As a country, the U.S. is experiencing what can best be described as the “age of distrust.” While public distrust in institutions has been escalating for at least a decade, according to the annual Edelman Trust Barometer which has tracked trust in media, governments, businesses, and nonprofits since 2000. Social unrest and a global pandemic have escalated this distrust. Never has the public eyed institutions or businesses with such suspicion.
Meanwhile, in our industry, the vaping crisis of summer 2019 hit our industry below the belt, aided by some bad actors knowingly flooding the illicit market with products that couldn’t meet stringent state testing. That crisis created a crisis of confidence in the overall cannabis industry-leading it into a bleak period which was only partially buoyed by the declaration that dispensaries were considered “essential businesses” during the COVID-19 pandemic, pro-cannabis outcomes in both voting booths and Congress, many thanks to NCIA’s national and local efforts. By supporting NCIA, you’re signaling industry commitment and that you value growing trust within the industry.
Now, against the national backdrop of distrust and a COVID-19 vaccine that offers a glimmer of hope, it’s time to evaluate ourselves and our industry’s actions. Never has it been more crucial for all brands, but particularly our industry, to lean into actions and communications which consistently and powerfully earn the trust of investors and consumers. As an industry, we’re on an important precipice, what we do next will either ensure our credibility or tarnish it for years to come.
Consumers (and therefore investors) are looking at brands in a more holistic manner. Trust will be the single most valuable brand attribute.
Trust is defined on two spectrums: competence and ethics.
For CEOs, CMO’s, and experts in our industry, the time is now to act and communicate from a place of authentically aligned communications. This alignment will require hyper levels of empathy and a constant pulse on the state of affairs affecting your customers. Consumer behavior is in flux now.
The COVID-19 pandemic has changed consumers and now is the time for brands to align. According to the Edelman Barometer special report, Brands Amidst Crisis:
The role of brands in reflecting the consumer’s desire to be viewed as a tastemaker or trendsetter has decreased 9%
Up 38% is spending time with family
86% of consumers expect brands to solve both societal and personal problems, including proper treatment of employees and making product in a domestic market
The only values more important than trust to consumers are price and quality
Because consumer behavior is in flux, it’s never been more important to ensure internal and external values and communications align. Ironically, ensuring alignment supports the flexibility needed to respond quickly to changing behaviors or unexpected upheaval.
Aligned communications means we act internally and externally in a consistent and emotionally intelligent manner that earns trust. It’s not just good for our industry, trust in brands has very real bottom-line implications including increased sales, increased investor opportunities, and reduced customer acquisition costs. In fact, according to Edelman Trust Barometer, high trust consumers have 75% more brand loyalty.
Outstanding packaging and even quality products are the minimum expectations for today’s brands. But even those choices come under scrutiny from consumers if they don’t mirror consumer expectations and lifestyle. Therefore, earning trust starts at the very beginning. The earliest choices are powerful signals to consumers about brand values.
It isn’t enough to simply sponsor a campaign or align with a social movement. While those choices can be powerful quivers in your trust arsenal, it feels and sounds hollow when the brand is suddenly thrusting itself into a conversation without looking at itself first. Consumers are increasingly aware of “trust washing.”
92% of employees expect their employer’s CEO to speak up for issues ranging from income inequality to diversity and training for future jobs. An aligned trust-based strategy starts on the inside. Take a solid look at the ethos and ethics within your own company.
What are your company’s values?
What do you stand for?
How do you signal trust internally and how do you reward it?
Does your internal communication stand for your values?
The reason this internal step is critical is no matter what, your brand ethos is distilled into consumer interactions and communication, whether those communications are with dispensary workers or directly to the consumer, the experience will always stay with the brand. Imagine a dispensary worker making recommendations to a new-to-cannabis buyer, naturally, the dispensary worker has a huge amount of influence on the consumer’s impression of a new brand. And new-to-cannabis buyers are most likely to be loyal to their first brand, assuming the product meets expectations.
Personal experience is the number one way to build trust with consumers. 59% of customers say personal experience matters the most.
What consumer interactions signal trust?
How do you manage poor reviews?
How do you handle customer inquiries?
How does your owned media reflect not only your brand values but those of your customers?
Personal experience is absolutely about product experience and brand interactions. Brand interactions at events will take on more importance in cannabis. Consumers will want to engage in an experiential way with cannabis brands and it won’t be at cannabis events exclusively, consumers will expect to see cannabis brands in all the same places they see alcohol brands, even if sales and sampling aren’t available, which means experiences will need to be multi-sensory and strongly personal. Choose your experiences carefully based on your brand audience and ethos.
Earned media is second only to personal experience incredible trust-building. During the COVID-19 pandemic, trust in publications increased by 7%. Brands should look for opportunities in earned media that reflect their values. Branded content is another area where brands can use the credibility of publications.
Experts are still considered credible sources (52%) and they far surpass celebrities (35%) and influencers (36%). As you consider brand strategies in 2021, take a careful look at who you’re leveraging and what role they play. Choose your experts carefully and ensure they are fully vetted. NCIA’s Marketing and Advertising Committee is developing an “experts directory” of carefully vetted industry professionals, this will be a key resource not only to event organizers, but CEOs and CMOs looking for credible, authentic experts.
Our industry has so much to offer consumers, we provide very real opportunities for consumers to enhance their lives. We have been active on numerous social justice fronts from the very beginning. We may come from a historical place of rebellion, but often, even that rebellion came from a place of empathy and not just income. Consumers today are responding to companies who double down on trust and an aligned brand value system. There’s every reason to think the cannabis industry can do this better than anyone. Together, let’s lean into our values and seed trust not just in our companies, but in our industry.
*All statistics come from Edelman Trust Barometer 2020, unless otherwise noted.
Tara Coomans is the CEO of Avaans Media (formerly known as Primo PR), which has been working with hemp and THC brands and services since 2015 from startup through IPO. Founded in 2008, Avaans Media brings a digitally forward and purpose-driven perspective to public relations. Avaans Media is based in Los Angeles with clients and team members distributed around the country including Washington D.C., New York and Denver.
Coomans is on NCIA’s Marketing & Advertising (MAC) committee and leads the MAC Experts Directory subcommittee for 2021. Coomans is a frequent writer and speaker on public relations, marketing, and social media topics.
Valentine’s Day is coming. To some, it will be a wonderful day filled with candy and gifts and expressions of devotion. To others, it feels like an obligation designed to enrich greeting card companies, jewelry stores, and florists.
Whichever side of the fence you fall on, the fact is, this is one of the most important periods for retailers. According to the National Retail Federation, Valentine’s Day spending in 2020 totaled about $27.4 billion.
And with all this spending, brands really matter.
For instance, who wouldn’t want to get a silver or white gold necklace from Tiffany? Truthfully, it’s not that different from other necklaces on the market that are just a fraction of the price, but those don’t come with the Tiffany name and that iconic powder blue rigid box packaging.
The Unboxing Makes It Special
Beautiful packaging provides the foundation for companies to build a luxury brand and command higher prices in the marketplace. It’s how Harry and David can charge $40 for the box of 9 pears I received for the holidays.
I know their fruit is top of the line quality, but I just checked and I can get pears for about a buck each at my local Whole Foods. That’s more than just a bit of a difference!
What makes the price palatable and the product premium is the packaging.
Steve Jobs knew this and insisted that Apple products were always creatively packaged. “Packaging can be theater,” he said. “It can create a story.”
A beautiful package leaves a lasting impression. When a consumer has a hard time throwing away the box a gift came in, it’s a sign your brand is on the right track. How many of you kept the box your iPhone came in? I know I did and probably still have it.
Whether it is the precise fit of Apple’s packaging that makes you wonder how all those items fit so perfectly inside, or the fresh-off-the-farm feeling you get when opening a gift from Harry and David, luxury brands rely on premium packaging to help convey the idea that they are truly special and worth the higher price.
Cannabis Love
While Valentine’s Day isn’t as big a holiday in the cannabis world as 420, it does generate an impressive boost in sales.
Point-of-sale data from the cannabis software firm Flowhub and analytics company Headset found that Valentine’s Day spending increased among recreational consumers with sales jumping 20-32 percent over a typical day. Infused “mocktails” had the largest jump with sales rising 596 percent above normal.
Bath products and salts increased by 186 percent. Massage oil and lubricant sales rose by 88 percent.
Infused chocolates increased 33% and infused gummies rose 43%.
And the single most important factor in purchasing decisions, whether in the mainstream or the cannabis sector, is branding.
An article in Civilized said that cannabis products can be made exceptional and more valuable by communicating their distinctive properties through the branding process.
“Branding in the cannabis industry is what makes an agricultural product and the business that refines the plant more distinctive,” the article stated. “Branding creates an emotional connection, and when done effectively, branding can prevent products or services from failing.”
And with limited options to build a cannabis brand through traditional media, the packaging becomes even more vital to the product’s success.
The importance of packaging cannot be overstated. It is one of the strongest factors that influence a purchasing decision. It provides the first impression of the product to the consumer and it is the last thing they see before making their selection.
Not only can good quality packaging grab a consumer’s attention, but it can also communicate a brand’s messaging and convey key competitive differences. Conversely, some otherwise excellent products fail due to inferior packaging.
Therefore, it is vital that packaging is carefully designed so that it builds the brand, stimulates sales, conveys key messaging, and generates consumer loyalty.
So, this Valentine’s Day, whether you celebrate with cannabis or candy or not at all, remember that brands matter. People want gifts from the brands they know, trust, and aspire to own.
Personally, I am hoping to luxuriate in a tub filled with infused bath salts while opening a special little blue box (Jon, are you listening?).
Happy Valentine’s Day!
Kary Radestock, CEO, launched Hippo Premium Packaging in March 2016 offering an array of services to the cannabis market, including: Marketing Strategy, Brand Development, Social Media, Public Relations, Graphic and Web Design, and of course, Printing and Packaging. Radestock brings over 20 years of award-winning print and packaging expertise, and leads a team of the nation’s top brand builders, marketers and print production experts. Hippo works with businesses looking for a brand refresh or an entire brand development, and specializes in helping canna-business get their products to market in the most beautiful and affordable way possible. Radestock’s Creative Collective of talent and experts, allows her to offer world-class solutions to support the unique needs of the Cannabis Industry.
Committee Blog: The Language Of the Cannabis Industry – Developing A Commercial Manufacturing Glossary
The language of the cannabis industry is crude. It’s not that the cannabis industry relies on vulgar or offensive words, but rather that modern cannabis vernacular remains raw, unrefined, incomplete, and sometimes contradictory, even in mature markets. Perhaps most generously described as “imprecise” or “fluid,” the current lexicon is changing as quickly as the industry, but not always for the better. Consistent and universal terminology are hallmarks of strong industries. As the cannabis industry (including both high-THC “marijuana” and low-THC “hemp”) continues to grow and prove its legitimacy, it is critical that everyone is speaking the same vocabulary.
Defining the issue
Out of necessity, the language of the cannabis industry took root in the dark. Decades of prohibition followed by state-led regulation has resulted in a fractured vocabulary where terms-of-commerce have fuzzy boundaries. The current landscape of murky terminology can inject ambiguity into everyday transactions and, in the worst of circumstances, mislead consumers. As some industry terms coalesce in particular regions, for example, other terms take on different meanings around the country. It is not a problem unique to the cannabis industry, but with its regulatory history, rapid product advancements, and diverse consumer base, the NCIA’s Cannabis Manufacturing Committee (“CMC”) felt it time to start a conversation about the words that define the industry.
With legalization comes a mass-consumer base and new forums to joust for consumer attention. Retail shelves, product packaging, and commercial advertising are the new arenas where cannabis companies try to describe their product to consumers and differentiate their brands from others. Out of this scrum comes a new marketing jargon that can be difficult to decipher. Shatter, crumble, butter, wax, sauce, diamonds, distillate, isolate, broad-spectrum, full-spectrum, partial-spectrum… and that is just in one section of the dispensary. Indeed, a huge swath of cannabis consumers fall into the infrequent or casual consumer demographics for which these terms mean next to nothing.
What’s the problem?
This linguistic haze is felt acutely in the manufacturing link of the supply chain. Manufacturing is the relatively nascent segment of the industry that converts raw cannabis plants into various medical, adult-use, and industrial products. In just the past two decades, new technologies have produced a glut of new products, each of which needs to be called something. But those new terms have ambiguous definitions that are easy vehicles for confusion. And where confusion is prevalent, both consumers and companies suffer.
For many cannabis customers, trying to decode a dispensary menu is like reading in an alien language. They frequently must rely on budtenders and marketing materials to understand some products’ basic characteristics. And even if they manage to become fluent in one dispensary’s menu, they may still find it difficult to predict how that menu will translate to other retailers across the country. The lack of vocabulary standardization would be untenable in the food or beverage industries. In the cannabis industry, where patients may rely on specific products for medical treatment, consumers should have a uniform vocabulary to describe products.
That challenge is not limited to retail consumers. Language is critical to the smooth functioning of intra-industry business relationships. As in any other industry, cannabis business relationships are far more successful when the parties’ expectations are aligned. When a dispensary orders tens of thousands of dollars in shatter, crumble, distillate, and tincture, they have certain expectations about the products they will receive. Even experienced extractors, operators, and executives have different understandings of where some products end and others begin.
Ambiguity in the commercial arena can lead to big problems. Among the best-case scenarios, a miscommunication results in a dissatisfied customer. More serious disagreements may require costly replacement shipments or refused deliveries. Of course, if the stakes are high enough and both parties are adamant in their positions, a linguistic quarrel may become a courtroom duel. Some advertising litigation, such as for “Refined Live Resin” vape cartridges, is already working its way through the court system. When it comes to cannabis terminology, fuzzy boundaries are not a standard the industry should embrace. But leaving cannabis industry terminology to the mercy of courts and regulators also holds little appeal.
And so…
…the CMC set out to create a working glossary. The goal of this document is to get the industry on the same page with published terminology standards as best understood by the NCIA’s Cannabis Manufacturing Committee. These standards are intended to facilitate commerce within the cannabis industry by increasing consistency and decreasing confusion.
