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Nevada's Pot Problem has State on High Alert

16 July 2017

But that changed when recreational sales began July 1 and anyone transporting pot was required to obtain a distribution license. The state faces problems with growing cycles and crop shortages making things hard for the distributors, too, but that's a story for another time. According to the Nevada Tax Commission, most liquor wholesalers don't meet the licensing requirements to sell weed.

"The current law is you have to be a liquor distributor to transport marijuana and none of those people have licenses", Segerblom said.

Tourists and locals alike have been lining up in front of Nevada's dispensaries to purchase marijuana since its legalization went into effect July 1. But questions remain about whether newly minted distributors can handle the heavy demand, and the possibility of another legal roadblock may be looming on the horizon.

The wholesalers now have an exclusive right to distribution licenses, and will for the first 18 months recreational marijuana is legal in the state.

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The emergency regulations approved Thursday, she said, will provide the framework to quickly make that determination and enable those stores to restock their shelves.

Under the measure, cannabis was supposed to be regulated like alcohol, and the group further argued the language of the measure gave the right exclusively to alcohol distributors for the first 18 months of sales. Gov. Sandoval has already budgeted $70 million dollars in estimated revenue for education, so a halt in sales could hurt schools. The state is just sitting on a whole lot of pot right now, while still going through distribution applications.

Department officials point out marijuana business owners have invested huge amounts of money to build facilities in Nevada, hiring and training thousands of employees.

However, in light of the booming business at Nevada shops, the new emergency regulation, which has been endorsed by the governor, would allow others-shockingly, even folks who aren't already liquor distributors-to apply for licenses.

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Sandoval actually released a statement of emergency, requesting the regulation of the businesses that can obtain a recreational selling license be expanded. The ruling has since been appealed to the Nevada Supreme Court.

Following an overwhelming demand for recreational marijuana, Nevada regulators are considering emergency rules that would expedite licensing for pot distributors.

After less than two weeks of recreational sales of marijuana in Nevada, the state's dispensaries are pretty much out of product.

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Nevada's Pot Problem has State on High Alert