The General
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With the question of approving medical marijuana on Florida's ballot in November, another question is whether approval could bring an economic windfall for the state. Pro-marijuana industry groups insist the economic impact will be huge, as it has been in other states. But others aren't so sure. Florida voters will be faced with the choice of legalizing pot for medicinal purposes only or rejecting it. Approval will follow the precedent of 20 other states along with the District of Columbia. Two other states, Colorado and Washington, made adult recreational use of marijuana legal last fall.
What the experience of those states that have already legalized it shows, is that the medical use of marijuana has produced mixed results economically. Also the impact of legalizing pot on the state's economy depends on how heavily regulated legal pot becomes. And medicinal marijuana promises to be tightly regulated in Florida if it's approved by voters. The full wording of the proposed amendment to Florida's constitution uses the term "debilitating medical condition" as a criteria for use of the drug. Then it defines that as any of nine diseases – such as cancer, AIDS and hepatitis C – "or other conditions for which a physician believes that the medical use of marijuana would likely outweigh the potential health risks for a patient."
Daniel Davis, president of Jax Chamber, said that, at least according to the wording of the ballot, he can't see a huge commercial impact of legalized marijuana limited to medicinal use. "It's all conjecture," Davis said. "In my opinion, it's going to be very low [impact]." Still, pro-marijuana industry and development groups say there's little doubt legal marijuana, even for medicinal use, can provide a huge impact economically that business leaders in groups like chambers of commerce should embrace.
The National Cannabis Industry Association cites a recent study by Arcview Market Research that concluded the national market for legalized medicinal and adult-use pot generated about $1.44 billion in industry value in 2013. The projected market for 2014 is $2.34 billion. California, where medicinal marijuana was legalized 17 years ago, was the biggest weed industry value-generating state with a $980 million market in 2013, according to the study.
Taylor West, deputy director of the National Cannabis Industry Association, said given that Florida is the fourth largest state in population, the Sunshine State's figures could come close to California's. "Based on what we've seen in other states and adjusted for Florida's population, we project that a medical industry regulated in a similar way to Colorado [before all adult use was legalized] could do $600 million in sales in a year," West said. Given the weight of potential regulation, Jacksonville University Marketing Professor George Gresham said there may be a limited market for medical pot.
"There will be some [economic impact] and there may be many scenarios that we don't know about," Gresham said. "Who has the authority? That's tied up in medical doctors and quite frankly I think many medical doctors are going to be hesitant to script [write prescriptions] this thing out for pain relief because the research is at least mixed. "It's hard to tell. But I don't think it's going to be a biggie. I think it's a relatively small demographic that would be interested in this for the purposes for which it would be professionally marketed."
Officials with the National Organization for the Reform of Marijuana Laws say Gresham's perspective is often correct in states where legalized medical marijuana is tightly regulated.
Allen Saint Pierre, executive director at the NORML offices in Washington, D.C., said since California has been relatively loose on its regulation of medical marijuana, states in the Eastern areas of the country have since bolstered regulations on legalized medicinal weed. The heavy regulation creates a self-fulfilling prophecy, Saint Pierre said. "These laws are so much more restrictive than they were in California," Saint Pierre said. "They are set up to fail. You cannot make it by selling marijuana in a $300,000 to $400,000 brick-and-mortar investment."
Instead of designing regulations to restrict the sale of marijuana, Saint Pierre said governments and communities would be better served if they embraced the potential in job creation and, even more profoundly, the generation of tax revenue. Gresham acknowledged he's not sure how many jobs would be created locally if the Florida medicinal marijuana initiative is passed. "Where I see the jobs that it will create will be in the manufacturing process, the making of it. But I don't know anything about the manufacturing process," Gresham said. "It will be made available for purchase through prescription channels, but I have no idea what size that is."
Saint Pierre said many chambers of commerce all the way up to the U.S. Chamber of Commerce have opposed the legalization of marijuana. But he said that seems counter-intuitive for organizations that claim to champion free-market capitalism. "The Chamber of Commerce just doesn't stand on good ground here," Saint Pierre said. "Somebody has to grow this stuff. Somebody has to transport it. Somebody to market it. Somebody has to package it and somebody has to sell it.
"One would think the Chamber of Commerce gets that and would be in favor of having more business, more revenue, etc., etc. All we've been arguing is to try to take an illegitimate, underground business and bring it above ground so they can become members of the Chamber of Commerce. That's how twisted this all is." Davis is also a State Representative and a Republican. Republican Gov. Rick Scott has adamantly opposed the legalization of marijuana for medicinal purposes in the state.
Republican Florida Attorney General Pam Bondi also fought the proposal of putting the issue on the ballot until the state supreme court green-lighted the ballot initiative last month. Davis said state political lines have not influenced his position on legalizing medicinal marijuana. But he said, "Personally, I would vote against it." Still, if voters approve the measure, Davis said he would follow the wishes of the populace. According to a Quinnipiac University poll in November, 82 percent of voters wanted doctors to be able to prescribe marijuana.