The CMC developed a list of the most common terms that are currently utilized in the manufacturing segment. While the committee included some broad terms applicable to the industry at large, the focus was on those terms that most directly relate to cannabis extraction and refinement. From that list of industry terms, the committee drafted definitions that attempt to capture how those terms are currently being used throughout the legal cannabis industries. The CMC then shared those draft definitions with as many practitioners as it could to get a broad selection of perspectives. Wherever possible, the CMC sought to be inclusive of regional variations and note instances where terms are exceptions to a generally understood meaning. But the CMC understands that neither this process nor any other is guaranteed to represent all corners of an increasingly complex industry.
The document is not meant to be the ultimate word on cannabis terminology, but rather a snapshot in time and the starting page for a discussion about what the words of the cannabis industry should mean. Importantly, these definitions are the CMC’s attempt to capture how the terms are currently used, not how they should be used. Indeed, there are several well-qualified bodies debating the future of cannabis nomenclature, including ASTM’s D37 committee and the Emerald Conference.
Along with publication of this glossary, the NCIA’s Cannabis Manufacturing Committee is inviting comments from the entire cannabis community. Your constructive comments are a crucial part of forming the vocabulary of an industry. The CMC’s intent is to revisit these definitions approximately every calendar quarter, adding, revising, and annotating as new terms are invented and meanings inevitably shift.
Paul Coble is the founder and CEO of Thalo Technologies, a veteran intellectual property attorney, Vice-chair of the NCIA’s Cannabis Manufacturing Committee, and Chair of the Nomenclature Subcommittee.
The CMC focuses on reviewing existing business practices and state regulations of concentrates, topicals, vaporizers, and edibles, ensuring the manufacturing sector is helping shape its destiny.
Member Blog: 6 Human Resource Tips For Your Cannabis Company
The cannabis industry has been growing exponentially over the last few years and plenty of job opportunities are coming with it. As businesses grow, they need to increase staff… and that takes time and money.
Not only do companies have to find and interview clients, because of all the legal matters tied to the industry, they also have to run background checks. The onboarding process and paperwork is another important matter to be dealt with.
Cannabis businesses must stay on the right side of the law by making sure their hiring process is done correctly, and that’s where human resources comes in. Here are some human resource tips you should be aware of when you are hiring to meet your company’s needs.
Considering Partnering with an HR Company
If you don’t have an HR department, hiring one comes with its own set of complications. Instead of bringing on yet more employees, considering partnering with an HR company that offers these services.
There are many HR companies that specialize in working with cannabis companies. They are familiar with all the legal requirements and they will make sure that all your I’s are dotted and your T’s are crossed. They also have advanced software to ensure processes are as efficient as possible.
Know About Upcoming Changes in Federal Banking and Payroll
For years, the legal gray areas associated with cannabis companies kept them from having access to federal banks, mortgaging and financing. Now federal policymakers are coming closer to passing legislation to give businesses access to federally insured banks. Once that occurs payroll processing will become easier.
It is advisable to partner with an HR company that is aware of what the new legislation will entail so they can make the transition as seamless as possible.
Each Employee Should Know What’s Expected of Them
Every company should communicate with employees so they know exactly what’s expected of them. This is especially important in a cannabis company where there are stricter rules and regulations. If an employee does not follow the proper procedures, the company may have to deal with legal issues.
An employee should be aware of their responsibilities early on. This should be clearly explained in the job description and it should come into play in the training. Additional materials and meetings should be provided if updates are made.
Run Background Checks and Make Sure I-9’s are Filled Out
When an employee is hired, he or she must complete an I-9 Employment Eligibility form. This ensures their identity and ability to work in the United States. It is necessary in every industry. The form must be held on to for a few months and it may be asked for during an audit.
A background check is not always necessary but it’s a good move, especially in the cannabis industry. A clean background check gives you the confidence in knowing your employee will be honest and competent.
Classify Employees Correctly
A cannabis industry typically has a variety of employees that can include part-time, full-time, 1099 contractors, seasonal, interns, and so on. Seasonal jobs are especially common as trimmers and holiday sales reps may not work for the company year-round.
It is important to know how each employee should be classified so you can give them the proper paperwork during the onboarding process.
Here are some steps you should take to ensure you are classifying your employees correctly.
Know the Difference Between Employees or Independent Contractors: If you are not sure how to tell the difference, there are resources available that can provide you with information.
Know the Difference Between Exempt and Nonexempt Employees: Exempt employees are entitled to overtime while nonexempt employees are not. Their status depends on the type of work they do and how much they make. Different states handle this differently.
A good HR company will help you classify your company correctly to keep you from incurring penalties.
Encourage Employee Retention
The hiring process takes time and money. In order to avoid hiring new employees, companies should integrate fair practices within the workplace. This includes:
A Smooth Onboarding Process: Employees should be made to feel welcome during the onboarding process and they should be well trained so they know what’s expected of them.
Create an Employee Handbook: This will provide additional clarification concerning an employee’s duties and the workforce procedures.
Pay a Fair Salary: Compensating workers fairly will boost retention.
Offer Opportunities for Upward Mobility: Workers should be given opportunities for promotion as well as training that can help them advance in their career field.
The cannabis industry is growing in leaps and bounds. If your company is expanding, these tips will ensure that your hiring and payroll processes are above board. Which practices do you enforce to avoid penalties in your cannabis business?
Jacob Carlson is the Co-Founder and CEO of EzHire Cannabis. EzHire is a talent engagement platform designed for the cannabis industry. Jacob is a serial entrepreneur having previously co-founded a corporate event service (Just Enjoy!) and social media automation tool (RapidCrowd), and he is primed for scaling his next venture with his team of technology veterans.
Hiring in the cannabis industry is hard, EzHire Cannabis makes it easy. We help businesses in the cannabis, CBD and hemp post jobs, review qualified candidates profiles with video interviews and share them among their team. If you are tired of weeding through thousands of unqualified applicants or struggling to find someone with specific experience, we can help
Committee Blog: Future-Proofing Your Business – 2021 Series Premier
The future is coming and the cannabis (marijuana and hemp) industry is uniquely positioned to offer innovative approaches to best management practices in its manufacturing sector. In 2021, the National Cannabis Industry Association’s Cannabis Manufacturing Committee formed a new group focused on addressing sustainable practices, legal protections, and policy considerations to future-proof your cannabis manufacturing business. The series, Future-Proofing Your Business, will consist of blogs, podcasts, and expert panel discussions focused on providing insight into the coming regulations, processes, facilities, and consumable products.
Extracts
With the coming vaping emissions and vape product potency regulations, the Future Proofing subcommittee will offer their expertise on what to expect and what manufacturers can do to support compliance and help protect the environment and public health. The outbreak of vaping-related respiratory illness in late 2019 demonstrated the damage a few bad actors can do in a marketplace where regulated and unregulated producers compete for consumer dollars. The committee will discuss these issues and more as manufacturers and regulators work together proactively to protect consumer health.
Processes
Manufacturing processes are evolving as the scientific understanding of cannabis consumables and their various effects and treatments deepens. In their efforts to protect environmental and worker health both inside and outside of the processing area, manufacturing best practices are changing. Regulators are also beginning to determine the standardization of these various processes in an effort to retain product quality without jeopardizing human and environmental health and safety. And new forms of competition will demand an increased focus on protecting intellectual assets. This second part of the Future-Proofing Your Business series will unpack sustainable manufacturing process design including software, equipment, and materials offering recommendations for regulatory approaches.
Facilities
Building on the processes deployed in the future of manufacturing cannabis (marijuana and hemp) products, facilities will also need to consider more efficient design strategies to reduce the use of energy & waste, increase product safety, and safeguard worker and community health. The rapid pace of energy efficiency technologies development for all utilities means most industries, not just cannabis, are playing catch up. Automation is redefining the best practices surrounding product and employee safety. Increasingly stringent testing standards are demanding greater care for waste and community health. The committee will offer their insights into the technologies and practices that are becoming popular in this multi-industry-wide push for sustainability.
Biosynthetic Manufacturing
The final topic to be addressed by the new Future-Proofing subcommittee in their 2021 series, will take a detailed look into the future of manufacturing techniques, specifically the use of biosynthetic manufacturing and how this will impact the industry. Tune in to learn more about bioreactors and their application for the concentrate market and genetic modification to cannabis (marijuana and hemp) consumable products.
Prepare to check out the first part of this integral Future-Proofing Your Business series brought to you by the Cannabis Manufacturing Committee.
Coming, February 2021.
NCIA Condemns Recent Insurrection and Some GOP Lawmakers’ Attempts to Undermine American Democracy
The National Cannabis Industry Association condemns the actions of violent extremists last week in their efforts to undermine a free and fair election, fomented by the divisive and patently false rhetoric of the President and numerous elected officials.
We are still trying to process the madness we saw unfold mere steps from our office on Capitol Hill. Like many Americans, we watched this attempted coup in horror and worried about the future of our country, our Constitution, and the safety of our loved ones and fellow staff.
We mourn the lives lost in this violent attack brought to our nation’s capital. We also hope this entirely avoidable tragedy will serve as the day of reckoning for all those who for too long have sought to divide our nation in order to serve their own political interests and those who have enabled them.
Just as appalling was the disparity in the reaction from law enforcement to a horde of violent seditionists, which included no small number of avowed white supremacists, when compared to the treatment of people around the country speaking out for racial justice. While we don’t condone the wanton use of police force against demonstrators, there is simply no comparison between peaceful protests against ongoing systemic racism and police brutality and an armed insurrection against our democracy. The stark contrast in how these groups have been treated by authorities in the months and years leading up to the deadly storming of the Capitol is a clear indicator of the racial bias that persists in the United States. NCIA stands committed against this and all other forms of racial discrimination.
Make no mistake: we are no strangers to dissatisfaction with our government, and intense, furious opposition to its actions. The pain and injustice inflicted upon cannabis consumers and providers, not to mention their families and communities, is incalculable and ongoing. But we are an organization that represents an industry — and a movement — built on peaceful protest, civil disobedience, and cooperative nonpartisan efforts to change our laws and policies through an open and democratic system governed by the rule of law. Those who use misinformation to undermine confidence in our democratic processes or attempt to subvert them, such as the President and certain Republican lawmakers have done by spreading lies about our election for months, have no legitimate role in our republic.
There is no place in our country for what we saw last Wednesday. As a nation, we can — and must — do better to respect each other, settle our differences, and not succumb to mob mentality. We cannot allow our actions to be dictated by the thirst for power or the passions of the moment if our democracy and our freedom are to survive.
Member Blog: A Whole New World On Zoom – 5 Tips To Look And Sound Like A Pro
2020 will be remembered as “unprecedented.” A raging pandemic, a divided country resulting in a contentious election, an economy on the brink, but for cannabis, it was huge. The MORE Act and the SAFE Banking Act pass the U.S. House of Representatives, and the end of prohibition of cannabis is becoming more of a reality than a dream. Throw in five more states using the ballot box to legalize adult use of cannabis, and while 2020 was a nightmare for many, for cannabis, it was monumental. However, for many of you in the now “essential” cannabis industry, there was one development that many in the cannabis industry had to deal with, a fear of being on ZOOM on a daily basis!
Whether you are running educational webinars as part of your marketing efforts to stay in touch with your clientele or creating videos that allow you to control that message to your database. You have probably spent more time on camera over the past 10 months than you ever expected. As humans we are all our own toughest critics when it comes to hearing our voices recorded. (Do I sound like that? I thought I had a good voice. Yuk!)
When it comes to seeing ourselves on camera, we think we all look 10 pounds heavier. Or is it just a bad hair day? Or is the whole world looking at that minuscule zit on my face? The toughest part of getting over a fear of anything is facing it, especially when it’s facing your own image!
The cannabis industry, like so many businesses in the U.S., have had to adapt to a new way of doing business from sales calls externally to communicating with staff internally. The water cooler break for some office politics chit chat, is a thing of the past. Now that our regular commutes have moved from 30 minutes to 3 seconds, working from home has become the norm. That means you better get used to seeing yourself on camera.
So here are a few basic tips for those of you who are regular users of ZOOM, Facetime, Facebook Live, YouTube Live, Stream Yard, Google Hangouts, or WebEx from Cisco.
First some basic lessons about “face-to-face” communication. Eye contact is pretty important, isn’t it? It’s a sign of respect. It’s the single most important connection we can make without touching each other, and since that’s been banned thanks to the “vid,” maintaining eye contact with that little camera is paramount,
When you were younger, did you ever play the staring game? Look into a friend’s eyes. Try to maintain eye contact for as long as you can. Why? When you are on camera, as soon as you avert your eyes, or look at something else, you break your connection with the person you are talking to. This is true whether you are talking on ZOOM or talking to someone face to face.
Tip #1
Make sure your camera is at eye level. Put your device on a shelf, or prop up your laptop on books. In Hollywood, they shoot actors low to high in order to give more of a powerful presence on screen. (Tom Cruise is 5’7” but always appears taller on screen because of this!)
Tip #2
Don’t position your camera with a bright window behind you! That’s called backlighting. Since you are the subject on camera, you should have the most light on you. This is especially true if you have black or brown skin. Get a ring light or a really bright desk lamp and position it behind the camera facing you.
Tip #3
Sound. There are some really good built-in microphones in Apple computers, but even the microphone attached to an external set of earbuds is better than their built-in microphones. High ceilings are a nightmare for sound, empty rooms with no carpet or furniture will make your sound hollow and can create an echo. So find a carpeted room with furniture, and better yet, invest in an external microphone.
Tip #4
The rule of thirds. In any introductory film or graphics course, one of the first things you learn is how to frame your subjects. Each frame in a horizontal 16:9 aspect ratio is divided into 9 cells. Where the vertical and horizontal lines meet is where your focal points should be.
On ZOOM you are the only subject, so sit back in your chair and position the camera so that you fill up 2/3 of the frame with your head and shoulders. The top of your head should be in the middle center cell (2). Your neck and shoulders and arms should be touching 4-5-6 plus 7-8-9.
Tip #5
For those of you who don’t even turn the video on during the ZOOM call: get over it! You are human. You are not a supermodel. People will accept you as long as you can accept yourself.
Now, for those of you who are uncomfortable with their looks and don’t even put your camera on during a ZOOM call, I guarantee that at some point in the morning, you have looked at yourself in a mirror (perhaps even examined the various pores on your face), and after brushing out your bed head hair, you’ve said….OK, good enough, and started your day.
So I ask you if you are your toughest critic, and you’ve already given yourself a passing grade, you should be comfortable enough with how you look on camera.
