Justice Department Formally Threatens State-Licensed Colorado Cannabis Providers

In December I blogged about rumors that the Obama Justice Department was finalizing plans to expand its recent crackdown on medical cannabis producers and providers to include state-licensed facilities in Colorado. Today, the federal government made good on its threats.

According to numerous media reports, federal authorities today issued warning letters to 23 state-licensed dispensaries in Colorado stating that “action will be taken to seize and forfeit their property” if they continue operating within 1,000 feet of a school. The letters, sent by U.S. Attorney John Walsh, say that the dispensaries have 45 days from today to close shop or face federal sanction.

It states, in part:

“Federal law prohibits the manufacture, distribution, and possession of marijuana. … (This) dispensary is operating in violation of federal law, and the department of Justice has the authority to enforce federal law even when such activities may be permitted under state law. Persons … who operate or facilitate the operation of such dispensaries are subject to criminal prosecution and civil enforcement actions under federal law. Moreover, because the dispensary is operating within 1,000 feet of a school, enhanced federal penalties apply.

… This letter … constitutes formal notice that action will be taken to seize and forfeit (your) property if you do not cause the sale and/or distribution of marijuana and marijuana-infused substances at (this) location to be discontinued.”

While the federal government in recent months has utilized similar tactics to close down cannabis providers in California and has also coordinated DEA-led raids of dispensaries in other states, most notably in Washington and Montana, today’s efforts mark the first time that the federal authorities have specifically targeted facilities that are operating explicitly under a state license. (To date, only officials in the states of Colorado, Maine, and New Mexico have formally issued licenses to authorized cannabis providers.) It is estimated that that some 700 state licensed dispensaries are presently operating in Colorado.

Once again, the federal government’s actions belie the administration’s claim that it only intends to target those medical cannabis operators that “use marijuana in a way that’s not consistent with the state statute.” In this case, the operations in question were grandfathered in under local or state regulations. They are acting in compliance with state law and explicitly with the state’s permission.

Nonetheless, the imprimatur of the state apparently carries little if any weight with the Obama administration, whose first priority in Colorado appears to be matters of zoning enforcement.

Legislating medical marijuana operations and prosecuting those who act in a manner that is inconsistent with state law and voters’ sentiment should be a responsibility left to the state and local officials, not the federal government. It is time for this administration to fulfill the assurances it gave to the medical cannabis community and to respect the decisions of voters and lawmakers in states that recognize its therapeutic efficacy.

The Next State In The Federal Government’s Crosshairs Is Colorado

In recent months, the federal Justice Department has engaged in concerted efforts to crack down on the proliferation of medical cannabis related activities in states that allow for its therapeutic use under state law, including California, Montana, and Washington.

Now, according to a CBS News report, the next state on the federal government’s ‘hit list’ is Colorado — arguably the state with the most comprehensive and stringent statewide regulations governing medical cannabis activities. These regulations explicitly license state-authorized cannabis dispensaries, of which there are now some 700 operating statewide.

Nonetheless, the imprimatur of the state apparently carries little if any weight with the Obama administration at this time — despite promises (reiterated before Congress just last week by US Attorney General Eric Holder) that such prosecutions are “not a (federal) priority” and that the Justice Department only intends to target those entities who “use marijuana in a way that’s not consistent with the state statute.”

Predictably, today’s CBS special report tells a different story.

Crackdown On Colorado’s Medical Pot Business On The Horizon
via CBS News Denver

Federal authorities are planning to crack down on the medical marijuana business in Colorado on a large scale for the first time.

Warning letters will be going out to dispensaries and grow facilities near schools, CBS4 investigator Rick Sallinger has learned. So far it’s not clear how soon that will happen.

Dispensaries that receive the letters will be given 45 days to shut down or move operations. If they don’t comply, they will be shut down by the U.S. attorney in Colorado.

The dispensaries who are set to be targeted are the ones that are located within 1,000 feet of schools. That measurement is being used because that distance already appears in federal law as a factor in drug crime sentencing.

The move comes after the Justice Department sent out a memo clarifying that marijuana has been and remains illegal under federal law despite what has taken place with state regulations. Colorado is one of 16 states where medical marijuana laws have been approved.

Many of the state’s dispensaries that are closer than 1,000 feet to a school have already been approved to be there under local laws. They usually have been grandfathered in.

… Robert Corry, an attorney who represents dispensaries, said medical marijuana operations are now strictly regulated under Colorado state laws.

“The federal apparatus here has better things to do,” said Corry. “My reaction would be the federal government is essentially declaring war on the voters of our state (who) passed a Constitutional amendment.”

U.S. attorneys in California recently announced in a separate medical marijuana crackdown that they would be targeting landlords who rent retail space to dispensaries, as well as dispensary owners themselves.

Does anyone really believe that this is an appropriate use of scarce federal resources? Or that these actions are in any way consistent with Obama’s public pledge to cease utilizing “Justice Department resources to try and circumvent state laws on this issue?” I didn’t think so.

