Download Medical Marijuana - MedCan Foundation

State of Industry and Outlook
MedCan Foundation
Medical Marijuana Industry
Federal and State Law
Outlook for 2016 and Beyond
Business, Legal and Healthcare Support
MedCan Foundation Medical Marijuana Industry Outlook 2016
Medcan Foundation
Medcan Mission
Medcan Foundation is an innovative group of entrepreneurial professionals with experience in the
fields of medicine, science, marketing, federal law and business management.
Contents Medcan Foundation 2016 Outlook
Medical Marijuana
3
5
Medical Marijuana: Legal Status
Medical Marijuana: State Status
7
Medical Marijuana: Federal Laws Reconciled with State Laws
11
Medical Marijuana: Legal Support
13
Medical Marijuana: Medical Support
15
Medical Marijuana: Business Support
17
State
Status December 2015
Florida
Medical marijuana passed and initiative for further gains.
Hawaii
Dispensary regulations in place with potential tax incentives.
Puerto Rico
Authorized use of medical marijuana.
Texas
Low THC for epilepsy passed and future expansion in sight.
We lobby for legislation that will help bring medical cannabis to those who need it in the state of
Texas, Florida, Hawaii and Puerto Rico.
Our main focus and objective is to provide educational seminars for:
(1) The general public
(2) Doctors and medical professionals
(3) Lawyers and legal professionals
Medical Marijuana: Presidential Politics
Medcan
Foundation
Mission Mission
Medcan
Foundation
19 Medical Marijuana: Where Do We Go from Here
Our mission is to be the driving force that takes us beyond a time of outmoded taboos and political
obstacles so that we can help alleviate much of the pain and suffering of those who will benefit from
the relief brought by the miracle of cannabis treatment.
2016 and Beyond
Medicinal cannabis medication has helped hundreds of thousands of patients experienced an
improved quality of life. We are determined to vastly increase the number of patients who will
benefit from cannabis medication through lobbying and by appealing to the compassion of our
legislators to provide this natural form of healing to patients in Texas, Florida, Hawaii and Puerto Rico.
We have come far but we continue to steadily remove obstacles in our quest to deliver medical
marijuana to those in need.
i
ii
MedCan Foundation Medical Marijuana Industry Outlook 2016
Medcan Foundations
A Challenge for 2016
Welcome Fellow Medical Marijuana Travelers
The Medcan Foundation and I embrace 2016 with a joyful heart filled with the warmth of the
incredible success of 2015. Optimism abounds, and yet the reality is there is so much more to
be accomplished. We continue to operate under the illogical dichotomy of laws that are not
consistent with reality. The continued classification of marijuana as a Schedule One Drug along
with drugs such as heroin and LSD, as a drug which has a lack of accepted safety for use of the
drug or substance under medical supervision, is a national irrationality.
We must all recognize that currently under the federal law medical cannabis continues to
represent an unlawful activity and an illegal business. We reached an important milestone this
year when a federal court in California rendered a scathing decision, ruling the Drug Enforcement
Administration’s interpretation of a recent medical marijuana bill “defies language and logic,”
“tortures the plain meaning of the statute” and is “at odds with fundamental notions of the rule
of law.”
Rohrabacher-Farr amendment lists the states that have medical marijuana laws and mandates
that the Justice Department is barred from using federal funds to “prevent such States from
implementing their own State laws that authorize the use, distribution, possession, or cultivation
of medical marijuana.”
While I am so incredibly encouraged by this federal court decision our quest demand that we
insure our crucial goal that state’s rights for medical marijuana as a legal enterprise on all levels
prevail. It is the job of the people at times to lead the government on both a state and national
level. The political powers our founding father’s reserved for the state governments rather than
the federal government according to the United States Constitution should reflect the will of the
people. Gallup’s latest poll shows 58 percent of our population favors medical marijuana, while
Pew pegs it at 53 percent. That is the will of the people.
I have summarized for you the most accurate information on the status of our industry. Medical
marijuana could be the catalyst for an amazing life in an industry that promises to produce
medication and bring a relief from suffering and an improved quality of life for patients. For
those who are diligent the potential for extraordinary financial rewards exists.
1
Join Us in the Crucial Medcan Fight for Medical Marijuana
I invite each and every one of you to join me in the Medcan Foundation quest. Welcome
to this brave new world! It has taken courage and determination to arrive at 2016 but
what a journey. I want to thank those who have taken this trip with us and welcome
those who are yet to join. Stand up and stand with us. No one can dispute we are on the
right track and the wind is at our back.
