In the Weeds: Illegal Grow Operations, Cannabis Control Rules and Dispensary License Caps – JD Supra


Newsworthy Highlights

Michigan Proposes Ban on Cannabis Billboards. This spring, lawmakers in Michigan introduced a bill to ban cannabis advertisements on billboards. As a reason for the proposal, one of the bill’s sponsors cited concerns regarding children’s exposure to the signs. The bill proposes to ban advertisements on all roads in the state. Michigan’s administrative code includes marketing and advertising rules, such as restrictions on marketing to individuals under 21 years of age and compliance with all municipal ordinances and state laws that regulate signs and advertising. As proposed, the bill is a broad advertising restriction for the cannabis industry, which is of particular concern given the general industry advertising limitations. South Dakota Caps Dispensary Licenses. On Sept. 7, 2021, the City Council of Sioux Falls, South Dakota, approved an ordinance to cap dispensary licenses operating within the city at five. The council also amended the ordinance to allow City Hall to make recommendations for revocation of a dispensary license as opposed to having the power to unilaterally revoke a license in the original proposal. Oregon Seizes $50 Million of Illegal Grow. Law enforcement officials in Douglas County, Oregon, recently uncovered a large-scale marijuana grow operating under the guise of a legal hemp operation. The marijuana plants were uncovered and destroyed after concerned citizens provided tips. Approximately 150 greenhouses containing 49,152 marijuana plants were located on the property. Based on testing conducted, no hemp plants were on the property. The investigation is ongoing. California Investigates Nonpermitted Commercial Cannabis Cultivation. Law enforcement in Mendocino County, California, recently conducted investigations into nonpermitted commercial cannabis cultivation in locations around the county. Such sites were allegedly operating without a county cultivation permit or a state cultivation license, and/or cultivation was taking place in violation of county code requirements. The marijuana plants at

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