If the federal government is truly concerned about the diversion of
medical marijuana or its potential abuse in states that have authorized it then it would be better served to encourage — rather than to discourage — statewide and local efforts to regulate these actions accordingly. The Obama administration’s enforcement actions in California, Colorado, and elsewhere will only result in limiting adults’ regulated, safe access to cannabis therapy. It will also cost local jobs and needed tax revenue, and likely result in hundreds — if not thousands — of unnecessary criminal prosecutions.

Legislating medical marijuana operations and prosecuting those who act in a manner that is inconsistent with state law and voters’ sentiment should be a responsibility left to the state and local officials, not the federal government. It is time for this administration to fulfill the assurances it gave to the medical cannabis community and to respect the decisions of voters and lawmakers in states that recognize its therapeutic efficacy.

Congressman Polis’ Grills Attorney General Holder About Fed’s Medical Marijuana Policies

Update: Huffington Post article and C-Span video.

I’ve spoken to two reporters today inquiring about Colorado Congressman Jared Polis’ medical cannabis-related questions to Attorney General Holder at a congressional committee hearing that was otherwise a ‘bloodbath’ for Holder—getting grilled about the guns and Mexico fiasco—when Polis, who is not a member of the Judiciary Committee, was allowed to ask Holder two questions about medical cannabis enforcement.

Generally written…

Polis first wanted assurances that Colorado’s medical cannabis dispensaries/cultivation centers compliant with state laws—unlike California’s medical cannabis businesses that are not regulated by the state—are not a Department of Justice (DOJ) target. Holder affirmed the basic tenets of the previous Ogden and Cole memos, and wouldn’t provide assurances, but, re-iterated the DOJ stance that enforcing medical cannabis laws, notably in a state like Colorado with its rules and regulations, and with limited federal resources at hand, is a low law DOJ enforcement priority.

The second Polis question was about banking and medical cannabis businesses in Colorado, where he pushed Holder to acknowledge that the DOJ is not placing a priority on interfering with state compliant medical cannabis businesses and banking concerns.

I assume there will be news and industry coverage later today and tomorrow about this unexpected, but informative exchange between Representative Polis and Attorney General Holder.

Current TV: Marijuana Prohibition In America Examined Tonight

The award-winning (and totally watchable) Vanguard series from Current TV examines Cannabis Prohibition in America tonight at 9PM (eastern) in ‘The War on Weed’ with not only an obligatory review* of western states’ medical cannabis laws (including California, Colorado and Washington), but, more notable for NORML, is the documentary’s critical review and juxtaposition to the western United States ongoing experiment with allowing medical access to cannabis–and the general cultural and political acceptance for cannabis in most of the western states–to that of the decidedly anti-cannabis attitudes and law enforcement practices for decades in supposedly ‘liberal’ and ‘tolerant’ New York City, where 50,000 cannabis consumers a year are arrested, about ninety percent black and Latino.

*Obligatory, because starting at 10PM (eastern) on December 1st is the Discovery Channel’s Weed Wars, a new series that looks at the fine legal line between compassion and big commerce regarding California’s medical cannabis industry.

Contrastingly, Discovery Channel is also premiering that same week a new series called Moonshiners.

Latest Casualty In Obama’s War On Pot: The First Amendment

The First Amendment is the latest casualty of the Obama Administration’s stepped up war on cannabis.

On Wednesday, the US Attorney for the southern district of California, Laura Duffy, announced her intent to target media outlets — in particular alt-weeklies like the San Diego Reader and the San Francisco Bay Guardian — that accept advertising dollars from medical cannabis operations.

Feds to target newspaper, radio marijuana ads

via California Watch

U.S. Attorney Laura E. Duffy, whose district includes Imperial and San Diego counties, said marijuana advertising is the next area she’s “going to be moving onto as part of the enforcement efforts in Southern California.” Duffy said she could not speak for the three other U.S. attorneys covering the state but noted their efforts have been coordinated so far.

“I’m not just seeing print advertising,” Duffy said in an interview with California Watch and KQED. “I’m actually hearing radio and seeing TV advertising. It’s gone mainstream. Not only is it inappropriate – one has to wonder what kind of message we’re sending to our children – it’s against the law.”

… Duffy said she believes the law gives her the right to prosecute newspaper publishers or TV station owners.

“If I own a newspaper … or I own a TV station, and I’m going to take in your money to place these ads, I’m the person who is placing these ads,” Duffy said. “I am willing to read (the law) expansively and if a court wants to more narrowly define it, that would be up to the court.”

Whether or not Duffy’s unconventional interpretation of federal law has any legal merit is, of course, beside the point. Her intent is to create a climate of fear that is so pervasive that media outlets ‘willingly’ cease accepting advertising revenue from dispensaries and other like-minded business.

Such threats are nothing new for the federal government, which in recent months has successfully utilized similar tactics to coerce state and local banks to drop their accounts with state-sanctioned marijuana-related businesses and to intimidate landlords who rent their properties to tenants involved in medical cannabis facilities.

Yet despite the government’s heavy-handed behavior, California bureaucrats have remained largely — and disappointingly — silent regarding the Justice Department’s intimidatory tactics. That is why it is more important than ever that you send the Obama Administration a clear and consistent message here.