It is an exciting and challenging time for the medical marijuana business. We have made
incredible progress in a short period of time but challenges continue. In some states the
regulatory mechanisms fall behind the industry.
State laws which govern licensing systems for growers, create a fee structure for
providers and product and govern the use vary from state to state and in some states are
yet to be enacted.
Maryland has opened the door to medical use. Georgia, Oklahoma, Texas and Wyoming
passed laws legalizing access to less-potent medical cannabis products for designated
condition this year.
At least 20 initiatives to legalize medical or recreational marijuana could be on the
ballot in 16 states next year. The Ohio initiative was defeated on the issue of grower
monopoly rather than user need.
There is more to accomplish but we see on the horizon a vast cry for the legalization of
medical marijuana in this county and we are glad to be a part of this progress.
Change will not be given to us. Great movements, important shifts in society require us
all to fight. Unite and fight with us today.
Dante Picazo, CHA
President & CEO
Medcan Foundation
214-733-0868 MB
817-528-2475 OF
[email protected]
2
MedCan Foundation Medical Marijuana Industry Outlook 2016
Medcan Support for Medical Marijuana
Legal Status
Medical Marijuana Regulated and Taxed in 24 States
Medical marijuana is both regulated and taxed in the 24 states which it has been legalized. Four states
plus Washington, D.C. have passed laws that allow recreational pot smoking and the ingestion of edibles.
Nonetheless, cannabis remains an unlawful Schedule One drug based upon the federal Controlled
Substances Act. Legalization trends indicate a national trajectory toward a broad based statewide
legislative support of medical marijuana.
Studies have found that cannabis can relieve pain caused by multiple sclerosis, AIDs, glaucoma,
Alzheimer’s, migraines and other diseases that sometimes resist traditional treatment. Cannabinoids
based products are used for the treatment of pain, spasticity and anxiety. Research, development and
production is ongoing in the cannabinoid pharmaceutical development including nutraceutical, oral health
and cosmetic products together with genetically and nano-controlled active ingredients.
As the use of medical marijuana continues to be legalized on a state-by-state basis the economics,
business management, education and legal rights and cannabusiness continues to play a pivotal role in
the successful progress of medical marijuana.
Medcan provides business, legal and healthcare support for medical marijuana as the trend toward
legalization of medical marijuana continues to grow. Support in the development of cannabinoid based
health and wellness products, and the development of medical grade compounds requires professional
support is crucial for business success.
Medical
Marijuana
Legalization
Continues
Medical
Marijuana
Legalization
Continues
Medical cannabinoid delivery methods that are medically acceptable are an important component of the
medical marijuana industry. Licensing of products, proprietary testing, genetics, labeling, and packaging,
tracking, production and standardization methods for medicinal marijuana represents an important
component of the industry.
There are significant opportunities for companies that are sufficiently funded and will be able to operate
globally. Bloomberg Business estimates that the entirety of the marijuana industry (legal and illegal), on a
worldwide basis, will exceed $110 billion in 2015.
The medical marijuana industry in the U.S. and Canada is making a move towards continuing legalization
The move follows a positive trend in the United States. Medical marijuana use has been approved in 24
of 50 states plus the District of Columbia.
In 2014, 58% of the population supported legalization of marijuana versus 45% opposed. At least 20
initiatives to legalize medical or recreational marijuana could be on the ballot in 16 states next year.
A majority of Americans supports legalization of marijuana. Gallup’s latest poll puts the number at 58
percent, while Pew pegs it at 53 percent.
3
Medcan Support for Medical Marijuana Endeavor Crucial
The Medical Marijuana Market
The Medical Marijuana Market
The medical marijuana market alone is estimated to be a $4.6 billion in 2015 and expects it to grow to
$10.2 billion within a period of four years. On a larger scale the Cannabis industry is an emerging market
with potential annual revenue estimates ranging from $80 -$110 billion for the entire marijuana market.
The Cannabis sector is projected to grow by 39% during the next four years.
While the market is expected to grow to $10.2 billion by 2018, the present U.S. market is dominated by
just two states: California and Colorado, which account for 92% of the present market share. The market
is as fragmented and is not dominated by one or two large companies.
4
MedCan Foundation Medical Marijuana Industry Outlook 2016
Medical Marijuana
State Legal Status
MedCan Focuses on Four States: Florida, Hawaii, Puerto Rico and Texas
Puerto Rico’s Governor Alejandro García Padilla has authorized the use of marijuana for medicinal use, in
a surprise move after Puerto Rico’s legislature failed to act on the issue. García Padilla signed the decree
instructing his health secretary to work out the details of its implementation.