News Moderator - The General @ 420 MAGAZINE ®
Source: Jacksonville.com
Author: Drew Dixon
Contact: Contact | jacksonville.com
Website: Economic impact of medical marijuana in Florida an open question | members.jacksonville.com
What the experience of those states that have already legalized it shows, is that the medical use of marijuana has produced mixed results economically. Also the impact of legalizing pot on the state's economy depends on how heavily regulated legal pot becomes. And medicinal marijuana promises to be tightly regulated in Florida if it's approved by voters. The full wording of the proposed amendment to Florida's constitution uses the term "debilitating medical condition" as a criteria for use of the drug. Then it defines that as any of nine diseases – such as cancer, AIDS and hepatitis C – "or other conditions for which a physician believes that the medical use of marijuana would likely outweigh the potential health risks for a patient."
Daniel Davis, president of Jax Chamber, said that, at least according to the wording of the ballot, he can't see a huge commercial impact of legalized marijuana limited to medicinal use. "It's all conjecture," Davis said. "In my opinion, it's going to be very low [impact]." Still, pro-marijuana industry and development groups say there's little doubt legal marijuana, even for medicinal use, can provide a huge impact economically that business leaders in groups like chambers of commerce should embrace.
The National Cannabis Industry Association cites a recent study by Arcview Market Research that concluded the national market for legalized medicinal and adult-use pot generated about $1.44 billion in industry value in 2013. The projected market for 2014 is $2.34 billion. California, where medicinal marijuana was legalized 17 years ago, was the biggest weed industry value-generating state with a $980 million market in 2013, according to the study.
Taylor West, deputy director of the National Cannabis Industry Association, said given that Florida is the fourth largest state in population, the Sunshine State's figures could come close to California's. "Based on what we've seen in other states and adjusted for Florida's population, we project that a medical industry regulated in a similar way to Colorado [before all adult use was legalized] could do $600 million in sales in a year," West said. Given the weight of potential regulation, Jacksonville University Marketing Professor George Gresham said there may be a limited market for medical pot.
"There will be some [economic impact] and there may be many scenarios that we don't know about," Gresham said. "Who has the authority? That's tied up in medical doctors and quite frankly I think many medical doctors are going to be hesitant to script [write prescriptions] this thing out for pain relief because the research is at least mixed. "It's hard to tell. But I don't think it's going to be a biggie. I think it's a relatively small demographic that would be interested in this for the purposes for which it would be professionally marketed."
Officials with the National Organization for the Reform of Marijuana Laws say Gresham's perspective is often correct in states where legalized medical marijuana is tightly regulated.
Allen Saint Pierre, executive director at the NORML offices in Washington, D.C., said since California has been relatively loose on its regulation of medical marijuana, states in the Eastern areas of the country have since bolstered regulations on legalized medicinal weed. The heavy regulation creates a self-fulfilling prophecy, Saint Pierre said. "These laws are so much more restrictive than they were in California," Saint Pierre said. "They are set up to fail. You cannot make it by selling marijuana in a $300,000 to $400,000 brick-and-mortar investment."
Instead of designing regulations to restrict the sale of marijuana, Saint Pierre said governments and communities would be better served if they embraced the potential in job creation and, even more profoundly, the generation of tax revenue. Gresham acknowledged he's not sure how many jobs would be created locally if the Florida medicinal marijuana initiative is passed. "Where I see the jobs that it will create will be in the manufacturing process, the making of it. But I don't know anything about the manufacturing process," Gresham said. "It will be made available for purchase through prescription channels, but I have no idea what size that is."
Saint Pierre said many chambers of commerce all the way up to the U.S. Chamber of Commerce have opposed the legalization of marijuana. But he said that seems counter-intuitive for organizations that claim to champion free-market capitalism. "The Chamber of Commerce just doesn't stand on good ground here," Saint Pierre said. "Somebody has to grow this stuff. Somebody has to transport it. Somebody to market it. Somebody has to package it and somebody has to sell it.
"One would think the Chamber of Commerce gets that and would be in favor of having more business, more revenue, etc., etc. All we've been arguing is to try to take an illegitimate, underground business and bring it above ground so they can become members of the Chamber of Commerce. That's how twisted this all is." Davis is also a State Representative and a Republican. Republican Gov. Rick Scott has adamantly opposed the legalization of marijuana for medicinal purposes in the state.
Republican Florida Attorney General Pam Bondi also fought the proposal of putting the issue on the ballot until the state supreme court green-lighted the ballot initiative last month. Davis said state political lines have not influenced his position on legalizing medicinal marijuana. But he said, "Personally, I would vote against it." Still, if voters approve the measure, Davis said he would follow the wishes of the populace. According to a Quinnipiac University poll in November, 82 percent of voters wanted doctors to be able to prescribe marijuana.
News Moderator - The General @ 420 MAGAZINE ®
Source: Jacksonville.com
Author: Drew Dixon
Contact: Contact | jacksonville.com
Website: Economic impact of medical marijuana in Florida an open question | members.jacksonville.com
