Washington State Marijuana Impact Report

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MARCH 2016Washington StateMarijuana Impact ReportNorthwest High Intensity Drug Trafficking AreaDave Rodriguez, Director300 5th Avenue, Suite 1300Seattle, WA 98104

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AcknowledgmentsThank you all who provided information, resources, research, and data for this report.Additionally, thank you to all of the agencies that went above and beyond; specifically: Appalachia High Intensity Drug Trafficking AreaAssociation of Washington CitiesBellingham Police DepartmentCity of Seattle Finance and Administrative ServicesColumbia-River Task ForceDrug Enforcement AdministrationEl Paso Intelligence CenterInteragency Narcotics Enforcement TeamLEAD Task ForceMunicipal Research and Services CenterNorth Central Washington Narcotics Task ForceNorthwest High Intensity Drug Trafficking Area Analytical Unit, Watch Center,Treatment and Prevention ManagerPierce County Department of Planning and Land ServicesPierce County Sheriff’s OfficePrevention WINS Coalition of Northeast SeattlePuyallup Police DepartmentRocky Mountain High Intensity Drug Trafficking AreaSeattle Children’s HospitalSeattle Police DepartmentSnohomish County Regional Drug Task ForceSpokane Valley Police DepartmentThe Office of Washington State Lieutenant GovernorUniversity of Mississippi Potency Monitoring ProgramUniversity of Washington Alcohol and Drug Abuse InstituteWashington State Department of AgricultureWashington State Department of HealthWashington State Department of RevenueWashington State Department of Social and Human ServicesWashington State Institute for Public PolicyWashington State Liquor and Cannabis BoardWashington State Office of Financial ManagementWashington State Office of the Superintendent of Public InstructionWashington State PatrolWashington State Poison CenterWashington State Patrol Crime LaboratoryWashington State Patrol Toxicology LaboratoryWashington State Sheriffs and Police ChiefsWashington State Traffic Safety CommissionNWHIDTA Marijuana Impact Report – 2 P a g e

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Table of ContentsAcknowledgmentsExecutive Summary . 7SECTION 1: Legal Overview . 11Introduction . 11Washington State’s History with Medical Marijuana . 11Washington State’s History with Recreation Marijuana . 12Conclusion .14SECTION 2: Regulatory Overview . 15Introduction . 15Data Summary . 15Possession . 15Recreational Marijuana . 15Medical Marijuana.16Licensing . 17Recreational Options and Process . 17Recreational Licensing Landscape . 19Recreational Impact on Local Jurisdictions. 22Medical Marijuana. 26Production . 27Traceability . 27Transportation. 29Estimating Production . 28Fiscal Year 2015 . 29Marijuana-Infused Products . 32Marijuana Potency. 33Environmental Impact . 36Medical Marijuana. 37Quality Assurance Testing and Pesticides . 38Marketing .41Recreational Packaging and Labeling . 41Recreational Business Advertising . 44Recreational Product Advertising . 46Medical Marijuana Packaging, Labeling, and Advertising. 47Licensing Violations . 48Introduction . 48Group One – Public Safety . 48Group Two – Regulatory . 49Group Three – License . 49Group Four – Producer . 49Current Violations . 50Compliance Checks. 52SECTION 3: Youth Impacts . 54Introduction . 54NWHIDTA Marijuana Impact Report – 4 P a g e