Remember now that our way of doing business in cannabis has changed, it’s a whole new world of weed and on ZOOM!
A native of Newton Massachusetts and a 1979 graduate of Tufts University, Jimmy Young has over 40 years of experience in commercial television and radio. A former Emmy Award-winning Talk Show host for his sports talk show for kids on NECN in the 90’s, he is one of the rare professionals in that industry who has had success in front of the camera, in production, and in sales management.
The founder of Pro Cannabis Media is the current host of In The Weeds with Jimmy Young, a weekly podcast distributed over the CLNSMedia.com, site, iTunes, Spotify, Googlecast among others. In July of 2019, he teamed up with the founder of Cannabis.net, Curt Dalton, to host a two hour live monthly Weed Talk Show where the two Massachusetts natives have interviewed some of the biggest names in Cannabis, like Steve DeAngelo, Bruce Linton, and Tommy Chong. Locally local cannabis advocates and representatives from the medical establishment in the Bay State have all appeared on that show that is now being distributed nationwide. Young also produces a weekly news video, called News Dabs, highlighting and commenting on the biggest stories around the world in the emerging cannabis universe.
Member Blog: How to Launch a Marijuana Gift Card Program for Your Dispensary
Gift cards are an excellent way to increase brand awareness and an opportunity to generate new customers for your dispensary. Research shows that these tiny pieces of plastic can boost revenue by up to 40%. They are indeed invaluable tools for upselling as well, as 75% of recipients tend to overspend on the value stored in their cards. Starting a gift card program requires minimal investment and is a proven tool to stimulate bottom-line revenues and enhance the customer experience.
Benefits of Gift Cards
A well-oiled gift card program has the potential to bring at least two customers into your store — the buyer and the receiver. A study by First Data showed that 11% of gift card receivers noted they had never or rarely visited the merchant location before receiving the gift card, and over a third became regular customers after redeeming the card. Also, if your loyalty program offers gift cards as an incentive, a customer will be encouraged to spend more money when receiving points redeemable for a gift card in the future. These cards don’t just boost your retail profits but also serve as tiny billboards for your brand.
Following are five important points to consider when launching a gift card program for your cannabis retail store:
#1. Choose and Configure the Best Solution
Choosing a gift card program that integrates seamlessly with your existing POS system is the most reliable solution. If your POS does not offer any gift card functionality, consider an upgrade to a more modern cloud-based cannabis POS system. You may also opt for standalone third-party gift cards that can be sold through your POS as SKUs, but this solution is not recommended as there is a risk of data slipping through the cracks.
#2. Create a Gift Card Strategy
Developing a gift card strategy is a crucial step in designing your program. Is your gift card-program meant to cover your bases across major holidays and slower seasons? Or is it supposed to be an all-encompassing component to your loyalty program and upsells? It is necessary to plan and design a program to meet your requirements and customer needs for gift card sales and redemptions at your cannabis dispensary. Also, choosing customizable branded gift cards will allow you to have total control over the look, logo, and design.
#3. Stay Compliant with Regulations
Cannabis is a highly regulated industry, and retail gift cards must fall in line with specific marketing and advertising restrictions. However, with an easy to manage, activate and track gift program that ensures end-to-end compliance as per local regulations, you can sell more gift cards and add to your revenues without the risk of any legal ramifications.
#4. Plan Gift Cards Orders and Sales
Your supply of gift cards must meet demand, and you must never run low on its inventory. Estimate demand based on your sales volume, holiday season, and target demographics, and plan your order accordingly. Placing gift cards at the payment counter is a great way to capitalize on impulse purchases. Train your staff to recommend gift cards to customers when appropriate, and establish incentives for them to sell the most cards.
#5. Promote, Track, and Report
Marketing online and organizing giveaways on social media are excellent tactics to build brand awareness. Capitalizing on holiday season sales and occasions that focus on gift-giving will further propel your cannabis gift card sales. You must also track, measure, and report your program’s results regularly against other established KPIs for your business. An integrated reporting system provides you with insights easily extracted from data within your POS so that you can focus on making your gift cards program a success.
Gift cards are one of the safest and most convenient ways to improve cash flow without increasing COGS. A branded gift card that is fully-integrated with your POS system is simple to set up, easy to manage, flexible, and affordable. However, just implementing a gift card program is not enough, and you must have a robust marketing and sales strategy for your gift cards as well. With the complexity that comes with shopping for cannabis products, your marketing campaigns must enhance brand visibility and be able to communicate to customers that the best gift they can give is the gift of choice.
Download your free copy of the Ultimate Guide to GIFT CARDS for Cannabis Businesses by COVA, which is a comprehensive guide to the best ways to use gift cards in the cannabis industry, with detailed information on how to scale and sustain retail growth through a gift card program.
Gary Cohen is the CEO of Cova Software, the fastest growing technology brand in the cannabis industry. Cohen’s focus has been driving the company’s overall strategy, including its vision, go-to-market plan, and strategic development. Since joining the cannabis industry in 2016 and launching Cova commercially in 4q17, Cohen has led Cova to dominate the enterprise sector for dispensary Point of Sale, while forging client relationships with hundreds of single-store retailers across North America.
In solutioning the POS platform, Cohen & the Cova team have met with over 1,900 operators and leveraged expert knowledge to provide retailers the support they need to get a license, pass inspection, launch a store, and improve operations. Cohen leads seminars on retail technology, compliance, business operations, and cannabis banking laws at the industry’s largest events, including the NCIA and MJBizCon. As Cova has become the predominate thought leader for cannabis retail tech, Cohen has established himself as a leading voice educating cannabis entrepreneurs as they build their own successful brands.
Member Blog: Hemp Production, Testing, and the FDA
The new U.S. Domestic Hemp Program will approve cultivation plans issued by states and Indian Tribes and can approve plans submitted by producers that live in a state or Tribe where plans are not already submitted and where hemp production is not forbidden. According to the USDA website, 28 states and Puerto Rico and U.S. Virgin Islands have had their hemp plans approved by the USDA, 11 states have plans under review, 5 states have obtained a license from USDA, 5 are electing to continue under the 2014 Hemp Pilot Program, Colorado is resubmitting their plan, Alaska is drafting their plan, and Idaho is awaiting state legislation. What is surprising is that some of the biggest hemp growing states, such as Montana (44,910 acres), Colorado (20,330 acres) and Kentucky (18,910 acres) do not yet have their plans approved by the USDA. Montana is choosing to operate under the 2014 Hemp Pilot Program, Colorado is resubmitting their plan to USDA and Kentucky’s plan is still under review.
While there has been a rush to plant hemp by farmers eager to cultivate a high-priced crop with enormous demand, there has not been the same rush to set up extraction facilities. This is a critical step for the manufacture of cannabidiol (CBD) raw material. Hemp must be dried properly before extraction or it will rot so cultivating a plant that is susceptible to rot without an assigned material manufacturer (extractor) is risky. The impact of the differences between hemp and typical crop cultivation for farmers and the lack of extraction companies has been disastrous for some farmers. Hemp must be monitored for THC levels as the crop grows because any hemp harvested with an amount of THC over 0.3% must be destroyed. This is completely different from soy or cotton cultivation. And when the cost of clones to plant in a large field is included, the potential loss increases dramatically.
Then there are the Food and Drug Administration (FDA) hemp/CBD product issues. While there has been positive movement towards the legal sale of hemp products on the USDA cultivation side, the FDA has authority over foods and dietary supplements, and the FDA’s position is that the addition of hemp/CBD to a food or dietary supplement is “violative.” There is speculation that dietary supplement FDA rules are imminent but until the FDA makes those rules public, sales of finished product is still illegal.
In a Consumer Update statement revised on November 25, 2019 the FDA clearly stated that “it cannot conclude that CBD is generally recognized as safe (GRAS) among qualified experts for its use in human or animal food.” Numerous warning letters have been issued by FDA to CBD manufacturers for disease claims about their products. Whether sold as dietary supplements, conventional foods, cosmetics, animal food, so of the violative disease claims include pain relief, anti-inflammatory, diabetes, acne, anxiety, depression, and cancer. For example, one Warning Letter issued by FDA on November 22, 2019, cites 45 diseases. FDA has stated that CBD in products sold as dietary supplements does not meet the definition of a dietary ingredient in the Federal Food, Drug, and Cosmetic Act (321(ff)(B)(i)(ii)). This provision clarifies that a dietary ingredient cannot be a substance that has been approved as an active ingredient in a drug. FDA has approved CBD as an active pharmaceutical ingredient in the drug Epidiolex. Although the FDA is only taking enforcement action on companies making products that contain disease claims, once the disease claim is made the FDA will cite other regulatory enforcement issues. Companies not making disease claims have not been targeted for enforcement yet. Several states, including New York and Oregon, are following the FDA’s lead by banning some products containing CBD, mostly infused food.
In addition to these challenges, there have been a series of class-action lawsuits filed against hemp/CBD manufacturers. These are based on the fact that the FDA has stated hemp and CBD is illegal in food and dietary supplements. The lawsuits claim the plaintiffs suffered economic loss because the products were not dietary supplements according to the FDA. The 11th Circuit Court of Appeals is allowing the consumer injury requirement necessary to sustain a complaint to be satisfied by the allegation that an FDA product is “illegal.” This ruling may open the floodgates for more class-action lawsuits.
All testing of hemp must be performed by a laboratory with a Drug Enforcement Agency (DEA) license. This is because hemp that does not meet the less than 0.3% tetrahydrocannabinol (THC) does not fall under the industrial hemp definition and is still under the jurisdiction of the DEA. A list of U.S.-based licensed laboratories is available on the DEA website and also on the USDA website. Pesticide screening is one of the tests dictated for hemp in the US Domestic Hemp Program. Ten pesticides have been approved for use on hemp by the Environmental Protection Agency (EPA). The latter is a notable step since the EPA could not do this before the removal of hemp from The Controlled Substances Act. Nine of the allowed pesticides are biopesticides and one is a conventional pesticide.
Then there is the matter of CBD as either a full-spectrum oil vs. an isolate. Unlike marijuana flower which is a very popular product, hemp flower is very rarely sold at the retail level. Full-spectrum oil is extracted from the plant, and depending on the solvent used, produces an oil with the same, or close to the same, naturally occurring chemicals from the plant. The oil, therefore, includes all the cannabinoids present along with any terpenes, lipids, or other compounds present in the plant. Full-spectrum oil is a botanical extract and is a dark thick oil. Isolate is produced by separating the constituents of the full spectrum oil by molecular weights or boiling points to have very pure chemicals in the 95%+ purity range. CBD isolate is a white crystalline substance and bears the greatest resemblance to synthetic raw material and at its purest form cannot be distinguished as coming from a plant in the dirt or a synthesized chemical. Full-spectrum oil bears the greatest resemblance to a botanical dietary supplement. It remains to be seen what the FDA will allow in the future.
I believe in this industry and I am rooting for the pioneers who have taken all the risk thus far, but am concerned about the lack of understanding over FDA’s authority particularly as this industry aims to transition to a regulated future. Most don’t understand FDA’s purview or don’t think it applies to them or their products. When that day comes, bringing the hemp industry into compliance with federal regulations will be challenging.
Hemp pioneers deserve to benefit from their labor and the risk they have taken. For those hemp product companies that do not think compliance is worth the effort or cost, there are many FDA compliant human food, animal food, dietary supplement, pharmaceutical, or cosmetic companies that are waiting to take your business…
Charlotte Peyton supports EAS Consulting Group hemp, CBD and hemp clients as well as that of dietary supplement and pharmaceuticals. As an independent consultant she assists with projects ranging from startup through manufacturing and support. Her expertise includes quality, regulatory and management, method development and method validation for FDA regulated drug, dietary supplement, and bioanalytical samples. She has extensive experience in writing validation protocols, reports and SOPs and assists with implementation of stability programs and report writing for finished products.
EAS Consulting Group, a member of the Certified family of companies, is a global leader in regulatory solutions for industries regulated by FDA, USDA, and other federal and state agencies. Our network of over 150 independent advisors and consultants enables EAS to provide comprehensive consulting, training and auditing services, ensuring proactive regulatory compliance for food, dietary supplements, pharmaceuticals, medical devices, cosmetics, tobacco, hemp and CBD. www.easconsultinggroup.com
Committee Blog: An Introduction to HVACD for Indoor Plant Environments – Why We Should Include a “D” for Dehumidification
Transpiration and VPD are two fundamental components of plant vitality, and heating, ventilation, and air conditioning (HVAC) systems are one of the most critical considerations for an indoor cannabis cultivator. HVAC alone doesn’t tell the full story of environmental control for cultivation facilities. The term HVAC is typically used to refer to the cooling, heating, or ventilation systems in a building, and while it technically includes dehumidification in most forms, it does not directly highlight the significant dehumidification requirements necessary to maintain optimum plant health inside indoor cultivation spaces. In order to emphasize the importance of dehumidification in the mechanical equipment sizing and selection process, the controlled environment horticulture industry would benefit from moving toward the concept of heating, ventilation, air conditioning, and dehumidification (HVACD) as the common term for these systems.
“HVAC” Challenges
The term HVAC is typically used to reference conventional air conditioning and heating systems designed for temperature control to provide a comfortable environment for people. This is clearly demonstrated in the very design of these systems – for example, sensible heat ratios of commercial HVAC equipment are pretty high in order to meet the loads generated by people, lighting, and miscellaneous equipment found in offices. Plants grown in enclosed spaces have different needs than people do. Of particular interest is the large amount of dehumidification that needs to be performed on a daily basis to maintain an optimum vapor pressure deficit (VPD).
When you apply a standard HVAC system to indoor horticulture, the instant the sensible load is removed from the space (i.e. the lights turn off), the air conditioning unit reaches the lower deadband of the specified temperature set point and shuts off. In the process of bringing the temperature down, we have raised the relative humidity to the detriment of the plants. Further, despite being mostly sensible cooling machines, conventional HVAC systems provide most of the dehumidification capacity in an indoor cultivation space, and that capacity is now inactive during the dark period.