In the medical marijuana industry the trend of patients as consumers exists in a healthcare market where
buyers and sellers share equal information about price and value. Patients are demanding improved options
including medical marijuana. As the healthcare market becomes transparent and flexible demand for
medical marijuana increases so does pressure on state legislatures.
Suppliers should be able to begin making medicines derived from marijuana as early as soon as first quarter
2016. Health Secretary Ana Rius Armendariz said. Regulations will address how cannabis will be dispensed,
who will have the right to produce it and what diagnoses will be required for treatment with marijuanaderived products.
Florida
Florida is in the process of regulating medical marijuana, including setting dispensary licensing rules, fees for
growers, and licenses. Florida nurseries have filed challenges to five medical marijuana licenses awarded by
the state Department of Health questioning the process and accusing the department of failing to give due
process by not allowing competitors to defend their presentations before the licenses were awarded.
A low-THC medical marijuana program has been authorized at five cultivation facilities charged with growing
non-intoxicating strain for patients suffering from conditions for an estimated 20,000 patients including
cancer and epilepsy. A more comprehensive proposal is slated for vote in the 2016 election which is
anticipated to have a strong potential for full-scale legalization of the medical marijuana program.
A medical marijuana initiative is anticipated to appear on a Florida statewide ballot in 2016. Florida requires
a 60% of the vote to pass a ballot initiative. A similar initiative in Florida failed in November 2014, with
57.6% of the vote.
In Florida, seven local governments (including Miami-Dade County) opted to allow officers to cite, rather
than arrest, adults found in possession of marijuana.
Hawaii
Medical Marijuana Legalization Continues
Hawaii’s State Department of Health has now published its rules for the state’s first medical marijuana
dispensary licensing program before applications are accepted for the first eight licenses. The Legislature
created the system with a law passed this year, 15 years after state lawmakers legalized the drug for medical
purposes.
Dispensaries could be eligible for taxation reductions and benefit if they located in enterprise zones, which
are intended to reward employers located in economically depressed areas. Medical marijuana dispensaries
will open in Hawaii, which expanded its 2000 law earlier this year to allow for the retail sale of marijuana to
patients.
5
Puerto Rico
Texas
The Medical Marijuana Market
Lawmakers approved using a low-THC cannabis oil for Texans who suffer from intractable epilepsy. DPS
is required to license three dispensaries by September 1, 2017, along with creating a registry of physicians
willing to treat intractable epileptics with low-THC CBD oil and patients who fit the criteria.
A broader medical marijuana bill is expected to pass in 2017. The key House committee passed a pair of bills
that there were enough votes to pass the former bill on the House floor, but the legislature ran out of time. A
principal opponent of medical marijuana in the state House announced her retirement.
Cannabidiol (CBD), a medical marijuana derivative, has been effective in reducing seizure frequency and
well-tolerated and safe for most children and young adults enrolled in a year-long study led by epilepsy
specialists at NYU Langone Medical Center.
These latest findings provide the first estimates of safety, tolerability, and efficacy of prescription CBD in
children and adults with severe, highly treatment-resistant epilepsy. The study took place at 11 epilepsy
centers across the country. CBD was shown to have a sufficient safety profile and was well-tolerated by
many patients, despite some isolated adverse events.
Veterans in Texas are working to motivate lawmakers for legal access to medical marijuana. “Operation
Trapped” says medical marijuana can help the treatment of PTSD and in many cases, they say it’s a safer
alternative than prescription drugs. Governor Greg Abbott insisted the move would not open the door to
marijuana in Texas.
Intractable
Epilepsy
Medical
Marijuana in Texas
Intractable
Epilepsy
andand
Medical
Marijuana
The 2013 airing of the CNN documentary “Weed” strengthened an existing movement to make cannabis oil
available to children. The report featured Charlotte Figi was five and used cannabis oil to treat the 300 grand
mal seizures she suffered each week. Charlotte’s Web is a cannabis oil is named after her. Her mother noted
three and a half years later, she has two seizures a month — down from 1,200. Anti-seizure pharmaceutical
drugs such as Depakote and Carbatrol are often ineffective or not well tolerated by the patient.
6
MedCan Foundation Medical Marijuana Industry Outlook 2016
Medical Marijuana
Federal Enforcement Co-Existance
The reality remains that marijuana, including medical marijuana is by federal law a Schedule
One controlled substance. A Schedule One classification means there is “no medically
accepted use” and a “high potential for abuse.” Marijuana is classified in the same category as
heroin.
There a movements underway to address the inconsistencies in the federal and state laws
ranging from reclassification to completely delisting marijuana from the DEA’s regulated
substances.
