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Marijuana Sold for Profit at California Dispensaries? Guy Who Wrote the Law on This, John Vasconcellos, Says It's Legit

Categories: Marijuana

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Troy Holden
One of the rallying cries of those opposed to the proliferation of pot shops in places like Los Angeles is that medical marijuana was never meant to be for-profit in the state of California.

Yet, in L.A., the weed game has clearly become about money and entrepreneurship, so much so that the likes of District Attorney Steve Cooley and City Attorney Carmen Trutanich have repeatedly noted this fact in their sometimes futile crusades against the medical cannabis trade.

Now, one of the authors of a landmark medical marijuana law in California says it was never meant to prohibit profit-taking by pot shops:

Former state Sen. John Vasconcellos this week wrote a letter (linked here via PDF) "to whom it may concern" in order to clarify lawmakers' intentions regarding the law he co-authored in 2003, SB 420, which defined the avenues for marijuana distribution and cultivation under 1996's voter-approved Prop. 215.

420 says that nothing in the bill shall "authorize any individual or group to cultivate or distribute marijuana for profit."

But now Vasconcellos, who's retired and runs a nonprofit called the Vasconcellos Trust, says the language wasn't intended to specifically bar profit-taking.

In noting that the intentions of the landmark legalization of medical marijuana were carefully vetted by officials and politicians on both sides of the aisle when 420 was drafted, he writes:

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1ncognito

I am deeply concerned that in the nine years since we passed SB 420, certain people have evidently been advocating a marked misinterpretation of the language resulting from our Task Force and enacted into law via my SB 420 -- with regard to whether "making a profit" is somehow not permitted for medical cannabis providers under state law.

It was certainly true that one side wanted to outlaw any profit-making, while the other side did not and would not ... we took the openly deliberated, fully appreciated compromise way out: We catered to neither side on this issue. Instead the Task Force crafted the language that appears in Health and Safety Code section 1 1362.765(a) as follows: "... nor shall anything in this section authorize any individual or group to cultivate or distribute marijuana for profit."

... The language we fashioned means nothing more -- nor less -- than what it explicitly says. Nothing in that section prohibits profit. Nothing in that section explicitly authorizes profit, either. But I must point out that nobody is required to obtain an "authorization" from the Legislature to make a profit in California.

... the language does not in any respect purport to prohibit profit ~ if that had been the intent, the language would have so stated clearly. It obviously does no such thing.

I should also point out that Section 11362.765 concerns activities by individual patients, caregivers, and others who provide assistance to patients. Activities by collectives and cooperatives are governed by their own section (H&S Section 11362.775), and it is, of course, completely silent on the issue of profit.

Interesting.

The language noting that nothing in the bill shall "authorize any individual or group to cultivate or distribute marijuana for profit" certainly sounds definitive enough to us.

But the fact that "collectives and cooperatives" (is that what they are?) are not even covered by this is noteworthy.

The issue could be moot on a couple fronts, however: The city of L.A., like others, is moving forward on a complete ban on pot shops after a state court said municipalities can't regulate them via permits and lotteries, as they're outlawed federally anyway, essentially.

And now there's another state initiative in the works that would tax and regulate pot shops and, de facto, it seems, allow for-profit sales. That'll apparently override everything if you, the voter, approve it. (Though cities like L.A. could still ban shops altogether.)

We called Vasconcellos for comment but we were told he was traveling to Hawaii.

[@dennisjromero / djromero@laweekly.com / @LAWeeklyNews]

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11 comments
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Mandy
Mandy

I agree, this is a capitalist country, and if something like the sell of marijuana is voted as legal, then I do not see how it is not okay for the shops which sell marijuana to make a profit. Nobody likes to work for nothing. 

Toby Nixon
Toby Nixon

We need to legalize Cannabis for all purposes and make medical despensaries NON-PROFIT not for profit and make them give away a certain amount every month to those whose doctors have recommended it. Some people just use it to get high, sure no harm in that but to Tax any type of Big PHARMA medication would be against the law, what about a non-profit that gives Cannabis to those who most need it, those with cancer, aids and hepatitis. Which would save everyone a bunch of money, including the government. Making it legal to dispense in small amounts to be used privately by adults and tax the hell out of it, would eliminate the black market on Cannabis coming in from Mexico. WHO THE HECK NEEDS STEMS AND SEEDS ANYWAY.

I mean, we are spending $42 freaking billion dollars on the War on Pot alone. We are putting thousands of people in jail a year for what we all know to be ridiculous.

This is why I am voting for Ron Paul. That Freaking republican will legalize, he’ll do away with the Federal Reserve and reinstitute the Bill of Rights.Because if we do anything else, we are headed for civil war.

DEC MED
DEC MED

Non profit or profit... the same socioeconomic rules apply. If the owner is benefiting significantly more than his volunteers and patients, justice prevails and greed surrenders. However, I know several operators who make less per year than many of their patients.

DEC MED
DEC MED

It is not how much you make, it is the ratio of how much you make to how much you give. 

Rick Abrams
Rick Abrams

Let's use some common sense.  We know that LA is a Pay to Play City.  Who has more money to funnel to corrupt politicians like the city council and the city attorney and the district attorney than MS13, White Fence and the other mega narco-gangs? 

These gangs are international business enterprises, and like any other corrupt Crony Capitalist, they want the government to pass laws that protect their profits.  Can we blame MS13 or White fence any more than we blame Goldman Sachs or Bank of America?  The real villians are the politicians who make a forune off keeping pot unavailable except through your favorite narco-gang member.

Dennisisnotverygood
Dennisisnotverygood

ahhhhh Dennis - even with conclusive word from the author that the bill was neutral in its implication not 'no profit' as you have been parroting on brief from law enforcement & now still insisting on flailing around looking to negate this fact you remain unchanged in your spin. Bless.

Dennis Romero
Dennis Romero

Thanks.

lamedicalmarijuana
lamedicalmarijuana

Be careful Dennis your handlers may smite you for going against their entrenched paradigm which has been successfully victimizing Angelenos for years!

You are better off not responding so that you have more time writing articles which defend the position of the ultra elite and wealthy.

Better start writing your next reefer madness article ! It's not like you have the ballz to investigate how much influence the south American drug cartels have on LA Politicians?

AFH
AFH

Forget the medical marijuana bill! I cant see it doing anything but making access harder. It is time to make it legal in California. Did you see that Regulate Marijuana Like Wine is polling at 62%? There is no reason to go anywhere else. It protects 215 completely leaving it unchanged in law and in spirit, then it REALLY protects it by changing the basis of the law from privilege granted by doctors, to a presumption of a right under the law.

DUH!!! I bet if Mr. Vasconcellos thought they could make access a right under 215 they would have!

http://www.regulatemarijuanali...

patrick
patrick

The language noting that nothing in the bill shall "authorize any individual or group to cultivate or distribute marijuana for profit"Okay...so the bill doesn't authorize making money, but where in the bill did it PROHIBIT making money???  Nowhere, so while the bill does not authorize money making, it doesn't ban it either, which means that you can operate as either non-profit or for-profit.

lamedicalmarijuana
lamedicalmarijuana

Only in the make believe world of Journalism, Law, and Politics are people not allowed to make a profit in the Medical Marijuana Industry.

However in the real world, when you ask the average Joe he will have no problem with people making a living in the Medical Marijuana Industry.

This is America you ARE allowed to make a profit...

No one works for free in this nation , and no one is a slave and should have to work for free just because they are involved in the Medical Marijuana Industry.

If you don't want profit to be made in the Medical Marijuana Industry you are for slavery!

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