Traditionally, growers would install stand-alone, pocket dehumidifiers to handle the moisture removal requirements that the air conditioning units cannot meet. There are a handful of challenges with this approach that can negatively impact plant health when scaling into industrial-scale operations. Most standalone dehumidifiers dry the air with mechanical refrigeration and in the process add hot air into the room, which then needs to be cooled by additional cooling equipment to maintain temperature. Another challenge is the numerous condensate drains throughout the growing space that are high risk for clogging and quickly leading to pest and pathogen proliferation which are potential GMP and GFSI compliance risks. The separate cooling and dehumidification systems typically do not have communication and control amongst them and ultimately “fight” against each other for temperature and relative humidity setpoints. Additional pest vectors can come into play when the HVAC contractor enters the cultivation or curing space to make repairs on mechanical equipment that is mounted above plants. Above all, maintaining cleanliness in the space can be challenging with many mechanical units perched above a dynamic plant canopy.
Dehumidification, or removing humidity from a room that is filled with water vapor as a result of plant transpiration, is arguably the biggest environmental challenge in controlled environment horticulture. When you size an HVAC system for human comfort or server rooms, the primary focus is temperature control (or sensible load). When selecting and sizing an HVACD system for plants to thrive, it’s all about the latent load, plant transpiration and VPD. Excess humidity is roughly twice as difficult to remove as excess heat from lights, so an effective system needs to be designed as a dehumidifier first and an air conditioner second. Integrated dehumidification needs to be at the beginning of every HVAC conversation, and a primary focus of every system.
The benefits of including dehumidification as a critical component
To maximize plant vitality, two fundamental components to understand are transpiration and VPD. Put simply, VPD is the humidity difference (or deficit) between the inside of a leaf and the environmental conditions surrounding that leaf. It is this humidity difference that draws water from the roots of a plant, through the stem and out of the leaf tissue, otherwise known as transpiration. This process is critical to photosynthesis and optimizing plant production, and it’s all directly related to the levels of humidity in a given room. As humidity is drawn out of the leaf, dehumidification must be used to remove the humidity from the environment and maintain appropriate VPD levels. Without dehumidification, humidity builds inside the room, plant growth and plant health are negatively impacted, and conditions become ideal for pests and pathogens.
Properly-designed dehumidification creates consistent and precise environmental conditions across the plant canopy, mitigating risk against issues like powdery mildew and botrytis. Well-executed dehumidification allows growers to control their VPD and drive plant health. At the end of the day, a stable climate sets a strong foundation of cultural control for a facility to maximize quality biomass while limiting crop loss associated with pest and pathogen issues.
Why does this all matter? Because properly sized and commissioned HVACD systems empower the cultivator to maximize production efficiency, reduce the risk of production downtime, and promote growth.
HVACD will change industry standards and best practices
Collectively updating the industry’s knowledge and understanding surrounding dehumidification highlights the true challenges of growing plants indoors, and the need for purpose-built equipment and controls that optimize the environment based on every stage of the plant life cycle. Plants are living organisms that have different needs at different times, and mechanical equipment should be designed and manufactured around this concept.
We can draw a comparison to this concept by looking at indoor horticulture lighting systems. When the industry began to develop new terms like Photosynthetic Photon Flux Density (PPFD), the phrase “PPFD for plants because lumens are for humans” came to be. Meaning that if we are measuring lumens, we are prioritizing people in the space as opposed to the plants. This same mindset should apply to all mechanical equipment involved in a cultivation facility.
Now that more scientific studies and data are becoming available on topics like plant transpiration, dehumidification, and VPD as a driving force in plant vitality, it is clear that there is a better way to think about climate control when applied to controlled environment horticulture. HVAC focuses on the sensible (or temperature) cooling that keeps people happy indoors, while HVACD focuses on the latent cooling (or moisture removal) that keeps plants happy indoors. Both are critical concepts that must be considered during the design of an indoor cannabis cultivation facility to ensure both people and plants are happy indoors.
Critical Dehumidification Requirements for other Rooms in an Integrated Cannabis Grow/Manufacturing Facility
Extending the discussion downstream of horticulture to other areas of the facility, humidity control plays a critical role in profitability, food safety, asset utilization, and operating efficiency.
Humidity control in the Curing Room and the awareness of any air exchange with building areas adjacent to Cure is important. More broadly, any room-to-room pressure differentials can transfer air with different humidity levels.
Food safety is enhanced by considering humidity control, usually dehumidification. Any cold surfaces below the dew point of the room can cause condensation, which can lead to microbiological growth. Room environments controlled so that the water activity (aW) of the cannabis is maintained between 0.55 and 0.65, will also help limit mold growth and the associated mycotoxins.
In many cases, there are special dehumidification requirements, such as in an equipment drying room after warewashing, or to dry out a room and return it to operation after washing and sanitizing. HVACD designers need to coordinate closely with process or manufacturing specialists to be aware of any process exhausts, combustion air requirements, or high outside air exchanges. That additional outside air and the humidity carried in with it, must be considered.
And for Marijuana Infused Products (MIPs), specifically gummies and chocolates, the primary food safety control is low water activity, rather than a robust kill step, so precise humidity control is again a critical issue.
Even further, packaging machinery operates more efficiently if the flow characteristics of the cannabis are a key operating parameter. Moist cannabis will adhere to machinery and create other problems that slow run rates and cause downtime. This problem can occur with any weight fillers or the pre-roll machines.
All told, moisture can be both your friend and foe in a wide variety of cannabis endeavors. The ability to maintain the appropriate relative humidity, in addition to temperature, in each different type of room in a cannabis production facility is a key factor in a successful operation.
The Facilities Design Committee (FDC) focuses on providing NCIA members and regulators a framework and information about facilities design options through which legal producers can plan for GMP level production as the market transitions from a state to a federally regulated industry.
A Message From Our CEO – Farewell 2020
Photo By CannabisCamera.com
In these last few days of the year, I’m as eager as anyone to put it all behind us in the rearview mirror, but I’m also so grateful of what our members have made possible in 2020.
As we close out NCIA’s 10th year as the cannabis industry’s largest and most respected trade association, I’m just in awe of all the progress that has been made for the cannabis industry in spite of so many challenges.
When state governments were first grappling with the response to the pandemic, most deemed cannabis businesses as “essential,” allowing our industry to stay open to serve patients and adult consumers. Just a few years ago, this level of recognition as a vital sector of the economy would have been unthinkable — even to me!
What’s more, legal cannabis sales broke records throughout the months of this pandemic. It should be no surprise that #CannabisIsEssential to getting through a global pandemic.
Although our lobbying operation went virtual this year, NCIA was able to move the ball further than ever in Congress. The House of Representatives ended the year by passing the groundbreaking MORE Act, marking the first time either chamber of Congress has approved legislation to legalize cannabis since its prohibition over 80 years ago.
Public support for sensible marijuana policy and the legal cannabis industry stands at its all-time high. During the most divisive election in modern U.S. history, voters from across the political spectrum support ending prohibition and putting cannabis behind a regulated counter. In fact, adult-use cannabis initiatives garnered more votes than President-Elect Biden in every state where both appeared on the ballot — including the two he decisively won (New Jersey and Arizona). The hundreds of forward-thinking businesses that support our advocacy and education efforts have made this incredible progress possible, in spite of an otherwise dismal year.
It’s been almost ten months since we have been able to host in-person events but NCIA has continued to keep our community connected and informed through our Industry Essentials educational webinar series, Cannabis Caucus (cyber) events, and the Cannabis Business Cyber Summit.
NCIA also launched a second weekly podcast offering, The Cannabis Diversity Report, and celebrated more than 200 episodes of The Cannabis Industry Voice podcast (also top 50 U.S. Business News charts for Apple Podcasts), plus monthly live video updates with NCIA Today. During this temporary break from face-to-face networking, we’ve created several digital sponsorship opportunities for savvy cannabis businesses to elevate their brand while also supporting the work we are doing to advance the industry.
Amidst our national reckoning over systemic racism and police brutality, NCIA launched our Equity Scholarship program which now provides membership benefits to over 100 equity operators. Thanks to the financial support of a growing number of businesses that have stepped up to support social equity in cannabis, this important program will continue to be a priority in 2021 and beyond.
2020 was also a great year to be a member of NCIA. As the only full-service trade association in the cannabis industry, we take pride in providing our members with the resources they need to gain a competitive advantage over the industry’s free-riders and isolated operators.
Over the past year, we’ve expanded our membership benefits with the launch of our exclusive online community, NCIA Connect, as well as significant member-only discounts onSimplifya’s compliance platform.
I take pride that NCIA is the only association in cannabis providing our members with this kind of direct ROI in addition to professional political representation in our nation’s halls of power.
Our members are building the next great American industry. It’s an honor representing them through the thick and thin. Progress takes time but the work we are doing to build support for that industry in the halls of Congress and among the voting public is paying off.
On behalf of the whole team at NCIA, I wish you a happy holiday season and new year! I hope you’re enjoying it safely with those you love. We have even more in store for 2021 as we continue to support our members through advocacy, education, and community, so stay tuned.
With gratitude,
Aaron Smith Co-founder & CEO
P.S. If you are not yet a member of NCIA but somehow read all the way to this point, please take just a couple of minutes more to join today. NCIA membership is a simple investment in the future of your business and our industry.
P.P.S If you are a member, reach out and say hello. I’d love to hear about your plans for 2021 and find out how NCIA can help your business succeed.
Committee Blog: Recruiting Best Practices for Hiring Leaders to Your Cannabis Business
Most cannabis businesses are still figuring out how best to recruit key leaders to their organizations who can survive the tests of the cannabis industry.
The ability to effectively hire key leaders who will “stick” with your cannabis business and add incremental value on your leadership team is nothing short of paramount.
Of course, the first steps should be to define the role internally and agree on the desired functional skills and experiences possessed by the ideal candidate, how their success will be measured, and what your selection process will be that will deliver the right candidate experience to land that talent.
But… What X-factors are you screening for when evaluating senior executive candidates in today’s cannabis economy? Here’s a (not so) abbreviated version of our checklist:
A record of accomplishments and a demonstrated ability to get results in a variety of situations under different conditions.
While we are looking for “we” people, as in “here’s what we did,” we are also trying to tease out and understand what they accomplished individually. You (as a leader) led a team to deliver your strategy, but we are looking for what you did personally to create intense focus and drive results, i.e. what levers you pulled to improve revenue and EBITDA, or Earnings Before Interest, Taxes, Depreciation, and Amortization.
Ask probing questions to get beyond the obvious answers.
Ask what they envision your cannabis business should look like in 1-2 years if they were hired and what they are prepared to accept as a consequence of trying to make needed changes. Asking those kinds of detailed questions can help test how committed they are to doing what is required to deliver on their goals. It’s also about asking what they expect the obstacles to success will be and proving their acceptability of being uncomfortable in order to help the organization level up.
Adaptability when there is a pivot point.
While we all want to get it right the first time, there are almost always fine-tuning adjustments that need to be made along the way. We want to know how fast and nimble the leader is at doing that.
Ability to roll-up their sleeves and/or delegate to the right people and then back off while supporting them as-needed.
You owe it to your people (and plants) to give them an opportunity to grow. Permit them to work on stretch projects.
Desire to understand the business holistically, across all departments and levels of the organization.
One of the biggest challenges that leaders face is maintaining a fingertip feel for what people at all levels of the company are thinking. This is especially difficult to maintain with the frenetic pace in the cannabis industry.
Desire being part of the solution, not the problem.
An avoidance of pious judgments. We all need to hold the mirror up more often to ourselves, because people do not listen to us when we start criticizing them. You must take more control and ownership of outcomes within your sphere of influence as a leader in cannabis, and know it’s nearly impossible to hide out successfully behind a computer screen. No guts. No dirty fingernails. No glory.
An ability to say “no” to distractions so there’s time to get the job done.
So many distractions to manage through in the cannabis industry; i.e. There’s always a shiny object to distract in the way of a new vendor solicitation, a new tech to consider, another (virtual) trade show to participate in, the long line of candidates asking for some of your time, etc.
We look for curiosity.
We generally try to get people talking about something that is not directly related to their prior jobs, like how deeply they know their industry or their hobby. We want to know how curious they are to learn more than just what they need to know. Wanting to figure out how things work is so critically important, especially in the nascent cannabis industry.
An appreciation for the importance of being able to question authority and have debates.
Healthy friction and debates almost always get you to a better answer. You are in trouble if part of your culture suppresses disagreement. You want leaders who really want to make sure there is an environment of having open transparent debates rather than surrounding themselves with like-minded friends and family as many first-time founders/leaders have historically done in the cannabis industry.
How they themselves assess talent.
Much of our focus is to get the right leaders in place with strong team-building skills, so we prefer a track record of having people follow them to new companies because that’s always a good sign. A wide range of networks of relationships, well beyond their job, is a good measure of whether they know how to build relationships and collaborate.
Storytelling skills.
We like to learn about the mechanisms they use to mobilize their organizations and their ability to create a direct link between the boardroom strategy and what the average employee’s doing because good things happen when that link is tight.
Those moments in their career where they were forced to reexamine how they develop strategy and how they lead.
We ask about when they have failed. Good candidates will often have a lot of examples to share while others will tell you about one failure and externalize to somebody/something else to carry the blame. This conversation is also a key indicator of innovative thinking and risk-taking ability because those who do take risks are going to fail at times in their careers, and then have a better chance at succeeding in the cannabis industry.
Ability to manage ambiguity because they are not going to have all the answers to the real challenges that are playing out every day.
We are looking for people who have proven that they can deal with ambiguity and can operate outside their comfort zone in increasing areas of grayness. Somebody may be super in their current role, but it may be because it is the work they have always done and they’re in control of that world. If everything is not buttoned-down, they start getting out of their comfort zone and it really shows. What is important is being able to make the transition from controlling everything to building out and operating a completely different model. There are people who can adapt to that and there are people who just freeze and start complaining. “Your attitude defines your altitude.” The cannabis industry will test your attitude.
Comfort with showing vulnerability.
The emergence of vulnerable leadership has been a great pandemic gift.When you are focusing on growth and innovation, as we do on a regularly occurring basis in the cannabis industry, you must take risks. If you are taking risks, you are going to fail some of the time. When we are looking to put someone into a new role or to build out a leadership team, we want to know when that person has taken a risk and failed.What we are trying to understand is someone’s appetite for risk, but we are also interested in whether and how they ask for help. People are generally uncomfortable being vulnerable about the fact that they are making mistakes.We’ve shaped our view around team-building/leaders to focus on wanting people who take risks, because we don’t believe it’s possible to innovate and grow without taking risks; who have failed, because we don’t know how to truly take risks without failing some of the time; and who are really comfortable asking for help. It’s unrealistic to think that with all the talent available to us, that people still feel they have to solve everything themselves when they get stuck.