Progress is underway on virtually all federal limitations including banking, federal enforcement
against business and individuals in compliance with state law, rescheduling and the resulting
research expansion and IRS deductions.
Federal Policies
The U.S. Justice Department (DOJ) policy of not punishing individuals and businesses that
are abiding by state marijuana laws is well established. The rescheduling of marijuana
from a Schedule One controlled substance is governed by the Department of Justice which
includes the DEA.
In its annual spending bills for fiscal year 2017, Congress will continue to include the pair
of amendments that prohibit the Department of Justice from interfering with state medical
marijuana laws and hemp laws.
Other amendments attached to federal spending bills include an amendment to prohibit
Department of Justice from interfering with all state-level marijuana laws, an amendment
that would allow Veterans Administration physicians to recommend medical marijuana in
states where it’s legal, and an amendment that would prohibit the U.S. Treasury Department
from penalizing banks that do business with marijuana.
The U.S. Department of Veterans Affairs (VA) policy of not withholding benefits from vets
who use medical marijuana in the states where it’s legal is anticipated to be renewed.
7
Rescheduling Marijuana from Schedule One to Schedule Two
Since 1972, the Drug Enforcement Administration has classified marijuana as a Schedule One
controlled substance. Updating federal marijuana policy would begin with rescheduling the
drug as a Schedule Two drug with a potential for medical use. As a Class One drug federallysponsored research into the effects of medical marijuana is prohibited.
The rescheduling is anticipated to strongly impact the medical community signaling that the
FDA and National Institute of Health are ready to take medical marijuana research seriously.
It would also open the door to more medical research on the efficacy of medical marijuana
treatment.
Marijuana could be rescheduled through a petition process. Petitions for rescheduling have
been filed four times to remove or reschedule the drug. The DEA denied three of the petitions.
A fourth petition, submitted by former Governor Christine Gregoire and Lincoln Chafee, has
been under review by the DEA since 2011.
Gaps in federal drug scheduling policies and rulemaking that allow the attorney general and
congressional members to point to each other as the agent responsible for making policy
decisions on marijuana.
Under federal law, the attorney general can move to add, reschedule or remove drugs on his
own, at the request of the health and human services secretary or in response to a public
petition. The law also requires the attorney general to gather data and scientific and medical
evaluation from the HHS secretary before doing so.
HHS determined that marijuana has a “high potential for abuse” and “no currently accepted
medical use in treatment in the United States,” leading the DEA to reject the petition in 2011.
The petition was filed nearly a decade earlier, in 2002. The FDA is now re-evaluating its stance
on marijuana, but it is unclear when that review will be complete.
Enhanced Research Facilities
Ending the DEA-mandated monopoly on marijuana grown for research. Currently, all marijuana
for federally approved studies comes from a single lab at the University of Mississippi.
Because of this monopoly many believe research-grade drugs that meet researchers’
specifications often take years to acquire, if they are produced at all.
8
MedCan Foundation Medical Marijuana Industry Outlook 2016
Medical Marijuana
Federal Enforcement Co-Existance
Federal Legalization of Medical Marijuana
Federally, two bills have failed to be introduced for lack of Republican support. The CARERS Act
is plan to legalize medical marijuana nationwide. It includes 20 co-sponsors but does not enjoy
Republican support and has not been introduced. The “Respect State Marijuana Laws Act of
2015,” which was introduced in April by Representative Dana Rohrabacher of California. This bill
proposed to amend the Controlled Substances Act.
Compassionate Use Program
Parties are working to expanding the federal “Compassionate Use Program” that once supplied
marijuana to patients with a legitimate medical need. Currently, the federal government supplies
marijuana to four patients in the U.S.
Federal Court Upholds Congressional Intent to Allow
States to Regulate Medical Marijuana Laws
Judge Charles Breyer of the U.S. District Court in northern California ruled the meaning of the
statute is clear. He held the Justice Department accountable for its willful violation of Congress’
intent to end federal interference with state medical marijuana laws. Federal raids of legitimate
medical marijuana businesses were found to be illegal. The Department of Justice was required to
follow the letter and intent of the ‘Rohrabacher-Farr’ provision.
Banking and the Cannabis Industry
UnitedU.S.
States
Postal
Service
Ban
Postal
Service
Issues
Banking has been one of the greatest obstacles facing the cannabis movement since Colorado
became the first place in the world to launch a recreational marijuana industry in 2014. Banks risk
being prosecuting for aiding and abetting drug traffickers, or for money laundering, if they work
with medical or recreational marijuana businesses, even in jurisdictions where those businesses
are legal.
