medical grower looking to expand...

  • Thread starter Wyckoff
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Wyckoff

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This is not a cry for patients!

I am a medical grower who has been growing for personal use for a few years. I have slowly expanded my setup, improved my techniques and my genetics to the point now where supply out paces demand. I am considering adding some patients so I can get even bigger and have a little side income. I've been looking into the latest version of the law (). As written a grower can only be compensated for his expenses and not labor etc.

Questions:

- How can dispensaries legally compensate growers while paying a fair price?
- What do professional growers do when tax season comes?
- If you can't be compensated beyond overhead then how can these people legally pay taxes (income means compensation > expenses)?
- Can a grower be compensated for new equipment?

Any help wrapping my head around this would be great. It seems like the new laws will legitimize dispensaries but growers are screwed.
 
Slowitdown

Slowitdown

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1) Grey area
2) Run
3) If you can't be compensated beyond overheard then whats the point of doing what your doing?
4) Lol

This is all a grey area man someone will tell you one thing and someone else will tell you another. Ask a lawyer and he will tell you to stay away. Ask a fellow farmer and they will say go for it.
 
Jboys3

Jboys3

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Now you understand the meaning of Catch 22, Conundrum, Gray Area...

In Oregon you are NOT allowed to make a profit from raising meds. You are allowed to be given a 'gift' to recover your expenses [not including labor]. The feds and and IRS do NOT recognize Oregon's laws for Medical Marijuana and it even states that on your permit to grow.

Thus you have no income, you pay no taxes, and whatever the dispensaries 'give' you for your meds is open to negotiation. I personally steer clear of them and deal with my patients directly to cover my expenses. I feel better helping someone I know and I receive feedback on what my patients like and don't like.
 
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Wyckoff

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Does anyone know if any dispensaries are close to self-sufficient product wise? It seems like if a grower co-op existed where they co-owned a dispensary then they could legally be compensated at their actual cost but then make a profit and collect a salary from the dispensary side of the business.

I don't understand how Oregon law makers are expecting growers to provide product for an entire industry without being compensated. I also don't understand how a market can operate that isn't based on the quality of the product.

Thanks for the responses. Anyone know a good lawyer in Portland for this nonsense?
 
gonzo3732

gonzo3732

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Legally you can only do a non profit. If you want an income you have to turn your product into a brand and make money from being creative. Hire an accountant and lawyer. Keep all receipts and only use donations to improve and expand the garden.
 
jaredman

jaredman

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the new laws bypass the whole no sale joke that is going on now. the new laws say that any person with a card can be compensated for medicine at fair market value by a dispense. No grey area anymore. also you will have to fill out all of your info at the dispense for uncle sam. There lies the grey area because you can not pay federal taxes on it legally, or something like that. "Professional Growers" don't pay taxes dude. If you wanna make money off weed in Oregon you are breaking the law, period. When the new dispense laws start we will see what happens but then you are going to put in writing that you are selling weed for the feds to do as they please if you sell to dispense
 
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Wyckoff

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Thanks Jared,

You are the second person to tell me this but I can't find anywhere where these changes exist in the new law. Do you have any idea where I could find more information?
 
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Wyckoff

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I just looked at the most recent draft "(9) A patient or the designated primary caregiver of the patient may reimburse the grower for the costs of supplies and utilities associated with production of marijuana for patient. No other costs associated with the production of marijuana for the patient, including the cost of labor, may be reimbursed."

 
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CobbCreekBob

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Transfers to a Registered Facility

(1) A patient may authorize usable marijuana or immature marijuana plants to be transferred to

a registered facility by signing an Authorization to Transfer form prescribed by the Authority. A

patient may authorize transfers to more than one registered facility. A separate form must be

provided for each registered facility. The Authorization must include, but is not limited to, the

following information:

(a) The patient’s name, OMMP card number and expiration date and contact

information;

(b) The name and contact information of the individual who is authorized to transfer the

usable marijuana or immature marijuana plants to the registered facility and that individuals’

OMMP card number and expiration date;

(c) The name and address of the registered facility that is authorized to receive the

usable marijuana or immature marijuana plants; and

(d) The date the authorization expires, if earlier than the expiration date of the patient’s

OMMP cardapplicable.


(2) Only a patient, the patient’s designated primary caregiver, or the patient’s grower may be

authorized to transfer usable marijuana or immature plants to a registered facility.