An ability to ensure their teams are acting like teams.
It is not so much about who gets credit for doing the most or who gets credit for any given task. Ultimately the real credit belongs to the person who is the biggest giver, the most generous, and the one who is most likely to help their teammate get off the mat when they’re down or help them do their job. It is important to remind ourselves and our teams that none of us are as smart as all of us, and we have got to stick together.
How they have led through a crisis.
Because let’s face it… pandemic or not, there’s always an existing or lurking crisis in the cannabis industry and no playbook to lead through it. You must rely on your team, because everyone has something to contribute. Right now, simple acts of kindness from present leaders will be remembered for a very long time. We’re also looking for examples of making decisions to protect the business, which requires making very tough choices to ensure the business has the necessary flexibility to weather the storm. Examples of how they opened the lines of communication with employees; disclosing to them what is known and what is not. Seizing opportunities to build and strengthen relationships with their workforce such as being very understanding of the stress that everyone’s under; staying in touch with those people and being attentive to their needs. Time isn’t on your side during a crisis, so we’re looking for people who have acted and pivoted quickly when something’s not working. Leaders must show up like a duck — calm on the surface but paddling like crazy under the surface to keep it all together. Not everyone has the same tolerance for stress and anxiety. True leaders in a time of crisis rise to the top, just like cream, whereas other people just cannot take it. We seek out people who are calm and focused; people we would want in our lifeboat in a crisis.
Authenticity and the ability to generally work based on unconditional trust with people.
If you must speak truth to power, being authentic helps. Taking everything people say as true on its face will backfire sometimes, but the ability to put up with those occasional moments in order to have most relationships built on trust is paramount. Also, do not gossip. Gossiping is often born of insecurity.
An understanding that leadership is a journey that does not end the moment they hit the C-suite.
For many, that is when the journey begins. We like leaders who know they must continually develop themselves, who don’t rest within their comfort zone, and who push themselves into new and different situations and expand their portfolio. They seek to be expansive. This is especially true for many cannabis c-suite professionals who have little to no previous leadership experience.
The stomach, experience, and awareness to deal with your startup environment.
We seek Builders > Maintainers, and those who are ready to bring a ‘No Limits’ mindset to the challenges ahead. Nearly every cannabis business is an extremely fast-paced environment with little processes and procedures in place. The ability to work under those conditions while beginning to put structure in place is paramount. Leading through enormous amounts of change means having the ability for self-management and helping the team cope with change at warp speed.
WHY interested?
We want talent that’s going to run hard at the opportunity vs. those who are simply running into your opportunity because they are running away from something else and your opportunity is in their path. Ask early and often about their “WHY?” and their DBM’s “Dominant Buying Motives”; i.e. uncovering what is on their Personal, Professional and Financial scorecards and why those things are important.
Finally, we ask ourselves the following questions:
“Would we want to work with/for this person? Would we have confidence in them if we staked our family’s livelihood on them? Do we have confidence in their ability to deliver? Do they have the ability to build a company that we would be proud to be associated with?”
Personally, I like to look at people through the “MIA Test” lens — would I want to be stuck in the Miami International Airport with this person for numerous hours? So much of work is who you work with. Who are the people that you want to be around? I think you are more willing to open up to, question and debate with people who you feel good about and like. However, you must ensure you are not doing this in exchange for harming your diversity and inclusion efforts. It’s not just people who are likeable, but who also think differently and bring different perspectives and experience to the table.
Those are some of our final gut checks while measuring essential skills such as honesty, candor, confidence and courage balanced with hunger and humility, strong verbal and written communication style, emotional maturity/intelligence, self-awareness, responsiveness, listening skills, ability to ask and answer tough questions, ability to receive and apply constructive feedback, and attention to developing other people.
Bryan Passman is a father, a husband, a trailblazer, and Co-founder and CEO of Hunter + Esquire. My professional background before launching H+E was entirely in retained executive search for 18 years in MedTech/Pharma (15 yrs) and Food and Adult Beverage CPG (3 yrs). My deep knowledge of those highly regulated and nuanced industries has helped H+E significantly understand the needs and wants of our cannabis clients. My deep and genuine networks within those industries have helped us deliver that rare talent “unicorn” our clients desire to fit their particular needs. My client-first approach helps us provide a very customized, white-glove, headhunter treatment to client and candidate.
NCIA’s Human Resources Committee is comprised of Human Resource practitioners devoted to bringing best practices to the cannabis industry. Their focus is educating and bringing awareness to misclassification of employees, promoting guidelines for employee safety, clarification on wage and hour issues in the industry and creating checklists to being a legitimate employer.
Video: NCIA Today – Special Episode with NCIA’s Michael Correia On The Historic MORE Act House Vote
Join NCIA Deputy Director of Communications Bethany Moore and our Government Relations Director Mike Correia for a quick discussion about last week’s historic passage of the MORE Act.
On Friday, December 4, the House of Representatives made history by voting to approve H.R. 3884, the Marijuana Opportunity, Reinvestment, and Expungement (MORE) Act.
The MORE Act would remove marijuana from the federal Controlled Substances Act and work to repair the social and personal harms caused by federal marijuana enforcement. This is the first time since marijuana was made federally illegal that either chamber of Congress has held a floor vote on- or approved- a bill to make the substance legal again.
The final vote count of 228-164 fell mostly along party lines, with five Republicans crossing the aisle to support, and six Democrats voting to oppose.
This monumental victory shows just how far Congress has come over the years. Although this vote more closely aligns the House of Representatives with the majority of voters who overwhelmingly support cannabis legalization, the Senate is a different story.
Announcing NCIA’s Incoming Board Members
The results of NCIA’s 2021-2023 Board of Directors nominations process are in!
We are appreciative to have received so many very thoughtful and impressive applications from dozens of NCIA members seeking to fill six available seats. Congratulations to the incoming members, and thanks to everyone who applied for a seat this year.
Please welcome four new members and two re-elected incumbents.
The slate will be joining board members Narbe Alexandrian, Cody Bass, Omar Figueroa, Liz Geisleman, Ryan Hurley, Chris Jackson, Khurshid Khoja, and Manndie Tingler at the board’s next (virtual) meeting scheduled for January 27.
Member Blog: Four States Legalized Cannabis in November – Here’s What That Means for the Industry
Voters in New Jersey, Arizona, South Dakota, and Montana legalized adult-use cannabis sales during November’s election. So, what comes next?
Last month, Americans in four states voted to legalize adult-use cannabis.
If you’re an adult over 21 in Arizona, New Jersey, South Dakota, or Montana, theoretically, you’ll be able to consume and purchase cannabis legally in 2021.
To many Americans, the end of cannabis prohibition in these states looks like a sudden act of voter mobilization. But industry insiders know it took years of work by activists, business people, and lawmakers to make legalization possible.
Before adults can legally purchase and consume cannabis, lawmakers in each state must outline rules and regulations, and dispensaries must go through intense licensing processes before opening their doors to the public.
The process won’t happen overnight.
In some newly legal states, it could take close to a year to iron out the details. And in the past, it’s taken even longer.
Take Massachusetts, for example. Voters cast their ballots in favor of legalization in 2016, but the first dispensary didn’t open until 2018.
Maine’s citizens also voted in support of legal weed in 2016, but it took four years for the first dispensary to open. The first two retailers – SeaWeed and Theory Wellness – opened on October 8 of this year.
“It has taken four years to move from referendum to retail sales since Mainers narrowly approved the legalization of recreational cannabis at the ballot box in 2016. Legislative rewrites, gubernatorial vetoes, a change in state administration, and then the impact of COVID-19 pandemic have combined to make Maine’s rollout the slowest in U.S. history.” – Portland Press Herald
Lawmakers in New Jersey are trying to speed things up. Democratic Senator Nick Scutari wants to move quickly to pass legislation modeled off a 2019 legal cannabis bill he sponsored. Still, legislators are fighting over the details. New Jersey’s Medical Marijuana licensing policies force applicants to pay large sums to compete for a limited number of licenses, allowing big businesses with deep pockets and holdings in other legal states to make millions.
Some New Jersey lawmakers are trying to keep the same from happening when adult-use dispensaries open their doors by prioritizing local businesses.
Arizona lawmakers anticipate legal cannabis sales to begin as early as March. The state plans to prioritize licenses for owners “from communities disproportionately impacted by the enforcement of previous marijuana laws.” Arizona’s 123 medical marijuana dispensaries will have the first opportunities to apply for adult-use licenses in January after the Arizona Department of Health Services writes the rules.
Entrepreneurs in South Dakota and Montana are ready to apply for dispensary licenses, but they, too, will have to wait.
In South Dakota, lawmakers say dispensaries will be open and selling legal adult-use cannabis by July 1. In Montana, people should be able to legally purchase cannabis on October 1, barring any bumps in the road.
Have we reached a tipping point?
The public’s view of cannabis is changing. One in three Americans now live in a state with legal weed, and, according to a recent Gallup poll, 68% of Americans support federal cannabis legalization. So, have we reached a tipping point?
That’s hard to say.
Thirty-six states now have a legal medical cannabis system. When sales begin in Arizona, New Jersey, South Dakota, and Montana, more than twenty states will have fully legalized cannabis. And while federal cannabis reform might be a defining aspect of the incoming administration’s legacy, legalization is mostly dependent on congress, and it’s still unclear which party will control the Senate next year.
Democratic leaders have pledged to end federal cannabis prohibition. If the Democratic party wins Senate control, full legalization is almost a certainty. But if Republicans maintain their Senate majority, the Republican party’s past approach to cannabis doesn’t indicate their leaders are ready to support far-reaching reform. Still, federal cannabis legalization isn’t outside the realm of possibility, even with a Republican-controlled Senate.
Only time will tell.
And again, regardless of what happens politically, it’s obvious America’s opinion of cannabis isn’t what it once was.
Oprah asked former President Obama if he and Michelle indulged in “pizza, pot, or alcohol” on election night in a recent televised interview. When a television icon casually asks a former President if he smoked weed with the former first lady, you know attitudes are changing.
Could federal cannabis legalization be the key to healing our COVID-ravaged economy?
This year, COVID-19 slowed the progress of cannabis legalization for individual states, but the pandemic could help push federal legalization forward next year. Here’s why.
A federally legal cannabis industry would accelerate America’s economic recovery.
The pandemic has had a catastrophic impact on many industries, and while a lot of employees will return to work, many jobs will be forever lost. The longer it takes for people to find employment, the longer it will take for the economy to recover.
The end of federal cannabis prohibition would create thousands of new jobs and reverse the pandemic’s adverse economic impact.
Here’s a point to consider: according to estimates from New Frontier Data, America’s legal cannabis market could be worth nearly $30 billion by 2025 – and that’s without federal legalization. If government officials choose to end federal prohibition next year, the estimates will increase dramatically.
For cannabis dispensaries, cultivators, cannabis-adjacent businesses (like cannabis marketing agencies), and American citizens, a nationwide end to prohibition would be life-changing.
But again, what the immediate future holds is anyone’s guess.
Aaron Rosenbluth is Hybrid Marketing Co‘s Content Director, and he loves to write blogs. He’s written so many blogs that he’s lost count. And beyond his skills as a copywriter and storyteller, he’s an obsessive reader and researcher. Aaron writes on subjects ranging from cannabis to collaboration, social equity to HR software, interior design to cybersecurity. His words attract, engage, educate, and convert. Btw, Aaron hates the phrase “content is king” (even though content is king – and queen).
Hybrid Marketing Co is a Denver-based branding and marketing agency that specializes in building custom strategies that supercharge growth and drive revenue. Working with brands and businesses across the U.S. and Canada, Hybrid’s partners run the full-spectrum of the cannabis world including dispensaries, manufacturers, cultivators, and ancillary businesses. Visit hybridmarketingco.com to learn more about the Hybrid approach.
Video: NCIA Today – The MORE Act, 2020 Election, Board of Directors, and More!
Tune in to this month’s episode of NCIA Today with Deputy Director of Communications, Bethany Moore.
This month, we’re sharing even more important news about The MORE Act, an analysis of the results of the 2020 election, plus our own Board of Directors election results, and a new policy report from NCIA’s Policy Council. We review some clips from the educational panels from our very first CYBER edition of our Cannabis Business Summit & Expo.
We’re doing a great job staying home, wearing masks, and socially-distancing through these difficult times. We can’t wait to get back to hosting our national and regional events in person later in 2021. In the meantime, make sure you’re subscribed to our email list, and listening to NCIA’s weekly podcasts hosted by myself and Tahir Johnson. And now is a great time to invest in the future of our industry by getting more involved in NCIA, registering for our educational webinars, and learning more about the Diversity, Equity, and Inclusion Program SPONSORSHIP opportunities! Join NCIA members who have stepped up their support by becoming DEI Program Sponsors like 4Front Ventures and Greenbridge Corporate Counsel.
Member Blog: Augmented Reality CBD, Cannabis Product Labels – Entertainment Paves Path to Education
by Gary Paulin, VP of Sales and Client Services at Lightning Labels
Everyone loves good, entertaining stories. In part, their value lies in information — and education — sticking with recipients long after the storytelling has ended.
There’s a correlation in this to the value of Augmented Reality (AR) CBD and cannabis labels — which provide a novel, entertaining way to capture and keep audience attention. Along the way, product-makers have an opportunity to provide credibility-enhancing education about products, trends, quality control, and the like.
More than ever, consumers want to feel their products protect them. Likewise, cannabis and CBD manufacturer reputation and revenues hinge on consumers feeling safe using their products, and clear about proper (and improper) uses.
Augmented Realitybrings interaction and product labeling together, using smart device apps, and even your smart phone’s camera to create an enhanced user experience. When viewers download a related smartphone app and point it at the product’s label, they can see an array of different options including videos, 2D/3D content, social media sharing options, and content that enables seeing how products appear in the real world. A web-based interaction can be launched using your phone’s camera – just open your camera app and point it toward a QR code. In either case, the AR experience is initiated, and interacting with brand labels this way is fun, interesting, and can be extremely educational.
In many ways, it’s like hearing and seeing a story. When connected to useful, practical educational information, AR can fully address common and compelling consumer concerns at a time when fears about safety and health are at an all-time high.
