The governor of Delaware is touting the state’s first “successful” weekend of adult-use marijuana sales, with total purchases for medical and recreational cannabis totaling nearly $1 million—and compliance checks demonstrating that the regulated market is operating as intended under the law.
Delaware purchased marijuana worth $903,000 between Friday and Sunday through licensed retailers and dispensaries. According to the Governor’s Office, this “measureable increase in pace” shows a robust demand for cannabis and is a sign of a successful launch.
“Delaware’s first weekend of adult-use cannabis sales has shown that our state is ready—and eager—for a well-regulated, responsible market,” Gov. Matt Meyer (D), in a Wednesday press release, said that the state is ready and eager for a well-regulated market.
He said, “This is a moment that reflects our dedication to grow Delaware’s economic, strengthen our communities and prioritize public health.” We have the opportunity to invest this money directly in neighborhoods throughout our state. This will ensure that Delaware is a model of cannabis innovation and quality. “I’m proud that we are moving carefully and thoughtfully to make sure this is right for Delawareans.”
Delaware’s first adult use marijuana shops opened their doors on 1 August. A handful of medical cannabis providers are already able serve customers 21 years and older.
This comes about two years after marijuana legalization was enacted into law under former Gov. John Carney, (D).
This governor’s current office has provided additional information about opening weekend sales. It includes a breakdown by type of product.
The sales of flower products reached $509 042 or 56 percent. This was followed closely by the sales of extracts for vaporizing ($233 267), edibles (infused) ($123 768) and prerolls with concentrated concentrates (16 212).
State officials also noted that “regular compliance checks were conducted throughout the weekend by regulators, who found dispensaries to be operating in accordance with established guidelines.” There had been no “significant incidents” reported.
The report stated that “Retailers showed adherence to Delaware’s comprehensive regulatory framework” for sales of adult-use marijuana. The Office of the Marijuana Commissioner continues to monitor the sales activity, working closely with licensed operators, to ensure compliance with the state’s regulations regarding product testing, stock tracking and customer verification.
The state’s officials said that revenue generated by the tax of 15 percent on sales of adult-use marijuana “suggests” the program would contribute substantially to the funding for regulatory oversight, community programs, and public health initiatives.
Delaware Marijuana commissioner Joshua Sanderlin has said that “the state’s transition to adult-use Cannabis sales have exceeded expectations.”
The fact that more than $900,000 was sold in the first three business days shows not only strong consumer interest, but also how our operators are ready and professional to provide safe and responsible service.
State Department of Safety and Homeland Security Director Joshua Bushweller stated that the successful launch “positions Delaware to achieve the economic benefits of controlled cannabis sales, while maintaining our commitments to public safety and responsibly implementation”.
The governor toured a cannabis-cultivation facility in the state last month, and praised the high quality marijuana being produced. He called it the “French Wine of Weed.”
The launch of the legal market comes amid some controversy, however, with critics alleging that allowing medical operators to start adult-use sales ahead of other license applicants is unfair. There’s also ongoing tension between state and local officials over who will ultimately control zoning rules for the new industry—a dispute that could have major implications for the rollout of future stores.
Dozens of other would-be retailers that have either already received licenses or are still awaiting issuance will need to wait for further regulatory approvals until they can open their doors—a situation that’s frustrated some advocates.
Eventually 30 stores are planned across the state, including 14 in New Castle County, 10 in Sussex County and six in Kent County.
In terms of zoning restrictions, Governor Brown said that there are two competing priorities in the marijuana-related SB 75 zoning plan that is currently waiting for his approval.
The bill would overrule local zoning authority and make it easier for cannabis businesses to set up shop.
One hand, he said he wanted to launch the state’s cannabis legalization program as fast as possible. He also said, in his capacity as former county executive and former mayor, that it is important to keep local government control over land-use decisions.
Two legislators who spearheaded the legalization of marijuana seek input separately from both consumers and business owners about the market launch. Paradee, the sponsor of SB 75, and House Majority Whip Rep. Ed Osienski (D)—the primary sponsor of the state’s 2023 legalization bills—put out a new online form this month for residents to share thoughts and feedback about the cannabis program anonymously.
It is to determine any problems that legislators may need to fix when they return to the next legislative session.
OCM had originally predicted that recreational sales could begin by March. But complications relating to the FBI’s fingerprint background-check service code caused delays. A bill was passed by lawmakers in April that resolved the issue. Subsequently, the FBI issued the code the marijuana law required.
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Late last year, OMC held a series of licensing lotteries for cannabis business to start serving adult consumers.
At the end, 125 licenses are expected to be granted, which include 30 retail outlets, 60 growers, 30 manufacturers, and 5 testing laboratories. The regulators detailed last year what percentage of each category was reserved for microbusinesses, social equity license applicants and open general licenses.
Regulators have also been rolling out a series of proposed regulations to stand up the forthcoming adult-use cannabis industry.
Meanwhile, Carney raised eyebrows in January after making a questionable claim that “nobody” wants cannabis shops in their neighborhoods, even if there’s consensus that criminalization doesn’t work.
The then-governor last year signed several additional marijuana bills into law, including measures that would allow existing medical cannabis businesses in the state to begin recreational sales on an expedited basis, transfer regulatory authority for the medical program and make technical changes to marijuana statutes.
The dual licensing legislation is meant to allow recreational sales to begin months earlier than planned, though critics say the legislation would give an unfair market advantage to larger, more dominant businesses already operating in multiple states.
In October, Carney also gave final approval to legislation to enact state-level protections for banks that provide services to licensed marijuana businesses.
Delaware’s medical marijuana program is also being significantly expanded under a law that officially took effect last July.
Policy change eliminates the limitations on eligibility for patients based on specific health conditions. Doctors will now be able recommend cannabis for any medical condition.
A patient over the age 65 may also be able to self-certify medical cannabis without needing a prescription from a doctor.
Mike Latimer is the photographer.
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