(3) The originalAn Authorization to Transfer form must be provided to the registered facility to

which a transfer may be made by the patient or person authorized to transfer the usable

marijuana or immature plants. The patient should retain a copy of the Authorization to Transfer


form for his or her records and provide a copy to the person authorized to transfer the usable

marijuana or immature plants.
(4) An Authorization to Transfer form automatically expires on the date the patient’s OMMP

card expires, unless the patient has specified an earlier expiration date. If the patient renews

his or her OMMP card the patient may execute a new Authorization to Transfer form in

accordance with this rule.



(5) Once usable marijuana or an immature plant is transferred to a registered facility pursuant


to a valid Authorization to Transfer form, the usable marijuana or immature plant is no longer

the property of the patient unless the usable marijuana or immature plants are returned by the

registered facility because they tested positive for pesticides, mold, mold or mildew.

(6) Prior to a registered facility accepting a transfer of usable marijuana or immature plants the


PRF must ensure that:

(a) It has a valid Authorization to Transfer form on file that authorizes the individual that

is transferring the usable marijuana or immature plants to make the transfer; and

(b) The individual transferring the usable marijuana or immature plants is the individual

authorized to make the transfer.

(7) A PRF must ensure that when a registered facility accepts a transfer of usable marijuana or

an immature plant the batch of usable marijuana and and each immature plant areis

segregated in accordance with the testing rule, OAR 333-008-1190 given a unique identifier and


that the following information is documented, as applicable:

(a) The unique identifier;

(b) The weight in metric units grams or volume in milliliters or liters of all usable


marijuana received by the registered facility;

(c) The number of immature plants received by the registered facility;

(d) The amount of a finished product received by the registered facility, including, as

applicable, the weight in metric unitsgrams or volume in milliliters or liters, or the number of

units of a finished product;


(e) A description of the form the usable marijuana was in when it was received, for

example, oil or an edible product;

(f) Who transferred the usable marijuana or thean immature plant, the individual’s


OMMP card number and expiration date of the card, a copy of the individual’s picture

identification, the date the usable marijuana or an immature plant was received, and the name

of the patient who authorized the transfer; and

(g) The amount of reimbursement paid by the registered facility.

(8) Nothing in these rules requires a PRF or a registered facility to accept a transfer of usable


marijuana or immature plants.

(9) A PRF must ensure that:

(a) From the time that a batch or plant has been received by the registered facility until

it is tested in accordance with these rules, the Uusable marijuana and immature plants received

by the registered facility are segregated, and withheld from use, and kept in a secure, cool and

dry location so as to prevent the marijuana or plants from becoming contaminated or losing its

efficacy, or from being tampered with or transferred except that the samples may bethat have

been removed for testing, from the time that a batch has been received by the registered

facility until it is tested in accordance with these rules; and


(b) That no usable marijuana or immature plants are transferred to a patient or

designated primary caregiver until testing has been completed, the registered facility has

received a written testing reportsults, and the usable marijuana and immature plants have


tested negative for pesticides, mold and mildew.

(10) Usable marijuana and immature plants must be kept on-site at the facility. The Authority

may cite a PRF for a violation of these rules if during an inspection it cannot account for its
 
Kendo

Kendo

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so fare 99.5% of the regs apply to the reseller. At this point the seller has only to provide identification for tax purposes and product that is tested at an approved facility.
 
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CobbCreekBob

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and the reselling starts with the patient it seems, with proper paperwork for transaction, they can do it or give their grower/caregiver paperwork permission. If the club is supplying itself, looks to me like production has to be there also or close. The forms and paperwork to be filled out by both if supplying the clubs, or even giving permission for your meds to go to clubs, is what will give some the spooks, doesn't look like no way around what you got paid being on multiple tax or income forms
 
Kendo

Kendo

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Heya Bob. In the whole scheme of things there are those who will, and those who won't. Those who won't will operate on the fringe as they are now in CO and WA. Those who will, well we shall see.


On a side note

I was involved in prop 215 and unpopular to hopes and opinions I opined that TRUE acceptance will only come with taxation and profit. Gasp! God forbid someone make a profit. Wink and nudge.......
IMHE the bluff and bluster pontificate who vociferously preaches to the contrary regarding Cannabis sales is smoke and mirrors.
Face it, we are a capitalist," Whats in it for me" society. if I had a dollar for every Jackass who preached about free weed that I knew factually was selling it...Well, Well, By god I would have a few dollars LOL.
 
