Oregon: OLCC Rules & Regs Updates + Recent Fines & Compliance Issues

January 17, 2020

OLCC Commission Adopts Updated Rules for Marijuana Program

Approves Marijuana Licensee Stipulated Settlements


Portland, OR —  At its monthly meeting on January 16, 2020, the Commissioners of the Oregon Liquor Control Commission approved five marijuana violation stipulated settlement agreements.  The Commission also adopted changes to the rules for the Recreational Marijuana Program that address technical fixes and changes made during the 2019 legislative session.

Many of the approved changes in the Division 25 rules affect all licensees while some apply to a specific license type.  The new rules take effect February 1, 2020.

Under the new rules, all licensees must notify the OLCC at least 15 days in advance of losing access to their licensed premises.

Additional rule modifications that effect all licensees include:

  • Clarifications regarding video surveillance and quality control samples;
  • A deadline change for daily reporting into the Cannabis Tracking System; and
  • An adjustment to the tracking of marijuana items transported around the state.

There are news rules for licensed marijuana producers regarding:

  • Canopy area designation; and
  • Providing proof of consent from the property owner for the location where the producer is growing their marijuana crop.

For producer, processor and wholesaler licensees there are new trade sample limits, and new THC concentration and testing limits for OLCC certified hemp growers and handlers (processors.)

Commission staff plan to release guidance and other communications to licensees and stakeholders before the new rules take effect February 1, 2020.

Additionally, the Commission approved the following fines and/or marijuana license suspensions, license surrenders, or marijuana worker permit surrender based on stipulated settlements:

Nutritional High* will pay a fine of $4,950 OR serve a 30-day recreational marijuana processor license suspension for one violation.

Licensees are: Nutritional High (Oregon), LLC; NH Operations, LLC, Member; Nutritional High (Colorado), Inc., Member; David Posner, President; Adam Szweras, Secretary/Treasurer; NHII Holdings Ltd., Stockholder; Nutritional High International, Inc., Stockholder; Vernon Frazier, President.

Oregon Cannabis CO in Albany will pay a fine of $4,450 OR serve a 27-day recreational marijuana retailer license suspension for three violations.

Licensee is: Oregon Cannabis Co Rec, LLC; Colin Andries, Receiver; Michelle Gold, Member; Bert Gold, Member.

World Famous Top Shelf Cannabis in Brookings will pay a fine of $16,830 ANDserve a 32-day recreational marijuana retailer license suspension OR serve a 134-day recreational marijuana retailer license suspension for eight violations.

Licensees are: Smart Choice Investments, LLC; Thomas Beckley, Member; David Grove, Member; Kevin Claussen, Member; Ryan Salas-Mitchell, Member.

Black Market Distribution* will pay a fine of $16,335 OR serve a 99-day recreational marijuana wholesaler license suspension for six violations.

Licensees are: Black Market Distribution, LLC; Aaron Mitchell, Managing Member.

Butte Creek Farms* will surrender its recreational marijuana producer license and each licensee agrees to accept a letter of reprimand for seven violations.

Licensees are: Butte Creek Ranch Farm 1801, LLC; Stephen Day, Jr., Member.