The Treasury Department’s Financial Crimes Enforcement Network (FinCEN) provided guidance
noting that financial institutions that provide services to marijuana enterprises should carefully
track the businesses and file suspicious activity reports about their conduct. While some financial
institutions have used the guidance to create banking solutions for cannabis enterprises.
The United States Postal Service general counsel has determined advertisements for the sale
of marijuana are non-mailable. He determined the mail should not be used as a means of
transmitting advertisements for the sale of marijuana including newspapers and magazines, even
if that sale is allowed under state law. Work is underway to expand the ability of magazines to
include medical marijuana advertisements.
The Federal Landscape and Medical Marijuana in a Nutshell
Banking fees for cannabis enterprises are added to banking expenses ranging from $500 to
$5,000 per account to cover the extra diligence required by the FinCEN guidance. According to a
recent Marijuana Business Daily poll, 60 percent of marijuana companies nationwide do not have
bank accounts.
IRS and Business Deductions
In Congress, Sen. Jeff Merkley (D-Ore.) and Rep. Earl Blumenauer (D-Ore.) have introduced
legislation to create a “safe harbor” for banks that provide financial services to marijuana-related
businesses. Their bill would amend section 280E of the Internal Revenue Code to allow marijuana
businesses to take deductions like any other business.
9
Bankings and the IRS
Congressional Bills and Rescheduling
Banking has become accessible with recent
regulatory modifications. Costs and fees
associated with banking for marijuana related
revenue continue to be prohibitive.
The rescheduling of marijuana from a Schedule
One drug to Schedule Two will enhance
the ability to engage in medical research
while enlarging resources for marijuana for
research. This is crucial for acceptance and
use of medical marijuana in the healthcare
community.
IRS deductions and the treatment of business
engaged in medical marijuana continues to be
an ongoing process and a priority.
Congressional bills continue to flounder with
partisan differences. Efforts are underway
to work with the Department of Justice to
reclassify marijuana with the DEA.
10
MedCan Foundation Medical Marijuana Industry Outlook 2016
Medcan Medicinal Marijuana Support
Legal Profession
Legal support in the cannabis industry underlies a successful enterprise - as in all business endeavors.
The legalized-marijuana industry in many ways is no different from any other legitimate business.
In the legal industry the shifting interplay between state and federal laws present challenges and
opportunities. Capitalizing on these opportunities is the role of the attorney.
Attorneys can advise health care specialists on the use of regulated-products group and the
administration of the best care options. Medical marijuana use falls into this category. Florida
lawmakers passed a “Charlotte’s Web” bill legalizing a non-high-producing cannabis strain used to treat
cancer and epilepsy.
Marijuana growers, sellers and marketers require lawyers to guide them through federal and state
government regulations that apply to the industry.
Rules of Professional Conduct
In most states the lawyer’s Rules of Professional Conduct prohibit attorneys from advising clients on how
to engage in illegal activities. Some states have directly addressed this conflict while others have not. It
is clear that lawyers should advise clients on relevant federal law and policy together with state law and
policy.
Initiating participation in the medical marijuana industry represents a multi-faceted and complicated
endeavor. Legal advice is essential.
Rule 1.2 of the ABA Model Rules of Professional Conduct provide the substantive basis for binding
rules governing lawyer ethics in every state and the District of Columbia.
Model Rule 1.2(d) states that “a lawyer shall not counsel a client to engage, or assist a client, in
conduct that the lawyer knows is criminal or fraudulent,” although the lawyer may discuss the legal
consequences of any proposed course of conduct with a client, and may assist the client in making
a good-faith determination of the validity, scope, meaning or application of the law.
Legal Support for the Cannabis Industry
The cannabis industry requires the entire range of legal services of any commercial business and
healthcare business with a specialized focus on the unique relationship between federal laws and state
laws that apply to medical marijuana.
Healthcare legal experts are needed to advise hospital and physician groups one administering,
storing and suggesting the use of a drug still illegal under federal law.
Banking issues are relevant in terms of handling revenue, cash and taxation an historically all-cash
business.
Zoning issues and landlord disputes arise over where growers and distributors can operate from
seed to sale.
Cannabis brands require the protection of intellectual-property specialists on patent and trademark
issues.
Transportation and marketing benefits from legal advice including the recent United States Postal
limitation of advertising for marijuana in traditional publications.
Understanding Issues Multiple Jurisdictions
As the cannabis industry matures and understanding of events in one jurisdiction helps to navigate
issues that occur in another jurisdiction.
Certainly, Colorado and Washington State have encountered legal obstacles and challenges yet to
be faced in states with a more nascent marijuana industry. It is important to work with attorneys
that have experienced these challenges and can readily suggest solutions that have historically
worked for their clients.
