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Budtender School to Open in Las Vegas

Las Vegas Sun:  “While Nevada lawmakers debate the merits of legalizing marijuana, one company is looking at opening the state’s first medical marijuana school this month.  The Budtender School is expected to have its grand opening on April 13. Created by the Cannabis Career Institute”

Poll Finds Majority Says Pot Should be Legal

Washington Times:  “A majority of Americans now support legalizing marijuana use — the first time public support has crossed the 50 percent threshold, according to new polling from the Pew Research Center.  Pew found that 52 percent of Americans said marijuana use should be legal, compared to just 45 percent who said it should be illegal. The level of support has jumped 11 percentage points in the last three years.”

Caregiver Charged with Marijuana Related Felonies

White Mountain Independent:  “On April 2, 2013 the Navajo County Attorney’s Office formally charged suspect Michal Lytle,” with felonies for the sale and possession of marijuana.

Marijuana Dispensary Opens in North Glendale

Glendale Star:  “Residents of North Glendale will no longer have to make the trip to downtown Glendale to purchase their medical marijuana. A second medical marijuana dispensary [Glendale Greenhouse owned by Paul Perez] opened March 25 at 8160 W. Union Hills Drive, Suite A 106.”

Entrepreneurs Learn How to Use a Medical Marijuana Vending Machine

Boston Magazine:  “With reggae music playing through the speakers inside a meeting room at the Sheraton, nearly 100 people interested in the emerging medical marijuana market in Massachusetts gathered on Wednesday to find out more about the state laws—and how to use a pot vending machine.  Hosted by Dr. Bruce Bedrick, CEO of MedBox, a national medical marijuana dispensary support company that produces biometrically controlled machines, potential business owners sat in on a three-hour seminar . . . . Bedrick says 150 of the company’s machines are in use around the U.S. and Canada and that the machines offer ‘an extra layer of security’”

Medical Pot Dispensaries to Open in Marana & Oro Valley

Arizona Daily Star:  “Medical marijuana dispensaries are close to opening in Marana and Oro Valley since both municipalities have given the go-ahead to let them operate.  There are currently three dispensaries in the city of Tucson.  On March 27, Oro Valley issued a business license for Catalina Hills Botanical Care, 12152 N. Rancho Vistoso Blvd. That follows the Marana Planning Commission’s January approval of Nature Med, a 6,220-square-foot facility with on-site cultivation at 5390 W. Ina Road.

Marijuana Next

Time:  “With Republicans in a chaotic retreat on social issues like gay marriage and immigration, some conservatives are looking for places to set up a skirmish line. Pete Wehner proposes marijuana as the bright line today in the Washington Post.  I’ve been for legalization for years. But I think Wehner’s argument deserves a respectful read because he raises at least one crucial question for our society.”

Payson Pot Dispensary To Open

Payson Roundup:  “Plans are under way to open a medical marijuana dispensary in Payson later this year.  Desert Medical Campus, the only group with state authorization to open a licensed dispensary in Rim Country, has been in talks with town officials for some time to open a dispensary and cultivation site off North Tonto Street.”

Cash-starved States Eye Pot Tax

Politico: “Now that voters in Colorado and Washington have legalized recreational marijuana use, dope smokers there can light up without the usual paranoid fear that the cops are at the door.  The taxman is another matter.  Cash-starved legislators are seeing dollar signs in dime bags — with talk that a tax on marijuana could pump hundreds of millions or even billions into budgets still reeling from the recession.”

Audit Finds Serious Flaws in Colorado’s Regulation of Medical Marijuana

Denver Post:  “State regulators charged with watching over Colorado’s medical marijuana industry have fallen short on everything from tracking inventory and managing their budget to keeping potential bad actors out of the business, a state audit released Tuesday found.  Often lauded as a national model, Colorado’s so-called seed-to-sale system of regulating medical marijuana does not exist auditors found. . . . The audit also found:”

Can Feds Stop the Tide of Legalizing Marijuana?

Seattle Pi:  “‘No. No more than they could stop the end of slavery, no more than you could stop women getting the vote, no more than you can stop the end of Jim Crow segregation,’ said Harry Levine, a university professor with decades of research into the war on drugs and specifically the enforcement of marijuana prohibition. ‘This is a thing that runs counter to the fundamental functioning of a modern society. It’s immensely wasteful, it’s punitive, it’s excessive and it doesn’t make any sense,’ added Levine, a sociologist at City University of New York.  While we were waiting for U.S. Attorney General Eric Holder to announce what the federal stance toward legal marijuana in Washington and Colorado will be, we’ve been checking in with various experts in marijuana and the enforcement of laws against pot.”

