Oregon’s Measure 91, which creates a legal recreational marijuana market for adults has passed with 54% of the vote. Oregon’s law differs in a number of ways from that of Washington.
First, there is no residency requirement for Oregon licensees or investors. Out of state residents will be able to operate and invest in licensed marijuana businesses. This means that Oregon will likely benefit from the experience of Washington growers and retailers.
Oregon will also allow vertical integration, meaning that a single business can grow, produce and sell recreational marijuana. In Washington, a business cannot both produce and sell marijuana.
Oregon residents will also be allowed to grow four marijuana plants in their own home. In contrast, only licensed businesses in Washington can grow marijuana.
Taxes in Oregon will be much lower than those in Washington. The hope is that lower taxes will more quickly get rid of the black market.
The complete text of the Oregon Initiative can be found here.
How the new Oregon marijuana legislation will affect Washington marijuana businesses remains to be seen. I will continue to post updates on these issues and the developing regulatory system in both Oregon and Washington.
For more information on the regulation of recreational marijuana businesses, please contact Heather Wolf.