Data Summary . 54Consumption and Use . 55Healthy Youth Survey . 55National Survey on Drug Use and Health . 59Schools .61Office of the Superintendent of Public Instruction . 61Marijuana in the Schools . 63Abuse and Treatment . 65Behavioral Health of King County . 65Washington State Poison Center . 65Treatment Admissions . 69SECTION 4: Adult Impacts .71Introduction . 71Data Summary . 71Consumption and Use . 72Young Adult Health Survey . 72National Survey on Drug Use and Health . 73King County Community Health Indicators .77Washington State Behavioral Risk Factor Surveillance System . 78Behavioral Health of King County . 78Drug Abuse Trends in the Seattle/King County Area . 79Abuse and Treatment . 79Treatment Admissions . 79SECTION 5: Impaired Driving. 82Introduction . 82Data Summary . 82Washington State Patrol Toxicology Laboratory . 82Spokane Valley Police Department . 84Washington State Traffic Safety Commission – Roadside Survey . 87Washington State Traffic Safety Commission – Fatal Accidents. 88News Log . 90SECTION 6: Diversion . 92Introduction . 92Data Summary . 92National Incident-Based Reporting System . 92National Seizure System . 94Domestic Highway Enforcement . 95Appalachia High Intensity Drug Trafficking Area . 96News Log . 98SECTION 7: THC Extraction . 99Introduction . 99Data Summary . 99Drug Enforcement Administration . 99Operation Shattered . 101NWHIDTA Marijuana Impact Report – 5 P a g e

SECTION 8: Marijuana-Related Crime . 103Introduction .103Data Summary .103Spokane Valley and the City of Spokane Police Departments .103Seattle Police Department.105Medical Marijuana – Kettle Falls Five . 108Washington State Patrol Crime Laboratory. 109News Log . 110Marijuana Robberies, Burglaries, and Home-Invasions. 110Illegal Marijuana Grows .111Assaults and Drug Deals Gone Bad . 112Investigations . 113SECION 9: The Current Markets . 115Introduction . 115Data Summary . 115Recreational Marijuana. 115Sales . 115Taxes . 117Banking .122Industry Expansion .124Medical Marijuana . 125Sales and Taxes . 125Business Industry . 127Sovereign Indian Nations.129Tulalip Marijuana Conference .129SECTION 10: The Upcoming Market . 130Introduction .130Senate Bill 5052 .130House Bill 2136 .132House Bill 2000 .133SECTION 11: Conclusion . 134Sources . 135NWHIDTA Marijuana Impact Report – 6 P a g e

Executive SummaryThe Northwest High Intensity Drug Trafficking Area (NWHIDTA) is reporting on theimpacts of the legalization of marijuana in Washington State. The purpose of this document is todiscuss the regulatory functions set by marijuana policy, present data on the impacts of theindustry, and to depict where the state stands after one year of commercialization.Throughout Washington State’s history with the issue, various bills have been passedconcerning marijuana. This report will be addressing the bills listed below: 1998: Medical Use of Marijuana Act (Initiative 692)2007: Concerning the Use of Medical Marijuana (House Bill 6032)2009: Concerning Medical Marijuana (Senate Bill 5798)2011: Concerning the Medical Use of Cannabis (Senate Bill 5073)2012: Legalization of Recreational Marijuana (Initiative 502)2014: Concerning Marijuana Processing and Retail Licenses (House Bill 2304)2015: Cannabis Patient Protection Act (Senate Bill 5052)2015: Comprehensive Marijuana Market Reform (House Bill 2136)2015: State Agreement with Indian Tribes (House Bill 2000)Data that has been collected and analyzed include an overview of the Washington StateLiquor and Cannabis Board processes and regulations. The Board is the regulatory authorityresponsible for recreational licensed businesses including the production of products for retailsales. Other data under Board authority that will be examined are marijuana product testing, themarketing associated with the businesses and products, as well as marijuana transportation.With legalization, marijuana policy shifted from addressing a criminal offense to a civilenforcement priority. The enforcement data on licensed marijuana businesses will be examinedfor overall violations and the penalties imposed.Impacts on youth and adults will also be analyzed. This includes examiningconsumption, use, rate of abuse, and treatment admission rates for marijuana abuse andaddiction. For youth, available data regarding the effects in schools will be included.With legalization and commercialization increasing the availability of marijuana acrossthe state, the effect on crime will be noted. Major crime categories including impaired driving,diversion, and THC extraction lab explosions are an increasing concern for the state. When alsoconsidering other marijuana-related c

Washington State Office of Financial Management Washington State Office of the Superintendent of Public Instruction Washington State Patrol . This is the first NWHIDTA Marijuana Impact Report providing data for the State of Washington. This report has been organized in order to lay out the foundation of legalization

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