Dispensary Opens in Eloy, Arizona

Jamestown Center, a medical marijuana dispensary licensed by the Arizona Department of Health Services, opened for business in Eloy, Arizona, on March 28, 2013.  It is managed and operated by pharmacists and a bio-chemist.

Judicial Watch Files Brief in Mountain Health Center v. County of Maricopa Lawsuit

Judicial Watch:  “Judicial Watch, the organization that investigates and fights government corruption, announced today [March 25, 2013] that it filed an amicus curiae brief (White Mountain Health Center v. County of Maricopa (1 CA-CV 12-0831)) on March 19, 2013, in the Court of Appeals of the State of Arizona, District One, in support of Maricopa County and the State of Arizona’s lawsuit appealing a December, 4, 2012, Maricopa Superior Court ruling that the Arizona Medical Marijuana Act (AMMA) did not conflict with federal drug laws. . . . ‘Federal law is unambiguous in that marijuana is a controlled substance regulated under a comprehensive statutory and regulatory scheme. As such, the production, sale, and use of marijuana, other than as part of a federally authorized research program, is a violation of federal law regardless of any state law permitting such activities even in a limited manner’.”

Nevada Legislators Tour Arizona Medical Marijuana Dispensaries

Las Vegas Sun:  “Five state senators and one member of the Assembly flew to Phoenix to tour a medical marijuana dispensary and a grow house before meeting with Arizona legislators to talk about the state’s new system for getting the drug to patients.”

Arizona Medical-Marijuana Dispensaries Taking Off

Phoenix New Times:  “The state-regulated medical-marijuana dispensary industry that Arizona voters approved in late 2010 is becoming a reality, with three new retail shops opening this week. . . . Those four shops add to the seven already open across the state, records show.  Meanwhile, 11 others are in various stages of final approval for operating certificates by the Arizona Department of Health Services, which oversees the program.

Charges Against Vallejo, California, Weed Country Star Dismissed

Times-Herald:  “Year-old criminal charges were dismissed Thursday against Matt Shotwell, a one-time operator of one of Vallejo’s largest medical marijuana dispensaries.  Since February 2012, when the Vallejo Police Department’s series of raids on medical marijuana dispensaries launched with Shotwell’s arrest at Greenwell Cooperative dispensary, no operators have been convicted.

DEA Using a $37 Pot Sale to Seize a $1.5 Million Anaheim Building

OC Weekly:  “Despite allowing the Kush Expo to operate annually since 2010, the city banned medical-marijuana dispensaries in 2007 and has extended the prohibition every year since. Last year, the city also called in the U.S. Drug Enforcement Administration (DEA) to help crack down on pot clubs. In August, the DEA sent threatening letters to dozens of landlords and filed three asset-forfeiture lawsuits, including one against the owner of a $1.5 million building on Ball Road.”

Dicey Pot Certification Business Harms Licensed Dispensaries’ Credibility

Arizona Daily Star:  “The day after police raided the Get Legal Cannabis Certification Center, 6647 E. 22nd St., a crowd of about 20 angry customers gathered outside. . . . Thus ended the short life of the sort of business Arizona’s medical marijuana industry should avoid being associated with if it wants to be taken seriously. . . . The last police visit was on Feb. 28, when Counter Narcotics Alliance officers served a search warrant, looking for evidence not of drug crimes but of fraud.”

More Indictments In Arizona Medical Pot Case

Payson Roundup:  “A grand jury indicted Nature’s Harvest founder and director Sheelah Golliglee last month for running a criminal syndicate and selling marijuana. . . . [The Navajo County Sheriff's Department] said Nature’s Harvest was charging patients for medical marijuana, but passing it off as a consultation fee. . . . A doctor who worked at the facility was also indicted for forgery and fraudulent schemes, but has not appeared for his arraignment, said [Navajo County deputy attorney Jason] Twede.”

Licensed Medical Pot Dispensaries Group Wants Unlicensed Clubs Shut Down

CBS5AZ.com:  “A group [The Regulated Dispensaries of Arizona Association] representing licensed medical marijuana dispensaries in Arizona is asking police and sheriff’s authorities statewide to crack down on unlicensed and illegal medical marijuana clubs.”

A search of the Arizona Corporation Commission’s website for “The Regulated Dispensaries of Arizona Association” and “Regulated Dispensaries of Arizona Association” did not find an entity in Arizona with that name.  Does anybody know anything about this so called association?

Hurdles Remain for Central Phoenix Medical-pot Facility

Azcentral.com:  “The half-empty shopping strip at 24 W. Camelback Road looks like so many others in the city . . . . But . . . one of the spaces in this shopping center could soon house Urban Greenhouse Dispensary, central Phoenix’s first and only medical-marijuana dispensary. Unlike many other prospective Valley dispensary owners, who seemingly have tried to stay under the radar, the principals behind Urban Greenhouse have taken a pre-emptively open approach.”

