New Colorado Medical Marijuana Regulations

On June 7, 2010, in Attorney, by Brad Laybourne

Colorado voters legalized medical marijuana in 2001, with the passage of a state constitutional amendment. The medical marijuana industry languished after the amendment became effective, since marijuana was still illegal under federal law. The risk of federal prosecution, even though medical cannabis was technically legal under state law, was simply too great. However, in 2009, the federal government indicated an unwillingness to enforce federal drug laws in contravention to the 14 state medical marijuana laws effective around the county. This led to an explosion of the medical marijuana industry in Colorado. Dispensaries have proliferated around the state, and the number of patients has increased exponentially.

The prominence of this legal drug trade has led to outcry for legislative limits on the industry. Colorado’s legislature has responded with HB 1284, a plan to hit dispensaries with new fees and regulations.

The new law dramatically hikes fees dispensaries must pay to stay in business. The state plans on collecting $2 million to help pay for enforcement of the new regulations. This will likely put the smaller dispensaries out of business.

Individual cities and counties will gain the ability to ban dispensaries altogether. However, individual caregivers will still be allowed to provide medical marijuana to up to five patients wherever a ban is enacted.

Other regulations include limits on who may own or invest in dispensaries. For example, owners must be Colorado residents and must pass a criminal background check. Investors must also pass a background check.

Under the new law, no dispensary may be located within 1000 feet of schools, universities, seminaries, or child-care facilities. The dispensaries must also grow 70% of their product.

Several attorneys in Colorado have been vocal about plans to sue for an injunction against the new law, claiming that the law violates the constitutional amendment. This will surely be a volatile issue over the next decade.

Brad Laybourne is a Colorado accident attorney at the law firm of McDowell Laybourne & Rodemer, LLC. Mr. Laybourne’s practice as a lawyer in Colorado Springs includes criminal defense, DUI and misdemeanor offenses.

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