In turn, this can assist manufacturers looking to gain another competitive edge when it comes to consumer awareness, preference, and sentiment. This further strengthens the labels’ role as the front door to product marketing and sales.
TrendHunter.com, dedicated to trend identification, notes that AR is gaining popularity in a variety of industries, ranging from food and beverage to cannabis. Regarding labels, the site notes: “The food and beverage industry adopts augmented reality-based labels… The use of AR in food labels is on the rise, with brands using such technology to both engage and educate their customers on the products they’re considering, or have already purchased. Such items cater to consumers’ continued interest in gamification, and add an element of interactivity that tends to be limited in product packaging.”
TrendHunter.com continues: “Though consumers tend to go online and research the details pertaining to products they purchase, the amount of information to sort through can be overwhelming. Thus, having brands do some of the work in relation to product education allows consumers the freedom to purchase in-person. With tech-integrations into labeling and packaging, this process is streamlined for consumers.”
Specifically targeting cannabis, TrendHunter.com emphasizes: “Virtual and augmented reality enters the cannabis space… The merging of augmented and virtual realities with the cannabis industry is on the rise as brands look to offer immersive experiences for connoisseurs and beginners alike. These platforms offer benefits like virtual product libraries and augmented package engagement — prioritizing both informative and creative experiences for viewers… For novice consumers, being informed about this emerging space is crucial in order to alleviate some of the apprehension they feel when they’re considering consuming a substance that was once attached with stigma and misinformation.”
Here are some hands-on, straightforward ways that AR-powered cannabis and CBD product labels can engage and educate consumers:
Show products being manufactured, establishing quality controls, purity and other credibility-building examples along the way;
Relate customer stories and reviews endorsing products, benefits and efficacy;
Address claims and controversies within the industry or involving the company itself;
Document complete tracking of products from seed to shelf, proving authenticity and quality control;
Provide ways (and encouragement) for consumers to interact with a brand via AR;
Offer easy social media sharing options, so that individual consumers can become brand information hubs via their networks.
Gary Paulin is VP of Sales and Client Servicesat Lightning Labels, a Denver-based custom label printer that uses state-of-the-art printing technology to provide affordable, full-color custom labelsand custom stickers of all shapes and sizes. Contact: sales@lightninglabels.com; 800.544.6323 or 303.481.2304.
Senate Race Runoffs in the Peach State
By Michelle Rutter Friberg, NCIA’s Deputy Director of Government Relations
As you’ve probably heard by now, which party controls the Senate won’t be known until January 5 — but those results could quite literally determine if marijuana will become federally legal over the next few years.
In Georgia, no candidate can advance through a primary or a general election system without first earning more than 50% of the votes. If no one does, the top two vote getters advance to a runoff election, ensuring that one will earn the majority of votes cast.
This year, the state’s two Senate races — one regular, the other a special election to fill the remainder of a retired senator’s seat — have gone to a runoff. The first will be between incumbent Sen. David Perdue (R) and Democrat Jon Ossoff; the latter will be between Republican Sen. Kelly Loeffler and Democrat Rev. Raphael Warnock. If Democrats win both seats, the Senate will be tied 50-50, and Vice President-elect Kamala Harris would be the tie breaking vote.
It can’t be overstated that the Democrats have an uphill (but not impossible!) battle ahead. In November, Sen. Perdue garnered 86,000 more votes than Ossoff, while Warnock benefited from the fact that two Republicans — both Sen. Loeffler and Rep. Doug Collins — were on the ballot in his race, splitting the party’s votes.
And of course, it’s 2020, so I would be remiss not to mention the pandemic! The runoff is taking place in an off-election year in (what will likely still be) the middle of a serious surge of COVID-19 cases. On top of that, Republicans historically have a stronger track record of turning out in runoffs in the state.
Despite all of that, Democrats are working hard to turn out the vote and organize early. In addition to relying heavily on both first-time voters and Black voters, Democrats are also hopeful that young voters will be the key to winning the runoff in January. Ossoff recently said:
“There are 23,000 young people here in Georgia who will become eligible to vote just between the November election and this January 5 runoff, and a decade of organizing, much of this work led by Stacey Abrams, has put the wind in our sails here in Georgia. What we’re feeling for the first time in four years is hope.”
As I said before, which party controls the Senate could quite literally be the difference between whether or not cannabis could become federally legal in the next one to two years. Senate Minority Leader Chuck Schumer (D-NY) was interviewed in October and said:
“I’m a big fighter for racial justice, and the marijuana laws have been one of the biggest examples of racial injustice, and so to change them makes sense. And that fits in with all of the movement now to bring equality in the policing, in economics, and in everything else. Our bill is, in a certain sense, at the nexus of racial justice, individual freedom and states’ rights.”
Schumer was referencing the bill he introduced, the Marijuana Freedom and Opportunity Act, which would remove cannabis from the Controlled Substances Act, allowing states to set their own policies. It also includes provisions to help funding to cannabis businesses owned by women and people of color through the Small Business Administration; funding studies on traffic safety, impairment detection technology, and health effects of cannabis; restricting advertising that could appeal to children; and setting aside $100 million over five years to help states develop streamlined procedures for expunging or sealing prior cannabis convictions.
Time is of the essence. Voters must be registered by December 7 in order to participate in the runoff election. If you’re in Georgia, or know anyone who is a resident, please check out the Cannabis Voter Project to learn more and make sure you’re ready to vote. If you can, consider making a donation to the Ossoff campaign or the Warnock campaign. The future of cannabis legalization in this country depends on it!
Commmittee Blog: NCIA’s Diversity, Equity, and Inclusion Committee Offers Critiques and Recommendations for Illinois Social Equity Dispensary Licensing Process
by NCIA’s Diversity, Equity, and Inclusion Committee
We are NCIA’s Diversity, Equity, and Inclusion Committee (DEIC), comprising experienced professionals representing a diverse range of backgrounds. In response to the early results of the Illinois Adult Use Dispensary application process, and with the interest of supporting Illinois’ Social Equity efforts, we felt compelled to reach out and offer our analysis and recommendations.
While the creation of the Social Equity Program in the Cannabis Regulation and Tax Act and Illinois Department of Financial and Professional Regulations (“IDFPR”) implementation of the licensing scheme was well-meaning and intentioned, the recent litany of lawsuits and outcry from advocacy groups following Illinois’ inaugural issuance of cannabis licenses indicates heavy criticism. As demonstrated thus far, the Social Equity Program appears limited in its ability to capture a sufficient representation of persons most harmed by the War on Drugs in Illinois in business licensure and ownership, or to generate the opportunities for restorative justice and building generational wealth for such persons as hoped.
Our intention with this letter is to state our express desire to lend the expertise and resources of NCIA’s DEIC to support Illinois legislators in crafting Illinois’ licensing and regulatory systems in a manner that reflects the Social Equity Program’s laudable mission of reducing barriers to cannabis business ownership, and establishing a legal cannabis industry that is equitable and accessible to those most harmed by the disparate enforcement of drug-related laws in Illinois. Furthermore, we hope to lend support to local organizations building toward that same goal, and to form a coalition as we all strive to rectify the harmful effects of prohibition and the War on Drugs.
At this time, and pending further collaboration with local officials, NCIA’s DEIC makes the following recommendations for your consideration. For further understanding of the analysis supporting these recommendations, please see the attached report.
For IDFPR to move forward with license scoring and issuance as soon as possible, we suggest the following:
Removing the required possession of premises and overhead to hold on to property (not required of dispensary applications and may bankrupt existing applicants awaiting results)
Ensuring oversight of KPMG (the 3rd-party firm hired by the State of Illinois to score the applications) by persons of color and social equity representatives
Allowing for a documented appeals process internally with KPMG results before issuing them to all applicants
Scrutinizing Operating Agreements in the rubric and gradient to ascertain and avoid predatory or straw-man agreements
Moving forward, reasonable transparency would include knowing what the makeup and process was for KPMG in making their first evaluations, and what the process will look like for the re-scoring to avoid conflicts of interest. Specifically, IDFPR can ensure transparency by making the following information public:
Evaluation Rubric
Composition of the Reviewers
Scoring Process and Determination of Grading
Frequency of KPMG Meetings
KPMG Public Relations Contact
Timeline of Events During the Scoring Process
Lessons Learned and Plan for Improvement on Future Scoring Rounds
For future rounds of applications, we offer these recommendations:
Pre-qualifying social equity applicants for state funding to ensure economic empowerment in the application process
Providing a path forward for those who are not (yet) qualified to operate a cannabis business, but are qualified as social equity applicants
Allowing for 100% Social Equity Applicant owned businesses to qualify for cannabis experience points without partnering with a multi-state operator (“MSO”)
Issuing delivery licenses for social equity operators
We also express our support for the recommendations made by the Cannabis Business Association of Illinois’ Minority Access Committee, in their October 5, 2020, letter to Governor Pritzker. (see here)
Finally, we appreciate the efforts taken by Governor Pritzker, the Illinois legislature, and IDFPR thus far to address disparities in the application process and commend Governor Pritzker for taking leadership on this important issue. Allowing this first generation of applicants to address deficiencies in their applications, as it was originally intended to allow them to do, offers another opportunity to enter the lottery system, which we recognize and appreciate.
Additionally, the commission of a disparity study is commendable and should prove helpful in understanding what went wrong and how to improve. If anything, we hope our expertise and professional experience will assist in this process and in the effort to improve upon the mistakes of the past to achieve a more diverse, inclusive, and socially equitable future.
Thank you for your time and attention to this matter. Please let us know if we can assist in any way.
Sincerely,
The National Cannabis Industry Association Diversity, Equity, and Inclusion Committee
Company executives and human resources professionals often talk about company culture as if it were a faraway planet, dreamy to think about and look at, but impossible to grasp. Now more than ever with a global pandemic and civil unrest, company culture is crucial to the success of a business.
So what is it?
Well simply put, company culture is defined as a set of behavioral and procedural norms observed by an organization. Typically, we use policies, procedures, codes of conduct, values, goals and initiatives to mold and shape our company culture. From the employee relations perspective, company culture is a company’s personality.
What are the different types of company culture?
There are many different types of company culture and some industries tend to gravitate towards certain cultures more often than others. The three main types of company culture are leadership, traditional, and innovative.
Leadership company culture focuses on developing employees and helping them grow in their careers through mentorship and coaching. The main idea is to create an organization of leaders, because as many say, a team is only as strong as their weakest link.
Traditional company culture is the most conventional style of company culture and it tends to get a bad reputation for being “stuffy.” Most folks wear suits and ties, there are a lot of rules and policies in place and there tends to be a clear organizational hierarchy.
The last company culture type, and probably most effective for the cannabis industry, is an innovative company culture. An innovative company culture is focused on the development and innovation in the business. This culture tends to break down the barrier to allow for open communication and transparency. Innovative company culture tends to be inclusive and accepting of individuality. Many innovative and creative employees tend to thrive in this setting and thus do amazing work for innovative companies.
What affects company culture?
Outside of the policies and procedures, there are other factors that shape our company culture including company goals, backgrounds and experiences of the aggregate employee workforce, leadership styles, rewards, and disciplinary systems in place as well as local and national government policies. I’d also add cultural norms with the local and national government, as that heavily affects our company culture. For instance, we often look to Europe with mastering work-life balance due to shorter workweeks and longer maternity leaves.
The backgrounds and experiences of the aggregate workforce is also a huge factor we often overlook. If we have an unconscious bias on our recruitment team, chances are, the entire organization will mirror that make-up, backgrounds, and experiences of the in-house recruiters, which leads to a lack of diversity across the board.
Why is company culture important?
Company culture within an organization separates the successful businesses from the failing businesses. In fact, poor company culture will almost always result in high turnover, poor customer experience, disengaged employees, lower morale and eventually lower profitability.
What is Human Resources’ role in company culture?
What can you do as a human resources professional within an organization to support company culture?
Carry out organizational values day-to-day
Effectively communicate company culture through recruiting and new hire processes
Clearly define roles and responsibilities of each employee within the organization
Provide continuous learning and development
Sustain reward and recognition systems
Administer and maintain performance management
What can Human Resources Assess and Develop Company Culture?
Many organizations harness the power of employee experience survey instruments to determine the success (or failure) of their company culture. After developing an appropriate assessment tool, the next step is to administer the assessment properly. Be sure there’s a goal for participation and a plan of action to attack following up with employees who haven’t completed the assessment.
This is where a lot of organizations fall off. After obtaining responses, you must analyze and actually communicate the results of the survey in a town hall. From there, you work on your areas of opportunity in focus groups within the organization. Most focus groups consist of volunteers from all departments and different levels of seniority and experience.
The next step is to actually take action and begin implementing changes that can improve your areas of opportunity addressed in the survey. This assessment process is iterative, so after following through with suggested changes, you follow up routinely with the same assessment. While this process seems daunting, it shows your employees that you actually care about their experience and want to improve as an employer.
As we continue to develop and evolve as an emerging industry, keep company culture at the forefront of your efforts. Remember, if you take care of your employees, they will take care of your customers, and that growth and profits will absolutely come naturally.
Rashaunah “Shawnee” Williams is the co-founder at Illinois Equity Staffing, an MBE and WBE firm based in Chicago, that supports the cannabis industry in education, job placement, human resources, payroll and social equity & diversity compliance. Shawnee and her business partner Lynette Johnson founded Illinois Equity Staffing because they understood the barriers to entry for lower and middle-class people, minorities and women in the cannabis industry. Both having the “Corporate America” background, Shawnee and Lynette, understand the pain points of this population, as they both grew up in disproportionately impacted areas and are minority women. It’s this perspective that has allowed Illinois Equity Staffing to bridge the gap and create a more equitable cannabis industry in Illinois. She is a member of IWC, Chicago NORML, MCBA, the Cannabis Equity Coalition, Cannabiziac, and BIPOCANN. She also serves on the Human Resources Committee with the National Cannabis Industry Association and the advisory board of Cannabiziac.
ACTION ALERT: Congress to Vote on Historic MORE Act
The Marijuana Opportunity, Reinvestment, and Expungement Act (H.R. 3884) is expected to come to a vote in the U.S. House of Representatives in December 2020. NCIA has been building support for this bill in Congress for the last year and now we need your help!
Please call your member of Congress and ask them to vote YES on the MORE Act today!
Look up your congressional representative and contact info by zip code, here.
