Tag Archives: processing

Santa Rosa marijuana processing plant back in business

JULIE JOHNSON

THE PRESS DEMOCRAT | December 14, 2016, 8:29PM

| Updated 38 minutes ago.

 

In a white-walled room deep inside a southwest Santa Rosa building once used to manufacture heart stents, 11 specialized machines to extract concentrated cannabis rumbled, hummed and popped in production for California’s largest legal marijuana manufacturing operation.

Five months ago, law enforcement officers hauled away extraction machines and other equipment worth about $3 million from the Circadian Way facility, halting production and forcing the company, CannaCraft, to address a series of code violations. One of its founders, Dennis Hunter, was briefly jailed.

Since then, California and the city of Santa Rosa have begun embracing cannabis manufacturing with new regulations that allow producers of medical marijuana-infused products to operate openly. And state voters legalized recreational use of marijuana, adding to the system of regulations advocates hope will bring marijuana businesses into the mainstream.

CannaCraft this week received a final level of approval from the city of Santa Rosa to run its multimillion-dollar enterprise, making it the first in the city — and among only a handful of companies statewide — to receive local authorization to manufacture marijuana-infused products for medicinal use. The Santa Rosa plant is the largest cannabis extraction and manufacturing facility in the state, said Nate Bradley, executive director of the California Cannabis Industry Association, a Sacramento trade group.

“It’s a sign of how the times have changed when we have local governments in support of manufacturing,” Bradley said. “Santa Rosa is leading the way in the state.”

Operating under the name CannaCraft, the 150-employee organization is a group of companies founded by Hunter, Edward Fussell and others. One company, CBD Guild, handles manufacturing and packaging. Sonoma Lab Works provides testing services, such as tests that detect the presence of pesticides or fungus in cannabis. Critical Solutions builds extraction equipment. CannaCraft is the management, finance and regulatory compliance arm of the organizations.

The Supercritical CO2 Fluid Extraction machines each day produce about 30 to 35 pounds of raw concentrated cannabis, a yellow wax-like substance with a floral odor that when further refined is used to make oils and sprays marketed for a range of medicinal purposes.

On Wednesday, the company brought a group that included several Santa Rosa City Council members, Sonoma County Supervisor Efren Carrillo, and a representative from Assemblyman Jim Woods’ office among others to tour the facility.

“We want to be the company that helps tear down stigmas for cannabis,” Hunter said to the group during a catered lunch in which they announced plans to hire developmentally disabled adults in a special off-site facility that makes packaging for the company but doesn’t handle cannabis products.

The specter of prosecution still hangs over Hunter, a Rohnert Park resident who was arrested July 15 on suspicion of manufacturing a controlled substance, a felony. He was arrested on the morning the company’s facility was raided by a group of officers from Santa Rosa and the U.S. Drug Enforcement Administration.

Law enforcement seized about $5 million worth of property, including the extraction machines, about $500,000 in cash for payroll and another $1.5 million in products, according to company spokesman Nick Caston.

Hunter was released within about 24 hours, and no charges have been filed.

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Old mining town turns to marijuana after prison, factory close

635705742656485449-Potfarm

 

WALSENBURG, Colo. – A developer’s plan to build hundreds of cannabis greenhouses could make this tiny southern Colorado town one of the nation’s largest producers of legal marijuana.

The town sold 330 acres of municipal land for more than $1 million to create a campus for growing, processing and distribution, with the marijuana to be trucked 160 miles north to consumers in metro Denver. Walsenburg is a former coal mining town that never recovered when the mines closed by the 1960s, and its population has dropped to fewer than 3,000 residents. In Huerfano County, which is home to Walsenburg, 20% of the population lives below poverty level.

Today, the town’s main street is filled with vacant buildings offered at cheap rent. Most people drive through the historic downtown without stopping, often headed west to Great Sand Dunes National Park or Wolf Creek Ski Area. The marijuana project envisions pumping $1 million monthly into the local economy, giving town officials funds for road and infrastructure repairs, and also offering as many as a 1,000 direct and related jobs.

"The only export we really had was smart kids. Now hopefully this will be able to retain those kids in this community," said Walsenburg Mayor James Eccher.

The Martra Development project proposes having about 500 people working on the site, with each greenhouse rented out separately. That will allow smaller growers to get started while giving them room to expand. Martra officials visited 17 counties in Colorado searching for the right combination of land, water and a business-friendly climate.

"There’s people who are saying, ‘hey, embrace this. And then there are CAVE people – citizens against virtually everything. You’re not going to satisfy everybody. What you have to do is try to do is at least not anger the majority," said county administrator John Galusha.

Today, most marijuana grown in Colorado is grown indoors in warehouses stuffed with high-powered lights to mimic the sun. Industry experts say warehouses in urban areas were simply the easiest place for growers to set up shop, especially for those accustomed to hiding their work.

Indoor marijuana cultivation uses so much energy that Boulder County, Colo., enacted a special fee to offset the power demands by growers running lights for 12 hours a day. With marijuana legal in Colorado, a growing number of developers are erecting special-purpose cannabis greenhouses in traditionally agricultural areas to take advantage of abundant natural sunlight and a long growing season.

USA TODAY

Power to the pot: Marijuana growers face electric fee

"A cannabis operator, who’s been operating up there (in Denver) with the boot on his neck, just choking to death on his overhead, looks at this model and says ‘when can I have it?" said Brian Trani, Martra’s CEO.

The answer, Trani says, is as soon as October. County officials say the project has been met with some skepticism by locals who say Walsenburg has had its hoped dashed before, including when a nearby privately-run prison and a manufactured-home factory closed.

Count Maria Cocchiarelli-Berger among the skeptics. The curator of the town’s contemporary art museum, she worries Walsenburg is pinning too many hopes on a single project. Still, she admits, the town needs to do something.

"I like to be optimistic, but having lived here for 10 years now, I’ve seen a number of ideas come through that were going to save us. We’ve pinned our hopes on these things … but lots of people just last six months or a year. I do hope it works, but until I see it working, I really am not sure that that’s going to be the key out of the mess we’re in."

A marijuana-growing supply store opened in downtown Walsenburg a few months ago, and co-founder Luara Tank says she’s struggling to keep lights, potting soil and other equipment in stock. On the store counter sits a dish of replacement springs for marijuana-trimming shears, and while the store has been welcomed, some customers still park around back or up the street, she said. Tank moved to Walsenburg to grow, and got tired of making the two-hour round-trip drive to buy supplies.

USA TODAY

Patchwork of pot rules hampers marijuana business expansion

"People were guerrilla-growing anyway," Tank said. "It’s pretty perfect here for growing. There’s no jobs here, so you have to make your own job."

Four states have legalized recreational marijuana, along with the District of Columbia, and 23 states and the District have legalized some form of medical marijuana. In many cases, officials levy taxes on the marijuana products to help move the marketplace from the black market to a legitimate business. Colorado reported collecting $10.6 million in legal marijuana taxes and fees in May, twice the amount it collected a year ago, with $91 million collected in the nearly-finished fiscal year.

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