California's--And America's--Black Market Cannabis Problem

Looks like the black market for cannabis is unfortunately alive and well in states that have legalized cannabis. This includes California after over a year of legal retail sales, and in other legalization states even after several years of legal retail sales.  So what gives?

The two biggest reasons appear to be high taxes/prices and a limited number of legal dispensaries/outlets.  The black market can easily undercut such high prices and fill in the gaps left by not enough legal retail stores, and do not have to deal with the rather onerous licensing and other regulations that legal businesses must adhere to.  When there is an artificial shortage of legal cannabis, the black market easily picks up the slack, and where there is an oversupply that makes it less profitable, some of it gets diverted to the black market to sell illegally to other, non-legalization states as well.

And then there is that 21 age limit as well, which is currently the case in all legalization states.  That also encourages illicit sales as lower-hanging fruit compared to legal dispensaries with strict enforcement. Can we get a resounding, "DUH"?

So what to do?  Cut the taxes on cannabis, yesterday, for at least a year or two before raising them again.  Consider a complete tax holiday for a few months, like Oregon did when legalization began there.  Ease up a bit on licensing regulations (and fees) for both producers and retailers.  Allow at least all liquor stores to sell weed alongside their booze, and further consider allowing any store that sells cigarettes to also sell weed as well, including grocery and convenience stores.  Lower the age limit to 18, yesterday.  Encourage current black market dealers to "go legit".  And once these things are done, then crack down hard on the black market, particularly the illegal commercial growers and higher-ups in the illegal businesses and organized crime syndicates.

Problem solved.

And of course, fully legalize cannabis at the federal level as well.  Period.

Of course, once the black market is dead and gone, then by all means, tax away.  But now is NOT the time for overtaxation or overregulation.

So what should the tax on cannabis be?  To start with, we at Twenty-One Debunked believe it should be no higher that $10/ounce for bud and $2.50/ounce for trim at the production/cultivation level, with no other taxes aside from regular sales tax.  Consider a three-month tax holiday as well, like Oregon did in 2015.  Then, after the first year or two, the tax should be no higher than $50/ounce for bud and $15/ounce for trim, much like it is in Alaska today.  As for concentrates and edibles, those are best to tax based on THC content, e.g. 1 cent/milligram of THC.

Remember, there is really no good reason why cannabis needs to be regulated any more stringently than alcohol or tobacco.  After all, while it is not completely harmless for everyone, the fact remains that by just about any objective, rational, scientific measure, cannabis is safer than alcohol, tobacco, most prescription drugs, aspirin, and even Tylenol, while it is less addictive than coffee.  Thus our laws and regulations need to align accurately with reality, since facts > feelings, even in a "post-truth" society.

Awkward Turtle! Mitch McConnell Wants To Raise Federal Tobacco And Vaping Age To 21

In 2019, there seems to be one thing that Big Tobacco, JUUL Labs (which sold out to Big Tobacco), most anti-tobacco groups, Sen. Elizabeth Warren (D-MA) and Sen. Majority Leader Mitch "Awkward Turtle" McConnell (R-KY) can all agree on.  And that thing is a federal Tobacco 21 law that raises the sale age limit for all tobacco and vaping products to 21 nationwide.  Politics certainly does make some very strange bedfellows indeed!

This would require an act of Congress, of course, as the FDA is explictly denied (as they should be!) the authority to raise the federal age limit any higher than 18.  And unlike the drinking age where the feds had to make an end-run around the Constitution to coerce states to raise their drinking ages to 21, this time they will not have to do so and can simply set a federal age limit of 21.  They already set a federal age limit of 18 as of 2009, so that law can very easily be amended.  Crucially, this law  only applies to the age limit for sales, and only sellers are targeted and penalized (unlike the drinking age in which public possession by young people is an offense), so this is still within Congress’s authority.  

Except, of course, for the substantive due process and equal protection argument invoking the 14th Amendment, since the age limit would be higher than the age of majority, but that is a separate issue from state's rights and the 10th Amendment.  And that can potentially be challenged in court, albeit as a VERY uphill battle.

Thus, this bill is likely to pass, unfortunately.  Write your Congresscritters and convince them to oppose it.  And point out all of the other things they can do instead:

• Raise the federal cigarette tax, apply it to the producer level, and set a national price floor to discourage interstate smuggling.
• Create a federal vape products tax on all nicotine-containing vape juices and pods, ideally proportional to nicotine content.
• Ban fruity and candy flavors in any nicotine-containing product.
• Cap the nicotine content of vape products down to European and Israeli levels.
• Give out free nicotine patches, gums, inhalers, etc. to any smokers who want to quit (NYC already does this.)
• Consider gradually phasing down the maximum allowable nicotine content of combustible cigarettes to a non-addictive level.
• Consider gradually phasing out menthol cigarettes like Canada did and the EU is in the process of doing.
• And last but but not least, enforce existing laws better in terms of the current 18 age limit for tobacco and vaping products.  In fact, amend the Synar Amendment and Program to raise the passing grade for retailer compliance checks from the currently low bar of 80% to 90% and then 95%, and include vape products.  

But do NOT raise the age limit any higher than 18.

Have A Safe And Happy 4/20

We at Twenty-One Debunked would like to wish every cannabis user a safe and happy 4/20.  For those who don't know, 4/20 (April 20) is the unofficial National Marijuana Day, based on the number 420 being code for cannabis dating back to the 1970s.

Please keep in mind that while driving under the influence of cannabis alone is not as dangerous as driving under the influence of alcohol, it is NOT really safe or wise to do so, particularly with higher doses.  So avoid doing so, and if you do toke up, try to wait as long as you can (i.e. a few hours) before getting behind the wheel, as that can make all the difference.  Also, coffee and sleep will not sober you up--only time can--but they can take the edge off of any residual fatigue.  And certainly do NOT drive twisted (high and drunk at the same time) under any circumstances, period, as that is worse than either subtance alone.  Even fairly small amounts of alcohol when combined with weed can make driving all the more dangerous in combination, albeit with the silver lining that the impairment from such small amounts wears off fairly quickly compared to larger amounts.

The two most important rules for life in general, according to the ancient Greeks, are as follows:  "Know thyself", and "Nothing to excess".  These certainly apply here.  And we will add another one:

"When in doubt, wait it out".