Reference our congressional scorecard to find out if your representatives are sponsoring NCIA’s priority legislation, including the MORE Act.
Sample script to help guide your call:
Hello! My name is _______________ and I am a constituent of yours in (city, state, zip code). I am calling today to ask that Representative _____________ votes “Yes” on H.R. 3884, the MORE Act, when it comes to the Floor for a vote in December.
This bill would remove cannabis from the Controlled Substances Act at the federal level, leaving marijuana policy up to the individual states. It also creates avenues towards expungement, re-sentencing, and assists those communities that have most been impacted by the failed war on marijuana. Additionally, legal cannabis is a huge economic driver and would help both the federal government and states’ revenue shortfalls during this pandemic.
Thank you for your time today. Again, I hope Representative _____________ will vote “Yes” on H.R. 3884, the Marijuana Opportunity, Reinvestment, and Expungement Act.
*Feel free to tell a personal story if you feel it is relevant or powerful, but remember that staffers are busy so sometimes short and sweet is best!*
Summary of the Marijuana Opportunity, Reinvestment, and Expungement Act of 2019:
The Marijuana Opportunity, Reinvestment, and Expungement Act (H.R. 3884, S. 2227), commonly known as the MORE Act, was introduced in 2019 by House Judiciary Committee Chairman Jerry Nadler (D-NY) and Senator (now Madam Vice President-Elect) Kamala Harris (D-CA).
This bill would:
Decriminalize cannabis federally: The bill removes cannabis from the Controlled Substances Act, leaving cannabis policy up to the states
Allow for expungement of marijuana convictions and arrests, sealing of records, and re-sentencing: Requires federal courts to expunge prior convictions and arrests and seal court records for those not under a current criminal justice sentence and requires courts, on motion, to conduct re-sentencing hearings for those under a criminal justice sentence.
Establish sales tax and “Opportunity Trust Funds”: Authorizes the assessment of a 5% sales tax on marijuana and marijuana products to create an Opportunity Trust Fund, which includes three grant programs:
The Community Reinvestment Grant Program, administered by the Department of Justice, would provide services to the individuals most adversely impacted by the War on Drugs, including job training, re-entry services, legal aid, literacy programs, youth recreation, mentoring, and substance use treatment.
The Cannabis Opportunity Grant Program, administered by the Small Business Administration (SBA), would provide funds for loans to assist small businesses in the marijuana industry that are owned and controlled by socially and economically disadvantaged individuals.
The Equitable Licensing Grant Program, also administered by SBA, would provide funds for programs that minimize barriers to marijuana licensing and employment for the individuals most adversely impacted by the War on Drugs.
Make available SBA programs and services to cannabis businesses: Specifies that the SBA may not negate eligibility for loans and other services based on a business being cannabis related.
Clarify federal public benefits: Prohibits the denial of any federal public benefit (including housing) based on the use or possession of marijuana, or prior conviction for a marijuana offense.
Protects immigrants: Provides that the use or possession of marijuana, or prior conviction for a marijuana offense, will have no adverse impact under the immigration laws.
Provide for data Collection: Requires the Bureau of Labor Statistics to collect data on the demographics of the industry to assess whether people of color and those who are economically disadvantaged are participating in the industry.
Age equity for juveniles: The bill applies equally to juveniles and adults, protecting young people from harmful criminal records.
#CannaBizSummit 2020 – A Look Inside the Live Virtual Event
NCIA’s Annual Cannabis Business Summit & Expo, held virtually as the inaugural Cannabis Business Cyber Summit, was a great success! November 10-12, attendees took part in live programming and interaction, enjoying unmatched access to the cannabis industry’s leading experts, latest research, and most innovative products and services through the Cyber platform.
Our three days of #CannaBizSummit education and experiences, totaling over 150 hours of industry content and 30 exhibiting sponsors, is now available for on-demand viewing through December 10, 2020. Register now to gain access.
Highlights from #CannaBizSummit
On Day 1, keynote speaker and GRAMMY Award-winning musician Carlos Santana gave an inspiring talk, where he discussed the benefits of cannabis, music, and the significant, personal mission behind his cannabis brand, Mirayo. “Mirayo is my being, my light, it honors my mother,” Santana said. On financial success, he says, “For me being profitable is if you have peace and joy, if you don’t have those two things, you are lost.”
The event featured exhibit halls on the first two days, where attendees could source, learn, and live chat with all participating exhibit sponsors. Participating sponsor, MJ Freeway, said, “We were thrilled to have the opportunity to sponsor and participate in NCIA’s Cannabis Business Cyber Summit. The sessions and speakers were impressive, and the platform was engaging. Our team made some new connections and followed up with some old friends.”
Other highlights from Day 1 include a cannabis cooking demo with Chef Travis Petersen and NCIA education sessions, “From Sweets to Scale: Edibles Innovation & Trends for Infused Products,” and “The Social Equity Dilemma: What Lessons Did We Learn from Illinois, and How do we Proceed?”
In the session, “Running for Office & Advocating as a Cannabis Entrepreneur,” Cody Bass of the Tahoe Wellness Center spoke on the importance of getting involved in local and national politics as a cannabis advocate. “We cannot continue to depend on politics as normal and think that things are going to change,” Bass said. “We have to become engaged to a point of not just lobbying, but really start to become the elected that represent our community.”
The CannaVest investment forum was also completely virtual and coincided with the Cannabis Business Cyber Summit, November 10-12. CannaVest included valuable sessions designed with the specific needs of the institutional investor and sophisticated accredited investor in mind. From timely roundtables like, “The Multi-State Operator Roundtable: A Look at Business Plans & Operating Models in a COVID World,” to panel sessions, such as, “M&A and Capital Raising: A Look at the US Public Markets,” there was something at CannaVest for all investment-minded attendees. CannaVest was supported by eight sponsoring companies who met with and showcased their products and services within the Cyber exhibit hall.
On Day 2, 2020 Presidential candidate Andrew Yang joined us as our Cyber Summit keynote speaker. In his powerful discussion, Yang discussed universal basic income, the recent presidential election, cannabis legalization, the ongoing COVID-19 pandemic, and more. “The future is bright,” Yang said. “This is going to be one of the major growth industries over the next number of years. If you keep working, the market will be there for you.” Read this story on Marijuana Moment about Yang’s thoughts shared during his presentation about the prospect of cannabis legalization with Joe Biden as U.S. President.
Day 2 also featured a yoga session, the MediPharm Lab Tour presented by President and Director Keith Strachan, and educational sessions on topics like how to set a higher standard in manufacturing infused products, how to be a marketing leader in the ongoing COVID-19 pandemic, and how to create a circular economy.
Attendees joined NCIA’s co-founder and CEO, Aaron Smith, on the final live day of #CannaBizSummit for a keynote presentation marking the 10th anniversary of the association’s founding and a discussion on where the cannabis industry stands today. Speaking on the success of five states – Arizona, Mississippi, Montana, New Jersey, and South Dakota – in legalizing some form of cannabis use in the recent election, he said: “This could not have happened if not for this legal industry setting an example for the world of what it looks like to replace prohibition with responsible cannabis businesses.”
Attendees also enjoyed valuable sessions featuring panels of experts, such as, “Cannabis Marketing Technology: Are you a Laggard or a Leader?,” “Breaking into New Markets: 4 Steps to Becoming a Successful MSO,” and many more. In “The Michigan Market and Beyond,” attendees heard from the state’s Marijuana Regulatory Agency on important issues impacting the agency. Andrew Brisbo, leader of the Marijuana Regulatory Agency, said, “I think it’s very important to be cognizant of the cost of doing business and not have regulation just for regulation’s sake. We want to make sure that Michigan is in the best position for the future we are seeing.”
All 150+ hours of this exceptional content are now available for viewing through the Cyber virtual platform through December 10, 2020, to all registrants. For those who did not register and attend the live days but are interested in participating, NCIA members and license holders can register through December 10 for free, with non-members paying just $49. A Cyber pass includes access to all recorded content as well as the virtual expo hall where you can visit sponsor booths and download resources for your business.
Thank you again to all those who joined us for our live days of Cannabis Business Cyber Summit. Be sure to save the dates for our 2021 events, where we hope to see you in-person.
Explore NCIA’s website to stay up to date on 2021 event information.
What to Watch in the Lame Duck Session
by Madeline Grant, NCIA’s Government Relations Manager
Following the presidential election, we’ve entered the lame-duck session. This occurs after an election, but before new members are sworn in, and allows for time on the legislative calendar for Congress to pass additional legislation. Before Congress heads home for the holidays, a new administration takes office, and the 117th Congress returns, let’s take a look at what to keep an eye on during the lame-duck session.
Banking Access
The House of Representatives has approved the SAFE Banking Act in some form THREE times in just over a year. The text of the Secure and Fair Enforcement (SAFE) Banking Act has passed through two different COVID-19 relief packages on the House side: the HEROES Act, and the HEROES Act 2.0, and also passed as standalone legislation in September 2019. However, in the upper chamber, we’ve seen Senators criticize including marijuana components in coronavirus legislation, arguing that it is not germane to the issue at hand. Specifically, Senate Majority Leader McConnell (R-KY) took to the floor to complain that the House bill provides “special treatment to the marijuana industry,” stating that the legislation “mentions the word ‘cannabis’ more times than the words ‘job’ or ‘jobs.’” Regardless, it’s evident that SAFE banking has bipartisan support and could help mitigate the spread of the virus by ending the industry’s reliance on cash transactions.
Additionally, Senate Minority Leader Chuck Schumer (D-NY) introduced a coronavirus relief bill last month that contains the SAFE Banking Act. We’ve seen pushback from the Republican-controlled Senate and the Trump administration, however, Senator Schumer’s inclusion of cannabis provisions is a positive sign that Democrats will make an effort to continue to push for these provisions. As Congress and the Trump Administration continue to negotiate coronavirus relief legislation, we will continue to keep our eyes on banking. Also, a friendly reminder to call our representatives and senators and encourage them to support cannabis banking reform. If they are already a champion on our issues, thank them for their support.
The Marijuana Opportunity, Reinvestment and Expungement (MORE) Act
Regardless of all of the trials and tribulations that 2020 has brought, there is still great excitement and optimism around the MORE Act! House Majority Leader Steny Hoyer (D-MD) confirmed that marijuana legalization is still on the table before the presidential transition and will get a vote in December. Previously, Representative Hoyer announced this past summer that the chamber would vote on the MORE Act in September, but that plan was postponed following pushback from certain offices who were concerned about the optics of advancing cannabis reform before passing another coronavirus relief package.
The MORE Act is the most comprehensive cannabis legislation to date. The bill would: federally deschedule cannabis, completely removing it from the Controlled Substances Act, expunge the records of those with prior marijuana convictions and impose a federal give percent tax on sales, revenue from which would be reinvested in communities most impacted by the drug war. Additionally, the legislation would also create a pathway for resentencing for those incarcerated for marijuana offenses, as well as protect immigrants from being denied citizenship over cannabis and prevent federal agencies from denying public benefits or security clearances due to use. The fact that we have a potential vote on the MORE Act before the end of the 116th Congress is exciting news for the cannabis community. As we gear up to the end of the year, look out for updates on the MORE Act, and remember, please call your representative and senators and urge them to support this significant piece of cannabis legislation.
Success Through Hardship in the 116th Congress
This year has been unlike any other year we’ve faced as a country. Since March, Congress has exhausted their legislative efforts to agree on coronavirus relief bills. With differences on both sides of the aisle and with the administration reaching any sort of legislative success seems near impossible. However, on a positive note we’ve seen our champions on Capitol Hill not give up on cannabis-related provisions. Although we are faced and halted by frustrations in the Republican-controlled Senate, we still see members of Congress working to include the much-needed cannabis reform our nation is calling for. Not to mention Election Day – Arizona, Montana, New Jersey, and South Dakota all passed measures making cannabis legal and regulated for adults, while Mississippi and South Dakota chose to legalize medical cannabis. Every success and victory in cannabis policies around the country creates more momentum for Congress to fix the out-dated cannabis laws. As we wrap up the 116th Congress, we will be left with more momentum than ever before to enter the 117th Congress to reach new legislative victories.
2021 Cannabis Policy Outlook
Three Takeaways From The 2020 Election
by Michelle Rutter Friberg, NCIA’s Deputy Director of Government Relations
It may not feel like it, but election season 2020 is drawing near an end – mostly. While many of us have been glued to the news for what feels like an eternity, let’s take a look at what actually happened and focus on three main takeaways from the election and how they may impact cannabis policy in the 117th Congress.
Democrats maintained their majority in the House of Representatives — by a slimmer margin than expected
For the last two years, Democrats have held the majority in the House by a margin of 232-197. Many people in Washington and pollsters believed that that majority would increase this cycle, however, that was not the case. As of publication, Democrats hold 216 seats to Republicans’ 196, with 218 seats needed for the majority. A total of 23 seats have still not been called.
While votes are still being counted, it is expected that Democrats will retain a comfortable majority in the lower chamber. Leader Hoyer has already publicly committed to a vote on the MORE Act by the end of the year, which is expected to pass. However, the legislation will surely need to be reintroduced next session and will hopefully have a swift path through the legislative process.
The bottom line: Democratic leadership and committee chairs in the House have been incredibly receptive and supportive of reforming our outdated cannabis laws. Expect to see more of that in the 117th Congress and keep an eye on comprehensive bills like the MORE Act, and incremental bills like the SAFE Banking Act.
We won’t know who won the Senate until January 5
The race to control the Senate continues. As of publication, both Democrats and Republicans hold 48 seats, with four races (Alaska, North Carolina, and both Georgia seats) yet to be called. It’s expected that the Republican incumbents in both Alaska and North Carolina will hold on to their seats, which would give Republicans a total of 50 seats. That means the Senate majority will likely hinge on the two runoff Senate races happening concurrently in Georgia.
In Georgia, no candidate can advance through a primary or a general election system without first earning more than 50% of the votes. If no one does, the top two vote-getters advance to a runoff election, ensuring that one will earn the majority of votes cast. This year, the state’s two Senate races– one regular, the other a special election to fill the remainder of a retired senator’s seat — have gone to a runoff. The first will be between incumbent Sen. David Perdue (R) and Democrat Jon Ossoff; the latter will be between Republican Sen. Kelly Loeffler and Democrat Rev. Raphael Warnock.