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CobbCreekBob

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yep, I just want to grow my own, I'd be happy with that. As said previously, its the outdoor group that when they want patients or numbers for a new season do you ever hear free, they'll even pay for the change form. And they are the ones offering it, its not patients requesting it, as said previously, just want a chance to buy the good shit too, lol, once they shuffle you into the free group, well, that's usually where the trouble between grower and patient begin. And as noted, when they get 12 lbs outdoor off your numbers and card, I think that's why they starting offering it in the first place, lol, they get 10lbs to do with whatever, and you get your 1 and a half. What's that figure up to at the going rate, for 10 lbs? and again, it wasn't the patients idea, it was the growers, feeling bad I guess, LMFAO
 
soserthc1

soserthc1

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I personally think that putting your name on any paper saying you grow weed weather it be for profit or not is not a good idea in any state until the federal gov't makes a stance , I would just be content to be in a state where its not headline news of a major drug operation if they catch you growing a plant and does anyone possible believe that someone who do any work for free ... even if it is a labor of love its still time consuming .....
grab a few patients - keep your mouth as tight as possible recoup your cost and some pocket money and carry on ....jmho
 
Kendo

Kendo

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I have been at this for 38 years. It has gone from from 10 years for a joint in California to people going home after a 400 plant raid in Oregon.

Without large scale grows and Pot resellers that PUSH the SHIT out of the envelope legalization would stay a dream and not be the in your face reality that is sweeping the nation....

I literally heard the EXACT same sort of accusations of profiteering and manipulation in regards to my friend Eddy Lepp's 30,000+ count garden in Lake County California.
I will never forget the CHP cars lined up w/ officers gawking from Hwy 20 at huge rows of beautiful plants. My stomach turned into knots as we drove by with the thoughts of the risk Eddy, Jack, Jason, etc,etc,etc were taking in an effort to push the feds into a corner.

I heard the EXACT same type of thing about the Very Kind and brave folks who opened the first EVER dispensary in Oakland California, OAKLAND CANNABIS BUYERS COOPERATIVES. Accusations of profiteering and manipulation when I knew for a fact that the whole setup was designed to attract a Supreme court type scenario, as was the Angel Raich trial.


Knowing EXACTLY what it takes to pull off a Bomb ass successful OUTDOOR crop I think 10% is one hell of a good cut for the card holder, IF; they are getting top shelf meds.....


Ganjapreneuers are some of the most reviled of professionals. Like lawyers and bail bondsmen they garner sideways glances of disapproval, that is, until you have need of their services, then it's a wink and a nudge with a handshake .
The more successful they are, the more reviled. Seed barons, commercial growers and even authors are literally raked over the coals.


The nature of the beast has engendered some sort of Twighlight zone effect among the THC crowd that turns ganjaprenuers into zombie brain eaters.
Go figure!?!
 
Medusa

Medusa

Trichome Engineer
Supporter
4,713
263
You will be better off kick back and concentrate on growing the best you can ..was in a disp yesterday they wanted all this paperwork ..testing ( which i agree with) but signing that i don't think so... plus no meds til march because of the new laws...although they do pay upfront not commission. Not worth letting feds know who i am...plus getting patients to give you permission to sell excess meds that I worked my ass off growing ... Once again the growers getting screwed by a bunch of people that don't even know how to grow..
 
BrotherGreen

BrotherGreen

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I don't do the med card thing either. I won't allow a park mooch to dictate how much free pot they get from my hard labor, money, and risk. Most of the "patients" out there are in a lot better shape physically than I am. I have been through too much to give it away. My prices have always been lower than my competition and my quality is consistently higher.
My hat is off to the med crowd though as they have been a force in getting things turned around as far as legalization goes.
Never had any issues getting rid of what I got either. Most of the patients that see me buy it green cause they know it will be gone before it dries out.
I sell oz fresh for $60. Equals out to a quarter dry.
Excess means you have the opportunity to cure it properly. If you are worried about having too much on hand, while a legitimate concern it is the least of your worries.
As a provider or card holder you are committing a felony if you sell or even smoke with anyone who does not have a card. It goes south from there.
I don't see any benefit to having a card on my end. I won't leave my patients who don't have cards out in the cold just to pay the state for...
...what are the benefits of having a card again? :playful:
 
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