Although I have previously discussed this issue, I need to address the concept of a MMC growing its own medicine.
Here are five basic rules:
Rule #1:
The MMC must grow up to 70% of its own MMJ.
Rule #2:
The MMC can only purchase up to 30% of the MMJ from another, licensed MMC.
Rule #3:
The MMC cannot buy MMJ from a caregiver or patient. Simply put, there is nothing legal a caregiver or patient can do with “excess” MMJ.
Rule #4:
The effective date for the MMC to grow its own MMJ is 7/1/10. The 9/1/10 certification date is merely the date you tell the state that you are and have been growing your own MMJ.
Rule #5:
You cannot contract with a grower to produce MMJ – you must grow your own.
Next, what is 70%?
This is one of the more cryptic answers in this area of law. First, you must look to CRS 12-43.3-901, the unlawful acts section. At Sec. (e), it states that it is unlawful (i.e., illegal) for the MMC to possess more than 2 ounces and grow more than 6 plants for each patient that assigns the MMC as their “primary center.”
Accordingly, the total amount of MMJ a MMC can possess is 2 ounces multiplied by the number of patients who have designated the MMC as their primary center.
Using simple math, a MMC with 50 patients who have assigned the MMC as the primary center can possess no more than 100 ounces of MMJ. A MMC with 100 patients can possess 200 ounces and so on.
Accordingly, a MMC with 50 patients must produce 70% of 100 ounces, which is 70 ounces. Again, the MMC can possess up to 100 ounces and no more. The practical result is that, in most cases, the production of the grow far outstrips the legal possession of MMJ by the MMC.
Also, since you can only sell 30% of the total inventory to another MMC, in the 50 patient example, you can only sell 30 ounces to another MMC. Understand that the MMC is likely to produce “excess” MMJ, but cannot legally sell it.
The key is to acquire more patients who assign the MMC as their primary center until your retail and cultivation capacity are equal. Otherwise, unlawful and illegal activities will have dire consequences.