BY KIM MOORE | RESEARCH EDITOR
Oregon’s new marijuana law is expected to lead to a bevy of new business opportunities for the state. And not just for growers. Law firms, HR consultants, energy efficiency companies and many others are expected to benefit from the decriminalization of pot, according to panelists at an Oregon Business breakfast meeting on Tuesday.
BY KIM MOORE | RESEARCH EDITOR
Oregon’s new marijuana law is expected to lead to a bevy of new business opportunities for the state. And not just for growers. Law firms, HR consultants, energy efficiency companies and many others are expected to benefit from the decriminalization of pot, according to panelists at an Oregon Business breakfast meeting on Tuesday.
Oregon legalized recreational marijuana use when it passed Measure 91 in November. That measure, which comes into effect on July 1, allows adults 21 and older to grow and use pot in a private place. They will not be able to buy it until 2016.
Measure 91 was drafted to be “business friendly,” said Paul Loney, an attorney who helped draft the measure. The law does not require marijuana business owners to be a resident of Oregon, for example. Unlike many other types of start-ups, marijuana businesses tend to be successful with a failure rate of just one percent, he said. But Loney cautions businesses need to be flexible because rules today governing marijuana use may not be the same tomorrow.
The legalization of pot is creating business opportunities where you would least expect it. In Washington, where recreational pot use has been legal since 2012, rural utilities have seen new demand for power come from growers that have moved to the area because of low commercial property rents and electricity rates. Growing marijuana is very energy intensive because of the artificial lights needed to grow the plant indoors. Pacific County Public Utility District in Washington, for example, is building a new power station to meet extra electricity demand from the influx of marijuana growers and processors in the county.
Because of the energy intensive nature of growing weed, the law also creates opportunities for energy efficiency consultants. John Morris, director of regulatory affairs for the western U.S. and Canada at energy efficiency firm CLEAResult, said the marijuana law creates a “business case” for the company to help organize energy efficiency programs for utilities serving growers in areas where energy use is already high.
Technology companies can also benefit from the new law. New age batteries to power indoor lighting to grow crops, energy efficient bulbs, and breathalyzer tests for impaired drivers, are just some of the technologies under development.
Professional services firms are also expected to jump into the marijuana business. Law firms are setting up practice areas to serve clients seeking marijuana advice. Human resources consultants will be needed to help employers navigate marijuana use in the workplace.
Kyle Abraham, an attorney at Barran Liebman, said employers should educate their employees on what their policy is for the use of pot in the workplace. “There is no one-size-fits all policy,” said Abraham. “You may have recruitment issues if you take a hardline.”
Oregon employers can still terminate employees if they test positive for cannabis. Measure 91 did not change labor laws to protect employees from dismissal if they test positive.
Steve Fowler, safety coordinator at Emerick Construction, said his firm checks whether employees are impaired through the use of marijuana because of the safety risk associated with employees taking the drug. But the firm does not check for impairment specifically because of cannabis, but for all kinds of reasons, such as alcohol and sleep deprivation. It is important the employer doesn’t appear as a “gun-slinger” for drug use, said Fowler.
About 55 people attended the panel discussion, which was held in the Key Bank Club at Providence Park. Oregon Business hosts monthly breakfast meetings featuring entrepreneurs, business and thought leaders. For upcoming events, visit OregonBusiness.com/events.