Model Rule 8.4(b) states that it is professional misconduct for a lawyer to “commit a criminal
act that reflects adversely on the lawyer’s honesty, trustworthiness or fitness as a lawyer in other
respects.” This could be read to prevent attorneys from personally using marijuana or getting
involved in a marijuana business permitted by state law.
The language in the revised comment to Rule 1.2 refers specifically to the state’s marijuana laws,
reducing the chance that it will affect issues other than marijuana.
11
12
MedCan Foundation Medical Marijuana Industry Outlook 2016
Medcan Medicinal Marijuana Support
Medical Profession
Educating the medical profession on patient use, dosage and source is fundamental to successful
medical marijuana treatment. It is important to engage in outreach to the medical community.
Medical Marijuana
New Research Frontiers
The medical benefits of marijuana are fairly well known and embraced by the public.
However, additional research has the potential to discover new applications for medical
marijuana.
Physicians often develop their own procedures for recommending marijuana for patients with
neuromuscular conditions such as amyotrophic lateral sclerosis, or Lou Gehrig’s disease, to treat
pain and other symptoms.
On a state level the passing of a medical marijuana law is associated with a decline in
obesity.
Some of the strongest research results support the idea of using marijuana to relieve neuropathic
pain. For example, a trial of 50 AIDS patients published in the journal Neurology in 2007 found
that 52% of those who smoked marijuana reported a 30% or greater reduction in pain. Just 24% of
those who got placebo cigarettes reported the same lessening of pain.
The journal Health Economics reports researchers from San Diego State University and
Cornell University found that at the state level, passing a medical marijuana law (MML) “is
associated with a two percent to six percent decline in the probability of obesity.” Over the
longer term, this effect could be even larger.
Marijuana has also been shown to affect nausea and appetite. The AMA review said three
controlled studies with 43 total participants showed a “modest” anti-nausea effect of smoked
marijuana in cancer patients undergoing chemotherapy. Studies of HIV-positive patients have
suggested that smoked marijuana can improve appetite and trigger weight gain.
For older adults, they found that medical marijuana laws “are associated with an increase
in physical wellness and frequent exercise.”
More Medical Research
More definitive studies on the use of medical marijuana are needed to facilitate physician and
medical adoption of medical marijuana and the inclusion of cannabis as for insurance drug
reimbursement.
Cannabinoids can be processed into various distillates, tinctures and oils, but the strength of
these preparations varies, and individual reactions to them vary. Relevant studies of standardized
preparations are needed.
A recent American Medical Association review found fewer than 20 randomized, controlled clinical
trials of smoked marijuana for all possible uses. These involved around 300 people in all. More
studies are required to market cannabinoids as a pharmaceutical to be marketed in the United
States. The Food and Drug Administration does not regulate marijuana, so the quality and potency
of the product available in medical-marijuana dispensaries can vary.
The conjuncture is that people are often prescribed medical marijuana for chronic pain,one
of the conditions it’s most affective at treating. Older patients are more likely to experience
chronic pain and allowing them to experience less pain allows them to be more active and
burn more calories.
For younger adults, age 18 to 24, the study found that the enactment of medical marijuana
is associated with a 3.1 percent reduction in the probability of alcohol consumption and a
4.8 percent reduction in the probability of binge drinking” among this younger group, the
researchers found.
Medical marijuana availability may lead some younger adults to “substitute away from
highly caloric alcoholic beverages toward a lower-calorie marijuana ‘high,’ resulting in
lower body weight and likelihood of obesity.”
A deep dive into medical research and medical marijuana may open many doors in the use
of medical marijuana. A reclassification of marijuana from Schedule One to Schedule Two
will be the first step in enhanced medical marijuana research.
Simplifying the complex tangle of FDA licenses and regulations required to do marijuana research
continues to be of paramount importance.
Professional medical marijuana courses including pharmacology are limited because of the lack of
research on the topic. Continuing education for medical professionals is crucial in the use cannabis
to treat an array of medical conditions, including glaucoma and glioblastoma.
13
14
MedCan Foundation Medical Marijuana Industry Outlook 2016
Medcan Medical Marijuana Support
Medcan Medical Marijuana Support
Business Support
Business Support
Medical marijuana encompasses a broad range of business challenges found in well-established
businesses which because of the nature of the business must be addressed with unique solutions.
Guidance and Support in an Emerging Industry
There are unique considerations in the cannabis industry impacting management support and
services including transportation of cash and product for cooperatives, collectives, health and
wellness facilities, and medical clinics range from management to product distribution. Medical
marijuana businesses require specialized consulting and security services for businesses and
individuals in the legal cannabis industry.