Arizona Senator Aims to Tighten Medical Marijuana Laws

Arizona Republic:  “Sen. Kimberly Yee has become the go-to legislator for bills involving Arizona’s medical-marijuana law.  The Phoenix Republican is the primary sponsor of three measures this session that would tighten what members in the law-enforcement community have identified as loopholes in the 2010 voter-mandated law as well as pave the way for university researchers to study the effects of medical marijuana. . . . We recently spoke with Yee about her work involving the medical-marijuana act. Here’s an edited excerpt:

Cops Bust Oregon Medical Marijuana Dispensary

Longview Daily News:  “Longview police busted a Kelso medical marijuana dispensary last week and arrested four people for allegedly selling pot on the side to non-patients.  Agents from the Longview Police Street Crimes Unit served a search warrant Thursday at the ‘Grass Rootz’ dispensary”

Company Hopes to Bring 30 Marijuana Dispensing Machines to San Diego

ABC 10 News:  “They dispense snacks and movies, but vending machines in San Diego may soon be kicking out a different product — marijuana.  Those medical marijuana dispensaries shut down during a crackdown in 2011 could soon reappear in San Diego, along with some high-tech help.  ‘It’s armor-coated. Second, it’s 800 pounds,’ said Bruce Bedrick, CEO of Medbox.”

UN Says Colorado and Washington Pot Legalization Violates Treaties

Associated Press:  “A United Nations-based drug agency urged the United States government on Tuesday to challenge the legalization of marijuana for recreational use in Colorado and Washington, saying the state laws violate international drug treaties.”

Arizona Legislation Takes on Medical Marijuana Labeling & Cultivation

Cronkite News:  “For Sen. Kimberly Yee, R-Phoenix, some edible medical marijuana products are too easy to mistake for candy and should be labeled clearly by law. Along with a group of rural lawmakers, Yee also says counties need more leeway under state law to regulate where medical marijuana may be cultivated. Those are among several bills this legislative session addressing how the medical marijuana system Arizona voters approved in 2010 should work.”

8 Ex-DEA Heads Say Feds should Nullify State Pot Laws

Associated Press:  “Eight former Drug Enforcement Administration chiefs say the federal government needs to act now or it might lose the chance to nullify Colorado and Washington’s laws legalizing recreational marijuana use.  The onetime DEA heads are issuing joint statements Tuesday saying the Obama administration has reacted too slowly and should immediately sue to force the states to rescind the legislation.”

Tax Prof Thinks Medical Marijuana Dispensaries can Beat Section 280E

American University Washington College of Law Professor Benjamin Leff thinks there is a way that medical marijuana dispensaries in states that have legalized medical marijuana can avoid the application of Internal Revenue Code Section 2080E that causes taxpayers to pay extraordinarily high federal income taxes.  Professor Leff wrote an article in Slate called “How legal marijuana sellers can beat a draconian tax” in which he states:

“‘The federal tax situation is the biggest threat to businesses and could push the entire industry underground,’ . . . . sellers of controlled substances—in other words, drugs, including marijuana—are not permitted to deduct any ordinary business expenses other than the cost of the goods they are selling. That’s because of section 280E of the federal tax code . . . . I teach tax law, and I have a solution: Marijuana sellers should operate as nonprofit ‘social welfare organizations’.”

I am not a professor of tax law, but I do hold a masters in law degree (LL.M.) in income tax from New York University School of Law and have studied and written about Code Section 280E.  My opinion is that the IRS and the federal courts are not going to allow taxpayers to violate federal criminal law (growing, possessing and selling marijuana) and avoid paying federal income taxes or the application of Code Section 280E.

Golden Valley Pot Farm Raided

azfamily.com:  “Mohave County authorities arrested two people after busting a marijuana grow operation in Golden Valley . . . . more than 500 marijuana plants were seized”

Bullhead City Police Raid Pot Grow Operation

Mohave Valley Daily News:  “The Mohave Area General Narcotics Enforcement Team, with the assistance of the Bullhead City Police Department, arrested a Bullhead City resident and his wife after a search warrant was served on their home following an investigation regarding a prior marijuana bust last week. According to Emily Fromelt, spokeswoman for the Bullhead City Police Department, a recent investigation into an illegal marijuana business that led to two arrests also led to the discovery of additional grow operations that contained more than 400 marijuana plants. On Feb. 27, the MAGNET team served a search warrant into the residence of Edwin Harry Rapp III, 39, in the 800 block of Campbell Road, where police seized approximately 175 marijuana plants.

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