In terms of cannabis, the uncertainty around the majority in the upper chamber leaves big question marks. If Democrats are able to take the majority, Leader Schumer (D-NY) has committed to bringing cannabis legalization up for a vote. Democratic committee chairs would also be more likely to bring up cannabis-related bills. However, if Republicans maintain control, we can expect more uphill battles. An important asterisk to that statement, however: Sen. Pat Toomey (R-PA) is expected to replace current Senate Banking Committee Chairman Mike Crapo (R-ID) if the GOP retains control. While Sen. Toomey is not a known cannabis champion, advocates feel optimistic about working with him on bills like the SAFE Banking Act.
We now (presumably) have a new President, Vice President, and Administration to work with
Former Vice President Biden and California Senator Kamala Harris are now presumably the President-elect and Vice President-elect of the United States. The campaign made history not only in terms of voter turnout but also by electing the first-ever female and woman of color vice president. President Trump has yet to concede and has vowed to fight the results, however, there has been no proof of voter fraud and the Biden/Harris team is already getting to work on the transition.
What does this mean for cannabis? President-elect Biden has repeatedly voiced his support for decriminalization, while future Madame Vice President Harris is the main Senate sponsor of the MORE Act. She has also continuously reiterated her commitment to expungement and resentencing for those convicted of cannabis offenses. Advocates also feel optimistic about working with a new administration that could potentially codify reform in various ways, such as memos.
Bonus: cannabis initiatives won big on election night
ICYMI, the real winner last Tuesday was marijuana! Arizona, Montana, New Jersey, and South Dakota all legalized adult-use cannabis, bringing us to 15 states with legal marijuana. South Dakota and Mississippi also legalized medical cannabis, bringing that total to 36 states. Want to learn more about what happened? Check out this awesome post NCIA’s Media Relations Director, Morgan Fox, put together.
I don’t know about the rest of you, but I think this was one long and anxiety-inducing election cycle! The results are still trickling in, but here at NCIA, we’re excited to continue working on behalf of you and your business. Have more questions about the election, or want to chat with our government relations team about the results? Find Mike, Michelle, Maddy, or Andrew over on NCIA Connect. Talk to you there!
Election Night 2020: Victories For Sensible Cannabis Policies
by Morgan Fox, NCIA’s Director of Media Relations
While the country waits for the outcomes of national elections that could very well impact the future of cannabis policy reform advocacy, we do have a LOT to be happy about today!
Last night, adult-use and medical ballot initiatives SWEPT the elections, passing in every state in which they were considered!
Voters in Arizona, Montana, New Jersey, and South Dakota all passed measures making cannabis legal and regulated for adults. South Dakota also approved a medical cannabis initiative by an even greater margin, and was joined by Mississippi where an overwhelming majority of voters not only supported medical cannabis but chose the much more comprehensive of two competing options.
You can learn more about these initiatives here and how they fared in the elections here.
There are a lot of important milestones and lessons to observe from these historic results.
First, let’s talk about New Jersey. Roughly two thirds of voters in the state approved this ballot measure, which was referred to them after lawmakers were unable to pass similar legislation last year. This is a big jump in ballot approval margins; before now, the most popular legalization referendum was in California, which approved Proposition 64 in 2016 with 57% of the vote. That’s a 10% margin increase in just four short years! The large population and huge market potential (more than $1.5B by 2025) are sure to have a major impact on the industry. Regionally, passage of this initiative is certain to add urgency to adult-use cannabis regulation efforts in states like New York, Pennsylvania, Connecticut, Delaware, and Rhode Island.
South Dakota also set a record by becoming the first state to approve an adult use law before having an established medical cannabis system, and in a very conservative state no less! Voters supported both medical and cannabis initiatives despite strong opposition from the governor and other officials.
In Arizona, after voters narrowly defeated a legalization initiative in 2016, a significant swing brought a 10% increase in support resulting in passage. This long-overdue change is especially important because Arizona is the only state where simple possession is a felony and nearly 15,000 people are arrested every year.
So what does this mean for future reform efforts?
First and foremost, the passage of the adult use initiatives means nearly 34% of Americans now live in states with laws making cannabis legal and regulated for adults. These four states account for roughly 60,000 marijuana arrests every year, mostly for simple possession. Congressional representation of states where cannabis is legal for adults will increase by 29 representatives and eight senators. This doesn’t guarantee their support for cannabis legislation, but it certainly increases the chances.
Second, passage of cannabis policy reform initiatives in conservative states like Mississippi, Montana, and South Dakota should send a signal to Republican lawmakers in Congress that this is an issue that they can support, and one which they will face political consequences for impeding. The fact that all three of these states had multiple cannabis-related issues on the ballot and voters were not swayed or confused is a testament to the will for change in these areas and a growing understanding of the issue.
Long story short: more and more states will continue to enact sensible, modern cannabis policies in the coming years, and every state that does so will help add to the chorus of voices from the public and in Congress calling for an end to outdated federal prohibition policies.
Video: NCIA Today – #Election2020 Special Episode
Did you miss the special live stream of NCIA Today this Election Day morning on Facebook? Get caught up to speed with this recording of the episode while we prepare to see results the results coming in as Americans cast their votes all across the country.
Cannabis is on the ballot in states across the country and a new Congress will be elected today, possibly the one that will end federal cannabis prohibition. Join NCIA staffers for an exclusive power hour of cannabis conversations with elected officials, Hill staffers, campaign directors, and more.
Committee Blog: Leading With Heart
by Nichole McIntyre, SPHR, SHRM-SCP, Director of Human Resources at urban-gro Member of NCIA’s Human Resources Committee
Want to inspire? Lead from the heart.
I recently attended the Empower 2020 virtual conference where Claude Silver of VaynerMedia held a fireside chat. She is the first person in a professional capacity to have the title “Chief Heart Officer.” What I heard from Claude over the next hour was energizing, though she claims she doesn’t see herself as an inspirational leader. Her modesty came through tenfold as she spoke about her journey toward her role at VaynerMedia, and the lessons she learned along the way. Claude never aspired to have a career in Human Resources, in fact, she doesn’t even consider herself an HR professional. Her message came through loud and clear – it is about the people. Plant the right seeds, and watch them grow. The success of VaynerMedia is undeniable, and it starts at the top by leading with heart. I was definitely inspired.
How many times have we heard it? Business is business, it is not personal. This type of thinking has largely contributed to the state of affairs in which we now find ourselves, which is a heightened state of anxiety in the workforce. The time to start making things personal, and lead with the heart, is at a tipping point. Seize this moment to let employees know you care about the whole person and not just the worker.
All of our working norms have been turned upside down, and it is no wonder there’s a secondary plague of anxiety with a new focus on mental health and employee well-being. With the seismic shift to remote work, many employees have assumed multiple additional responsibilities, in and outside of the office. For working parents, the additional stress of remote learning has caused concern about their abilities to maintain performance levels at work. For some, there is a daily anxiety when it comes to choosing between job responsibilities and engaging as a parent toward the educational development of their children – a choice no one wants to be required to make. Talking with employees to understand both professional goals and personal circumstances is critical.
Increase Communication.
People have an innate longing to connect. Yes, even the introverts. There has never been a better time to increase communication and ensure best practices, such as 1:1’s, employee development, and performance evaluations are taking place. Employees need to hear feedback and understand how their contributions and performance are viewed by both their direct manager and the company, as well as instilling a sense of purpose by identifying how these contributions impact the overall health and strategy for the organization.
Open Yourself Up To Vulnerability.
During these touchpoints, do a lot more listening. Employees need to feel free to communicate anxieties, fears, or concerns. You can model vulnerability by putting yourself out there and sharing your own experience. As a leader, it is your responsibility to create a space where employees feel safe to share information that may be perceived as uncomfortable. When you create the ideal employee ecosystem for each individual, employees are happier, engaged, and more creative. Your company will not only foster an exceptional culture, but you will also reap the rewards financially and improve your reputation in the market.
Invest In Their Development.
Let your employees know you are invested in them and you care about their development. Take advantage of free webinars, launch a book club initiative or a mentorship program. These types of development opportunities have very little cost to the organization, yet reap solid rewards. Further, these initiatives also provide a connection point where insights can be gleaned and you can understand prospects for development that matter most to your employees. These conversations are unique to each individual, as we all have different learning styles, interests, and skillsets on which to focus.
As I mentioned earlier, treating the whole human is critical at this time. Over the past six months, we have become armchair therapists as we help employees navigate an unknown world. Leaders who have the ability to flex their style to meet the needs of their employees will experience a higher level of success and happiness in their teams and business. Ensuring employees have all the tools necessary to navigate the complexities forced upon us overnight is essential. Employee Assistance Programs (EAP) are a good example and typically low cost in comparison to the value they provide. These programs not only provide the mental health benefits needed for employees to navigate life’s challenges but often make leadership and employee development tools available as part of the package.
Becoming an employer of choice is a choice you can make. Companies must do things that set themselves apart from others and capitalize on what makes them unique. We need to stop expecting a square peg to fit into a round hole and individuality should be valued. As leaders, we must adapt to the needs of the workforce, embrace diversity, and value the unique talents each person brings into the organization.
Collectively, we have chosen to work within an industry still fighting for legitimacy. We have the opportunity in a new industry to set the standard rather than follow the status quo, and have certainly followed unconventional methods to get here. Setting the trends for employee well-being and exceptional workplaces can be the imprint we leave on the fabric and future of the working world. We are finding ourselves under a tidal wave of change. The opportunity is before us, let us meet the moment and lead with heart.
I will leave you with a poignant thought from another inspirational and exceptional leader: “I’ve learned that people will forget what you said, people will forget what you did, but people will never forget how you made them feel.” ― Maya Angelou
Nichole McIntyre is the current Chair of the NCIA Human Resources Committee and Human Resources Director for urban-gro, Inc., a leading engineering design services company and system integrator. Nichole spent the bulk of her 20+ years in Human Resources in the Consumer Products Manufacturing industry, and intentionally pivoted her direction and passion for Human Resources to the Cannabis Industry in 2018. Her goal is to elevate the perception of both Human Resources and the Cannabis Industry through advocacy, engagement, leadership, and coaching. Nichole has served on the NCIA Human Resources Committee since 2018, and was an avid supporter of SAFE Banking legislation during the 2019 NCIA Lobby Days event in Washington D.C. Nichole holds both SPHR and SHRM-SCP Certifications and a Bachelor’s of Science in Business Administration from DeVry University. She is also currently enrolled at Keller Graduate School of Management, where she is just 4 classes away from obtaining her Master’s in Human Resources Management.
Video: Member Spotlight – HAL Extraction
NCIA recently visited with our members HAL Extraction based in Golden, Colorado. While social-distancing with the team there, we learned more about their extraction rooms, booth, and labs, and how operators can get their cannabis extraction production facility up and running. The company’s Chief Engineer, Josh Gladfelter, gave us a tour and demonstration of the capabilities of their product offerings, while Sales Manager Emma Byrnes explained how the company works with customers to find solutions to their specific needs. As explained by the company’s President, Patric Galvin, HAL Extraction is focused on leading the way for industry’s safety standards, helping facilities achieve compliance, and the longevity of our industry. Learn more and take a tour in this NCIA member video spotlight.
Log In to NCIA Connect to Watch #CannabisCaucus CYBER Recordings
All 2020 Cannabis Caucus CYBER recordings are available on NCIA Connect, the exclusive members-only community for the cannabis industry.
We missed seeing your faces in person but were happy to still visit with our members in the Southwest, Midwest, and Northeast regions at our CYBER events.
These lively evenings of education and entertainment – all from the comfort of our homes – took everything you love about theCannabis Caucus events and reformatted it into a one-of-a-kind virtual experience. If you missed these virtual events in September, you can get all caught up to speed on industry insights delivered firsthand from national and regional leaders.
Be sure to catch the Ohio Cannabis Caucus Cyber recording with Congressman Dave Joyce (OH-14) and the Pennsylvania Caucus with Congressman Brendan F. Boyle (PA-02) with important updates in those states.
As a country, the U.S. is experiencing what can best be described as the “age of distrust.” While public distrust in institutions has been escalating for at least a decade, according to the annual Edelman Trust Barometer which has tracked trust in media, governments, businesses, and nonprofits since 2000. Social unrest and a global pandemic have escalated this distrust. Never has the public eyed institutions or businesses with such suspicion. 
Tara Coomans is the CEO of Avaans Media (formerly known as Primo PR), which has been working with hemp and THC brands and services since 2015 from startup through IPO. Founded in 2008, Avaans Media brings a digitally forward and purpose-driven perspective to public relations. Avaans Media is based in Los Angeles with clients and team members distributed around the country including Washington D.C., New York and Denver. 
Kary Radestock, CEO, launched 
Jacob Carlson is the Co-Founder and CEO of 
The future is coming and the cannabis (marijuana and hemp) industry is uniquely positioned to offer innovative approaches to best management practices in its manufacturing sector. In 2021, the National Cannabis Industry Association’s Cannabis Manufacturing Committee formed a new group focused on addressing sustainable practices, legal protections, and policy considerations to future-proof your cannabis manufacturing business. The series, 
A native of Newton Massachusetts and a 1979 graduate of Tufts University, Jimmy Young has over 40 years of experience in commercial television and radio. A former Emmy Award-winning Talk Show host for his sports talk show for kids on NECN in the 90’s, he is one of the rare professionals in that industry who has had success in front of the camera, in production, and in sales management. 
Charlotte Peyton supports 
Bryan Passman is a father, a husband, a trailblazer, and Co-founder and CEO of 
Aaron Rosenbluth is 
Gary Paulin is VP of Sales and Client Services at 
We are NCIA’s Diversity, Equity, and Inclusion Committee (DEIC), comprising experienced professionals representing a diverse range of backgrounds. In response to the early results of the Illinois Adult Use Dispensary application process, and with the interest of supporting Illinois’ Social Equity efforts, we felt compelled to reach out and offer our analysis and recommendations.
Rashaunah “Shawnee” Williams is the co-founder at 
Following the presidential election, we’ve entered the lame-duck session. This occurs after an election, but before new members are sworn in, and allows for time on the legislative calendar for Congress to pass additional legislation. Before Congress heads home for the holidays, a new administration takes office, and the 117th Congress returns, let’s take a look at what to keep an eye on during the lame-duck session. 
Nichole McIntyre is the current Chair of the NCIA Human Resources Committee and Human Resources Director for 
