney for any further questions.

Disclaimer

The materials made available in this blog are for informational purposes only and not for the purpose of providing legal advice. You should contact your cannabis attorney to obtain advice with respect to any particular issues or problems.

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Connecting Cannabis: Jonathan Chia (Veteran & Cannabis Entrepreneur) (Full Interview)

 

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Connecting Cannabis: A Conversation with Ian Daily from Chill Distro (Full Interview)

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