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Nevada Declares Weed "State of Emergency" After Sales Exceed Expectations

Nevada Declares Weed

Brian Sandoval endorsed the state of emergency, allowing state officials to adopt "emergency marijuana regulation" in order to accommodate for the unplanned pot shortage.

The state, which officially began selling legal marijuana on July 1, only issued its first license to actually transport the product from the farm to the store on Wednesday.

As of Friday, the Department of Taxation had issued zero distribution licenses to alcohol wholesalers, because of incomplete applications and zoning issues, the Reno Gazette-Journal reported. It has to do with distribution and the rules over who's allowed to transport marijuana. Several establishments told state officials they expected to run out in the coming days.

But representatives of several of the 47 retailers now licensed to sell recreationally testified before the tax panel Thursday their shelves are almost empty because there's no distribution mechanism that allows them to restock. The state's haul in terms of in tax revenue was about $1 million.

Customers flooded dispensaries, which had previously served patients only with a doctor's approval under the state's medical marijuana laws.

Nevada Regulators Will Consider Emergency Pot Distribution Rules

The Nevada Tax Commission responded, with a nod from Nevada Governor Sandoval, and will address the shortage on July 13th with emergency regulations.

Recreational marijuana became legal to purchase in Nevada last week, and as one might expect of the state home to a place colloquially known as "Sin City", there was a market for the drug.

State Sen. Tick Segerblom - a proponent of legalizing recreational marijuana who even has a strain named after him - said if the Department of Taxation votes to expand the license eligibility, the cannabis conundrum will be immediately rectified.

Nevada is the eighth USA state to fully legalise the sale and purchase of weed for recreational use.

Well, it turns out the answer to that question is everybody except the state of Nevada. But many distributors didn't meet the requirements needed to be licensed by the Department of Taxation. The problem is that stores must apply for a cannabis distribution license (just like a liquor license) - but so far only 47 have been granted. 15 percent of the revenue from the cultivation tax goes toward's the state's schools, and 10 percent of the money made from sales tax goes toward's Nevada's rainy day fund, meaning it can be employed in a variety of different situations. These businesses have recently hired and trained thousands of additional employees to meet the increased demand of adult-use.

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