GUEST COLUMN:

Prepare your business for legal marijuana

While many voters remain in disbelief about Election Day, the marijuana industry has seen its wish become a reality, one legalized state at a time.

Of the nine states with marijuana legalization measures on their ballots, only one failed — Arizona — and the vote was razor thin. Nevada’s Question 2 passed with 54 percent of the vote along with successful outcomes in Arkansas, California, Florida, Maine, Massachusetts, Montana and North Dakota.

What does this mean for tourism and the gaming industry? The worst that can happen is for otherwise legitimate and highly regulated businesses to be used for illegal or “sort of legal” marijuana transactions. Because the industry is still largely unbanked, there is always room for abuse when large amounts of cash are involved. To make matters more complicated, Question 2 will only accept license applications from existing medical marijuana establishments and current wholesale liquor dealers, who may apply for a distributor license, for the first 18 months. This language intentionally combines liquor and alcohol in a way that no other state has.

There also are health-related “we don’t know yet” issues. How unhealthy is the secondhand smoke? What are the long-term health impacts of youth use? What should public health officials do if hospitals begin to report spikes in newborns testing positive for THC?

Businesses should update their personnel handbooks, compliance policies and guest-use policies immediately. Question 2 gives little guidance about how the measure applies to employers, and the onus will be on trade associations and companies to navigate this new world and seek appropriate redress in the Legislature to clarify rights and responsibilities. From a guest perspective, companies will need to decide about allowing marijuana on their premises and, if so, establish clear guidelines to employees. It’s a good idea to get employees training from lawyers familiar with the process.

What’s the bottom line? Keep your perspective and sense of humor. Our favorite story about marijuana legalization came from Colorado. In 2010, when that state’s General Assembly conducted hearings to establish a regulatory structure, it was a popular time for groups to visit the Capitol. One day, a committee room was filled with marijuana advocates. It also happened to be Law Enforcement Appreciation Day. As the elevator doors opened on the committee room level, 10 German shepherds made a beeline for the marijuana committee room, barking and crying as if they’d found the holy grail of dog accomplishments. One handler looked up at a group of lobbyists watching this unfold and said, “Well, what can I say, this is what they are trained to do regardless of elections!” We all had a good laugh and walked back in the room to finish negotiating the first marijuana legislation America had ever seen.

Melissa Kuipers Blake and Alisa Nave-Worth are attorneys with Brownstein Hyatt Farber Schreck.

Business

Share