Medical Marijuana Card Changes
The Medical Marijuana Registry Card, aka “Red Card” has an interesting role in your relationship with a dispensary, and here’s why: it defines how much inventory the dispensary can legally have. Most patients are aware they can grow their own “plant count”, or they can assign it to a dispensary. But and new law, HB 13-1381, changes “plant count”, in an unexpected way, through Vertical Integration.
Until July 2018, dispensaries had to grow 70% of the flower they sold (the 70/30 rule.) For the next 12 months, the rule changes to 50/50. Then, in July 2019, it goes to zero. Why is that important?
On that date, dispensaries can buy all their product on the wholesale market, and plant count goes away.
No longer will dispensaries grow ONLY the plant count that has been assigned to them by patients, but they will still have the requirement to maintain inventory levels at 2X the total ounces of product allowed for ALL their registered patients.
More importantly, as dispensaries transition, patients will benefit with better CHOICE. Why? Well, growing is not easy to do, and many dispensaries struggle to provide enough quantity and selection when they have to be vertically integrated, growing AND selling. Now, they can source from quality cultivators who will provide better quality and more variety.
Dispensaries can still grow if they want to, but now they don’t HAVE to.