Marketing and distribution procedures are often unique in medical marijuana businesses.
Companies must often re-evaluate and modify sales and marketing strategies to comport with
legal issues and potential client profiles.
Operations management includes pharmaceutical products, manufacturing facilities, genetically
controlled botanical products, extraction and purification of biomaterials technologies.
The pharmaceutical drug certification process is strenuous. Clinical development demands
experienced guidance. The vast number of delivery systems require dosage and strength
uniformity. There are unique products that have experienced success.
MedcanMedcan
Foundation,
Business
Inc. supports
Expertise
Clients across the U.S. with:
Application and Business Plan D e v e l o p m e n t
Design and Development of full service Cultivation Centers and Dispensaries
Financial Planning, Structure, and Funding of Cannabis f a c i l i t i e s
Patient Education and Physician Outreach
Precision Dosing, Product Development, and Branding
Staff Training and Best P r a c t i c e s
Medcan is current on business trends in the medical marijuana industry and works to educate our
clients on the direction of the industry while enhancing client success. Medcan understands the
dynamics of the medical marijuana industry including:
Innovative delivery systems are quickly changing the landscape of the medical marijuana
industry. Healthier and easier alternative delivery formats are gaining market share.
Cannabis brands are gaining marketing recognition and emerging as national brands.
States require product potency supported by documented testing to ensure consumer safety
and new laboratories are emerging to meet these needs.
Cultivation and license cultivation facilities are expanding creating opportunities and
challenges.
Retail and wholesale sales estimates for 2016 in each active state market includes and
understanding of consumer access, opportunities for new entrants, market growth, sales and
other key market statistics
Ancillary products and services categories, such as insurance, product testing, software
development, information data services, and more
Operations management support which includes pharmaceutical products, manufacturing
facilities, genetically controlled botanical products, extraction and purification of biomaterials
technologies.
End-consumer products with a focus on cannabidiol (CBD).
Health and wellness raw industrial and consumer products are produced with cannabidiol
(CBD), which is derived from hemp seed and stalk. This federally legal substance can be used
in foods and nutritional supplements for consumer health and wellness benefits, and is also
used by the pharmaceutical industry for therapeutic purposes.
Medcan Support
Growing medical marijuana
Opening a dispensary for medical marijuana
Opening an infused product facility
Opening a product safety lab
15
Ultimately, the medical marijuana business will be regulated by a multitude of state and
governmental agencies. Guidance and education will be crucial for success in this industry.
16
MedCan Foundation Medical Marijuana Industry Outlook 2016
Medical Marijuana
Presidential Politics
Accomplishments 2015
MedCan Foundation
State of the Industry and Moving Forward
Hillary Clinton
Hillary Clinton said she supports removing marijuana from a list of Schedule One drugs,
a classification that prevents federally-sponsored research into its effects. As a Schedule
One drug, marijuana is classified among the most dangerous drugs that the federal Drug
Enforcement Agency regulates. “I’d like to move it from Schedule One to Schedule
T w o .”
Bernie Sanders & Martin O’Malley
Sen. Bernie Sanders and former Maryland governor Martin O’Malley both oppose marijuana’s
designation as a Schedule One substance. Sanders position is marijuana should not be listed
among DEA regulated substances at all.
Our
Challenge
Going
Forward
Progress
to
Date
Donald Trump
Donald Trump said, “We’re losing badly the war on drugs,” according to an article in the
Sarasota Herald-Tribune. “You have to legalize drugs to win that war. You have to take the
profit away from these drug czars.”
Medical
Marijuana
While he has supported allowing medical marijuana he opposed legalization. During the
CPAC conference in June, Trump was asked about Colorado’s legalization and responded: “I
say it’s bad. Medical marijuana is another thing …”
Ted Cruz
Ted Cruz told the Conservative Political Action Conference the states should be allowed to decide.
Marco Rubio
Marco Rubio does not support allowing states to go their own way on marijuana legalization.
"The federal government needs to enforce federal law,"
Jeb Bush
Opposes legalizing marijuana but told C-SPAN "states ought to have that right to do it."
17
The
Professional
Community
The
Support
You
Need
MedCan Foundation Medical Marijuana Industry Outlook 2016
1
Medcan Education
Education continues to be a crucial component in the integration of medical
marijuana into both the healthcare industry and society in general.
The market demand for legal cannabis products is unique in each of the 50
United States. These market demand estimates are conditional on changes in
the legal status of these products on a state-by-state basis.
