With the initial draft rules implementing Initiative 502 (I-502) (PDF) issued just last week and still fresh on the public’s mind, Seattle Times reporter Bob Young and three I-502 experts held a live chat today to answer specific questions about the new rules. State Liquor Control Board Deputy Director Rick Garza, ACLU of Washington drug-policy
Dinner and a Movie for the Whole Family!
Movie theaters with restaurant-style food service will reach a broader audience with the recent signing into law of a bill passed by the Washington State Legislature allowing service of food and alcoholic beverages to their patrons. The law as currently written allows some service of alcohol in movie theaters, but requires exclusion of minors from the premises. The new law will create a new, more family friendly, beer, wine and spirits license for theaters. The license will allow minors if certain conditions are met and approved by the Washington State Liquor Control Board, such as submission of an alcohol control plan outlining the methods to prevent minors from obtaining alcohol, similar to plans that are required for clubs and show venues that host all‑ages concerts. Theaters will also be required to meet food and service requirements, similar to restaurants, to qualify for the license. (Senate Bill 5607 as Passed by Legislature)Continue Reading Dinner and a Movie for the Whole Family!
Rick Garza to Lead Washington State Liquor Control Board
Stoel Rives LLP offers its congratulations to Rick Garza on his appointment as Director of the Washington State Liquor Control Board. Today the agency issued a press release announcing the appointment will be effective June 1, 2013. Garza will be assuming leadership in a time of unprecedented change – the agency is on the tail end
I-502 Draft Rules Expected Next Week
It looks like the Washington State Liquor Control Board (WSLCB) is on track to meet the first of several milestones in the implementation of Initiative 502 (I-502), Washington State’s recently passed marijuana reform law. According to a tweet earlier today from I-502 Implementation (@I502implement), we can expect to see the first draft of
Sales Limit Increase Could Give Washington State Craft Distilleries More Momentum in the Retail Market
This week, a bill passed the Washington legislature that will allow a craft distillery to sell more of its product to customers visiting its distillery.
House Bill 1149 has been sent to Governor Inslee to sign in to law, amending RCW 66.24.145 to allow a craft distillery to sell a maximum of three liters of
Initial Public Forums on Washington’s Initiative 502 Draw Large Crowds
This week, the Washington State Liquor Control Board (WSLCB) held the first two of six public forums it intends to host across Washington State regarding the implementation of Initiative 502. The first forum was held at the WSLCB Headquarters in Olympia on Tuesday night. According to news reports, hundreds of people flocked to the event to not only provide comments, but to be part of history. Board members were surprised to see that there was standing room only at the event. WSLCB Chair Sharon Foster opened the forum with one word, “Wow!” The Board admitted that they had underestimated how many people would attend the public forums.
Last night’s I-502 public forum in Seattle had a similar turnout. As an article in this morning’s Seattle Times put it, “They came in suits and cowboy hats, with cropped gray hair and long ponytails, and they filled one room at Seattle City Hall and spilled into another, about 400 strong.” At the beginning of the forum, Board members took time to briefly explain the new law to attendees and describe the steps in the rulemaking process that WSLCB will take over the coming months to implement I-502. They also emphasized the importance of public input.
Following that introduction, there were comments directed specifically at the taxes the new law intends to impose. Some urged that the 25% excise tax that will be applied at each level of the licensing system that will eventually be created – producer to a processor, processor to a retailer, and retailer to the customer – is too high. Others countered that the tax was necessary. WSLCB officials noted that they do not have the authority to change the taxes that were voted for by the public. Instead, a change to the tax structure would have to come from the legislature. During the first two years a change to the initiative would require a two thirds majority.Continue Reading Initial Public Forums on Washington’s Initiative 502 Draw Large Crowds
Video Interview: Discussing What I-502’s Rollout May Look Like for Businesses with LXBN TV
Following up on our posts on Washington Initiative 502, my colleague Claire Mitchell had the chance to speak with Colin O’Keefe of LXBN regarding the initiative and its implementation for businesses. In the brief interview, Claire explained the rulemaking by the Washington State Liquor Control Board currently underway and offered thoughts on what Washington’s marijuana industry may look like.
Washington State Liquor Control Board Announces Timeline for Implementing I-502
The Washington State Liquor Control Board (WSLCB) announced its tentative timeline for implementation of Initiative 502 (I-502) yesterday. WSLCB developed this timeline in order to keep the public informed and to identify significant milestones in the implementation process.
Rulemaking began in early December with the filing of CR101 for the Producer License, a notice of proposed rulemaking. WSLCB is still accepting
Part II: Understanding the Conflict Between Federal Law and Washington Initiative 502
In Part I of our “Understanding Washington Initiative 502” (“I-502”) series, we described how I-502’s licensing regime is scheduled to go into effect late next year. There is no question that I-502 legalizes possession of certain amounts of marijuana under Washington law, and the state licensing structure aimed at regulating the production, distribution, and retail sale of marijuana reflects this fact. But as a Schedule I drug subject to the federal Controlled Substances Act (“Act”), possession and sale of marijuana remains illegal under federal law. I-502 does not change this basic fact, regardless of whether the Washington State Liquor Control Board succeeds in establishing the rigorous regulatory regime envisioned by I-502.
I-502 intends to establish a well-regulated market that will allow Washington state to tax a commodity that had been pushed into the underground economy. Achieving that goal depends on capital investments in the regulated marijuana market in Washington State. But will investors be willing to fund a marijuana start-up if federal law diverges significantly from state law – particularly when federal law includes criminal sanctions? That will depend on the federal government’s response to states like Washington and Colorado that have chosen to de-criminalize marijuana.Continue Reading Part II: Understanding the Conflict Between Federal Law and Washington Initiative 502
Issues to Consider Now That Initiative 502 Has Taken Effect
My colleague Wendy Goffe, a trusts and estates attorney in our Seattle office and a regular contributor to Forbes, wrote a fascinating article about Washington Initiative 502 (I-502), the marijuana reform law. As those of you who haven’t been sleeping under a rock already know, the initiative appeared on the November 2012 General Ballot