Medcan Foundation understands the unique marketplace and regulatory
issues of each state it serves. The regulatory environment is fast changing.
Anticipation and preparation for the next phase of legislative enactment is an
important component of the medical marijuana business.
Medcan Foundation is involved in working directly with the legislation which
will best serve the health of the patients it ultimately serves.
3
Medcan Support
Medcan can help develop the phytotherapy* category of healthcare through the expanded use of
medical cannabis and through complimentary treatments of acupuncture, chiropractic, hypnotherapy,
naturopathy, reiki and yoga sessions as mainstream pain management and healing options.
We help expand brands into targeted states as legalization and decriminalization occurs.
Medcan leads the alternative medicine industry by:
Leveraging the growing demand for cannabis remedies.
Providing safe /licensed cannabis medication in a clinical setting.
Producing /distributing the highest quality medicinal cannabinoids.
Expand state lists of approved illnesses by utilizing sound medical research as the focus of our
lobbying efforts.
19
2
Federal & State Law
The reclassification of medical marijuana from a Schedule One drug to a Schedule
Two drugs appears to be on the horizon. Once this occurs and medical marijuana
research begins on a broad scale, dosages and strength can be produced and aligned
to treat specific diagnosis.
Banking while now possible in some instances continues to be cost prohibitive
for many businesses. Working with the banking regulators and the congressional
classification of medical marijuana has made some progress but more is needed.
As the efficacy of medical marijuana is proven on a broader scale and adopted by
the healthcare industry Congress will feel more comfortable in relaxing restrictions.
Success breeds success on the federal level and doors are opening one at a time.
4
Medcan Business Plan
Medcan understands the challenges of the marijuana industry and is able to deliver
business plans which addresses your unique vision for your medical marijuana business.
Environmental Plan
Fire Safety Plan
Suitability of Proposed Facility Plan
Dispensary Patient Record Keeping Plan
Cultivation Facility Plan
Dispensary Patient Education Plan
Dispensary Product Safety
Inventory Control Plan
Security Plan
Staffing Plan
Financial Plan
Medical Marijuana Operations Plan
Cannabis Business Plan
20
Personal Message
Forcing her gaze downwards, Lauren carefully watched the movement of her feet, as if she was
seeing it for the first time. Just an hour ago intense agony coursed through her entire body making it
difficult for her to move at all. Sharp twinges of stabbing and aching, Lauren’s suffering is brought on
by neuropathic pain, a form of pain attributed to nerve damage. It was only after a few puffs of her
medication that Lauren experienced relief.
Lauren is not a real person, but her story is. Billions of people suffer from some form of pain on a
daily basis. It was reported by painmed.org that “approximately 3- 4.5% of the global population
suffers from neuropathic pain,” and at least “100 million Americans suffer from chronic pain”
according to the Institute of Medicine of The National Academies. Although prescription drugs
such as oxycodone, morphine and Vicodin are often used to treat severe forms of pain, the reality is
many people become dependent on the medications, forming habits that result in misuse or worse,
overdosing.
As you probably understand by now I feel morally comfortable with my fiduciary and moral ethics
as a business entrepreneur. My dedication is stronger than ever to medical marijuana. I am one
thousand percent convinced that it is imperative that I continue to invest my time, my money, my
energy, my resources and my life into the industry. I am as always respectful of the law, cautious
and concerned. But most importantly I will continue each day measuring and weighing the risk and
the rewards of this challenging business. Our position is today, less precarious than ever in this
industry and I foresee, on the horizon, even greater legal security for medical marijuana and unlimited
possibilities for growth.
I will continue to add the sound of our voice to fight for medical cannabis. If Americans want
legislation that reflects where we are as a nation in our personal beliefs in support of
medical marijuana, do not fool yourself we are going to have to fight for it. God bless us all
and please have a safe and prosperous 2016.
All my best,
Dante Picazo, CHA
President & CEO
Medcan Foundation, Inc.
214-733-0868 MB
817-528-2475 OF
[email protected]
Overview Disclosure
This brochure has been prepared solely for the purpose of providing information about Medcan Foundation, Inc. and the
services and products it offers. This brochure has been compiled in good faith by Medcan Foundation, Inc. However, no
representation is made as to the completeness or accuracy of the information it contains. In particular, you should be aware
that this information may be incomplete, may contain errors or may have become out of date. Medcan Foundation, Inc.,
reserves the right to add, modify or delete any information on this brochure at any time. This publication and any references to
products or services are provided “as is” without any warranty or implied term of any kind. Reproduction or distribution of any
materials obtained from this brochure without written permission is prohibited
21